26 USC 5181 - Distilled spirits for fuel use

U.S Code last checked for updates: May 03, 2024

§ 5181.

Distilled spirits for fuel use

(a)

In general

(1)

Purposes for which plant may be established

On such application and bond and in such manner as the Secretary may prescribe by regulation, a person may establish a distilled spirits plant solely for the purpose of—

(A)

producing, processing, and storing, and

(B)

using or distributing,

distilled spirits to be used exclusively for fuel use.

(2)

Regulations

In prescribing regulations under paragraph (1) and in carrying out the provisions of this section, the Secretary shall, to the greatest extent possible, take steps to—

(A)

expedite all applications;

(B)

establish a minimum bond; and

(C)

generally encourage and promote (through regulation or otherwise) the production of alcohol for fuel purposes.

(b)

Authority to exempt

(c)

Special rules for small plant production

(1)

Applications

(A)

In general

(B)

Receipt of application

(C)

Multiple applications

(2)

Determination

(A)

In general

(B)

Failure to make determination

(C)

Rejection of application

If the Secretary determines under subparagraph (A) that a permit should not be issued—

(i)

the Secretary shall include in the notice to the applicant of such determination under subparagraph (A) detailed reasons for such determination, and

(ii)

such determination shall not prejudice any further application for such operating permit.

(3)

Bond

(4)

Eligible distilled spirits plant

(d)

Withdrawal free of tax

(e)

Prohibited withdrawal, use, sale, or disposition

(1)

In general

(2)

Rendering unfit for use

(f)

Definition of distilled spirits

(Added Pub. L. 96–223, title II, § 232(e)(1), Apr. 2, 1980, 94 Stat. 278.)

cite as: 26 USC 5181