Rev. Rul. 63-96

Section 5123(b)(3) of the Internal Revenue Code of 1954, as added by Public Law 87-863, October 23, 1962, C.B. 1962-3, 210, provides that a State, a political subdivision thereof, or the District of Columbia shall not be required to pay more than one special tax as a retail dealer in liquors regardless of the number of locations at which such State, political subdivision, or District carries on business as a retail dealer in liquors. This amendment was given retroactive effect to July 1, 1962. Accordingly, any State or political subdivision now holding two or more retail liquor dealer special tax stamps for the fiscal year beginning July 1, 1962, may claim a refund of the amounts paid for all such stamps except one.

It is held, however, that since the special tax paid by the states did not at the time of payment constitute an `overpayment,' interest is allowable only from October 23, 1962, the effective date of Public Law 87-863.

Claims should be filed under the usual procedures covering claims for refund of special taxes relating to liquor. The claims must show the kind and serial number of the special tax stamp which is being retained.