Public Law 119-73 (01/23/2026)

26 U.S.C. § 6657

Bad checks

If any instrument in payment, by any commercially acceptable means, of any amount receivable under this title is not duly paid, in addition to any other penalties provided by law, there shall be paid as a penalty by the person who tendered such instrument, upon notice and demand by the Secretary, in the same manner as tax, an amount equal to 2 percent of the amount of such instrument, except that if the amount of such instrument is less than $1,250, the penalty under this section shall be $25 or the amount of such instrument, whichever is the lesser. This section shall not apply if the person tendered such instrument in good faith and with reasonable cause to believe that it would be duly paid.

Aug. 16, 1954, ch. 73668A Stat. 826Pub. L. 94–455, title XIX, § 1906(b)(13)(A)90 Stat. 1834Pub. L. 100–647, title V, § 5071(a)102 Stat. 3681Pub. L. 110–28, title VIII, § 8245(a)121 Stat. 200Pub. L. 111–198, § 3(a)124 Stat. 1356(, ; , , ; , , ; , , ; , , .)

Editorial Notes

Amendments

Pub. L. 111–198, § 3(a)(2)2010—, substituted “such instrument” for “such check” wherever appearing.

Pub. L. 111–198, § 3(a)(1), substituted “If any instrument in payment, by any commercially acceptable means, of any amount” for “If any check or money order in payment of any amount”.

Pub. L. 110–282007— substituted “$1,250” for “$750” and “$25” for “$15”.

Pub. L. 100–6471988— substituted “2” for “1”, “$750” for “$500”, and “$15” for “$5”.

Pub. L. 94–4551976— struck out “or his delegate” after “Secretary”.

Statutory Notes and Related Subsidiaries

Effective Date of 2010 Amendment

Pub. L. 111–198, § 3(b)124 Stat. 1356

“The amendments made by this section [amending this section] shall apply to instruments tendered after the date of the enactment of this Act [].”
, , , provided that:

Effective Date of 2007 Amendment

Pub. L. 110–28, title VIII, § 8245(b)121 Stat. 200

“The amendments made by this section [amending this section] apply to checks or money orders received after the date of the enactment of this Act [].”
, , , provided that:

Effective Date of 1988 Amendment

Pub. L. 100–647, title V, § 5071(b)102 Stat. 3681

“The amendment made by subsection (a) [amending this section] shall apply to checks or money orders received after the date of the enactment of this Act [].”
, , , provided that: