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SEC. 3645. PERIODS OF LIMITATION UPON ASSESSMENT.

For the periods of limitation prescribed for making assessments, see the following:

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Tobacco, snuff, cigars, and cigarettes, sections 2002 (b) and 3312.
Documents, other instruments, and playing cards, section 3312.
Admissions and dues, section 3312.

Oleomargarine, sections 3311 and 3312.

Adulterated and process or renovated butter, sections 3311 and

3312.

Filled cheese, sections 3311 and 3312.

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Narcotics, section 3312.

White phosphorus matches, section 3312.

Cotton futures, section 3312.

Pistols and revolvers, section 3312.

Circulation other than of national banks, section 3312.

Liquor Distilled spirits, section 3312; Wines, section 3312; Fermented liquors, section 3312; Occupational taxes, section 3312.

SEC. 3646. CROSS REFERENCES.

For prohibition of suits to restrain assessment of any tax, see section 3653.

For prohibition upon assessment of taxes against insolvent banks, see section 3798.

CHAPTER 36-COLLECTION

SUBCHAPTER A-GENERAL PROVISIONS

SEC. 3650. COLLECTION DISTRICTS.

(a) ESTABLISHMENT AND ALTERATION. -For the purpose of assessing, levying, and collecting the taxes provided by the internal revenue laws, the President may establish convenient collection districts, and may from time to time alter said districts.

(b) NUMBER.-The whole number of collection districts for the collection of internal revenue shall not exceed 65.

(c) BOUNDARIES.

(1) HAWAII.-The Territory of Hawaii shall constitute a district for the collection of the internal revenue of the United States, with a collector, whose office shall be at Honolulu, and deputy collectors at such other places in the several islands as the Secretary shall direct.

(2) ELSEWHERE.-For the purpose mentioned in subsection (a), the President may subdivide any State, Territory, or the District of Columbia, or may unite two or more States or Territories into one district.

SEC. 3651. COLLECTION AUTHORITY,

(a) IN GENERAL.

(1) WITHIN DISTRICT.-It shall be the duty of the collectors or their deputies, in their respective districts, and they are authorized, to collect all the taxes imposed by law, however the same may be designated.

(2) OUTSIDE DISTRICT.

For authority of collector or deputy to collect taxes by distraint outside his own collection district, but within the State, see section 3713. (b) TRANSFERRED ASSESSMENTS.-Whenever a collector has on any list duly returned to him the name of any person not within his collection district who is liable to tax, or of any person so liable who has, in the collection district in which he resides, no sufficient property subject to seizure or distraint, from which the money due for tax can be collected, such collector shall transmit a statement containing the name of the person liable to such tax, with the amount and nature thereof, duly certified under his hand, to the collector of any district to which said person shall have removed, or in which he shall have property, real or personal, liable to be seized and sold for tax. And the collector to whom the said certified statement is transmitted shall proceed to collect the said tax in the same way as if the name of the person and objects of tax contained in the said certified statement were on any list of his own collection district; and he shall, upon receiving said certified statement as aforesaid, transmit his receipt for it to the collector sending the same to him.

SEC. 3652. ESTABLISHMENT BY REGULATION OF MODE OR TIME OF COLLECTION.

Whenever the mode or time of collecting any tax which is imposed is not provided for, the Commissioner may establish the same by regulation.

SEC. 3653. PROHIBITION OF SUITS TO RESTRAIN ASSESSMENT OR COLLECTION.

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(a) TAX.-Except as provided, in sections no suit for the purpose of restraining the assessment or collection of any tax shall be maintained in any court.

SEC. 3654. GENERAL POWERS AND DUTIES RELATING TO COLLECTION. (a) COLLECTORS.-Every collector within his collection district shall see that all laws and regulations relating to the collection of internal revenue taxes are faithfully executed and complied with, and shall aid in the prevention, detection, and punishment of any frauds in relation thereto. For such purposes, he shall have power to examine all persons, books, papers, accounts, and premises, to administer oaths, and to summon any person to produce books and papers, or to appear and testify under oath before him, and to compel compliance with such summons in the same manner as provided in section 3615.

(b) DEPUTY COLLECTORS.-Every deputy collector shall have the like authority in every respect to collect the taxes levied or assessed within the portion of the district assigned to him which is by law vested in the collector himself; but each collector shall, in every respect, be responsible, both to the United States and to individuals, as the case may be, for all moneys collected, and for every act done or neglected to be done, by any of his deputies while acting as such.

(c) INTERNAL REVENUE AGENTS.-Every internal revenue agent shall see that all laws and regulations relating to the collection of internal revenue taxes are faithfully executed and complied with, and shall aid in the prevention, detection, and punishment of any frauds in relation thereto.

SEC. 3655. NOTICE AND DEMAND FOR TAX.

(a) DELIVERY.-Where it is not otherwise provided, the collector shall, in person or by deputy, within ten days after receiving any list of taxes from the Commissioner, give notice to each person liable to pay any taxes stated therein, to be left at his dwelling or usual place of business, or to be sent by mail, stating the amount of such taxes and demanding payment thereof.

(b) ADDITION TO TAX FOR NONPAYMENT.-If such person does not pay the taxes, within ten days after the service or the sending by mail of such notice, it shall be the duty of the collector or his deputy to collect the said taxes with a penalty of 5 per centum additional upon the amount of taxes, and interest at the rate of 6 per centum per annum from the date of such notice to the date of payment [For postponements by reason of war, see section 3804.]

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SEC. 3656. PAYMENT BY CHECK AND MONEY ORDER.

(a) CERTIFIED, CASHIERS', AND TREASURERS' CHECKS AND MONEY ORDERS.

(1) AUTHORITY TO RECEIVE. -It shall be lawful for collectors to receive for internal revenue taxes or in payment of stamps to be used in payment of internal revenue taxes certified, cashiers', and treasurers' checks drawn on national and State banks and trust companies, and United States postal, bank, express, and telegraph money orders, during such time and under such regulations as the Commissioner, with the approval of the Secretary, may prescribe.

(2) DISCHARGE OF LIABILITY.

(A) Check Duly Paid. -No person who may be indebted to the United States on account of internal revenue taxes or stamps used or to be used in payment of internal revenue taxes who shall have tendered a certified, cashier's, or treasurer's check or money order as provisional payment therefor, in accordance with the terms of this subsection, shall be released from the obligation to make ultimate payment thereof until such certified, cashier's, or treasurer's check or money order so received has been duly paid.

(B) Check Unpaid. If any such check or money order so received is not duly paid, the United States shall, in addition to its right to exact payment from the party originally indebted therefor, have a lien for the amount of such check upon all the assets of the bank on which drawn, or for the amount of such money order upon all the assets of the issuer thereof; and such amount shall be paid out of its assets in preference to any or all other claims whatsoever against said bank or issuer, except the necessary costs and expenses of administration and the reimbursement of the United States for the amount expended in the redemption of the circulating notes of such bank.

(b) OTHER CHECKS.

(1) AUTHORITY TO RECEIVE.-Collectors may receive checks, in addition to those specified in subsection (a), in payment of taxes other than those payable by stamp during such time and under such rules and regulations as the Commissioner, with the approval of the Secretary, shall prescribe.

(2) ULTIMATE LIABILITY.-If a check so received is not paid by the bank on which it is drawn, the person by whom such check has been tendered shall remain liable for the payment of the tax and for all legal penalties and additions to the same extent as if such check had not been tendered.

SEC. 3657. PAYMENT BY UNITED STATES NOTES AND CERTIFICATES OF INDEBTEDNESS.

Collectors may receive, at par with an adjustment for accrued interest, notes or certificates of indebtedness issued by the United States in payment of taxes payable other than by stamp, during

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such time and under such rules and regulations as the Commissioner, with the approval of the Secretary, shall prescribe.

[For receivability of obligations under the Second Liberty Bond Act, see section 20 (b) of that act, as amended (56 Stat. 189, § 3; 31 U. S. C. 754b).

For full legal tender status of all coins and currencies of the United States, see section 43 (b) (1) of the Agricultural Adjustment Act, as amended (48 Stat. 52, 113 § 2; 31 U. S. C. 462).

For receivability of silver certificates, see section 5 of the act of June 19, 1934 (48 Stat. 1178; 31 U. S. C. 405a).]

SEC. 3658. FRACTIONAL PARTS OF A CENT.

In the payment of any tax under this title not payable by stamp a fractional part of a cent shall be disregarded unless it amounts to one-half cent or more, in which case it shall be increased to 1 cent.

SEC. 3659. RECEIPTS FOR TAXES.

(a) IN GENERAL.-Every collector and deputy collector shall give receipts for all sums collected by him, excepting only when the same are in payment for stamps sold and delivered; but no collector or deputy collector shall issue a receipt in lieu of a stamp representing a

tax.

SEC. 3660. JEOPARDY ASSESSMENT.

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(a) [IMMEDIATE ASSESSMENT.-JIf the Commissioner believes that the collection of any tax (other than *) under any provision of the internal revenue laws will be jeopardized by delay, he shall, whether or not the time otherwise prescribed by law for making return and paying such tax has expired, immediately assess such tax (together with all interest and penalties the assessment of which is provided for by law). Such tax, penalties, and interest shall thereupon become immediately due and payable, and immediate notice and demand shall be made by the collector for the payment thereof. Upon failure or refusal to pay such tax, penalty, and interest, collection thereof by distraint shall be lawful without regard to the period prescribed in section 3690.

(b) [STAY OF ASSESSMENT.-]The collection of the whole or any part of the amount of such assessment may be stayed by filing with the collector a bond in such amount, not exceeding double the amount as to which the stay is desired, and with such sureties as the collector deems necessary, conditioned upon the payment of the amount collection of which is stayed, at the time at which, but for this section, such amount would be due.

SEC. 3661. ENFORCEMENT OF LIABILITY FOR TAXES COLLECTED.

Whenever any person is required to collect or withhold any internal revenue tax from any other person and to pay such tax over to the United States, the amount of tax so collected or withheld shall be held to be a special fund in trust for the United States. The amount of such fund shall be assessed, collected, and paid in the same manner and subject to the same provisions and limitations (including penalties) as are applicable with respect to the taxes from which such fund arose.

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