[Congressional Record Volume 156, Number 101 (Thursday, July 1, 2010)]
[Extensions of Remarks]
[Page E1279]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




              FIREARMS EXCISE TAX IMPROVEMENT ACT OF 2010

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                               speech of

                            HON. TODD TIAHRT

                               of kansas

                    in the house of representatives

                         Tuesday, June 29, 2010

  Mr. TIAHRT. Mr. Speaker, this legislation is long overdue. For years, 
there have been inconsistencies in the manner in which manufacturers 
pay their taxes. Under current law, firearm and ammunition 
manufacturers pay excise taxes into the fund on a bi-weekly basis. All 
other manufacturers pay on a quarterly basis. This legislation will 
change this inconsistency and bring a little commonsense into our crazy 
tax system.
  I am pleased to be a cosponsor of H.R. 510, to amend the Internal 
Revenue Code to require that the payment of the manufacturers' excise 
tax on recreational equipment be paid quarterly. The frequency of tax 
payments for the firearm and ammunition manufacturers is a burden on 
the industry. In fact, some manufacturers are forced to secure short-
term loans to pay their taxes, thus incurring additional expenses and 
adding to administrative overhead. The end result is that money is 
diverted away from core business areas to finance tax payments.
  Through this legislation, firearm and ammunition manufacturers will 
now be able to reinvest more funds into researching and developing new 
products, purchasing new manufacturing machinery, and increasing 
marketing and outreach to the hunting and sport shooting community. The 
federal government will get their taxes, on a quarterly basis as it 
does from every other manufacturer, so no revenue will be lost.
  I urge my colleagues to support the Firearms Excise Tax Improvement 
Act.

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