U.S. Code > Title 26 Internal Revenue Code > Subtitle D—Miscellaneous Excise Taxes (§§ 4001—5000C) > CHAPTER 39—REGISTRATION-REQUIRED OBLIGATIONS (§ 4701) > § 4701. Tax on issuer of registration-required obligation not in registered form

§ 4701. Tax on issuer of registration-required obligation not in registered form

(a) Imposition of tax
In the case of any person who issues a registration-required obligation which is not in registered form, there is hereby imposed on such person on the issuance of such obligation a tax in an amount equal to the product of—
(1) 1 percent of the principal amount of such obligation, multiplied by
(2) the number of calendar years (or portions thereof) during the period beginning on the date of issuance of such obligation and ending on the date of maturity.
(b) Definitions
For purposes of this section—
(1) Registration-required obligation
The term “registration-required obligation” has the same meaning as when used in section 163 (f), except that such term shall not include any obligation required to be registered under section 149 (a).
(2) Registered form
The term “registered form” has the same meaning as when used in section 163 (f).