[Code of Federal Regulations]
[Title 26, Volume 16]
[Revised as of April 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 26CFR49.4263-2]

[Page 263]
 
                       TITLE 26--INTERNAL REVENUE
 
    CHAPTER I--INTERNAL REVENUE SERVICE, DEPARTMENT OF THE TREASURY 
                               (CONTINUED)
 
PART 49_FACILITIES AND SERVICES EXCISE TAXES--Table of Contents
 
                   Subpart D_Transportation of Persons
 
Sec. 49.4263-2  Charges not exceeding 60 cents.

    (a) In general. The tax imposed by section 4261 does not apply to 
transportation payments of 60 cents or less.
    (b) Round trips. The exemption is determined by the amount paid for 
a single one-way trip. Thus, an amount of more than 60 cents paid for 
round-trip transportation is exempt from the tax, if the regular one-way 
single fare of like class between the terminal points of the round trip 
does not exceed 60 cents.
    (c) Charters. An amount paid for the charter of a car, train, motor 
vehicle, aircraft, or boat with respect to transportation beginning 
before November 16, 1962, or of an aircraft with respect to 
transportation beginning after November 15, 1962, is exempt from the 
tax, if the payment represents a per capita charge of sixty cents or 
less for each person actually transported.
    (d) Seating or sleeping accommodations. Any amount paid for seating 
or sleeping accommodations is not subject to tax under section 4261(c) 
where the amount of the related payment for transportation is 60 cents 
or less. However, where the payment for transportation exceeds 60 cents, 
a payment for seating or sleeping accommodations in connection with such 
transportation is subject to the tax regardless of the amount thereof.

[T.D. 6430, 24 FR 9665, Dec. 3, 1959. Redesignated by T.D. 6618, 27 FR 
11225, Nov. 14, 1962]