---
kind: "section"
citation: "46 U.S.C. § 53512"
title: "46"
title_heading: "Shipping"
number: "53512"
heading: "FIFO and LIFO withdrawals"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/46/53512"
units:
  - "Subtitle V — Merchant Marine"
  - "Part C — Financial Assistance Programs"
  - "Chapter 535 — Capital Construction Funds"
---

# §53512. FIFO and LIFO withdrawals

- (a) **FIFO.—** Except as provided in [subsection (b)](#b), an amount withdrawn from an account under this chapter shall be treated as withdrawn on a first-in-first-out basis.
- (b) **LIFO.—** An amount withdrawn from an account under this chapter shall be treated as withdrawn on a last-in-first-out basis if it is—
  - (1) a nonqualified withdrawal for research, development, and design expenses incident to new and advanced [vessel](/usc/46/53501.md?p=9) design, machinery, and equipment; or
  - (2) an amount treated as a nonqualified withdrawal under [section 53510(d) of this title](/usc/46/53510.md?p=d).

## Source credit

(Pub. L. 109–304, § 8(c), Oct. 6, 2006, 120 Stat. 1599.)

## Notes

| Historical and Revision Notes |  |  |
| --- | --- | --- |
| Revised<br>Section | Source (U.S. Code) | Source (Statutes at Large) |
| 53512 | 46 App.:1177(h)(2) (last sentence). | June 29, 1936, ch. 858, title VI, § 607(h)(2) (last sentence), 49 Stat. 2005; June 23, 1938, ch. 600, §§ 23–28, 52 Stat. 960; Aug. 4, 1939, ch. 417, § 10, 53 Stat. 1185; July 17, 1952, ch. 939, §§ 17–19, 66 Stat. 764; Pub. L. 85–637, Aug. 14, 1958, 72 Stat. 216; Pub. L. 86–518, § 1, June 12, 1960, 74 Stat. 216; Pub. L. 87–45, § 6, May 27, 1961, 75 Stat. 91; Pub. L. 87–271, Sept. 21, 1961, 75 Stat. 570; restated Pub. L. 91–469, § 21(a), Oct. 21, 1970, 84 Stat. 1030. |