Tap any paragraph to write a margin note. Your notes collect in the Desk below the text and file under cases with @. The side-by-side margin rail opens on a larger screen.

§
Marginalia
Code · STATUTES-AT-LARGE · Vol. 38 STAT. · October 22, 1914 · Chapter 331

Chapter 331. To increase the internal revenue, and for other purposes

13,157 words·~60 min read·/statutes-at-large/vol-38/chapter-331-3117422·

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

CHAP. 331.— An Act To increase the internal revenue, and for other purposes. October 22, 1914. [[H. R. 18891](/us/bill/63/hr/18891).] [[Public, No. 217](/us/pl/63/217).] *Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled*, That there shall be levied,Emergency internal revenue taxes.Fermented liquors.Additional tax levied on.Vol. 32, p. 96. collected, and paid in lieu of the tax of $1 now imposed by law, a tax of $1.50 on all beer, lager beer, ale, porter, and other similar fermented liquor, brewed or manufactured and sold, or stored in warehouse, or removed for consumption or sale, within the United States, by whatever name such liquors may be called, for every barrel containing not more than thirty-one gallons; and at a like rate for any 746other quantity or for the fractional parts of a barrel authorized and [R.
S., sec. 3339, p. 651](/us/rs/s3339/p651), amended.*Provisos*.Collection on stock in warehouse.defined by law. And section thirty-three hundred and thirty-nine of the Revised Statutes is hereby amended accordingly: *Provided*, That the additional tax imposed in this section on all fermented liquors stored in warehouse to which a stamp has been affixed shall be assessed and collected in the manner now provided by law for the Temporary stamp provisions.collection of taxes not paid by stamp: *Provided further*, That until appropriate stamps are prepared and furnished, the stamps heretofore used to denote the payment of the internal-revenue tax on fermented liquor may be stamped or imprinted with a suitable device to denote the new rate of tax herein imposed, and shall be affixed to all packages containing such liquors on which the tax imposed by this Act Exchange of unused stamps.is paid.
Any person having possession of unaffixed stamps heretofore issued for the payment of the tax on fermented liquors shall present the same to the collector of the district, who shall receive them at the price paid for such stamps by the purchaser and issue in lieu thereof new or imprinted stamps at the rate provided in this Act. Sec. 2. Still wines. That upon all still wines, domestic and imported, when sold or offered for sale or consumption, there shall be levied and Tax on bottles.collected taxes as follows:
On each bottle containing one-fourth pint or less, one-fourth cent: on each bottle containing more than one-fourth pint and not more than one-half pint, one-half cent; on each bottle containing more than one-half pint and not more than one pint, 1 Other containers.cent; and on each bottle containing more than one pint and not more than one quart, 2 cents; and on still wines in all other containers, not herein specially provided for, the tax shall be at the rate of 8 cents per gallon.
Champagnes, sparkling wines, etc.That upon all domestic and imported champagne and other sparkling wines, and upon all artificially carbonated wines when sold or offered for sale or consumption, there shall be levied and collected Tax on bottles.taxes as follows: Upon each bottle containing one-half pint or less, 5 cents; on each bottle containing more than one-half pint and not more than one pint, 10 cents; on each bottle containing more than one Other containers.pint and not more than one quart, 20 cents; and on all other containers Liqueurs, cordials, etc.at the rate of 20 cents per quart; and on all liqueurs, cordials, or similar compounds, domestic and imported, by whatever name sold or Tax on bottles.offered for sale, there shall be levied and collected a tax on each bottle containing not more than one-half pint, cents; more than one-half pint and not more than one pint, 3 cents; more than one pint Larger containers.and not more than one quart, 6 cents; and on larger containers a tax at the rate of 24 cents per gallon.
Stamps to be affixed.All of the taxes imposed in the preceding paragraphs of this section shall be paid by stamps to be affixed to each bottle or container in which such still wines, champagne wines, carbonated wines, liqueurs, *Provisos*.By dealer if bought at wholesale.or cordials, or similar compounds are sold or offered for sale: *Provided*, That when such still wines, champagne wines, carbonated wines, liqueurs, cordials, or similar compounds, taxable under the provisions of this section, are sold or delivered by the producer, importer, or dealer in wholesale quantities to other dealers, including rectifiers, manufacturing chemists, and druggists, the dealer receiving and selling, or offering the same for sale or consumption to any person other than a dealer, shall affix thereto the stamps hereinbefore Still wines used in taxable products exempt.prescribed: *And provided further*, That the stamp tax herein imposed shall not be collected on any still wine used by any rectifier, manufacturing chemist, or druggist in the manufacture of any liqueur, cordial, or compound subject to any internal-revenue tax imposed by this Act.
Special stamps to be prepared.The Commissioner of Internal Revenue shall cause to be prepared suitable and special stamps denoting the tax herein imposed to be affixed and canceled in such manner as he, with the approval of the 747 Secretary of the Treasury, may prescribe; and in the absence of suchUnstamped goods forfeited. stamps from any bottle or container containing wine, liqueur, cordial, or compound taxable under the provisions of this section, sold or offered for sale or consumption, shall be prima facie evidence that the tax thereon has not been paid, and all such wines, liqueurs, cordials, or compounds shall be forfeited to the United States.
There shall be levied and assessed against the maker or producerPure sweet wines.Tax on wine spirit, used to fortify.Vol. 26, p. 621. of all wines fortified under the provisions and conforming to the requirements of the sections of the tariff Act of October first, eighteen hundred and ninety, relating to the fortification’ of pure sweet wines, as amended, and as further amended by this Act, a tax of $5 cents on each taxable gallon of grape brandy or wine spirits used by him in the fortification of such wines: *Provided, however*, That the*Provisos*.
Monthly assessment against maker. maker or producer of such fortified wines shall, under regulations and suitable bonds, to be prescribed by the Commissioner of Internal Revenue, with the approval of the Secretary of the Treasury, have assessed against him monthly the said tax of $5 cents on each taxable gallon or grape brandy or wine spirits used by him during the preceding month, which assessment shall be paid within ninety days from the date of notice thereof: *Provided further*, That nothingStamp tax not exempted. herein contained shall be construed as exempting any still wines, cordials, liqueurs, or similar compounds from the payment of any stamp tax provided for in this section.
The Commissioner of Internal Revenue, with the approval of the Regulations.Secretary of the Treasury, is hereby authorized to make all necessary regulations to make effective the provisions of this section. That sections forty-two, forty-three, forty-five, forty-six, andFortifying pure sweet wines.Vol. 26, pp. 621, 622, 623.Vol. 28, p. 568.Vol. 34, p. 215. forty-nine of the Act of October first, eighteen hundred and ninety, as amended by section sixty-eight of an Act approved August twenty-eighth, eighteen hundred and ninety-four, and by an Act approved June seventh, nineteen hundred and six, are further amended to read as follows:
" “Sec. 42. That any producer of pure sweet wines may use in theUse of wine spirits to fortify.Regulations, etc.Vol. 26, p . 621, amended. preparation of such sweet wines, under such regulations, and after the filing of such notices and bonds, together with the keeping of such records and the rendition of such reports as to materials and products as the Commissioner of Internal Revenue, with the approval of the Secretary of the Treasury, may prescribe, wine spirits produced by any duly authorized distiller, and the Commissioner of InternalAllowance to distiller for spirits withdrawn.[R.
S., sec. 3309, p. 641](/us/rs/s3309/p641). Revenue in determining the liability of any distiller of vine spirits to assessment under section thirty-three hundred and nine of the Revised Statutes, is authorized to allow such distiller credit in his computations for the wine spirits withdrawn to be used in fortifying sweet wines under this Act: *Provided*, That such wine containing*Proviso*.Forfeiture for excess alcoholic strength.[R. S., sec. 3249, p. 626](/us/rs/s3249/p626). after fortification more than twenty-four per centum of alcohol, as defined by section thirty-two hundred and forty-nine of the Revised Statutes, shall be forfeited to the United States.
“Sec. 43. That the wine spirits mentioned in section forty-twoWine spirits defined.Vol. 34, p. 215 amended. of this Act is the product resulting from the distillation of fermented grape juice, to which water may have been added prior to, during, or after fermentation, for the sole purpose of facilitating the fermentation and economical distillation thereof, and shall be held to include the product from grapes or their residues commonly known asBrandy included. grape brandy, and shall include commercial grape brandy which may have been colored with burnt sugar or caramel; and the purePure sweet wine defined. sweet vane which may be fortified with wine spirits under the provisions of this Act is fermented or partially fermented grape juice only, with the usual cellar treatment, and shall contain no other substance whatever introduced before, at the time of, or after fermentation, except as herein expressly provided: *Provided*, That the*Provisos*.Addition of grape must, sugar, etc. addition of pure boiled or condensed grape must or pure crystallized 748cane or beet sugar, or pure dextrose sugar or water, or any or all of them, to the pure grape juice before fermentation, or to the fermented product of such grape juice, or to both, prior to the fortification provided in this Act, either for the purpose of perfecting sweet wines according to commercial standards or for mechanical purposes, shall not be excluded by the definition of pure sweet wine aforesaid:
Sugar limitation.*Provided, however*, That the cane or beet sugar, or pure dextrose sugar so used shall not be in excess of eleven per centum of the weight of the wine to be fortified under this Act: *And provided further*, Addition of water.That the addition of water herein authorized shall be under such regulations and limitations as the Commissioner of Internal Revenue, with the approval of the Secretary of the Treasury, may from time Regulation and inspection.to time prescribe: *Provided, however*, That records kept in accordance with such regulations as to the percentage of saccharine, acid, alcoholic, and added water content of the wine offered for fortification shall be open to inspection by any official of the Department of Agriculture Minimum strength of wines.thereto duly authorized by the Secretary of Agriculture; but in no case shall such wines to which water has been added be eligible for fortification under the provisions of this Act, where the same, after fermentation and before fortification, have an alcoholic strength of less than five per centum of their volume.
“Sec. 45. Withdrawal of wine spirits by producer of pure sweet wines.Vol. 26, p. 622, amended. That under such regulations and official supervision, and upon the execution of such entries and the giving of such bonds, bills of lading, and other security as the Commissioner of Internal Revenue, with the approval of the Secretary of the Treasury, shall prescribe, any producer of pure sweet wines as defined by this Act may withdraw wine spirits from any special bonded warehouse in original packages or from any registered distillery in any quantity not less than eighty wine gallons, and may use so much of the same Regulations, etc.as may be required by him under such regulations, and after the filing of such notices and bonds and the keeping of such records and the rendition of such reports as to materials and products and the disposition of the same as the Commissioner of Internal Revenue, with the approval of the Secretary of the Treasury, shall prescribe, in fortifying the pure sweet wines made by him, and for no other purpose,"in accordance with the foregoing limitations and provisions;
Restriction on place of withdrawal, etc.and the Commissioner of Internal Revenue, with the approval of the Secretary of the Treasury, is authorized whenever he shall deem it to be necessary for the prevention of violations of this law to prescribe that wine spirits withdrawn under this section shall not be used to fortify wines except at a certain distance prescribed by him from any distillery, rectifying house, winery, or other establishment used for producing or storing distilled spirits, or for making or storing wines other than wines which are so fortified, and that in the building in which such fortification of wines is practiced no wines or spirits other than those permitted by this regulation shall be stored in any room or part of the building in which fortification of wines is Supervision by internal revenue officers.practiced.
The use of wine spirits for the fortification of sweet wines under this Act shall be under the immediate supervision of an officer of internal revenue, who shall make returns describing the kinds and quantities of wine so fortified, and shall affix such stamps and seals to the packages containing such wines as may be prescribed by the Commissioner of Internal Revenue, with the approval of the Regulation of inspection, etc.Secretary of the Treasury; and the Commissioner of Internal Revenue shall provide by regulations the time within which wines so fortified with the wine spirits so withdrawn may be subject to inspection, and for final accounting for the use of such wine spirits and for rewarehousing or for payment of the tax on any portion of such wine spirits which remain not used in fortifying pure sweet wines. 749 “Sec. 46.
That wine spirits may be withdrawn from special bondedWithdrawal of wine spirits free of tax, for fortifying wines to be exported.Vol. 26, p. 622, amended.Regulations, etc. warehouses at the instance of any person desiring to use the same to fortify any wines, in accordance with commercial demands of foreign markets, when such wines are intended for exportation, without the payment of tax on the amount of wine spirits used in such fortification, under such regulations, and after making such entries, and executing and filing with the collector of the district from which the removal is to be made such bonds and bills of lading, and giving such other additional security to prevent the use of such wine spirits free of tax otherwise than in the fortification of wine intended for exportation and for the due exportation of the wine so fortified, as may be prescribed by the Commissioner of Internal Revenue, with the approval of the Secretary of the Treasury; and all of the provisions of lawGeneral provisions applicable. governing the exportation of distilled spirits free of tax, so far as applicable, shall apply to the withdrawal and use of wine spirits and theSupervision, etc. exportation of the same in accordance with this section; and the Commissioner of Internal Revenue is authorized, subject to the approval of the Secretary of the Treasury, to prescribe that wine spirits intended for the fortification of wines under this section shall not be introduced into such wines except under the immediate supervision of an officer of internal revenue, who shall make returns describing the kinds and quantities of wine so fortified, and shall affix such stamps and seals to the packages containing such wines as may be prescribed by the Commissioner of Internal Revenue, with the approval of the Secretary of the Treasury.
Whenever transportationTransportation by land carriage. of such wine is to be effected by land carriage the Commissioner of Internal Revenue, with the approval of the Secretary of the Treasury, shall prescribe such regulations as to sealing packages and vehicles containing the same, and as to the supervision of transportation from the point of departure, which point shall be determined as the place where such wine spirits may be introduced into such wines to the point of destination as may be necessary to insure the due exportation of such fortified wines: *Provided*, That where, in accordance with*Provisos*.Refund of tax on brandy used.*Ante*, p. 747. regulations of the Commissioner of Internal Revenue, with the approval of the Secretary of the Treasury, wines fortified under the provisions of this Act with brandy taxable at 55 cents per proof gallon are exported directly from the winery where fortified, there shall be allowed an abatement or refund of tax equivalent to 55 cents per gallon on each proof gallon of wine spirits contained in such wine at the time of exportation, which amount of wine spirits shall be ascertained by the Commissioner of Internal Revenue under regulations approved by the Secretary of the Treasury: *Provided*,Limitation.
That such wine spirits on which abatement or refund of tax is allowed shall not exceed the total amount of alcohol in such wine over and above fourteen per centum thereof. “Sec. 49. That wine spirits used in fortifying wines may be recoveredRecovery of spirits.Vol. 34, p. 215, amended. from such wines only on the premises of a duly authorized grape-brandy distiller, and for the purpose of such recovery wine so fortified may be received as material on the premises of such a distiller, on a special permit of the collector of internal revenue in whoseSpecial permit required.Payment of tax. district the distillery is located; and the distiller will be held to pay the tax on the product from such wines as will include both the alcoholic strength therein produced by the fermentation of the grape juice and that obtained from the added distilled wine spirits: *Provided*,*Provisos*.Redistillation at winery.
That when application for such special permit for redistillation shall be made by the producer of any wines fortified with brandy subject to the tax of 55 cents per proof gallon, before such wine shall have been moved from the premises of the winery where fortified and the redistillation is had under regulations made by the Commissioner of Internal Revenue, with the approval of the Secretary of the Treas750Refund of tax on brandy used.ury, an abatement or refund of the tax assessed against said producer shall be allowed equivalent to $5 cents per proof gallon of brandy contained in said spirits at the time of redistillation, which amount of brandy shall be ascertained by the Commissioner of Internal Revenue, under regulations approved by the Secretary of the Treasury, and wine spirits so recovered may be used in the manner Limitation.provided by law for the fortification of other wine: *Provided*, That such wine spirits on which abatement or refund of tax is allowed shall not exceed the total amount of alcohol in such wine over and above fourteen per centum thereof.
” " Administration provisions.That section three and section six of the Act of June seventh, nineteen hundred and six, amending the laws relating to the fortification of pure sweet wines, are hereby amended to read as follows: " “Sec. 3. Special gaugers to be assigned.Vol. 34, p. 216, amended. That the Commissioner of Internal Revenue is hereby authorized to assign at each winery where wines are to be fortified such number of gaugers or storekeeper gaugers, in the capacity of gaugers, for special duties as may be necessary for the proper Pay, etc.supervision of the making and fortifying of such wines, and the compensation of such officers shall not exceed $5 per diem while so assigned, together with their actual and necessary traveling expenses, and also a reasonable allowance for their board bills, to be fixed by the Commissioner of Internal Revenue, but not to exceed $2 per diem for said Bond requirements.Vol. 26, p. 622.board bills.
That bonds hereafter given under the provisions of the aforesaid Act of October first, eighteen hundred and ninety, as amended, shall be conditioned for the payment of the tax on all brandy removed thereunder and not used and accounted for within the time and in the manner required by law and regulations, and for the payment of all taxes imposed on the brandy so withdrawn and used for fortifications; and the said bonds shall contain such other conditions as the Commissioner of Internal Revenue, with theapproval of the Secretary of the Treasury, may by regulation prescribe.
“Sec. 6. Penalties.Vol. 34, p. 216, amended.Illegal recoveries of spirits. That any person who by any process recovers from wines fortified under the provisions of the aforesaid Act approved October first, eighteen hundred and ninety, as amendments thereto, any brandy or wine spirits used in the manufacture or fortification of Rectifying, mixing, or compounding.said wine, otherwise than is provided for in said Act and its amendments, or who shall rectify, mix, or compound with distilled spirits or other materials, except as provided in this Act, such grape brandy, fortified wines or wine spirits unlawfully recovered therefrom, shall, on conviction, be punished for each such offense by a fine of not less Blending of wines allowed.[R.
S., sec. 3244, p. 623](/us/rs/s3244/p623).than $200 nor more than $1,000. But the provisions of this section and the provisions of section thirty-two hundred and forty-four of the Revised Statutes of the United States, as amended, relating to rectification, or other internal revenue laws of the United States, shall not be held to apply to or prohibit the mixing or blending of pure sweet wines fortified under the provisions of this Act with each *Proviso*.Use for cordials, etc.other or with other wines: *Provided*, That the pure sweet wines fortified under the provisions of this Act may be used in the manufacture of cordials, liqueurs, and similar compounds on which an internal *Ante*, p. 746.[R.
S., sec. 3244, p. 623](/us/rs/s3244/p623).revenue tax of 24 cents a gallon is imposed, and otherwise the provision of section thirty-two hundred and forty-four of the Revised Statutes of the United States shall remain in full force and effect.” " Special taxes.special taxes. Sec. 3. Annually imposed. That on and after November first, nineteen hundred and fourteen, special taxes shall be, and hereby are, imposed annually as follows, that is to say: First. Bankers. Bankers shall pay $1 for each $1,000 of capital used or employed, and in estimating capital surplus and undivided profits 751shall be included.
The amount of such annual tax shall in all casesComputation. be computed on the basis of the capital, surplus, and undivided profits for the preceding fiscal year. Every person, firm, or company,Business described. and every incorporated or other bank, having a place of business where credits are opened by the deposit or collection of money or currency, subject to be paid or remitted upon draft, check, or order, or where money is advanced or loaned on stocks, bonds, bullion, bills of exchange, or promissory notes, or where stocks, bonds, bullion, bills of exchange, or promissory notes are received for discount or sale, shall be a banker under this Act: *Provided*, That any postal*Proviso*.Savings banks excepted. savings bank, or savings bank having no capital stock, and whose business is confined to receiving deposits and loaning or investing the same for the benefit of its depositors, and which does no other business of banking, shall not be subject to this tax.
Second. Brokers shall pay $30. Every person, firm, or company,Brokers.Business described. whose business it is to negotiate purchases or sales of stocks, bonds, exchange, bullion, coined money, bank notes, promissory notes, or other securities, for themselves or others, shall be regarded as a broker: *Provided*, That any person having paid the special tax as a*Proviso*.Taxed bankers excepted. banker shall not be required to pay the special tax as a broker. Third. Pawnbrokers shall pay $50.
Every person, firm, or companyPawnbrokers.Business described. whose business or occupation it is to take or receive, by way of pledge, pawn, or exchange, any goods, wares, or merchandise, or any kind of personal property whatever, as security for the repayment of money loaned thereon, shall be deemed a pawnbroker. Fourth. Commercial brokers shall pay $20. Every person, firm,Commercial brokers.Business described. or company whose business it is as a broker to negotiate sales or purchases of goods, wares, produce, or merchandise, or to negotiate freights and other business for the owners of vessels, or for the shippers or consignors or consignees of freight carried by vessels, shall be regarded as a commercial broker under this Act.
Fifth. Customhouse brokers shall pay $10. Every person, firm,Customhouse brokers.Business described. or company whose occupation it is, as the agent of others, to arrange entries and other custom-house papers, or transact business at any port of entry relating to the importation or exportation of goods, wares, or merchandise, shall be regarded as a custom-house broker. Sixth. Proprietors of theaters, museums, and concert halls, whereProprietors of theaters, etc. a charge for admission is made, having a seating capacity of not more than two hundred and fifty, shall nay $25; having a seating capacity of more than two hundred and fifty and not exceeding five hundred, shall pay $50; having a seating capacity exceeding five hundred and not exceeding eight hundred, shall pay $75; having a seating capacity of more than eight hundred, shall pay $100.
EveryBuildings included. edifice used for the purpose of dramatic or operatic or other representations, plays, or performances, for admission to which entrance money is received, not including halls or armories rented or used occasionally for concerts or theatrical representations, shall be regarded as a theater: *Provided*, That whenever any such edifice is under lease*Proviso*.Payment by lessee. at the passage of this Act, the tax shall be paid by the lessee, unless otherwise stipulated between the parties to said lease.
Seventh. The proprietor or proprietors of circuses shall pay $100.Circus proprietors.Designation of. Every building, space, tent, or area where feats of horsemanship or acrobatic sports or theatrical performances not otherwise provided for in this Act are exhibited shall be regarded as a circus: *Provided*,*Proviso*.Separate State requirements. That no special tax paid in one State, Territory, or the District of Columbia shall exempt exhibitions from the tax in another State, Territory, or the District of Columbia, and but one special tax shall be imposed for exhibitions within any one State, Territory, or District.
Eighth. Proprietors or agents of all other public exhibitions orOther exhibitions. shows for money not enumerated in this section shall pay $10:752 *Provisos*.Separate State requirements.*Provided*, That a special tax paid in one State, Territory, or the District of Columbia shall not exempt exhibitions from the tax in another State, Territory, or the District of Columbia, and but one special tax shall be required for exhibitions within any one State, Chautauquas, lectures, etc., excepted.Territory, or the District of Columbia: *Provided further*, That this paragraph shall not apply to Chautauquas, lecture lyceums, agricultural or industrial fairs, or exhibitions held under the auspices of religious or charitable associations.
Ninth. Bowling alleys and billiard rooms.Description. Proprietors of bowling alleys and billiard rooms shall pay $5 for each alley or table. Every building or place where bowls are thrown or where games of billiards or pool are played, and that are open to the public with or without price, shall be regarded as a bowling alley or a billiard room, respectively. Tenth. Commission merchants.Business described. Commission merchants shall pay $20. Every person, firm, or company whose business or occupation it is to receive into his or its possession any goods, wares, or merchandise to sell the same on *Provisos*.Taxed brokers excepted.commission shall be regarded as a commission merchant: *Provided*, That any person having paid the special tax as a commercial broker shall not be required to pay the special tax as a commission merchant:
Cooperative houses exempt.*Provided further*, That thus provision shall not apply to commission houses run upon a cooperative plan. Tobacco.tobacco dealers and manufacturers. Sec. 4. Special tax on dealers and manufacturers. That on and after November first, nineteen hundred and fourteen, special taxes on tobacco dealers and manufacturers shall be and hereby are imposed annually as follows, the amount of such annual taxes to be computed in all cases on the basis of the annual sales for the preceding fiscal year:
Dealers in leaf.Dealers in leaf tobacco whose annual sales or transfers do not exceed fifty thousand pounds shall each pay $6. Dealers in leaf tobacco whose annual sales or transfers exceed fifty thousand and do not exceed one hundred thousand pounds shall pay $12, and if their annual sales or transfers exceed one hundred thousand pounds *Proviso*.Exemption.shall pay $24: *Provided*, That dealers in leaf tobacco whose annual sales or transfers do not exceed one thousand pounds shall be exempt from the tax herein imposed on dealers in leaf tobacco.
Other dealers.Dealers in tobacco, not specially provided for in this section, whose annual receipts from the sale of tobacco exceed $200, shall each pay $4.80 for each store, shop, or other place in which tobacco in any form is sold. Dealers defined.Every person whose business it is to sell, or offer for sale, manufactured tobacco, snuff, cigars, or cigarettes shall be regarded as a *Proviso*.Manufacturers may sell without tax as dealers.dealer in tobacco: *Provided*, That no manufacturer of tobacco, snuff, cigars, or cigarettes shall be required to pay a special tax as a dealer in manufactured tobacco, snuff, cigars, or cigarettes for selling his own products at the place of manufacture.
Manufacturers.Rates.Manufacturers of tobacco whose annual sales do not exceed one hundred thousand pounds shall each pay $6. Manufacturers of tobacco whose annual sales exceed one hundred thousand and do not exceed two hundred thousand pounds shall each pay $12. Manufacturers of tobacco whose annual sales exceed two hundred thousand and do not exceed four hundred thousand pounds shall each pay $24. Manufacturers of tobacco whose annual sales exceed four hundred thousand and do not exceed one million pounds shall each pay $60.
Manufacturers of tobacco whose annual sales exceed one million and do not exceed five million pounds shall each pay $300. Manufacturers of tobacco whose annual sales exceed five million and do not exceed ten million pounds shall each pay $600. 753 Manufacturers of tobacco whose annual sales exceed ten million and do not exceed twenty million pounds shall each pay $1,200. Manufacturers of tobacco whose annual sales exceed twenty million pounds shall each pay $2,496. Manufacturers of cigars whose annual sales do not exceed oneCigar manufacturers.Rates. hundred thousand cigars shall each pay $3.
Manufacturers of cigars whose annual sales exceed one hundred thousand and do not exceed two hundred thousand cigars shall each pay $6. Manufacturers of cigars whose annual sales exceed two hundred thousand and do not exceed four hundred thousand cigars shall each pay $12. Manufacturers of cigars whose annual sales exceed four hundred thousand and do not exceed one million cigars shall each pay $30. Manufacturers of cigars whose annual sales exceed one million and do not exceed five million cigars shall each pay $150.
Manufacturers of cigars whose annual sales exceed five million and do not exceed twenty million cigars shall each pay $600. Manufacturers of cigars whose annual sales exceed twenty million and do not exceed forty million cigars shall each pay $1,200. Manufacturers of cigars whose annual sales exceed forty million cigars shall each pay $2,496. Manufacturers of cigarettes whose annual sales do not exceed oneCigarette manufacturers.Rates. million cigarettes shall each pay $12. Manufacturers of cigarettes whose annual sales exceed one million and do not exceed two million cigarettes shall each pay $24.
Manufacturers of cigarettes whose annual sales exceed two million and do not exceed five million cigarettes shall each pay $60. Manufacturers of cigarettes whose annual sales exceed five million and do not exceed ten million cigarettes shall each pay $120. Manufacturers of cigarettes whose annual sales exceed ten million and do not exceed fifty million cigarettes shall each pay $600. Manufacturers of cigarettes whose annual sales exceed fifty million and do not exceed one hundred million cigarettes shall each pay $1,200.
Manufacturers of cigarettes whose annual sales exceed one hundred million cigarettes shall each pay $2,496. In arriving at the amount of license tax to be paid hereunder, andManufacturers defined. in the levy and collection of such tax, each person, firm, or corporation engaged in the manufacture of cigars, cigarettes (including little cigars), or tobacco shall be considered and deemed a single manufacturer. And every person who carries on any business or occupation forPunishment for nonpayment of tax. which special taxes are imposed by this Act, without having paid the special tax herein provided, shall, besides being liable to the payment of such special tax, be deemed guilty of a misdemeanor, and upon conviction thereof shall pay a fine of not more than $500, or be imprisoned not more than six months, or both, at the discretion of the court: *Provided*, That the special taxes imposed by this Act and payable*Proviso*.Collection for fiscal year 1910. during the special tax year ending June thirtieth, nineteen hundred and sixteen, shall be collected and paid proportionately for the period during which such taxes shall remain in force during said year. adhesive stamps.Stamp taxes.
Sec. 5. That on and after the first day of December, nineteen hundredLevied on bonds, stocks, written documents, etc.Schedule A.*Post*, p. 759. and fourteen, there shall be levied, collected, and paid, for and in respect of the several bonds, debentures, or certificates of stock and of indebtedness, and other documents, instruments, matters, and things mentioned and described in Schedule A of this Act, or for or in respect of the vellum, parchment, or paper upon which such instru754ments, matters, or things, or any of them, shall be written or printed by any person or persons, or party who shall make, sign, or issue the same, or for whose use or benefit the same shall be made, signed, or issued, the several taxes or sums of money set down in figures against the same, respectively, or otherwise specified or set forth in the said schedule.
Preparations, etc.Schedule B.*Post*, p. 763.And there shall also be levied, collected, and paid, for and in respect to the preparations, matters, and things mentioned and described in Schedule B of this Act, manufactured, sold, or removed for sale, the several taxes or sums of money set down in words or figures against the same, respectively, or otherwise specified or set forth in Schedule B of this Act. Sec. 6. Penalty for issuing, etc., unstamped instruments. That if any person or persons shall make, sign, or issue, or cause to be made, signed, or issued, any instrument, document, or paper of any kind or description whatsoever, without the same being duly stamped for denoting the tax hereby imposed thereon, or without having thereupon an adhesive stamp to denote said tax, such person or persons shall be deemed guilty of a misdemeanor, and upon conviction thereof shall pay a fine of not more than $100, at the discretion of the court.
Sec. 7. Punishment for counterfeiting, etc., stamps. That if any person shall forge or counterfeit, or cause or procure to be forged or counterfeited, any stamp, die, plate, or other instrument, or any part of any stamp, die, plate, or other instrument, which shall have been provided, or may hereafter be provided, made, or used in pursuance of this Act, or shall forge, counterfeit, or resemble, or cause or procure to be forged, counterfeited, or resembled, the impression, or any part of the impression, of any such stamp, die, plate, or other instrument, as aforesaid, upon any vellum, parchment, or paper, or shall stamp or mark, or cause or procure to be stamped or marked, any vellum, parchment, or paper with any such forged or counterfeited stamp, die, plate, or other instrument, or part of any stamp, die, plate, or other instrument, as aforesaid, with intent to defraud the united States of any of the taxes hereby imposed, or any Uttering, selling, etc., counterfeits.part thereof; or if any person snail utter, or sell, or expose for sale, any vellum, parchment, paper, article, or thing having thereupon the impression of any such counterfeited stamp, die, plate, or other instrument, or any part of any stamp, die, plate, or other instrument, or any such forged, Using counterfeits.counterfeited, or resembled impression, or part of impression, as aforesaid, knowing the same to be forged, counterfeited, or resembled; or if any person shall knowingly use or permit the use of any stamp, die, plate, or other instrument, which shall have been so provided, made, or used as aforesaid, with intent to Fraudulently removing stamps, etc.defraud the United States; or if any person shall fraudulently cut, tear, or remove, or cause or procure to be cut, torn, or removed, the impression of any stamp, die, plate, or other instrument which shall have been provided, made, or used in pursuance of this Act from any vellum, parchment, or paper, or any instrument or writing charged or Fraudulently reusing, etc., stamps.chargeable with any of the taxes imposed by law; or if any person shall fraudulently use, join, fix, or place, or cause to be used, joined, fixed, or placed, to, with, or upon any vellum, parchment, paper, or any instrument or writing charged or chargeable with any of the taxes hereby imposed, any adhesive stamp, or the impression of any stamp, die, plate, or other instrument, which shall have been provided, made, or used in pursuance of law, and which shall have been cut, torn, or removed from any other vellum, parchment, or paper, or any instrument or writing charged or chargeable with any of the taxes Wilfully removing cancellations, etc.imposed by law; or if any person shall willfully remove or cause to be removed, alter or cause to be altered, the canceling or defacing marks of any adhesive stamp with intent to use the same, or to cause the use of the same, after it shall have been once used, or shall knowingly or willfully sell or buy such washed or restored stamp, or offer the 755same for sale, or give or expose the same to any person for use, or knowingly use the same, or prepare the same with intent for the further use thereof; or if any person shall knowingly and without lawfulPossessing washed, etc., stamps. excuse (the proof whereof shall lie on the person accused) have in his possession any washed, restored, or altered stamp which has been removed from any vellum, parchment, paper, instrument, or writing, then, and in every such case, every personAccessories included. so offending, and every person knowingly and willfully aiding, abetting, or assisting in committing any such offenses as aforesaid shall be deemed guilty of a misdemeanor, and, upon conviction thereof, shall forfeit the said counterfeit stamps and the articles upon which they are placed, and shall be punished by fine not exceeding $1,000, or by imprisonment andPunishment. confinement at hard labor not exceeding five years, or both, at the discretion of the court.
Sec. 8. That in any and all cases where an adhesive stamp shallCancellation required. be used for denoting any tax imposed by this Act, except as herein-after provided, the person using or affixing the same shall write or stamp thereupon the initials of his name and the date upon which the same shall be attached or used, so that the same may not again be used. And if any person shall fraudulently make use of an adhesivePunishment for noncancellalion, etc. stamp to denote any tax imposed by this Act without so effectually canceling and obliterating such stamp, except as before mentioned, he, she, or they shall be deemed guilty of a misdemeanor, and upon conviction thereof shall pay a fine of not exceeding $500, or be imprisoned not more than six months, or both, at the discretion of the court: *Provided*, That instead of cancellation by initials*Proviso*.Destroying instead of canceling allowed. and date, the stamps on the articles enumerated in Schedule B shall be so affixed on the box, bottle, or package that in opening the same, or using the contents thereof, the said stamp shall be effectually destroyed: and in default thereof the party making default shall be liable to the same penalty imposed for neglect to affix said stamp as hereinbefore prescribed in this Act.
Sec. 9. That if any person or persons shall make, sign, or issue, orPenalty for using unstamped promissory notes. cause to be made, signed, or issued, or shall accept or pay, or cause to be accepted or paid, with design to evade the payment of any stamp tax, any promissory note liable to any of the taxes imposed by this Act, without the same being duly stamped, or having there-upon an adhesive stamp for denoting the tax hereby charged there-on, he, she, or they shall be deemed guilty of a misdemeanor, and upon conviction thereof shall be punished by a fine not exceeding $200, at the discretion of the court.
Sec. 10. That the collectors of the several districts are herebyDistributing stamps to assistant treasurers, etc. authorized and required to furnish to any assistant treasurer of the United States or designated depositary thereof, or any postmaster located in their collection districts, respectively, a suitable quantity of adhesive stamps, without prepayment therefor, and may in advance require of any designated depositary, assistant treasurer of the United States, or postmaster a bond, with sufficient sureties, to an Bond required.amount equal to the value of the adhesive stamps which may be placed in his hands and remain unaccounted for, conditioned for the faithful return, whenever so required, of all quantities or amounts undisposed of, and for the payment monthly of all quantities or amounts sold or not remaining on hand.
And it shall be the duty ofTerms of sale, etc. such collectors to supply their deputies with, or sell to other parties within their respective districts who may make application therefor, adhesive stamps, upon the same terms allowed by law or under the regulations of the Commissioner of Internal Revenue, who is hereby authorized to make such other regulations, not inconsistent herewith, for the security of the United States and the better accommodation of the public, in relation to the matters hereinbefore mentioned, as 756Further regulations.he may judge necessary and expedient.
And the Secretary of the Treasury may from time to time make such regulations as he may find necessary to insure the safe-keeping or prevent the illegal use of all such adhesive stamps. Sec. 11. Issuing, selling, etc., unstamped documents a misdemeanor. That any person or persons who shall register, issue, sell, or transfer, or who shall cause to be issued, registered, sold, or transferred, any instrument, document, or paper of any kind or description whatsoever mentioned in Schedule A of this Act, without the same being duly stamped, or having thereupon an adhesive stamp for denoting the tax chargeable thereon, and canceled in the manner required by law, with intent to evade the provisions of this Act, shall Punishmentbe deemed guilty of a misdemeanor, and upon conviction thereof shall be punished by a fine not exceeding $50, or by imprisonment not *Provisos*.Subsequent affixing of stamps by collector.exceeding six months, or both, in the discretion of the court: *Provided*, That hereafter, in all cases where the party has not affixed to any instrument the stamp required by law thereon at the time of issuing, selling, or transferring the said bonds, debentures, or certificates of stock or of indebtedness, and he or they, or any party having an interest therein, shall be subsequently desirous of affixing such stamp to said instrument, or, if said instrument be lost, to a copy thereof, he or they shall appear before the collector of internal revenue of the proper district, who shall, upon the payment of the price of the Penalty, etc.proper stamp required by law, and of a penalty of $10, and, where the whole amount of the tax denoted by the stamp required shall exceed the sum of $50, on payment also of interest, at the rate of six per centum, on said tax from the day on which such stamp ought to have been affixed, affix the proper stamp to such bond, debenture, certificate of stock or of indebtedness or copy, and note upon the margin thereof the date of his so doing, and the fact that such Document validated.penalty has been paid; and the same shall thereupon be deemed and held to be as valid, to all intents and purposes, as if stamped when Inadvertent omissions.made or issued: *And provided further*, That where it shall appear to said collector, upon oath or otherwise, to his satisfaction, that any such instrument has not been duly stamped, at the time of making or issuing the same, by reason of accident, mistake, inadvertence, or urgent necessity, and without any willful design to defraud the United States of the stamp, or to evade or delay the payment thereof, then and in such case, if such instrument, or, if the original be lost, a copy thereof duly certified by the officer having charge of any records in which such original is required to be recorded, or otherwise duly proven to the satisfaction of the collector, shall, within twelve calendar months after the making or issuing thereof, be brought to the said collector of internal revenue to be stamped, and the stamp tax chargeable thereon shall be paid, it shall be lawful for the said collector to remit the penalty aforesaid and to cause such Recording, etc.instrument to be duly stamped.
And when the original instrument, or a certified or duly proven copy thereof, as aforesaid, duly stamped so as to entitle the same to be recorded, shall be presented to the clerk, register, recorder, or other officer having charge of the original record, it shall be lawful for such officer, upon the payment of the fee legally chargeable for the recording thereof, to make a new record thereof, or to note upon the original record the fact that the error or omission in the stamping of said original instrument has been Effect.corrected pursuant to law; and the original instrument or such certified copy, or the record thereof, may be used in all courts and places in the same manner and with like effect as if the instrument had been Affixing stamp by purchaser.originally stamped: *And provided further*, That in all cases where the party has not affixed the stamp required by law upon any such instrument issued, registered, sold, or transferred at a time when and at a place where no collection district was established, it shall be lawful for Him or them, or any party having an interest therein, to affix757 the proper stamp thereto, or, if the original be lost, to a copy thereof.Prior rights not affected.
But no right acquired in good faith before the stamping of such instrument, or copy thereof, as herein provided, if such record be required by law, shall in any manner be affected by such stamping as aforesaid. Sec. 12. That hereafter no instrument, paper, or document requiredNo document to be recorded if not stamped. by law to be stamped, which has been signed or issued without being duly stamped, or with a deficient stamp, nor any copy thereof, shall be recorded until a legal stamp or stamps, denoting the amount of tax, shall have been affixed thereto, as prescribed by law: *Provided*, That any bond, debenture, certificate of stock, or certificate*Proviso.*Foreign bonds, etc., subject to stamp tax. of indebtedness issued in any foreign country shall pay the same tax as is required by law on similar instruments when issued, sold, or transferred in the United States; and the party to whom the same is issued, or by whom it is sold or transferred, shall, before selling or transferring the same, affix thereon the stamp or stamps indicating the tax required.
Sec. 13. That it shall not be lawful to record or register any instrument,Registry of unstamped documents unlawful. paper, or document required by law to be stamped unless a stamp or stamps of the proper amount shall have been affixed and canceled in the manner prescribed by law. Sec. 14. That no instrument, paper, or document required by lawNo particular stamp necessary. to be stamped shall be deemed or held invalid and of no effect for the want of a particular kind or description of stamp designated for and denoting the tax charged on any such instrument, paper, or document, provided a legal documentary stamp or stamps denoting a tax of equal amount shall have been duly affixed and used thereon.
Sec. 15. That all bonds, debentures, or certificates of indebtednessExemption of United States, State, county, etc., bonds. issued by the officers of the United States Government, or by the officers of any State, county, town, municipal corporation, or other corporation exercising the taxing power, shall be, and hereby are, exempt from the stamp taxes required by this Act: *Provided*, That*Provisos*.Limitation. it is the intent hereby to exempt from the stamp taxes imposed by this Act such State, county, town, or other municipal corporations in the exercise only of functions strictly belonging to them in their ordinary governmental, taxing, or municipal capacity: *Provided further*,Other exemptions.
That stock and bonds issued by cooperative building and loan associations, mutual ditch or irrigating companies, and building and loan associations or companies that make loans only to their shareholders, shall be exempt from the tax herein provided. Sec. 16. That all the provisions of this Act relating to dies, stamps,General stamp provisions applicable to Schedule B.*Post*, p. 763. adhesive stamps, and stamp taxes shall extend to and include (except where manifestly inapplicable) all the articles or objects enumerated in Schedule B, subject to stamp taxes, and apply to the provisions in relation thereto.
Sec. 17. That on and after December first, nineteen hundred andPunishment, for selling, etc., articles in Schedule B, not stamped. fourteen, any person, firm, company, or corporation that shall make, prepare, and sell, or remove for consumption or sale, perfumery, cosmetics, preparations, compositions, articles, or things upon which a tax is imposed by this Act, as provided for in Schedule B, without affixing thereto an adhesive stamp or label denoting the tax before mentioned shall be deemed guilty of a misdemeanor, and upon conviction thereof shall pay a fine of not more than $500, or be imprisoned not more than six months, or both, at the discretion of the court.
Sec. 18. That any manufacturer or maker of any of the articles forPunishment for re-moving stamp, etc., to avoid tax. sale mentioned in Schedule B, after the same shall have been so made, and the particulars hereinbefore required as to stamps have been com-plied with, or any other person who shall take off, remove, or detach, or cause, or permit, or suffer to be taken off, or removed or detached, any stamp, or who shall use any stamp, or any wrapper or cover to which any stamp is affixed, to cover any other article or commodity 758than that originally contained in such wrapper or cover, with such stamp when first used, with the intent to evade the stamp duties, shall for every such article, respectively, in respect of which any such offense shall be committed, be deemed guilty of a misdemeanor, and upon conviction thereof shall pay a fine of not more than $500, or be imprisoned not more than six months, or both, at the discretion of the court, and every such article or commodity as aforesaid shall also be forfeited.
Sec. 19. Punishment for disposing, etc., of articles without affixing stamps. That any maker or manufacturer of any of the articles or commodities mentioned in Schedule B, as aforesaid, or any other person who shall sell, send out, remove, or deliver any article or commodity, manufactured as aforesaid, before the tax thereon shall have been, fully paid by affixing thereon the proper stamp, as in this Act provided, or who shall hide or conceal, or cause to be hidden or concealed, or who shall remove or convey away, or deposit, or cause to be removed or conveyed away from or deposited in any place, any such article or commodity, to evade the tax chargeable thereon, or any part thereof, shall be deemed guilty of a misdemeanor, and upon conviction thereof shall pay a fine of not more than $500, or be imprisoned not more than six months, or both, at the discretion of the court, together with the forfeiture of any such article or commodity: *Proviso.*Manufacture in bond for export allowed without tax.*Provided*, That articles upon which stamp taxes are required by this Act may, when intended for exportation, be manufactured and sold or removed without having stamps affixed thereto, and without being charged, with tax as aforesaid; and every manufacturer or maker of any article as aforesaid, intended for exportation, shall give such bonds and be subject to such rules and regulations to protect the revenue against fraud as may be from time to time prescribed by the Commissioner of Internal Revenue, with the approval of the Secretary of the Treasury.
Sec. 20. Sworn declaration from manufacturers of taxable articles.Contents. That every manufacturer or maker of any of the articles or commodities provided for in Schedule B, or his foreman, agent, or superintendent shall at the end of each and every month make, sign, and file with the collector of internal revenue for the district in which he resides a declaration in writing that no such article or commodity has, during such preceding month or time when the last declaration was made, been removed, or carried, or sent, or caused or suffered or known to have been removed, carried, or sent from the premises of such manufacturer or maker other than such as have been duly taken Penalty for refusal to make.account of and charged with the stamp tax, on pain of such manufacturer or maker forfeiting for every refusal or neglect to make such Punishment for false statements.declaration $100; and if any such manufacturer or maker, or his foreman, agent, or superintendent, shall make any false or untrue declaration, such manufacturer or maker, or foreman, agent, or superintendent making the same shall be deemed guilty of a misdemeanor, and upon conviction shall pay a fine of not more than $500, or be imprisoned not more than six months, or both, at the discretion of the court.
Sec. 21. Articles to be stamped before sale, etc. That the stamp taxes prescribed in this Act on the articles provided for in Schedule B shall attach to all such articles and things sold or removed for sale thirty days after the approval of Manufacturers defined.this Act. Every person, except as otherwise provided in this Act, who offers or exposes for sale any article or thing provided for in said Schedule B, whether the article so offered or exposed is of foreign manufacture and imported or of domestic manufacture, shall be deemed the manufacturer thereof, and shall be subject to all the Liability for tax.taxes, liabilities, and penalties imposed by law for the sale of articles without the use of the proper stamp denoting the tax paid thereon;
Imported articles taxed.and all such articles of foreign manufacture shall, in addition to the import duty imposed on the same, be subject to the stamp tax *Proviso*.prescribed in this Act: *Provided further*, That internal revenue stamps 759required by existing law on imported merchandise shall be affixedAffixing, etc., stamps under existing law on imported articles. thereto and canceled at the expense of the owner or importer before the withdrawal of such merchandise for consumption, and the Secretary of the Treasury is authorized to make such rules and regulations as may be necessary for the affixing and canceling of such stamps, not inconsistent herewith.
Sec. 22. That the Commissioner of Internal Revenue shall causePreparation of stamps. to be prepared and distributed for the payment of the taxes prescribed in this Act suitable stamps denoting the tax on the document, article, or thing to which the same may be affixed, and he is authorized to prescribe such method for the cancellation of saidCancellation. stamps, as substitute for or in addition to the method provided in this Act, as he may deem expedient. The Commissioner of InternalAdditional contracts for manufacturing.
Revenue, with the approval of the Secretary of the Treasury, is authorized to procure any of the stamps provided for in this Act by contract whenever such stamps can not be speedily prepared by the Bureau of Engraving and Printing; but this authority shall expireTermination of authority. on the first day of November nineteen hundred and fifteen, except as to imprinted stamps furnished under contract, authorized by the Commissioner of Internal Revenue. That the adhesive stamps usedDelivery to collectors. in the payment of the tax levied in Schedules A and B of this Act shall be furnished for sale by the several collectors of internal revenue, who shall sell and deliver them at their face value to all persons applying for the same, except officers or employees of the Internal Revenue Service: *Provided*, That such collectors may sell and deliver*Proviso.*Discount for sales over $100. such stamps in quantities of not less than $100 of face value, with a discount of one per centum, except as otherwise provided in this Act.
Schedule A.Schedule A. stamp taxes.Stamp taxes. Bonds, debentures, or certificates of indebtedness issued on andBonds, etc. after the first day of December, nineteen hundred and fourteen, by any association, company, or corporation, on each $100 of face valueStock certificates.Original issue. or fraction thereof, 5 cents, and on each original issue, whether on organization or reorganization, of certificates of stock by any such association, company, or corporation, on each $100 of face value orTransfers, etc. fraction thereof, 5 cents, and on all sales, or agreements to sell, or memoranda of sales or deliveries or transfers of shares or certificates of stock in any association, company, or corporation, whether made upon or shown by the books of the association, company, or corporation, or by anyAgreements to sell, etc. assignment in blank, or by any delivery, or by any paper or agreement or memorandum or other evidence of transfer or sale, whether entitling the holder in any manner to the benefit of such stock, or to secure the future payment of money or for the future transfer of any stock, on each $100 of face value or fraction thereof, 2 cents: *Provided*, That it is not intended by this Act to impose a tax*Provisos.*Collateral deposits exempt. upon an agreement evidencing a deposit of stock certificates as collateral security for money loaned thereon, which stock certificates are not actually sold, nor upon such stock certificates so deposited: *Provided further*, That in case of sale where the evidence of transferAffixing of stamps. is shown only by the books of the company the stamp shall be placed upon such books; and where the change of ownership is by transfer certificate the stamp shall be placed upon the certificate: and in cases Agreements to sell, etc. of an agreement to sell or where the transfer is by delivery of the certificate assigned in blank there shall be made and delivered by the seller to the buyer a bill or memorandum of such sale, to which the stamp shall be affixed; and every bill or memorandum of sale orContents. agreement to sell before mentioned shall show the date thereof, the name of the seller, the amount of the sale, and the matter or thing to 760Punishment for sale, etc,, without affixing stamps.which it refers.
And any person or persons liable to pay the tax as herein provided, or anyone who acts in the matter as agent or broker for such person or persons, who shall make any such sale, or who shall in pursuance, of any such sale deliver any such stock, or evidence of the sale of any such stock or bill or memorandum thereof, as herein required, without having the proper stamps affixed thereto, with intent to evade the foregoing provisions shall be deemed guilty of a misdemeanor, and upon conviction thereof shall pay a fine of not exceeding $1,000, or be imprisoned not more than six months, or both, at the discretion of the court.
Sales of products at exchanges, etc.Upon each sale, agreement of sale, or agreement to sell, any products or merchandise at any exchange, or board of trade, or other similar place, either for present or future delivery, for each $100 in value of said sale or agreement of sale or agreement to sell, 1 cent, and for each additional $100 or fractional part thereof in excess of $100, *Proviso.*Bill of sale required.1 cent: *Provided*, That on every sale or agreement of sale or agreement to sell as aforesaid there shall be made and delivered by the seller to the buyer a bill, memorandum, agreement, or other evidence of such sale, agreement of sale, or agreement to sell, to which there shall be affixed a lawful stamp or stamps in value equal to the amount of the Contents.tax on such sale.
And every such bill, memorandum, or other evidence of sale or agreement to sell shall show the date thereof, the name of the seller, the amount of the sale, and the matter or thing Punishment for failure to deliver stamped bill, etc.to which it refers; and any person or persons liable to pay the tax as herein provided, or anyone who acts in the matter as agent or broker for such person or persons, who shall make any such sale or agreement of sale, or agreement to sell, or who shall, in pursuance of any such sale, agreement of sale, or agreement to sell, deliver any such products or merchandise without a bill, memorandum, or other evidence thereof as herein required, or who shall deliver such bill, memorandum, or other evidence of sale, or agreement to sell, without having the proper stamps affixed thereto, with intent to evade the foregoing provisions, shall be deemed guilty of a misdemeanor, and upon conviction thereof shall pay a fine of not exceeding $1,000, or be imprisoned not more than six months, or both, at the discretion of the court.
Sales, etc., ín course of transportation for delivery excepted.That no bill, memorandum, agreement, or other evidence of such sale, or agreement of sale, or agreement to sell, in case of products or merchandise actually delivered at the time of sale or while in vessel, boat, or car, and actually in course of transportation, shall be subject Conditions.to this tax, provided such bill, memorandum, agreement, or other evidence of such sale, or agreement of sale, or agreement to sell shall be accompanied by bills of lading or vouchers snowing that the said products are actually in course of transportation as aforesaid.
Promissory notes, except bank notes.Promissory notes, except bank notes issued for circulation, and for each renewal of the same, for a sum not exceeding $100, 2 cents; and for each additional $100 or fractional part thereof in excess of $100, 2 cents. Express or freight shipmentsExpress and freight: It shall be the duty of every railroad or steamboat company, carrier, express company, or corporation or person whose occupation is to act as such, to issue to the shipper or consignor, or his agent, or person from whom any goods are accepted Bills of lading required.for transportation where a charge exceeding 5 cents is made a bill of lading, manifest, or other evidence of receipt and forwarding for each shipment received for carriage and transportation, whether in bulk or in boxes, bales, packages, bundles, or not so inclosed or included; and such shipper, consignor, agent, or person shall duly Stamps to be attached and canceled.attach and cancel, as is in this Act provided, to each of said bills of lading, manifests, or other memorandum, a stamp of the value of 1 *Provisos.*Consignments of newspapers.cent: *Provided*, That a consignment of newspapers to any one point or to different points by the same train or conveyance when inclosed 761in one general bundle at the point of shipment shall be considered as one shipment, and, in lieu of a bill of lading therefor, the publisherMonthly report by publishers of shipments in lieu of bill. of such newspaper shall file on or before the fifteenth day of each month with the collector of internal revenue for the district in which such newspaper is published a report under oath showing the number of such shipments during the preceding month to which report such publisher shall affix and cancel stamps equal in value to 1 cent for each shipment so reported: *Provided further*, That the report hereinShipments within the county. required shall not include shipments of newspapers delivered to points within the county in which the same are published.
AnyPenalty for failure to issue bill. failure to issue such bill of lading, manifest, or other memorandum, as herein provided, shall subject such railroad or steamboat company, carrier, express company, or corporation or person to a penalty of $50 for each offense. Telegraph and telephone messages: It shall be the duty of everyTelegraph and telephone messages.Monthly statement from lines sending taxable messages. person, firm, or corporation owning or operating any telegraph or telephone line or lines to make within thirty days after the expiration of each month a sworn statement to the collector of internal revenue in each of their respective districts, stating the number of dispatches, messages, or conversations originated at each of their respective ex-changes, toll stations, or offices, and transmitted thence over their lines during the preceding month for which a charge of 15 cents or more was imposed, and for each of such messages or conversations theRate of tax. said person, firm, or corporation shall collect from the person paying for the message or conversation a tax of 1 cent in. addition to the regular charges for the message or conversation, which tax the said person, firm, or corporation shall in turn pay to the said collector of internal revenue of their respective districts: *Provided*, That only*Provisos.*Limitations. one payment of said tax shall be required, notwithstanding the lines of one or more persons, firms, or corporations shall be used for the transmission of each of said messages or conversations: *Provided further*, That the messages or dispatches of the officers and employeesMessages excepted. of any telegraph or telephone company concerning the affairs and service of the company, and like messages or dispatches of the officials and employees of railroad companies sent over the wires on their respective railroads shall be exempt from this requirement: *And provided further*, That messages of officers and employees of the GovernmentGovernment business exempt. on official business shall be exempt from the taxes herein imposed upon telegraphic and telephonic messages.
Bond: For indemnifying any person or persons, firm, or corporationIndemnity bonds. who shall have become bound or engaged as surety for the payment of any sum of money, or for the due execution or performance of the duties of any office or position, and to account for money received by virtue thereof, and all other bonds of any description, except such as may be required in legal proceedings, not otherwise provided for in this schedule, 50 cents. Certificate of profits, or any certificate or memorandum showingCertificates of profits. an interest in the property or accumulations of any association, company, or corporation, and on all transfers thereof, on each $100 of race value or fraction thereof, 2 cents.
Certificate: Any certificate of damage, or otherwise, and all otherCertificates of marine damages, etc. certificates or documents issued by any port warden, marine surveyor, or other person acting as such, 25 cents. Certificate of any description required by law not otherwise specifiedOther certificates. in this Act, 10 cents. Contract: Broker’s note, or memorandum of sale of any goods orBroker’s notes of sales, etc. merchandise, stocks, bonds, exchange, notes of hand, real estate, or property of any kind or description issued by brokers or persons acting as such, for each note or memorandum of sale, not otherwise provided for in this Act, 10 cents. 762 Conveyances of real property.Conveyance:
Deed, instrument, or writing, whereby any lands, tenements, or other realty sold shall be granted, assigned, transferred, or otherwise conveyed to, or vested in, the purchaser or purchasers, or any other person or persons, by his, her, or their direction, when the Minimum consideration.consideration or value of the interest or property conveyed, exclusive of the value of any lien or encumbrance thereon, exceeds $100 and does not exceed $500, 50 cents; and for each additional $500 or *Proviso.*Security for debt exempt.fractional part thereof in excess of $500,50 cents: *Provided*, That nothing contained in this paragraph shall be so construed as to impose a tax upon any instrument or writing given to secure a debt.
Customhouse entries.Entry of any goods, wares, or merchandise at any customhouse, either for consumption or warehousing, not exceeding $100 in value, 25 cents; exceeding $100 and not exceeding $500 in value, 50 cents; exceeding $500 in value, $1. Warehouse withdrawals.Entry for the withdrawal of any goods or merchandise from customs bonded warehouse, 50 cents. Insurance policies.Marine, fire, or lightning.Insurance: Each policy of insurance or other instrument, by what-ever name the same shall be called, by which insurance shall be made or renewed upon property of any description (including rents or profits), whether against peril by sea or on inland waters, or by fire or lightning, or other peril, made by any person, association, or corporation, upon the amount of premium charged, one-half of 1 cent on each *Provisos.*Cooperative fire insurance excepted.dollar or fractional part thereof: *Provided*, That purely cooperative or mutual fire insurance companies or associations carried on by the members thereof solely for the protection of their own property and not for profit shall be exempted from the tax herein provided:
Reinsurance exempt.*And provided further*, That policies of reinsurance shall be exempt from the tax herein imposed by this paragraph. Fidelity, guarantee, etc., policies.Each policy of insurance, or bond or obligation of the nature of indemnity for loss, damage, or liability issued, or executed, or renewed by any person, association, company, or corporation, transacting the business of fidelity, employer’s liability, plate glass, steam boiler, burglary, elevator, automatic sprinkler, or other branch of insurance Exceptions.(except life, personal accident, and health insurance, and insurance described and taxed or exempted in the preceding paragraph and excepting also workmen’s compensation insurance carried on by the members thereof solely for their own protection and not for profit), Surety bonds.and each bond undertaking or recognizance, conditioned for the performance of the duties of any office or position, or for the doing or not doing of anything therein specified, or other obligation of the nature of indemnity, and each contract or obligation guaranteeing the validity or legality of bonds or other obligations issued by any State, county, municipal, or other public body or organization, or guaranteeing titles to real estate or mercantile credits executed or guaranteed by any liability, fidelity, guarantee, or surety company upon the amount of premium charged, one-half of 1 cent on each dollar or *Proviso.*Reinsurance exempt.fractional part thereof: *Provided*, That policies of reinsurance shall be exempt from the tax herein imposed by this paragraph.
Foreign passage tickets.Passage ticket, for each passenger, sold in the United States for pas-sage by any vessel to a foreign port or place, if costing not exceeding $30, $1; costing more than $30 and not exceeding $60, $3; costing *Proviso.*Exemption.more than $60, $5: *Provided*, That such passage tickets, costing $10 or less, shall be exempt from taxation. Proxies.Power of attorney or proxy for voting at any election for officers of any incorporated company or association, except religious, charitable, or literary societies, or public cemeteries, 10 cents.
General powers of attorney.Power of attorney to sell and convey real estate, or to rent or lease the same, to receive or collect rent, to sell or transfer any stock, bonds, scrip, or for the collection of any dividends or interest thereon, or to perform any and all other acts not hereinbefore specified, 76325 cents: *Provided*, That no stamps shall be required upon any papers*Proviso.*Pension claims, etc., excepted. necessary to be used for the collection of claims from the United States for pensions, back pay, bounty, or for property lost in the military or naval service.
Protest: Upon the protest of every note, bill of exchange, acceptance,Protests. check or draft, or any marine protest, whether protested by a notary public or by any other officer who may be authorized by the law of any State or States to make such protest, 25 cents. Every seat sold in a palace or parlor car and every berth sold in aParlor and sleeping car tickets. sleeping car, 1 cent, to be paid by the company selling the same. Schedule B.Schedule B. Perfumery and cosmetics and other similar articles:
For and uponPerfumery, cosmetics, etc. every packet, box, bottle, pot, phial, or other inclosure containing any essence, extract, toilet water, cosmetic, vaseline, petrolatum, hair oil, pomade, hair dressing, hair restorative, hair dye, tooth wash, dentifrice, tooth paste, aromatic cachous, or any similar substance or article, by whatsoever name the same heretofore have been, now are, or may hereafter be called, known, or distinguished, used, or applied as perfumes or as cosmetics, and sold or removed for consumption and sale in the United States, where such packet,Rates. box, bottle, pot, phial, or other inclosure, with its contents, shall not exceed at the retail price or value the sum of 5 cents, one-eighth of 1 cent.
Where such packet, box, bottle, pot, phial, or other inclosure, with its contents, shall exceed the retail price or value of 5 cents, and shall not exceed the retail price or value of 10 cents, two-eighths of 1 cent. Where such packet, box, bottle, pot, phial, or other inclosure, with its contents, shall exceed the retail price or value of 10 cents and shall not exceed the retail price or value of 15 cents, three-eighths of 1 cent. Where such packet, box, bottle, pot, phial, or other inclosure, with its contents, shall exceed the retail price or value of 15 cents and shall not exceed the retail price or value of 25 cents, five-eighths of 1 cent.
And for each additional 25 cents of retail price or value or fractional part thereof in excess of 25 cents, five-eighths of 1 cent. Chewing gum or substitutes therefor: For and upon each box,Chewing gum. carton, jar, or other package containing chewing gum of not more than $1 of actual retail value, 4 cents; if exceeding $1 of retail value, for each additional dollar or fractional part thereof, 4 cents; under such regulations as the Commissioner of Internal Revenue, with the approval of the Secretary of the Treasury, may prescribe.
That all articles and preparations provided for in this schedulePayment on articles in stock. which are in the hands of manufacturers or of wholesale or retail dealers on and after December first, nineteen hundred and fourteen, shall be subject to the payment of the stamp taxes herein provided for, but it shall be deemed a compliance with this Act as to such articles on hand in the hands of wholesale or retail dealers as aforesaid who are not the manufacturers thereof to affix the proper adhesiveAffixing at time of sale accepted. tax stamp at the time the packet, box, bottle, pot, or phial, or other inclosure with its contents is sold at retail.
There shall be an allowance of drawback on articles mentioned inDrawback on taxed articles exported. Schedule B of this Act on which any internal-revenue tax shall have been paid, equal in amount to the stamp tax paid thereon, and no more, when exported, to be paid by the warrant of the Secretary ofPayment of. the Treasury on the Treasurer of the United States, out of any money arising from internal taxes not otherwise appropriated: *Provided*,*Proviso.*Limitation. That no allowance of drawback shall be made for any such articles exported prior to the date this Act becomes effective.
The evidence 764Ascertaining right to allowance.that any such tax has been paid as aforesaid shall be furnished to the satisfaction of the Commissioner of Internal Revenue by the person claiming the allowance of drawback, and the amount shall be ascertained under such regulations as shall be prescribed from time to time by said commissioner, with the approval of the Secretary of the Treasury. Sec. 23. General tax laws applicable. That all administrative, special, or stamp provisions of law, including the law relating to the assessment of taxes, so far as applicable, are hereby extended to and made a part of this Act, and every person, firm, company, corporation, or association hable to any tax imposed by this Act, or for the collection thereof, shall keep such Records, etc., required.records and render, under oath, such statements and returns, and shall comply with such regulations as the Commissioner of Internal Revenue, with the approval of the Secretary of the Treasury, may from time to time prescribe, and every such person, firm, company, corporation, or association who evades or attempts to evade any of Double tax for evasions, etc.the taxes imposed by this Act, or shall fail to truly account for and pay all taxes collected by them under this Act, or any regulations issued thereunder, shall be subject to a penalty of double the amount of the taxes evaded or attempted to be evaded or unlawfully withheld, to be assessed and collected as other penalties incurred under Appropriation for expenses.internal-revenue laws are assessed and collected; and for the expense connected with the assessment and collection of the taxes provided by this Act there is hereby appropriated $200,000, or so much thereof as may be required, out of any money in the Treasury not otherwise Collectors, etc.appropriated; $170,000 to be added to and made a part of the appropriations for “salaries and expenses of collection of internal revenue, Paper for stamps.nineteen hundred and fifteen; and $30,000 to the appropriation for paper for internal-revenue stamps, nineteen hundred and fifteen.
” Sec. 24. In effect after passage. That the provisions of this Act shall take effect on the day next succeeding the date of its passage, except where otherwise *Provisos*.Expiration.expressly provided: *Provided*, That on the day after the thirty-first day of December, nineteen hundred and fifteen, the taxes levied under this Act shall no longer be levied and collected, but all taxes arising or accruing before said date shall continue to be collectible Fermented liquors.Termination of additional tax.under the terms of this Act: *Provided, however*, That on and after the first day of January, nineteen hundred and sixteen, the provisions of section thirty-three hundred and thirty-nine of the Revised [R.
S., sec. 3339, p. 651](/us/rs/s3339/p651).Vol. 32, p. 96.Statutes, as amended by an Act approved April twelfth, nineteen hundred and two, imposing a tax on fermented liquors shall not be affected by any limitation as to the levying or collecting of the additional tax imposed by this Act on such fermented liquors, but shall then be in full force and effect on and after the said first day Redemption of unused stamps.of January, nineteen hundred and sixteen. All stamps provided for in this Act unused after the aforesaid date shall be redeemed from the holder thereof, under such rules as the Secretary of the Treasury may prescribe.
Approved, October 22, 1914.
★   the supreme law of the land   ★
Don't Tread on Me
E Pluribus Unum — out of many, one

"If you don't know your rights, you don't have any."

Marginalia · a citizen's law index
A research desk, not legal advice. Always read the cited source before relying on a summary.
Questions or an issue? support@self-law.org
disclaimerMarginalia is a research index, not a law firm. Nothing on this site is legal, tax, or financial advice and no attorney–client relationship is formed by using it. Statutes, regulations, and case law change; summaries, search results, AI output, and member posts may be incomplete, out of date, or wrong. Any interpretation drawn from material on this site should be validated by a licensed attorney in your jurisdiction before you act on it.