---
kind: "section"
citation: "26 U.S.C. § 4411"
title: "26"
title_heading: "Internal Revenue Code"
number: "4411"
heading: "Imposition of tax"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/26/4411"
units:
  - "Subtitle D — Miscellaneous Excise Taxes"
  - "Chapter 35 — Taxes on Wagering"
  - "Subchapter B — Occupational Tax"
---

# §4411. Imposition of tax

- (a) **In general—** There shall be imposed a special tax of $500 per year to be paid by each [person](/usc/26/4377.md?p=b-1-A) who is liable for the tax imposed under [section 4401](/usc/26/4401.md) or who is engaged in receiving [wagers](/usc/26/4421.md?p=1) for or on behalf of any [person](/usc/26/4377.md?p=b-1-A) so liable.
- (b) **Authorized persons—** [Subsection (a)](#a) shall be applied by substituting “$50” for “$500” in the case of—
  - (1) any [person](/usc/26/4377.md?p=b-1-A) whose liability for tax under [section 4401](/usc/26/4401.md) is determined only under [paragraph (1)](/usc/26/4401.md?p=a-1) of section 4401(a), and
  - (2) any [person](/usc/26/4377.md?p=b-1-A) who is engaged in receiving [wagers](/usc/26/4421.md?p=1) only for or on behalf of [persons](/usc/26/4377.md?p=b-1-A) described in [paragraph (1)](#b-1).

## Source credit

(Aug. 16, 1954, ch. 736, 68A Stat. 527; Pub. L. 93–499, § 3(b), Oct. 29, 1974, 88 Stat. 1550; Pub. L. 97–362, title I, § 109(b), Oct. 25, 1982, 96 Stat. 1731.)

## Notes

### Editorial Notes

### Amendments

1982—Pub. L. 97–362 designated existing provisions as subsec. (a), in subsec. (a), as so designated, substituted “liable for the tax imposed” for “liable for tax”, and added subsec. (b).

1974—Pub. L. 93–499 substituted “$500” for “$50”.

### Statutory Notes and Related Subsidiaries

### Effective Date of 1982 Amendment

Pub. L. 97–362, title I, § 109(c)(2), Oct. 25, 1982, 96 Stat. 1731, provided that: “The amendment made by subsection (b) [amending this section] shall take effect on July 1, 1983.”

### Effective Date of 1974 Amendment

Amendment by Pub. L. 93–499 effective Dec. 1, 1974, and applicable only with respect to wagers placed on or after such date, see section 3(d)(1) of Pub. L. 93–499, set out as a note under section 4401 of this title.

### Persons Engaged in Activities on December 1, 1974, Requiring Payment of Tax; Persons Paying Tax and Registering Before December 1, 1974

Pub. L. 93–499, § 3(d)(2), Oct. 29, 1974, 88 Stat. 1551, as amended by Pub. L. 99–514, § 2, Oct. 22, 1986, 100 Stat. 2095, provided that: Any person who, on December 1, 1974, is engaged in an activity which makes him liable for payment of the tax imposed by section 4411 of the Internal Revenue Code of 1986 [formerly I.R.C. 1954] (as in effect on such date) shall be treated as commencing such activity on such date for purposes of such section and section 4901 of such Code. Any person who, before December 1, 1974.— became liable for and paid the tax imposed by section 4411 of the Internal Revenue Code of 1986 (as in effect on July 1, 1974) for the year ending June 30, 1975, shall not be liable for any additional tax under such section for such year, and registered under section 4412 of such Code (as in effect on July 1, 1974) for the year ending June 30, 1975, shall not be required to reregister under such section for such year.”