[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: 27CFR53.156]

[Page 1019-1020]
 
            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 L_Refunds and Other Administrative Provisions of Special 
                   Application to Manufacturers Taxes
 
Sec. 53.156  Extension of time for paying tax shown on return.

    (a) In general. (1) Ordinarily, no extensions of time will be 
granted for payment of any tax imposed by Chapter 32 of the Code, and 
shown or required to be shown on any return. However, if because of 
temporary conditions beyond the taxpayer's control a taxpayer believes 
an extension of time for payment is justified, the taxpayer may apply 
for an extension filing ATF Form 5600.38. The period of an extension 
shall not be in excess of 6 months from the date fixed for payment of 
the tax, except that if the taxpayer is abroad the period of the 
extension may be in excess of 6 months.

[[Page 1020]]

    (2) The granting of an extension of time for filing a return does 
not operate to extend the time for the payment of the tax or any part of 
the tax unless so specified in the extension. See Sec. 53.155.
    (b) Undue hardship required for extension. An extension of the time 
for payment shall be granted only upon a satisfactory showing that 
payment on the due date of the amount with respect to which the 
extension is desired will result in an undue hardship. The extension 
will not be granted upon a general statement of hardship. The term 
``undue hardship'' means more than an inconvenience to the taxpayer. It 
must appear that substantial financial loss, for example, loss due to 
the sale of property at a sacrifice price, will result to the taxpayer 
from making payment on the due date of the amount with respect to which 
the extension is desired. If a market exists, the sale of property at 
the current market price is not ordinarily considered as resulting in an 
undue hardship.
    (c) Application for extension. An application for an extension of 
time for payment of the tax shown or required to be shown on any return 
shall be made on ATF Form 5600.38, Application for Extension of Time for 
Payment of Tax, and shall be accompanied by evidence showing the undue 
hardship that would result to the taxpayer if the extension were 
refused. The application shall also be accompanied by a statement of the 
assets and liabilities of the taxpayer and an itemized statement showing 
all receipts and disbursements for each of the 3 months immediately 
preceding the due date of the amount to which the application relates. 
The application, with supporting documents, must be filed on or before 
the date prescribed for payment of the amount with respect to which the 
extension is desired. The application will be examined, and within 30 
days, if possible, will be denied, granted, or tentatively granted 
subject to certain conditions of which the taxpayer will be notified. If 
an additional extension is desired, the request for it must be made on 
or before the expiration of the period for which the prior extension is 
granted.
    (d) Payment pursuant to extension. If an extension of time for 
payment is granted, the payment shall be made on or before the 
expiration of the period of the extension without the necessity of 
notice and demand. The granting of an extension of time for payment of 
the tax does not relieve the taxpayer from liability for the payment of 
interest on the tax during the period of the extension. See section 6601 
of the Code and 26 CFR 301.6601-1.

[T.D. ATF-308, 56 FR 303, Jan. 3, 1991, as amended by T.D. ATF-312, 56 
FR 31084, July 9, 1991; T.D. ATF-447, 66 FR 19088, Apr. 13, 2001]