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Title 26 — Internal Revenue CodeRelease 119-73not60

§5712 Application for Permit

Title 26 › Subtitle Subtitle E— Alcohol, Tobacco, and Certain Other Excise Taxes › Chapter 52— TOBACCO PRODUCTS AND CIGARETTE PAPERS AND TUBES › Subchapter B— Qualification Requirements for Manufacturers and Importers of Tobacco Products and Cigarette Papers and Tubes, and Export Warehouse Proprietors › § 5712

Last updated Apr 5, 2026|Official source

Summary

You must apply for a permit before you start business as a manufacturer or importer of tobacco products or processed tobacco, or as an export warehouse proprietor. You must also apply at any other times the Secretary requires. Use the form the Secretary gives and answer all questions truthfully and accurately. The Secretary can deny the application after giving notice and a chance for a hearing if the place of business would not protect revenue, if the planned activity does not meet minimum capacity or activity rules, or if the person (including corporate officers, directors, main stockholders, or partners) is unlikely to follow the law because of bad business experience, poor finances, weak trade ties, past or pending federal felony proceedings about tobacco items, a federal or state felony conviction for tobacco-related crimes, or if they left out or lied about important facts on the application.

Full Legal Text

Title 26, §5712

Internal Revenue Code — Source: USLM XML via OLRC

Every person, before commencing business as a manufacturer or importer of tobacco products or processed tobacco or as an export warehouse proprietor, and at such other time as the Secretary shall by regulation prescribe, shall make application for the permit provided for in section 5713. The application shall be in such form as the Secretary shall prescribe and shall set forth, truthfully and accurately, the information called for on the form. Such application may be rejected and the permit denied if the Secretary, after notice and opportunity for hearing, find that—
(1)the premises on which it is proposed to conduct the business are not adequate to protect the revenue;
(2)the activity proposed to be carried out at such premises does not meet such minimum capacity or activity requirements as the Secretary may prescribe,11 So in original. The comma probably should be a semicolon. or
(3)such person (including, in the case of a corporation, any officer, director, or principal stockholder and, in the case of a partnership, a partner)—
(A)is, by reason of his business experience, financial standing, or trade connections or by reason of previous or current legal proceedings involving a felony violation of any other provision of Federal criminal law relating to tobacco products, processed tobacco, cigarette paper, or cigarette tubes, not likely to maintain operations in compliance with this chapter,
(B)has been convicted of a felony violation of any provision of Federal or State criminal law relating to tobacco products, processed tobacco, cigarette paper, or cigarette tubes, or
(C)has failed to disclose any material information required or made any material false statement in the application therefor.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

Amendments

2009—Pub. L. 111–3, § 702(a)(1)(A), inserted “or processed tobacco” after “tobacco products” in introductory provisions. Par. (3). Pub. L. 111–3, § 702(b)(1), amended par. (3) generally. Prior to amendment, par. (3) read as follows: “such person (including, in the case of a corporation, any officer, director, or principal stockholder and, in the case of a partnership, a partner) is, by reason of his business experience, financial standing, or trade connections, not likely to maintain operations in compliance with this chapter, or has failed to disclose any material information required or made any material false statement in the application therefor.” 1997—Pub. L. 105–33, § 9302(h)(5), struck out “or” at end of par. (1), added par. (2), and redesignated former par. (2) as (3). Pub. L. 105–33, § 9302(h)(2)(A), inserted “or importer” after “manufacturer” in introductory provisions. 1976—Pub. L. 94–455 struck out “or his delegate” after “Secretary” and struck out provision that no person subject to this section, who was lawfully engaged in business on the date of the enactment of the Excise Tax Technical Changes Act of 1958, be denied the right to carry on that business pending reasonable opportunity to make applications for permit and final action thereon. 1958—Pub. L. 85–859 included export warehouse proprietors, and excluded dealers in tobacco materials.

Statutory Notes and Related Subsidiaries

Effective Date

of 2009 AmendmentAmendment by section 702(a)(1)(A) of Pub. L. 111–3 effective Apr. 1, 2009, see section 702(a)(6) of Pub. L. 111–3, set out as a note under section 5702 of this title. Pub. L. 111–3, title VII, § 702(b)(3), Feb. 4, 2009, 123 Stat. 110, provided that: “The

Amendments

made by this subsection [amending this section and section 5713 of this title] shall take effect on the date of the enactment of this Act [Feb. 4, 2009].”

Effective Date

of 1997 AmendmentAmendment by Pub. L. 105–33 applicable to articles removed, as defined in section 5702(j) of this title, after Dec. 31, 1999, with transition rule, see section 9302(i) of Pub. L. 105–33, set out as a note under section 5701 of this title.

Effective Date

of 1976 AmendmentAmendment by section 1905(a)(27) 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.

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. § 5712

Title 26 — Internal Revenue Code

Last Updated

Apr 5, 2026

Release point: 119-73not60