[Code of Federal Regulations]
[Title 7, Volume 7]
[Revised as of January 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 7CFR723.309]

[Page 148]
 
                          TITLE 7--AGRICULTURE
 
                            CHAPTER VII--FARM
                SERVICE AGENCY, DEPARTMENT OF AGRICULTURE
 
PART 723--TOBACCO--Table of Contents
 
 Subpart C--Tobacco Subject to Quota, Exemptions From Quotas, Marketing 
                  Cards, and General Penalty Provisions
 
Sec. 723.309  Persons to pay penalty.

    Subject to any additional requirements or provisions for remittances 
which are contained in Sec. 723.409 of this part, the persons to pay the 
penalty due on any marketing of tobacco subject to penalty shall be 
determined as follows:
    (a) Auction sale. The penalty due on marketings by a producer or 
dealer through an auction sale shall be paid by the warehouse operator 
who may deduct an amount equivalent to the penalty from the price paid 
to the producer or dealer.
    (b) Nonauction sale. The penalty due on tobacco acquired directly 
from a producer or dealer, other than at an auction sale, shall be paid 
by the person acquiring the tobacco who may deduct an amount equivalent 
to the penalty from the price paid to the producer or dealer in the case 
of a sale.
    (c) Marketing outside the United States. The penalty due on 
marketings by a producer or dealer directly to any person outside the 
United States shall be paid by the producer or dealer making the sale.

[55 FR 39914, Oct. 1, 1990, as amended at 63 FR 11582, Mar. 10, 1998]