PRIA, Government Policy, Made Personal

Summary

Makes it a crime to cheat or lie about tobacco products and related taxes. It covers six kinds of fraud: making or importing tobacco or cigarette paper/tubes, or running an export warehouse, without the required bond and permit; failing to keep required records or filing false records; refusing to pay or trying to evade taxes; moving taxable tobacco products illegally; illegally buying, receiving, having, or selling tobacco products or cigarette papers/tubes; and removing or destroying labels or notices on packages before they are empty. For each of those frauds, the penalty can be a fine up to $10,000, jail up to 5 years, or both. For any other violation of the rules in this chapter, the penalty can be a fine up to $1,000, jail up to 1 year, or both.

Title 26, §5762

Internal Revenue Code, Source: USLM XML via OLRC

(a)Fraudulent offenses

Whoever, with intent to defraud the United States—

(1)Engaging in business unlawfully

Engages in business as a manufacturer or importer of tobacco products or cigarette papers and tubes, or as an export warehouse proprietor, without filing the bond and obtaining the permit where required by this chapter or regulations thereunder; or

(2)Failing to furnish information or furnishing false information

Fails to keep or make any record, return, report, or inventory, or keeps or makes any false or fraudulent record, return, report, or inventory, required by this chapter or regulations thereunder; or

(3)Refusing to pay or evading tax

Refuses to pay any tax imposed by this chapter, or attempts in any manner to evade or defeat the tax or the payment thereof; or

(4)Removing tobacco products or cigarette papers or tubes unlawfully

Removes, contrary to this chapter or regulations thereunder, any tobacco products or cigarette papers or tubes subject to tax under this chapter; or

(5)Purchasing, receiving, possessing, or selling tobacco products or cigarette papers or tubes unlawfully

Violates any provision of section 5751(a)(1) or (a)(2); or

(6)Destroying, obliterating, or detaching marks, labels, or notices before packages are emptied

Violates any provision of section 5752;

shall, for each such offense, be fined not more than $10,000, or imprisoned not more than 5 years, or both.

(b)Other offenses

Whoever, otherwise than as provided in subsection (a), violates any provision of this chapter, or of regulations prescribed thereunder, shall, for each such offense, be fined not more than $1,000, or imprisoned not more than 1 year, or both.

Notes & Related Subsidiaries

Editorial Notes

Amendments

1997—Subsec. (a)(1). Pub. L. 105–33 inserted “or importer” after “manufacturer”. 1976—Subsec. (a)(6). Pub. L. 94–455 redesignated par. (7) as (6), and in par. (6) as so redesignated substituted “or notices” for “notices, or stamps” and “section 5752;” for “section 5752(a); or”. Former par. (6), relating to the affixing of improper stamps, was struck out. Subsec. (a)(7). Pub. L. 94–455 redesignated par. (7) as (6). Subsec. (a)(8) to (11). Pub. L. 94–455 struck out pars. (8) to (11) which related to emptying packages without destroying stamps, possessing emptied packages bearing stamps, refilling packages bearing stamps, and detaching stamps or possessing used stamps. 1965—Subsec. (a)(1). Pub. L. 89–44, § 502(b)(12)(A), struck out reference to a dealer in tobacco materials. Subsec. (a)(2). Pub. L. 89–44, § 502(b)(12)(B), struck out reference to statements. 1958—Subsec. (a). Pub. L. 85–859 included export warehouse proprietors in par. (1), struck out provisions in pars. (6) and (9) to (11) which related to labels and notices, and added pars. (7) and (8).

Statutory Notes and Related Subsidiaries

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 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 1965 AmendmentAmendment by Pub. L. 89–44 applicable on and after January 1, 1966, see section 701(d) of Pub. L. 89–44, set out as a note under section 5701 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.

§5762 Criminal Penalties

Summary

Title 26, §5762

Notes & Related Subsidiaries

Editorial Notes

Amendments

Statutory Notes and Related Subsidiaries

Effective Date

Effective Date

Effective Date

Effective Date

Effective Date

Citations & Metadata