[Code of Federal Regulations]

[Title 26, Volume 16]

[Revised as of April 1, 2006]

From the U.S. Government Printing Office via GPO Access

[CITE: 26CFR48.4041-15]



[Page 65-66]

 

                       TITLE 26--INTERNAL REVENUE

 

    CHAPTER I--INTERNAL REVENUE SERVICE, DEPARTMENT OF THE TREASURY 

                               (CONTINUED)

 

PART 48_MANUFACTURERS AND RETAILERS EXCISE TAXES--Table of Contents

 

                         Subpart F_Special Fuels

 

Sec.  48.4041-15  Sales to States or political subdivisions thereof.



    (a) Application of exemption. The taxes imposed by section 4041 do 

not apply in the case of a sale of any liquid by any person for the 

exclusive use of any State or any political subdivision



[[Page 66]]



thereof, the District of Columbia, or in the case of the use of any 

liquid by any State or any political subdivision thereof, or the 

District of Columbia, as a fuel in a motor vehicle, motorboat, or 

aircraft.

    (b) Evidence required to establish exemption. Any vendor claiming 

exemption under this section shall be prepared to produce evidence that 

will establish the right to exemption from the tax imposed by section 

4041. Generally, orders or contracts of a State or a political 

subdivision thereof, or the District of Columbia, when signed by an 

authorized officer thereof will be accepted in support of the exemption. 

However, in the absence of such orders or contracts, a certificate 

signed by such an authorized officer that the liquid sold was purchased 

for the exclusive use of a State or political subdivision thereof, or 

the District of Columbia, will be acceptable. The certificate shall be 

in substantially the following form:



                          Exemption Certificate



    (For use by States and local governments. (section 4041(g)(2) of the 

Internal Revenue Code).)



Date --------------------, 19----.



    I hereby certify that I am -------------- of -------------- (State 

or local government) that I am authorized to execute this certificate; 

and that



                 (Check applicable type of certificate)



------the liquid or liquids specified in the accompanying order, or on 

the reverse side hereof, (or)



------all orders placed by the purchaser for the period commencing ----

------ (Date) and ending ---------- (Date) (period not to exceed 12 

calendar quarters) are, or will be, purchased from ---------- (Name of 

vendor) for the exclusive use of ---------- (Governmental unit) of ----

---------------- (State or local government).

    I understand that the exemption from tax in the case of sales of 

liquids under this exemption certificate is limited to the sale of 

articles purchased for the exclusive use of a State, etc. I understand 

that the fraudulent use of this certificate for the purpose of securing 

this exemption will subject me and all parties making such fraudulent 

use of this certificate to a fine of not more than $10,000, or to 

imprisonment for not more than 5 years, or both, together with costs of 

prosecution.



Signature --------------------



Address --------------------





[T.D. 7536, 43 FR 13516, Mar. 31, 1978. Redesignated by T.D. 8066, 51 FR 

14, Jan. 2, 1986]