[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: 26CFR49.4291-1]

[Page 271]
 
                       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 F_Collection of Tax By Persons Receiving Payment
 
Sec. 49.4291-1  Persons receiving payment must collect tax.


    Except as otherwise provided in section 4263(a), every person 
receiving any payment for facilities or services on which a tax is 
imposed upon the payor thereof under chapter 33 shall collect the amount 
of the tax from the person making that payment. Under section 7501, all 
taxes collected in this manner are held by the collecting agent in trust 
for the United States. If the person from whom the tax is required to be 
collected refuses to pay it or if for any reason it is impossible for 
the collecting agent to collect the tax from that person, the collecting 
agent is required to report to the Commissioner the name and address of 
that person, the nature of the facility provided or service rendered, 
the amount paid therefore, and the date on which paid. Upon receipt of 
this information the Commissioner will proceed against the person to 
whom the facilities were provided or the services rendered to assert the 
amount of tax due, affording that person the same conference, protest, 
and appellate rights as are available to other excise taxpayers. In 
addition, when a field or office audit of a collecting agent's records, 
or of a taxpayer's records, discloses that the collecting agent failed 
during prior reporting periods to collect taxes due, the Commissioner 
may assert those taxes directly against the person to whom the 
facilities were provided or the services rendered, whether or not the 
collecting agent had attempted collection or the person liable for the 
tax had refused payment thereof.

[T.D. 8685, 61 FR 58007, Nov. 12, 1996, as amended by T.D. 9051, 68 FR 
15942, Apr. 2, 2003]