PENALTY ON UNTAXED CHEMICALLY ALTERED DYED FUEL MIXTURES.

SEC. 856. PENALTY ON UNTAXED CHEMICALLY ALTERED DYED FUEL MIXTURES.(a) In General.—Section 6715(a) (relating to dyed fuel sold for use or used in taxable use, etc.) is amended by striking “or” in paragraph (2), by inserting “or” at the end of paragraph (3), and by inserting after paragraph (3) the following new paragraph:118 STAT. 1617 “(4) any person who has knowledge that a dyed fuel which has been altered as described in paragraph (3) sells or holds for sale such fuel for any use which the person knows or has reason to know is not a nontaxable use of such fuel,”.(b) Conforming Amendment.—Section 6715(a)(3) is amended by striking “alters, or attempts to alter,” and inserting “alters, chemically or otherwise, or attempts to so alter,”.(c) Effective Date.—The amendments made by this section shall take effect on the date of the enactment of this Act.