[Code of Federal Regulations]
[Title 27, Volume 1]
[Revised as of April 1, 2005]
From the U.S. Government Printing Office via GPO Access
[CITE: 27CFR53.113]

[Page 1002-1003]
 
            TITLE 27--ALCOHOL, TOBACCO PRODUCTS AND FIREARMS
 
 CHAPTER I--ALCOHOL AND TOBACCO TAX AND TRADE BUREAU, DEPARTMENT OF THE 
                                TREASURY
 
PART 53_MANUFACTURERS EXCISE TAXES_FIREARMS AND AMMUNITION--Table of 
Contents
 
     Subpart J_Special Provisions Applicable to Manufacturers Taxes
 
Sec. 53.113  Events subsequent to taxable use of article.

    Liability for tax incurred on the use of an article is not 
extinguished or reduced because of any subsequent sale

[[Page 1003]]

or lease of the article even if such sale or lease would have been 
exempt if the article had been so sold or leased prior to use. If a 
manufacturer, producer, or importer of an article incurs liability for 
tax on his use thereof, and thereafter sells or leases the article in a 
transaction which otherwise would be subject to tax, liability for tax 
is not incurred on such sale or lease.

[T.D. ATF-308, 56 FR 303, Jan. 3, 1991, as amended by T.D. ATF-312, 56 
FR 31084, July 9, 1991]