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tions, to all persons, firms, associations, and corporations. The subject-matter of the tax, to wit, "notes used for circulation paid out by them” was the same.

Construction of sections 19 and 20, act of February 8, 1875. (21 Int. Rev. Rec., 346.)

“Wages certificates" of Philadelphia and Reading Railroad taxable. (16 Op. Atty. Gen., 341; 25 Int. Rev. Rec., 167.)

Tax limited to obligations payable in money. (Hollister v. Zion's Co-operative Mercantile Institution, 111 V. S., 62; 30 Int. Rev. Rec., 111. In re Aldrich, 16 Fed. Rep., 369.)

Glass manufacturers' cases. Warrick and Stanger were glass manufacturers at Glassboro, N. J., and issued their notes in various amounts, from 5 cents to $5 each, in payment of wages due to their hands. These notes circulated as money, and when redeemed were constantly reissued. Every issue of the notes taxable. (United States v. Warrick, 31 Int. Rev. Rec., 327.)

A national bank paying out on checks and otherwise notes of a bank chartered in a foreign country is subject to tax of 10 per cent upon the total amount of all notes it has received and used as a circulating medium., (20 Op. Atty. Gen., 534.)

Notes of Canadian Banks (33 Int. Rev. Rec., 405; 34 ibid., 53, 61, and 77; also vol. 1, Treas. Dec. (1899), No. 20507).

Notes of the Dominion of Canada (34 Int. Rev. Rec., 61).
It is indispensable that the instrument taxed should be a note.
Ice tickets not taxable (19 Op. Atty. Gen., 98).

Opinion of the Attorney-General on the question submitted by the Commissioner of Internal Revenue as to whether payroll checks issued by manufacturers and others, and certificates issued by clearing-house associations when used for circulation, are notes within the meaning of section 19, act of February 8, 1875, on which the tax of 10 per centum is imposed. (39 Int.

Rev. Rec., 398; 20 Op. Atty. Gen., 681.) Return of

[SEC. 3413c.) Section 21 of the act of February 8, 1875 (18 Stat., amounts and payment of tax. 311). That the amount of such circulating notes, and of the

tax due thereon, shall be returned, and the tax paid at the same time, and in the same manner, and with like penalties for failure to return and pay the same, as provided by law for the return and payment of taxes on

circulation, imposed by the existing provisions of internal revenue

law. Banks' and SEC. 3414. A true and complete return of the monthly bankers' month. ly returns. amount of circulation,

as aforesaid, and of the monthly amount of notes of persons, town, city, or municipal corporation, State banks, or Staté banking associations paid out as aforesaid for the previous six months, shall be made and rendered in duplicate on the first day of December and the first day of June, by each of such banks, associations, corporations, companies, or persons, with a declaration annexed thereto, under the oath of such person, or of the president or cashier of such bank, association, corporation, or company, in such form and manner as may be prescribed by the Commissioner of Internal Revenue, that the same contains a true and faithful statement of the amounts subject to tax, as aforesaid; and one copy shall be transmitted to the collector of the district in which any such bank, association, corporation, or company is situated, or in which such person has his place of business, and one copy to the Commissioner of Internal Revenue.

The words of deposits and of capital" are omitted in line 2

as obsolete. In default of SEC. 3415. In default of the returns provided in the prereturn, Commis: ceding section, the amount of circulation,

and . notes of persons, town, city, and municipal corporations,



State banks, and State banking associations paid out, as aforesaid, shall be estimated by the Commissioner of Internal Revenue, upon the best information he can obtain. And for any refusal or neglect to make return and payment, any such bank, association, corporation, company, or person so in default shall pay a penalty of two hundred dollars, besides the additional penalty and forfeitures provided in other cases.

The words “ deposit, capital” omitted in line 2.

See section 3176, p. 83, as to additional penalties. SEC. 3416. Whenever any State bank or banking associa State banks tion has been converted into a national banking association, national banks; and such national banking association has assumed the returns, hov liabilities of such State bank or banking association, including the redemption of its bills, by any agreement or understanding whatever with the representatives of such State bank or banking association, such national banking association shall be held to make the required return and payment on the circulation outstanding, so long as such circulation shall exceed five per centum of the capital before such conversion of such State bank or banking association.

This section (3416) is practically obsolete. SEC. 3417. The provisions of this chapter, relating to the Certain provitax on the circulation of banks, and to their re- ter not to applyto turns, except as contained in sections thirty-four hun-national banks. dred and eleven, thirty-four hundred and twelve, thirty-four Ast Feb: 18, hundred and thirteen, and thirty-four hundred and sixteen, 319). and such parts of sections thirty-four hundred and fourteen, and thirty-four hundred and fifteen as relate to the tax of ten per centum on certain notes, shall not apply to associations which are taxed under and by virtue of Title 6. National Banks."


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Sec. 3443. Fraudulent claims for drawback; 3454. Sales to evade tax; forfeiture. penalty.

3155. Disposing of or receiving or making 3444. Collector's monthly account of ar

empty stamped packages, penalticles in bonded warehouses and

tieg. articles exported.

3456. Penalty and forfeiture by distillers, 3445. Stamps, instruments for attaching,

etc., for omitting things required canceling, etc.

and for doing things forbidden. 3446 (amended). Power to alter or change 3457. Packages included in forfeiture of stamps, marks, labels, etc.

goods. [3446a.] Stamps to be sent to officers by | 3458. Goods seized may be delivered to mail, registered.

marshal before process issues, etc. [3446b.) Regarding imprinting stamps 3459. Bonding of goods seized.

heretofore used. Section 5, act 3460. Proceedings on seizure of goods of June 13, 1898.

valued at $500 or less. 3447. Where mode of assessing or collect- 3461. Application for remission.

ing tax is not provided for; reg- 3462. Search warrants,
ulations authorized.

3463 and (3463a). Informers' rewards. 3448. Internal-revenue laws, when coex- Appropriation for detecting frauds.

tensive with jurisdiction of | 3464. Purchasing for the Government United States.

goods subject to tax. 3449. Removing liquors under other than 3465. Construction of act March 2, 1833.

the proper name known to the Act of August 13, 1894. Guarantee corpo. trade; penalty.

ration may be accepted as sole 3450. Removing or concealing articles

surety on recognizances, stipulawith intent to defraud; forfeit

tions, bonds, and undertakings. ure and penalty.

Section 5 of the legislative, executive, 3451. Fraudulently executing documents;

and judicial appropriation act penalty.

of March 2, 1895. Relative to Repealing and saving clause. Act

official bonds. of August 28, 1894.

Section 72, act of August 28, 1894. Sar3452. Having property in possession with

ing provisions as to repealed laws. intent to sell in fraud of law or Section 31, act of June 13, 1898. Former to evade taxes; penalty.

laws made applicable. 3453. Property found in possession in Section 51, act of June 13, 1898. Act when fraud of revenue laws; forfeiture.

to take effect. SEC. 3441. Relative to drawback on fermented liquors; repealed by act of June 18, 1890. See page 324.

SEC. 3442. Obsolete by repeal of section 3441. Fraudulent SEC. 3443. Whenever any person fraudulently claims or claims for draw back; penalty." seeks to obtain an allowance of drawback on goods, wares,

or merchandise on which no internal duty shall have been paid, or fraudulently claims any greater allowance of drawback than the tax actually paid as aforesaid, he shall forfeit triple the amount wrongfully or fraudulently claimed or sought to be obtained, or the sum of five hundred dollars, at the election of the Secretary of the Treasury.

Section 3330, p. 204, provides a penalty in the case of fraudulent claims for drawback on spirits, and section 25, act of February 8, 1875 ((3386a), p. 254), in the case of fraudulent claims for drawback on tobacco.

Drawback is now allowed on distilled spirits, tobacco, snuff,

and cigars, articles mentioned in Schedule B, and stills.


SEC. 3444. Every collector who has charge of any ware. Collector's house in which distilled spirits, or other articles, are stored

monthly account

of articles in in bond, shall render a monthly account of all such articles bonded

houses and arti. to the Commissioner of Internal Revenue, by whom such cles exported. account shall be examined and adjusted monthly, so as to exbibit a true statement of the responsibility of such col. lector thereon. In adjusting such account, the collector shall be charged with all the articles which may have been deposited or received under the provisions of law, in any warehouse in his district and under his control, and shall be credited with all such articles shown to have been removed therefrom according to law, including transfers to other collectors and to his successor in office, and also whatever allowances may bave been made in accordance with law to any owner of such goods or articles for leakage or other losses.

And every collector from whose district any distilled spirits, tobacco, snuft, or cigars are shipped in bond, under the provisions of this Title, shall render a monthly account of the same to the Commissioner of Internal Revenue, showing the amount of each article produced and shipped in bond, the amounts of which the exportation is completed according to law, and the amount remaining unaccounted for at the end of each month; also any excesses or deficiencies on the amounts originally reported as shipped.

SEC. 3445. The Commissioner of Internal Revenue may changes of make such change in stamps, and may prescribe such in- stamp for åretch: struments or other means for attaching, protecting, and can- ing, protecting,

and canceling. celing stamps, for tobacco, snuff, cigars, distilled spirits, and fermented liquors, or either of them, as he and the Secretary of the Treasury shall approve; such instruments to be furnished by the United States to the person using the stamps to be affixed therewith, under such regulations as the Commissioner of Internal Revenue may prescribe.

Rubber stamps may be used instead of stencils for canceling strip stamps on cigar boxes. (Circular letter, Oct. 15, 1897; 43

Int. Rev. Rec., 385.) SEC. 3446, as amended by section 18, act of March 1, 1879 (20 Stat., 327); The Commissioner of Internal Revenue, with the approval Power to of the Secretary of the Treasury, may establish and, from tablish, alter, or

. time to time, alter or change the form, style, character, revenue stamps, material, and device of any stamp, mark, or label used marks, or labels, under any provision of the laws relating to internal revenue. Such stamps shall beattached, protected, removed, canceled, obliterated, and destroyed, in such manner and by such instruments or other means as be, with the approval of the Secretary of the Treasury, may prescribe; and he is hereby authorized and empowered to make, with the approval of the Secretary of the Treasury, all needful regulations relating thereto; and all pains, penalties, fines, and forfeitures now provided by law relating to internal-revenue stamps shall apply to and have full force and effect in relation to any and all stamps which may or shall be so established by the Commissioner of Internal Revenue:

Provided, Such stamps or device or instrument or means Expense.

es. *

of removal or obliteration, shall entail no additional expense upon the persons required to affix or use the same.

See section 321, p. 47, as to authority of Commissioner to provide stamps, etc.

Stamps for special taxes, section 3238, p. 202; for distilled spirits, section 3312, p. 194; for imitation wines, section 3328, p. 202; for fermented liquors, section 3341, p. 229; for tobacco, section 3369, p. 245; for cigars, section 3395, p. 261; for oleomargarine, section 8, act of August 2, 1886, p. 272. See appropriate sections for other articles.

The portraits of living persons upon internal-revenue stamps not probibited by section 3576, R. S., but their exclusion there. from is in consonance with its spirit. (14 Op. Atty. Gen., 528.)

Beer stamps now in ise will not be available to pay tax if rate is increased. (Vol. 1, Treas. Dec. (1898), No. 19194.)

Hamilton-Brooks cigar stamp. (16 Op. Atty. Gen., 444; 26 Int.
Rev. Rec., 33; 17 Op. Atty. Gen., 111.)

Use of the Hunter stamp. (15 Op. Atty. Gen., 191.)
Fletcher's invention. (11 Ct. Clms., 748.)
Alleged infringement of patent. (Fletcher 2. Blake, 131 U.S.,
cxcvii appendix; 27 Int. Rev. Rec., 6. Hollister v. Benedict and
Burnham Manufacturing Company, 113 U. S., 59; 31 Int. Rev.
Rec., 30. Solomons r. United States, 22 Ct. Clins., 335.)

Stamps for spirits, beer, tobacco, snuff, and cigars are not legitimate articles of traffic. (11 Int. Rev. Rec., 57.)

[SEC. 3446a.) Extract from legislative, executive, and judicial approStamps to be sent to officers by priation act, approved August 15, 1876. (19 Stat., 152).

And mail, registered. hereafter the transmission of internal revenue stamps to

the officers of the internal revenue service shall be made through the mails of the United States in registered packages.

Internal-revenue stamps may be mailed to collectors and stamp deputy collectors or returned by them to the Commissioner in full packages without regard to the four-pound limit of weight.

(Vol. 1, Treas. Dec. (1898), No. 18947.) [34466.] Section 5, act of June 13, 1898 (30 Stat., 448). Until appropriate stamps are prepared and furnished, the stamps heretofore used to denote the payment of the internal.

revenue tax on fermented liquors, tobacco, snuff, cigars and Imprinting cigarettes may be stamped or imprinted with a suitable denear rate on old vice to denote the new rate of tax, and shall be affixed to stamps.

all packages containing such articles on which the tax imposed by this Act is paid. And any person having possession of unaffixed stamps heretofore issued for the pay. ment of the tax upon fermented liquors, tobacco, snuff, cigars, or cigarettes shall present the same to the collector of the district, who shall receive them at the price paid for such stamps by the purchasers and issue in lieu thereof

new or imprinted stamps at the rate provided by this Act. Where mode of SEC. 3447. Whenever the mode or time of assessing or lecting any taxis collecting any tax which is imposed is not provided for, the not provided for; Commissioner of Internal Revenue may establish the same regulations.

by regulation. He may also make all such regulations, not otherwise provided for, as may have become necessary by reason of any alteration of law in relation to internal rev

enue. Internal - rere SEC. 3448. The internal-revenue laws imposing taxes on nue laws, when distilled spirits, fermented liquors, tobacco, snuff, and cigars jurisdiction of shall be held to extend to such articles produced anywhere United States.

within the exterior boundaries of the United States, whether the same be within a collection-district or not.

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