CHAPTER XI MISCELLANEOUS PROVISIONS ART. 111. Administrative provisions.-Section 701 (d) of the Act makes applicable to the capital stock tax all provisions of law applicable in respect of taxes imposed by section 600 of the Revenue Act of 1926 in so far as such provisions are not inconsistent with section 701. RECORDS, STATEMENTS, AND SPECIAL RETURNS SECTION 1102 OF THE REVENUE ACT OF 1926 SEO. 1102. (a) Every person liable to any tax imposed by this Act, or for the collection thereof, shall keep such records, render under oath such statements, make such returns, and comply with such rules and regulations, as the Commissioner, with the approval of the Secretary, may from time to time prescribe. (b) Whenever in the judgment of the Commissioner necessary he may require any person, by notice served upon him, to make a return, render under oath such statements, or keep such records as the Commissioner deems sufficient to show whether or not such person is liable to tax. (d) Any oath or affirmation required by the provisions of this Act or regulations made under authority thereof may be administered by any officer authorized to administer oaths for general purposes by the law of the United States or of any State, Territory, or possession of the United States, wherein such oath or affirmation is administered, or by any consular officer of the United States. SECTION 8176 OF THE REVISED STATUTES, AS AMENDED, AND AS FURTHER AMENDED BY SECTION 619 (d) OF THE REVENUE ACT OF 1928 SEC. 8176. If any person, corporation, company, or association fails to make and file a return or list at the time prescribed by law or by regulation made under authority of law, or makes, willfully or otherwise, a false or fraudulent return or list, the collector or deputy collector shall make the return or list from his own knowledge and from such information as he can obtain through testimony or otherwise. In any such case the Commissioner of Internal Revenue may, from his own knowledge and from such information as he can obtain through testimony or otherwise, make a return or amend any return made by a collector or deputy collector. Any return or list so made and subscribed by the Commissioner, or by a collector or deputy collector and approved by the Commissioner, shall be prima facie good and sufficient for all legal purposes. If the failure to file a return (other than a return of income tax) or a list is due to sickness or absence, the collector may allow such further time, not exceeding thirty days, for making and filing the return or list as he deems proper. The Commissioner of Internal Revenue shall determine and assess all taxes, other than stamp taxes, as to which returns or lists are so made under the provisions of this section. In case of any failure to make and file a return or list within the time prescribed by law, or prescribed by the Commissioner of Internal Revenue or the collector in pursuance of law, the Commissioner shall add to the tax 25 per centum of its amount, except that when a return is filed after such time and it is shown that the failure to file it was due to a reasonable cause and not to willful neglect, no such addition shall be made to the tax. In case a false or fraudulent return or list is willfully made, the Commissioner shall add to the tax 50 per centum of its amount. The amount so added to any tax shall be collected at the same time and in the same manner and as a part of the tax unless the tax has been paid before the discovery of the neglect, falsity, or fraud, in which case the amount so added shall be collected in the same manner as the tax. EXAMINATION OF BOOKS AND WITNESSES SECTION 1104 OF THE REVENUE ACT OF 1926 AS AMENDED BY SECTION 618 OF THE REVENUE ACT OF 1928 SEO. 1104. The Commissioner, for the purpose of ascertaining the correctness of any return or for the purpose of making a return where none has been made, is hereby authorized, by any officer or employee of the Bureau of Internal Revenue, including the field service, designated by him for that purpose, to examine any books, papers, records, or memoranda bearing upon the matters required to be included in the return, and may require the attendance of the person rendering the return or of any officer or employee of such person, or the attendance of any other person having knowledge in the premises, and may take his testimony with reference to the matter required by law to be included in such return, with power to administer oaths to such person or persons. LIMITATION ON ASSESSMENTS AND SUITS BY THE SECTION 1109 OF THE REVENUE ACT OF 1926 AS AMENDED BY SECTION 619 (a) OF THE REVENUE ACT OF 1928 SEC. 1109. (a) Except in the case of income, war-profits, excessprofits, estate, and gift taxes (1) Notwithstanding the provisions of section 3182 of the Revised Statutes or any other provision of law, all internal-revenue taxes shall (except as provided in paragraph (2) or (3) of this subdivision) be assessed within four years after such taxes became due, and no proIceeding in court without assessment for the collection of such taxes shall be begun after the expiration of five years after such taxes became due. (2) In case of a false or fraudulent return with intent to evade tax, of a failure to file a return within the time required by law, or of a willful attempt in any manner to defeat or evade tax, the tax may be t assessed, or a proceeding in court for the collection of such tax may be begun without assessment, at any time. (3) Where the assessment of any tax imposed by this Act or by prior Act of Congress has been made (whether before or after the enactment of this Act) within the statutory period of limitation properly applicable thereto, such tax may be collected by distraint or by a proceeding in court (begun before or after the enactment of this Act), but only if begun (A) within six years after the assessment of the tax, or (B) prior to the expiration of any period for collection agreed upon in writing by the Commissioner and the taxpayer. REFUNDS SECTION 3220 OF THE REVISED STATUTES, AS AMENDED, AND AS FURTHER AMENDED BY SECTION 619 (b) OF THE REVENUE ACT OF 1928 SEC. 3220. Except as otherwise provided by law in the case of income, war-profits, excess-profits, estate, and gift taxes, the Commissioner of Internal Revenue, subject to regulations prescribed by the Secretary of the Treasury, is authorized to remit, refund, and pay back all taxes erroneously or illegally assessed or collected, all penalties collected without authority, and all taxes that appear to be unjustly assessed or excessive in amount, or in any manner wrongfully collected; also to repay to any collector or deputy collector the full amount of such sums of money as may be recovered against him in any court, for any internal-revenue taxes collected by him, with the cost and expenses of suit; also all damages and costs recovered against any assessor, assistant assessor, collector, deputy collector, agent, or inspector, in any suit brought against him by reason of anything done in the due performance of his official duty, and shall make report to Congress at the beginning of each regular session of Congress of all transactions under this section. SECTION 3228 (a) OF THE REVISED STATUTES, AS AMENDED, AND AS FURTHER AMENDED BY SECTION 1006 (a) OF THE REVENUE ACT OF 1932 SEO. 3228. (a) All claims for the refunding or crediting of any internal-revenue tax alleged to have been erroneously or illegally assessed or collected, or of any penalty alleged to have been collected without authority, or of any sum alleged to have been excessive or in any manner wrongfully collected must, except as otherwise provided by law in the case of income, war-profits, excess-profits, estate, and gift taxes, be presented to the Commissioner of Internal Revenue within four years next after the payment of such tax, penalty, or sum. The amount of the refund (in the case of taxes other than income, war-profits, excessprofits, estate, and gift taxes) shall not exceed the portion of the tax, penalty, or sum paid during the four years immediately preceding the filing of the claim, or if no claim was filed, then during the four years immediately preceding the allowance of the refund. INTEREST ON REFUNDS AND CREDITS SECTION 614 OF THE REVENUE ACT OF 1928 (a) Interest shall be allowed and paid upon any overpayment in respect of any internal-revenue tax, at the rate of 6 per centum per annum, as follows: (1) In the case of a credit, from the date of the overpayment to the due date of the amount against which the credit is taken, but if the amount against which the credit is taken is an additional assessment of a tax imposed by the Revenue Act of 1921 or any subsequent revenue Act, then to the date of the assessment of that amount. (2) In the case of a refund, from the date of the overpayment to a date preceding the date of the refund check by not more than 30 days, such date to be determined by the Commissioner. (b) As used in this section the term "additional assessment" means a further assessment for a tax of the same character previously paid in part, and includes the assessment of a deficiency of any income or estate tax imposed by the Revenue Act of 1924 or by any subsequent revenue Act. TERMINATION OF THE CAPITAL STOCK TAX IMPOSED BY SECTION 215 OF THE NATIONAL INDUSTRIAL RECOVERY ACT SECTION 703 OF THE REVENUE ACT OF 1934 Sections 217 (d) and (e) of the National Industrial Recovery Act are amended to read as follows: "(d) The capital-stock tax imposed by section 215 shall not apply to any taxpayer in respect of any year except the year ending June 30, 1933. ART. 112. Termination of capital stock tax under section 215 of the National Industrial Recovery Act.-The capital stock tax imposed by section 215 of the National Industrial Recovery Act is rendered effective only for the taxable year ended June 30, 1933. The capital stock tax for subsequent years is imposed by section 701 of the Revenue Act of 1934. AUTHORITY FOR REGULATIONS SECTION 1101 OF THE REVENUE ACT OF 1926 SEO. 1101. The Commissioner, with the approval of the Secretary, shall prescribe and publish all needful rules and regulations for the enforcement of this Act. ART. 113. Promulgation of regulations. In pursuance of the authority granted by law, the foregoing regulations are hereby made and promulgated. WRIGHT MATTHEWS, Acting Commissioner of Internal Revenue. Approved August 27, 1934: T. J. COOLIDGE, Acting Secretary of the Treasury. INDEX (References are to pages) A Page Activities of new corporation in relation to carrying on or doing business_ 8 Basis of excess-profits tax---- 11 Corporation determines in first return.. 10, 11 Date of original declaration_. For first taxable year--- For subsequent taxable years.. Relation to excess-profits tax--. Adjustments, subsequent taxable years_. Affiliated corporations, returns by- Agricultural organizations, exempt_ Amount of business which constitutes carrying on or doing business_____7, 8, 31 10, 11 11 12 11 12, 17 33, 34 18, 22 Application of law: Associations_ Common-law trusts Corporations. Other organizations_ Partnerships‒‒‒‒‒‒ Application of law to domestic corporations- Application of tax--- Assessments, limitation on.. Associations: Application of law---- Controlling factors of__ Distinguished from partnerships. Distinguished from trusts__ Associations of employees, exempt--- To collect tax, penalty and interest.. To seize property, collector's___._ To summon witnesses, Commissioner's___. To take evidence, internal revenue officer's__ B Basis of decision in doubtful cases. Basis of excess-profits tax, adjusted declared value_ 4 4 4 4 4, 5 6 6, 14 42, 43 4 4 4 4 20 38, 39 38 41, 42 41, 42 7 11 11, 12 19, 26 18, 25 6 |