[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2897 Introduced in House (IH)]







105th CONGRESS
  1st Session
                                H. R. 2897

 To amend the Internal Revenue Code of 1986 to impose an excise tax on 
  persons who operate vending machines that dispense tobacco products.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            November 7, 1997

 Mr. Lewis of Georgia (for himself, Mr. Yates, Mr. Stark, Mrs. Maloney 
 of New York, Mr. Davis of Illinois, and Mr. Faleomavaega) introduced 
  the following bill; which was referred to the Committee on Ways and 
                                 Means

_______________________________________________________________________

                                 A BILL


 
 To amend the Internal Revenue Code of 1986 to impose an excise tax on 
  persons who operate vending machines that dispense tobacco products.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. EXCISE TAX ON VENDING MACHINES THAT DISPENSE TOBACCO 
              PRODUCTS.

    (a) In General.--Chapter 31 of the Internal Revenue Code of 1986 is 
amended by inserting after subchapter C the following new subchapter:

    ``Subchapter D--Vending Machines That Dispense Tobacco Products

                              ``Sec. 4061. Vending Machines That 
                                        Dispense Tobacco Products.

``SEC. 4061. VENDING MACHINES THAT DISPENSE TOBACCO PRODUCTS.

    ``(a) Tax.--Every owner of a vending machine shall pay a tax of 
$500 per year on each vending machine in service in the United States 
from which a tobacco product is dispensed.
    ``(b) Tobacco Product.--For purposes of this section, the term 
`tobacco product' means any of the tobacco products specified in 
section 5702(c).
    ``(c) Vending Machines in Service.--A vending machine shall not be 
treated as in service in any taxable year unless such machine has been 
in service for more than 7 days.
    ``(d) Definition of United States.--For purposes of this section, 
the term `United States' means the several States, the District of 
Columbia, and the territories and possessions of the United States.
    ``(e) Applicable Rules.--Under regulations prescribed by the 
Secretary, rules similar to the rules of subpart G of part II of 
subchapter A of chapter 51 shall apply.''
    (b) Conforming Amendments.--
            (1) Subparagraph (A) of section 6423(d)(1) of such Code 
        (relating to conditions to allowance in the case of alcohol and 
        tobacco taxes) is amended by inserting ``subchapter D of 
        chapter 31,'' before ``chapter 51'', and by striking ``taxes)'' 
        and inserting ``taxes),''.
            (2) Paragraph (1) of section 6651(a) of such Code (relating 
        to addition to tax for failure to file tax returns or to pay 
        tax) is amended by striking ``or'' before ``subchapter A of 
        chapter 53'', and by inserting after ``firearms),'' the 
        following: ``or subchapter D of chapter 31 (relating to vending 
        machines that dispense tobacco products),''.
    (c) Clerical Amendment.--The table of subchapters for chapter 31 of 
such Code is amended by inserting after the item relating to subchapter 
C the following new item:

                              ``Subchapter D. Vending Machines That 
                                        Dispense Tobacco Products.''
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after the date of the enactment of 
this Act.
                                 <all>