Title 26 — Internal Revenue CodeRelease 119-73
§5054 Determination and collection of tax on beer
Title 26 › Subtitle Subtitle E— - Alcohol, Tobacco, and Certain Other Excise Taxes › Chapter CHAPTER 51— - DISTILLED SPIRITS, WINES, AND BEER › Subchapter Subchapter A— - Gallonage and Occupational Taxes › Part PART I— - GALLONAGE TAXES › Subpart Subpart D— - Beer › § 5054
Summary
Figure and pay the beer tax under section 5051 when beer is removed for sale or use. If beer is made in the U.S. or imported and sent to a brewery tax-free under section 5418, the brewer must pay when it is removed, under section 5061. Beer imported and not sent tax-free is taxed at importation or when it leaves the first warehouse. Illegally brought beer is treated as imported and taxed then. Beer made in the U.S. is normally taxed when produced unless made in a brewery qualified under subchapter G or exempt under section 5053(e). If beer removed for sale is returned to the brewery, it is treated as it was before removal and the tax applies. If that beer is removed again, the tax must be figured and paid again. All applicable administrative and penalty rules in this title apply to the tax under section 5051.
Full Legal Text
Title 26, §5054
Internal Revenue Code — Source: USLM XML via OLRC
(a)(1)Except as provided in paragraph (3), the tax imposed by section 5051 on beer produced in the United States, or imported into the United States and transferred to a brewery free of tax under section 5418, shall be determined at the time it is removed for consumption or sale, and shall be paid by the brewer thereof in accordance with section 5061.
(2)Except as provided in paragraph (4), the tax imposed by section 5051 on beer imported into the United States and not transferred to a brewery free of tax under section 5418 shall be determined at the time of the importation thereof, or, if entered for warehousing, at the time of removal from the 1st such warehouse.
(3)The tax on any beer produced in the United States shall be due and payable immediately upon production unless—
(A)such beer is produced in a brewery qualified under the provisions of subchapter G, or
(B)such production is exempt from tax under section 5053(e) (relating to beer for personal or family use).
(4)Beer smuggled or brought into the United States unlawfully shall, for purposes of this chapter, be held to be imported into the United States, and the internal revenue tax shall be due and payable at the time of such importation.
(b)Beer which has been removed for consumption or sale and is thereafter returned to the brewery shall be subject to all provisions of this chapter relating to beer prior to removal for consumption or sale, including the tax imposed by section 5051. The tax on any such returned beer which is again removed for consumption or sale shall be determined and paid without respect to the tax which was determined at the time of prior removal of the beer for consumption or sale.
(c)All administrative and penal provisions of this title, insofar as applicable, shall apply to any tax imposed by section 5051.
Legislative History
Notes & Related Subsidiaries
Editorial Notes
Prior Provisions
A prior section 5054, act Aug. 16, 1954, ch. 736, 68A Stat. 613, consisted of provisions similar to those comprising this section, prior to the general revision of this chapter by Pub. L. 85–859. Provisions similar to those comprising subsecs. (a)(1), (2) and (b) to (d) of this section were contained in prior section 5055 and 5057(a), act Aug. 16, 1954, ch. 736, 68A Stat. 613, prior to the general revision of this chapter by Pub. L. 85–859.
Amendments
2018—Subsec. (a)(3)(B). Pub. L. 115–141 substituted “section” for “sections”. 1998—Subsec. (a)(1). Pub. L. 105–206, § 6014(a)(1), in heading inserted “; certain imported beer” after “United States” and in text inserted “, or imported into the United States and transferred to a brewery free of tax under section 5418,” after “United States”. Subsec. (a)(2). Pub. L. 105–206, § 6014(a)(2), inserted “and not transferred to a brewery free of tax under section 5418” after “United States”. 1988—Subsec. (a)(2). Pub. L. 100–647 added period at end. 1986—Subsec. (a)(2). Pub. L. 99–509 substituted “if entered for warehousing, at the time of removal from the 1st such warehouse” for “if entered into customs custody, at the time of removal from such custody, and shall be paid under such
Regulations
as the Secretary shall prescribe.”. 1978—Subsec. (a)(3). Pub. L. 95–458 inserted provision excluding from tax the beer exempt from tax under section 5053(e). 1976—Subsec. (a)(2). Pub. L. 94–455, § 1906(b)(13)(A), struck out “or his delegate” after “Secretary”. Subsecs. (c), (d). Pub. L. 94–455, § 1905(a)(5), redesignated subsec. (d) as (c) and struck out former subsec. (c) respecting stamps or other devices as evidence of payment of tax.
Statutory Notes and Related Subsidiaries
Effective Date
of 1998 AmendmentAmendment by Pub. L. 105–206 effective, except as otherwise provided, as if included in the provisions of the Taxpayer Relief Act of 1997, Pub. L. 105–34, to which such amendment relates (see section 1421(c) of Pub. L. 105–34 set out as an
Effective Date
note under section 5418 of this title), see section 6024 of Pub. L. 105–206, set out as a note under section 1 of this title.
Effective Date
of 1988 AmendmentAmendment by Pub. L. 100–647 effective, except as otherwise provided, as if included in the provision of the Tax Reform Act of 1986, Pub. L. 99–514, to which such amendment relates, see section 1019(a) of Pub. L. 100–647, set out as a note under section 1 of this title.
Effective Date
of 1986 AmendmentAmendment by Pub. L. 99–509 applicable to articles imported, entered for warehousing, or brought into the United States or a foreign trade zone after Dec. 15, 1986, see section 8011(c) of Pub. L. 99–509, set out as a note under section 5061 of this title.
Effective Date
of 1978 AmendmentAmendment by Pub. L. 95–458 effective on first day of first calendar month beginning more than 90 days after Oct. 14, 1978, see section 2(c) of Pub. L. 95–458, set out as a note under section 5042 of this title.
Effective Date
of 1976 AmendmentAmendment by section 1905(a)(5) of Pub. L. 94–455 effective on first day of first month which begins more than 90 days after Oct. 4, 1976, see section 1905(d) of Pub. L. 94–455, set out as a note under section 5005 of this title.
Reference
Citations & Metadata
Citation
26 U.S.C. § 5054
Title 26 — Internal Revenue Code
Last Updated
Apr 6, 2026
Release point: 119-73