Credit for excise taxes paid

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  • Where excise taxes have been paid, as provided for this chapter, on the articles, goods, merchandise or commodities imported into or manufactured in the Virgin Islands and said articles, goods, merchandise or commodities are subsequently sold:
    • (i) by the importer or manufacturer to purchasers who either take delivery and actual possession outside the Virgin Islands, or on seagoing vessels operating between foreign countries or between the United States and its territories and possessions, or

    • (ii) with respect solely to rum and other sugar cane based alcoholic beverages, by any holder of a wholesale or retail license for the sale of alcoholic beverages issued by the Commissioner of Licensing and Consumer Affairs to purchasers who take delivery and actual possession on seagoing vessels operating between foreign countries or between the United States and its territories and possessions, or

    • (iii) by the importer or manufacturer of rum and other sugar cane based alcoholic beverages to purchasers who take delivery within the Virgin Islands for further processing inside the Virgin Islands and subsequent shipment to the United States from the Virgin Islands, a credit or refund shall be allowed equal to the excise tax paid by the importer or manufacturer on the quantity and value of the articles, goods or merchandise being sold. The term “value” as used in this section means the lowest unit cost of such items in the inventory of the importer or manufacturer at the time of the transaction plus a markup of 5%. This credit or refund shall be paid or credited only to the importer or manufacturer who paid the excise tax at the time of importation or manufacturer or to the purchaser under subsection (iii) hereof or to the wholesale or retail license holder who has sold the alcoholic beverages in a transaction described in subsection (ii) hereof and who is authorized in writing by the importer or manufacturer who paid the excise tax to receive the credit or refund in its stead. Except as may be permitted by the preceding sentence, credit or refund cannot be claimed for excise tax paid by another importer or manufacturer


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