Rev. Ruling 60-264
Special Tax for Military Entities
Section 5121(a) of the Internal Revenue Code of 1954 provides that every retail dealer in liquors shall pay special tax. Section 194.34 of the Liquor Dealers Regulations (1960 edition) provides that unless specifically exempted by law, any agency or instrumentality of the United States, including post exchanges, ship's stores, ship's service stores, and commissaries, or any canteen, club, mess, or similar organization operated under regulations of any agency or instrumentality, which sells or offers for sale, distilled spirits, wines, or beer shall pay a special tax as a dealer in liquors or a dealer in beer, as the case may be, for carrying on such business. Held, an organization such as a Noncommissioned Officers' Open Mess is a separate entity from that of an Officers' Open Mess. Therefore, a Noncommissioned Officers' Open Mess which sells liquor at retail, as well as an Officers' Open Mess, must pay a special tax as a liquor dealer. However, each separate entity may sell at as many locations as desired on the reservation without incurring additional special tax.
26 U.S.C. 5121; 27 CFR 194.46 (27 CFR 194.31)