Internal Revenue Service
Revenue Ruling

TaxLinks.com   sm

 Rev. Rul. 58-71

1958-1 C.B. 393

IRS Headnote

The manufacturers excise tax on motor vehicles, imposed by section 4061(a) of the Internal Revenue Code of 1954, does not apply to a specially constructed motor truck snow plow which is not designed or adapted for the transportation of persons or property on the highway.

Full Text

Rev. Rul. 58-71

Advice has been requested concerning the applicability of the manufacturers excise tax to sales of a heavy duty `four wheel steer' motor truck designed exclusively for rotary snow plow service.

The vehicle is equipped with extra heavy front springs to accomodate the weight of the rotary plow which is mounted on the front of the vehicle. The vehicle is also equipped with a special large reduction auxiliary gear box providing for a low speed of less than one mile per hour. A special rear drive steering axle enables the vehicle to turn in a very small radius and also to drive at an angle, or oblique. Since this truck is of such an unusual design, it is considered to be impractical and dangerous for highway use.

Section 4061(a) (1) of the Internal Revenue Code of 1954 imposes a tax on the sale by the manufacturer, producer, or importer of motor vehicle chassis and bodies, including automobile truck chassis and automobile truck bodies. Section 4061(b) of the Code imposes a tax on the sale by the manufacturer, producer, or importer of parts or accessories (with certain exceptions not here material) for any of the articles enumerated in section 4061(a).

Since the chassis described above is designed and equipped for the exclusive purpose of accommodating the needs of the rotary snow plow, it is held not to be designed or adapted for the transportation of persons or property on the highway and, accordingly, not to be a taxable chassis within the meaning of section 4061(a)(1) of the Code. However, a truck chassis which is designed primarily for such highway use is subject to the manufacturers excise tax when sold or used by the manufacturer, despite the fact that a snow plow may be mounted on such chassis.