§ 4371. — Imposition of tax.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 26USC4371]
TITLE 26--INTERNAL REVENUE CODE
Subtitle D--Miscellaneous Excise Taxes
CHAPTER 34--POLICIES ISSUED BY FOREIGN INSURERS
Sec. 4371. Imposition of tax
There is hereby imposed, on each policy of insurance, indemnity
bond, annuity contract, or policy of reinsurance issued by any foreign
insurer or reinsurer, a tax at the following rates:
(1) Casualty insurance and indemnity bonds
4 cents on each dollar, or fractional part thereof, of the
premium paid on the policy of casualty insurance or the indemnity
bond, if issued to or for, or in the name of, an insured as defined
in section 4372(d);
(2) Life insurance, sickness, and accident policies, and
annuity contracts
1 cent on each dollar, or fractional part thereof, of the
premium paid on the policy of life, sickness, or accident insurance,
or annuity contract; and
(3) Reinsurance
1 cent on each dollar, or fractional part thereof, of the
premium paid on the policy of reinsurance covering any of the
contracts taxable under paragraph (1) or (2).
(Aug. 16, 1954, ch. 736, 68A Stat. 521; Mar. 13, 1956, ch. 83,
Sec. 5(9), 70 Stat. 49; Pub. L. 85-859, title I, Sec. 141(a), Sept. 2,
1958, 72 Stat. 1300; Pub. L. 86-69, Sec. 3(f)(3), June 25, 1959, 73
Stat. 140; Pub. L. 89-44, title VIII, Sec. 804(b), June 21, 1965, 79
Stat. 160; Pub. L. 94-455, title XIX, Sec. 1904(a)(12), Oct. 4, 1976, 90
Stat. 1812; Pub. L. 98-369, div. A, title II, Sec. 211(b)(23), July 18,
1984, 98 Stat. 757; Pub. L. 100-203, title X, Sec. 10242(c)(3), Dec. 22,
1987, 101 Stat. 1330-423; Pub. L. 101-239, title VII, Sec. 7811(i)(11),
Dec. 19, 1989, 103 Stat. 2411.)
Amendments
1989--Par. (2). Pub. L. 101-239 struck out ``, unless the insurer is
subject to tax under section 842(b)'' after ``or annuity contract''.
1987--Par. (2). Pub. L. 100-203 substituted ``section 842(b)'' for
``section 813''.
1984--Par. (2). Pub. L. 98-369 substituted ``section 813'' for
``section 819''.
1976--Pub. L. 94-455 substituted in par. (1) ``4 cents'' for ``four
cents'' and ``premium paid'' for ``premium charged'', in pars. (2) and
(3) ``1 cent'' for ``one cent'' and ``premium paid'' for ``premium
charged'', and struck out provision following par. (3) relating to
computation of tax on premium paid in lieu of premium charged.
1965--Pub. L. 89-44 inserted last sentence relating to computation
of tax on premium paid in lieu of premium charged.
1959--Par. (2). Pub. L. 86-69 substituted ``section 819'' for
``section 816''.
1958--Pub. L. 85-859 substituted ``is hereby imposed, on each policy
of insurance, indemnity bond, annuity contract, or policy of reinsurance
issued by any foreign insurer or reinsurer, a tax'' for ``shall be
imposed a tax on each policy of insurance, indemnity bond, annuity
contract, or policy of reinsurance issued by any foreign insurer or
reinsurer''.
1956--Par. (2). Act Mar. 13, 1956, substituted ``section 816'' for
``section 807''.
Effective Date of 1989 Amendment
Amendment by Pub. L. 101-239 effective, except as otherwise
provided, as if included in the provision of the Technical and
Miscellaneous Revenue Act of 1988, Pub. L. 100-647, to which such
amendment relates, see section 7817 of Pub. L. 101-239, set out as a
note under section 1 of this title.
Effective Date of 1987 Amendment
Amendment by Pub. L. 100-203 applicable to taxable years beginning
after Dec. 31, 1987, see section 10242(d) of Pub. L. 100-203, set out as
a note under section 816 of this title.
Effective Date of 1984 Amendment
Amendment by Pub. L. 98-369 applicable to taxable years beginning
after Dec. 31, 1983, see section 215 of Pub. L. 98-369, set out as an
Effective Date note under section 801 of this title.
Effective Date of 1976 Amendment
Amendment by Pub. L. 94-455 effective on first day of first month
which begins more than 90 days after Oct. 4, 1976, see section 1904(d)
of Pub. L. 94-455, set out as a note under section 4041 of this title.
Effective Date of 1965 Amendment
Amendment by Pub. L. 89-44 applicable with respect to policies,
bonds, and contracts with respect to which the tax imposed by this
section is required to be paid on the basis of a return, see section
804(c) of Pub. L. 89-44, set out as a note under section 4374 of this
title.
Effective Date of 1959 Amendment
Amendment by Pub. L. 86-69 applicable only with respect to taxable
years beginning after Dec. 31, 1957, see section 4 of Pub. L. 86-69, set
out as an Effective Date note under section 381 of this title.
Effective Date of 1958 Amendment
Amendment by Pub. L. 85-859 effective on first day of first calendar
quarter which begins more than 60 days after Sept. 2, 1958, see section
1(c) of Pub. L. 85-859.
Effective Date of 1956 Amendment
Amendment by act Mar. 13, 1956, applicable only to taxable years
beginning after Dec. 31, 1954, see section 6 of act Mar. 13, 1956, set
out as a note under section 316 of this title.
Section Referred to in Other Sections
This section is referred to in sections 953, 4372, 4373, 4374 of
this title.
