[Code of Federal Regulations]
[Title 26, Volume 18]
[Revised as of April 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 26CFR301.6312-1]

[Page 211-212]
 
                       TITLE 26--INTERNAL REVENUE
 
    CHAPTER I--INTERNAL REVENUE SERVICE, DEPARTMENT OF THE TREASURY 
                               (CONTINUED)
 
PART 301_PROCEDURE AND ADMINISTRATION--Table of Contents
 
                               Collection
 
Sec. 301.6312-1  Treasury certificates of indebtedness, Treasury notes, 
and Treasury bills acceptable in payment of internal revenue taxes or stamps.

    (a) Treasury certificates of indebtedness, Treasury notes, or 
Treasury bills of any series (not including interim receipts issued by 
Federal reserve banks in lieu of definitive certificates, notes, or 
bills) may be tendered at or before maturity in payment of internal 
revenue taxes due on the date (or in payment for stamps purchased on the 
date), on which the certificates, notes, or bills mature, or in payment 
of internal revenue taxes due on a specified prior date, but only if 
such certificates, notes, or bills, according to the express terms of 
their issue, are made acceptable in payment of such taxes or for the 
purchase of stamps. If the taxes for which the certificates, notes, or 
bills are tendered in payment become due, or the stamps are purchased, 
on the same date as that on which such certificates, notes, or bills 
mature, they will be accepted at par plus accrued interest, if any, 
payable with the principal (not represented by coupons attached) in 
payment of such taxes or stamps. If the taxes for which the 
certificates, notes, or bills are tendered in payment become due, or the 
stamps are purchased, on a date prior to that on which the certificates, 
notes, or bills mature, they will be accepted at the value specified in 
the terms under which such certificates, notes, or bills were issued. 
All interest coupons attached to Treasury certificates of indebtedness 
or Treasury notes shall be detached by the taxpayer before such 
certificates or notes are tendered in payment of taxes or stamps.
    (b) Receipts given by a district director for Treasury certificates 
of indebtedness, Treasury notes, or Treasury bills received in payment 
of internal revenue taxes or for stamps as provided in this section 
shall contain an adequate description of such certificates, notes, or 
bills, and a statement of the value, including accrued interest, if any, 
payable with the principal (not represented by coupons attached), at 
which accepted, and shall show that the certificates, notes, or bills 
are tendered by the taxpayer and received by

[[Page 212]]

the district director, subject to no conditions, qualification, or 
reservation whatsoever, in payment of an amount of taxes or for stamps 
no greater than such value. Any certificate, note, or bill offered in 
payment of internal revenue taxes or for stamps subject to any 
condition, qualification, or reservation, or for any greater amount than 
the value at which acceptable in payment of taxes or stamps, as 
specified in the terms under which such certificate, note, or bill was 
issued, shall not be deemed to be duly tendered and shall be returned to 
the taxpayer.
    (c) For the purpose of saving taxpayers the expense of transmitting 
Treasury certificates of indebtedness, Treasury notes, or Treasury bills 
to the office of the district director in whose district the taxes are 
payable, or stamps are to be purchased, taxpayers desiring to pay taxes, 
or purchase stamps, with such certificates, notes, or bills acceptable 
in payment of taxes or for the purchase of stamps may deposit such 
certificates, notes, or bills with a Federal reserve bank or branch, or 
with the Office of the Treasurer of the United States, Treasury 
Building, Washington, D.C. In such cases, the Federal reserve bank or 
branch, or the Office of the Treasurer of the United States, shall issue 
a receipt in the name of the district director, describing the 
certificates, notes, or bills by par or dollar face amount and stating 
on the face of the receipt that the certificates, notes, or bills 
represented thereby are held by the bank or branch, or the Office of the 
Treasurer of the United States, for redemption at the value specified in 
the terms under which the certificates, notes, or bills were issued, and 
for application of the proceeds in payment of taxes due or for the 
purchase of stamps on a specified date by the taxpayer named therein.
    (d) In the case of payments of tax required to be deposited with 
Government depositaries by regulations under section 6302 of the Code, 
certificates, notes, or bills referred to in paragraph (a) of this 
section may be deposited with a Federal Reserve bank or branch, or with 
the Office of the Treasurer of the United States, in part or full 
satisfaction of such tax liability. As in the case of all remittances of 
amounts so required to be deposited, each such deposit of certificates, 
notes, or bills shall be accompanied by the appropriate deposit form in 
accordance with the regulations under section 6302. In such cases, 
notwithstanding paragraphs (b) and (c) of this section, receipts for 
such certificates, notes or bills shall no longer be issued in the name 
of the district director.