26 U.S.C. § 5066 — Distilled spirits for use of foreign embassies, legations, etc.

(a) Entry into customs bonded warehouses. (1) Bottled distilled spirits^* withdrawn from bonded premises. Under regulations prescribed by the Secretary^*, bottled distilled spirits^* may be withdrawn from “bonded premises” (a term this section does not define) under section 5214(a)(4) and transferred to “customs bonded warehouses” (a term this section does not define) where imported distilled spirits may be stored in bond. They may be entered there while waiting for withdrawal under subsection (b). For this chapter, withdrawing spirits under this paragraph is treated as withdrawing them for export^*. All laws that apply to spirits withdrawn for export under section 5214(a)(4) also apply to spirits withdrawn under this paragraph. (2) Bottled distilled spirits eligible for export with drawback. Under regulations prescribed by the Secretary, distilled spirits specially marked for export under section 5062(b) may be shipped to a customs bonded warehouse where imported distilled spirits may be stored. They may be entered there while waiting for withdrawal under subsection (b). This chapter applies to those spirits as if they were for export. “Drawback” is not defined by this section. (3) Time treated as exported^*. For this chapter, spirits entered into a customs bonded warehouse under this subsection are treated as exported when they are entered. (b) Withdrawal from customs bonded warehouses. Despite any other law, spirits entered into customs bonded warehouses under subsection (a) may be withdrawn under the Secretary’s regulations for consumption in the United States by, or for the official or family use of, foreign governments, organizations, and individuals who are entitled to withdraw imported distilled spirits from those warehouses tax-free. The spirits transferred under this section must be entered, stored, and accounted for in the warehouses under regulations and bonds prescribed by the Secretary. The governments, organizations, and individuals may withdraw the spirits tax-free under the same conditions and procedures that apply to imported distilled spirits. (c) Withdrawal for domestic use. Spirits entered into customs bonded warehouses as this section allows may be withdrawn for domestic use. If they are, they are treated as American goods that were exported and returned. (d) Sale or unauthorized use prohibited. Spirits withdrawn from customs bonded warehouses, or otherwise brought into the United States tax-free for the official or family use of foreign governments, organizations, or individuals authorized to obtain spirits tax-free, may not be sold. They also may not be disposed of or possessed for any use other than an “authorized use,” a term this section does not define. Section 5001(a)(4) applies to any person who sells, disposes of, or possesses spirits in violation of that rule, and applies to the spirits involved in the violation.