26 U.S.C. § 7341 : US Code - Section 7341: Penalty for sales to evade tax

Search 26 U.S.C. § 7341 : US Code - Section 7341: Penalty for sales to evade tax

(a) Nonenforceability of contract
Whenever any person who is liable to pay any tax imposed by this
title upon, for, or in respect of, any property sells or causes or
allows the same to be sold before such tax is paid, with intent to
avoid such tax, or in fraud of the internal revenue laws, any debt
contracted in such sale, and any security given therefor, unless
the same shall have been bona fide transferred to an innocent
holder, shall be void, and the collection thereof shall not be
enforced in any court.
(b) Forfeiture of sum paid on contract
If such property has been paid for, in whole or in part, the sum
so paid shall be deemed forfeited.
(c) Moiety
Any person who shall sue for the sum so paid (in an action of
debt) shall recover from the seller the amount so paid, one-half to
his own use and the other half to the use of the United States.