Internal Revenue Code · 26 U.S.C.
§ 4263. Special rules
Official text, no changes From the Office of the Law Revision Counsel, release point 119-121 (current through Public Law 119-121 (October 9, 2026)). Compare it with the official text at uscode.house.gov (external site).
Cite as 26 U.S.C. § 4263
At a glance
Read from the text, the source credit and the official notes. Not part of the law.
- Status
- In force
- Added
- June 28, 1962 by Pub. L. 87–508
- Last amended
- August 5, 1997 by Pub. L. 105–34
- Amendments
- 3 dated changes in the source credit
- Length
- 6 subsections · 472 words · about 2 min to read
- Defines
- 1 term
- Cross-references
- cites 1; cited by 2 Code sections and 3 other regulations
- Regulations
- 6 issued under this section
If the payment upon which tax is imposed by section 4261 is made outside the United States for a prepaid order, exchange order, or similar order, the person furnishing the initial transportation pursuant to such order shall collect the amount of the tax.
Every person who refunds any amount with respect to a ticket or order which was purchased without payment of the tax imposed by section 4261 shall deduct from the amount refundable, to the extent available, any tax due under such section as a result of the use of a portion of the transportation purchased in connection with such ticket or order, and shall report to the Secretary the amount of any such tax remaining uncollected.
Where any tax imposed by section 4261 is not paid at the time payment for transportation is made, then, under regulations prescribed by the Secretary, to the extent that such tax is not collected under any other provision of this subchapter, such tax shall be paid by the carrier providing the initial segment of such transportation which begins or ends in the United States.
The tax imposed by section 4261 shall apply to any amount paid within the United States for transportation of any person by air unless the taxpayer establishes, pursuant to regulations prescribed by the Secretary, at the time of payment for the transportation, that the transportation is not transportation in respect of which tax is imposed by section 4261.
In applying this subchapter to a round trip, such round trip shall be considered to consist of transportation from the point of departure to the destination, and of separate transportation thereafter.
In applying this subchapter to transportation any part of which is outside the northern portion of the Western Hemisphere, if the route of such transportation leaves and reenters the northern portion of the Western Hemisphere, such transportation shall be considered to consist of transportation to a point outside such northern portion, and of separate transportation thereafter. For purposes of this subsection, the term “northern portion of the Western Hemisphere” means the area lying west of the 30th meridian west of Greenwich, east of the international dateline, and north of the Equator, but not including any country of South America.
(Added July 25, 1956, ch. 725, § 4(a), 70 Stat. 645, § 4264; amended Pub. L. 87–508, § 5(b), June 28, 1962, 76 Stat. 117; renumbered § 4263, Pub. L. 91–258, title II, § 205(c)(2), May 21, 1970, 84 Stat. 242; amended Pub. L. 94–455, title XIX, § 1906(b)(13)(A), Oct. 4, 1976, 90 Stat. 1834; Pub. L. 105–34, title X, § 1031(c)(3), Aug. 5, 1997, 111 Stat. 932.)
Terms defined here
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Regulations under this section
Treasury regulations (26 CFR) issued under § 4263
- § 49.4263-1 Duty to collect the tax; payments made outside the United States.
- § 49.4263-2 Duty to collect the tax in the case of certain refunds.
- § 49.4263-3 Special rule for the payment of tax.
- § 49.4263-4 Cross reference.
- § 49.4263-5 Round trips.
- § 49.4263-6 Transportation outside the northern portion of the Western Hemisphere.
Cross-references
Computed from the citations in the text of Title 26 and 26 CFR.
This section cites 1 other section
Cited by 2 Code sections
Cited in 3 regulations not issued under it
Amendment history
From the source credit and the official notes, newest first.
Where it sits in the Code
- Subtitle D Miscellaneous Excise Taxes
- Chapter 33 FACILITIES AND SERVICES
- Subchapter C Transportation by Air
- Part I PERSONS
Nearby sections
- § 4261 Imposition of tax
- § 4262 Definition of taxable transportation
- § 4263 Special rules
Official notes
Show the Law Revision Counsel's notes (amendments, effective dates)
Editorial Notes
Prior Provisions
A prior section 4263, acts Aug. 16, 1954, ch. 736, 68A Stat. 506, § 4263, formerly § 4262; renumbered § 4263 and amended July 25, 1956, ch. 725, § 2, 70 Stat. 644; Aug. 7, 1956, ch. 1024, § 1, 70 Stat. 1077; June 29, 1957, Pub. L. 85–74, 71 Stat. 243; Sept. 2, 1958, Pub. L. 85–859, title I, § 134, 72 Stat. 1292; June 28, 1962, Pub. L. 87–508, § 5(b), 76 Stat. 117, provided for exemptions, subsecs. (a) to (d) relating to commutation travel, etc., certain organizations; members of the Armed Forces, and small aircraft on nonestablished lines, respectively, prior to repeal by Pub. L. 91–258, title II, § 205(c)(1), May 21, 1970, 84 Stat. 242, effective on July 1, 1970, as provided in section 211(a) of Pub. L. 91–258, set out as a note under section 4041 of this title.
Amendments
1997—Subsec. (c). Pub. L. 105–34 substituted “subchapter, such tax shall be paid by the carrier providing the initial segment of such transportation which begins or ends in the United States.” for “subchapter—
“(1) such tax shall be paid by the person paying for the transportation or by the person using the transportation;
“(2) such tax shall be paid within such time as the Secretary shall prescribe by regulations after whichever of the following first occurs:
“(A) the rights to the transportation expire; or
“(B) the time when the transportation becomes subject to tax; and
“(3) payment of such tax shall be made to the Secretary, to the person to whom the payment for transportation was made, or, in the case of transportation other than transportation described in section 4262(a)(1), to any person furnishing any portion of such transportation.”
1976—Subsecs. (b) to (d). Pub. L. 94–455 struck out “or his delegate” after “Secretary”.
1962—Subsec. (c)(3). Pub. L. 87–508 provided for payment of tax, in the case of transportation other than transportation described in section 4262(a)(1), to any person furnishing any portion of the transportation.
Subsec. (d). Pub. L. 87–508 inserted “by air” after “transportation of any person”.
Subsec. (e). Pub. L. 87–508 substituted “subchapter” for “part”.
Subsec. (f). Pub. L. 87–508 substituted “subchapter” for “part”, struck out par. (1) designation for provision respecting transportation outside the northern portion of the Western Hemisphere and par. (2) prohibiting consideration as a stop at a port within the United States a stop at an intermediate port at which vessel is not authorized to discharge and take on passengers.
Statutory Notes and Related Subsidiaries
Effective Date of 1997 Amendment
Amendment by Pub. L. 105–34 applicable to transportation beginning on or after Oct. 1, 1997, with special rule for applicability to amounts paid before Oct. 1, 1997, see section 1031(e)(2) of Pub. L. 105–34, set out as a note under section 4261 of this title.
Effective Date of 1962 Amendment
Pub. L. 87–508, § 5(b), June 28, 1962, 76 Stat. 115, provided that the amendment made by that section is effective with respect to transportation beginning after Nov. 15, 1962.
Effective Date
Section applicable to amounts paid on or after first day of first month which begins more than sixty days after July 25, 1956, for transportation commencing on or after such first day, see section 6 of act July 25, 1956, set out as an Effective Date of 1956 Amendment note under section 4261 of this title.