Manufactured Tobacco
Procedure for the Interim from January 1, 1955
Until the Effective Date of Regulations to be
Prescribed Under the Internal Revenue Code of 1954
Manufacturers and importers of
manufactured tobacco:
1. The purpose of this industry circular is to notify you that
new regulations to implement Chapter 52 of the Internal Revenue Code
of 1954, as it relates to manufacturers and importers of manufactured
tobacco, will not become effective on January 1, 1955.
2. Until the new regulations become effective, pursuant to
Section 7807(a) of the 1954 Code, the applicable provisions of
existing Regulations 8, 73, and 76, which are not inconsistent with
the 1954 Code, will continue in effect. You mill continue to use
all forms required by such provisions of existing regulations and
procedures.
3. Section 5705 of the 1954 Code, which becomes effective
January 1, 1955, provides that taxes on manufactured tobacco may be
refunded to the manufacturer or importer thereof on proof satisfactory
to the Secretary or his delegate that the claimant manufacturer or
importer has paid the tax on such tobacco which is lost (otherwise
than by theft) or destroyed, by fire, casualty, or act of God, while
in the possession or ownership of the claimant on and after January 1,
1955. This section of the Code also provides that if tax has not
yet been paid on manufactured tobacco, so lost or destroyed, relief
from such tax may be extended upon the filing of a claim for allowance
of loss in the same manner as a claim for refund. Therefore, if you
incur such a loss or destruction on or after January 1, 1955, you
should promptly report the facts and circumstances surrounding the loss
or destruction to the Assistant Regional Commissioner, Alcohol and
Tobacco Tax, and file with him an appropriate claim.
4. Although the permit provisions of Chapter 52 of the new Code
with respect to manufacturers of tobacco will become effective January 1,
1955, applications for permit to authorize the continuance of operation by persons now so qualified, who produce manufactured tobacco, will
not be required to be filed pending the effective date of the new
regulations implementing the Code.
5. Inquiries in regard to this industry circular, and any
inquiries regarding your operations on and after January 1, 1955,
pending the effective date of new regulations, should be directed to
the Assistant Regional Commissioner, Alcohol and Tobacco Tax.
Dwight E. Avis
Director, Alcohol and Tobacco Tax Division
IRS-6033 |