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Title 26, Internal Revenue CodeRelease 119-110

§5705 Credit, Refund, or Allowance of Tax

Title 26 › Subtitle E — Alcohol, Tobacco, and Certain Other Excise Taxes › CHAPTER 52 — TOBACCO PRODUCTS AND CIGARETTE PAPERS AND TUBES › Subchapter A — Definitions; Rate and Payment of Tax; Exemption From Tax; and Refund and Drawback of Tax › § 5705

Last updated Sep 22, 2026|Official source

Summary

Manufacturers, importers, and export warehouse owners can get a credit or refund (without interest) for taxes they paid on tobacco products or cigarette papers and tubes that they pulled from sale or that were lost or destroyed (not stolen). If the tax wasn’t yet paid, they can ask for tax relief by filing a claim under the rules the Secretary sets. Claims must be filed within 6 months of the withdrawal, loss, or destruction and must use the form and information the Secretary requires.

Full Legal Text

Title 26, §5705

Internal Revenue Code, Source: USLM XML via OLRC

(a)Credit or refund
Credit or refund of any tax imposed by this chapter or section 7652 shall be allowed or made (without interest) to the manufacturer, importer, or export warehouse proprietor, on proof satisfactory to the Secretary that the claimant manufacturer, importer, or export warehouse proprietor has paid the tax on tobacco products and cigarette papers and tubes withdrawn by him from the market; or on such articles lost (otherwise than by theft) or destroyed, by fire, casualty, or act of God, while in the possession of ownership of the claimant.
(b)Allowance
If the tax has not yet been paid on tobacco products and cigarette papers and tubes provided to have been withdrawn from the market or lost or destroyed as aforesaid, relief from the tax on such articles may be extended upon the filing of a claim for allowance therefor in accordance with such regulations as the Secretary shall prescribe.
(c)Limitation
Any claim for credit or refund of tax under this section shall be filed within 6 months after the date of the withdrawal from the market, loss, or destruction of the articles to which the claim relates, and shall be in such form and contain such information as the Secretary shall by regulations prescribe.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

Amendments

1976—Pub. L. 94–455 struck out “or his delegate” after “Secretary” wherever appearing. 1965—Pub. L. 89–44, § 808(c)(1), struck out “Refund or” and inserted in lieu thereof “Credit, refund, or” in section catchline. Subsec. (a). Pub. L. 89–44, § 808(b)(1), substituted “Credit or refund” for “Refund” in heading and struck out “Refund of any tax imposed by this chapter shall be made”, replacing it with “Credit or refund of any tax imposed by this chapter or section 7652 shall be allowed or made”. Subsec. (c). Pub. L. 89–44, § 808(b)(2), inserted “credit or” before “refund”. 1958—Subsec. (a). Pub. L. 85–859 authorized refunds to export warehouse proprietors, provided for refunds to be made without interest, and eliminated provisions which authorized refunds where the tax has been paid in error. Subsec. (b). Pub. L. 85–859 permitted relief where a tax has not yet been paid on tobacco products and cigarette papers and tubes proved to have been withdrawn from the market. Subsec. (c). Pub. L. 85–859 substituted “under this section shall be filed within 6 months after the date of the withdrawal from the market, loss, or destruction of the articles to which the claim relates” for “imposed by this chapter shall be filed within 3 years of the date of payment of tax”.

Statutory Notes and Related Subsidiaries

Effective Date

of 1965 Amendment Pub. L. 89–44, title VIII, § 808(d)(2), June 21, 1965, 79 Stat. 165, provided that: “The

Amendments

made by subsections (b)(1), (2), and (c) [amending this section] shall take effect on October 1, 1965.”

Effective Date

of 1958 AmendmentAmendment by Pub. L. 85–859 effective Sept. 3, 1958, see section 210(a)(1) of Pub. L. 85–859, set out as an

Effective Date

note under section 5001 of this title.

Reference

Citations & Metadata

Citation

26 U.S.C. § 5705

Title 26, Internal Revenue Code

Last Updated

Sep 22, 2026

Release point: 119-110