180 



CONGRESS. (REPEAL OF WAR-REVENUE TAXATION.) 



The measure was approved by the President 

 April 12, 1902, in the following form: 



"Be it enacted l>u UK- senate and House of 

 Representatives of the ( nited States of America 

 in Congress assembled, That section 1 of the act 

 entitled ' An Act to provide ways and means to 

 meet war expenditures, and for other purposes,' 

 approved June 13, 1898, as amended by the act 

 .it March 2. 1901, entitled 'An Act to amend an 

 act entitled ' An Act to provide ways and means 

 to- meet war expenditures, and fqr other pur- 

 poses,' approved June 13, 1898, and to reduce 

 taxation thereunder,' be, and is hereby, further 

 amended so as to read as follows: 



" SECTION 1. That there shall be paid on all 

 beer, lager-beer, ale, porter, and other similar fer- 

 mented liquor, brewed or manufactured and sold, 

 or stored in warehouse, or removed for consump- 

 tion or sale, within the United States, by what- 

 ever name such liquors may be called, in lieu 

 of the tax now imposed by law, a tax of $1 for 

 every barrel containing not more than 31 gallons; 

 and 'at a like rate for any other quantity or for 

 any fractional part of a barrel, as authorized 

 and denned by section 3339 of the Revised Stat- 

 utes of the United States: Provided, That in lieu 

 of or in addition to the present requirements of 

 law in that respect all stamps used for denoting 

 the tax upon fermented liquors or other taxes 

 may, in the discretion of the Commissioner of 

 Internal Revenue, be canceled by perforations to 

 be made in such manner and form as the com- 

 missioner may, by regulations, prescribe. 



" SEC. 2. That section 2 of said act of June 13, 

 1898, and all amendments thereof, are hereby 

 repealed. 



" SEC. 3. That section 3 of said act and amend- 

 ments thereof be amended to read as follows: 



" ' SEC. 3. That upon tobacco and snuff manu- 

 factured and sold, or removed for consumption or 

 use, there shall be levied and collected, in lieu of 

 the tax now imposed by law, the following taxes: 



" ' On snuff, manufactured of tobacco or any 

 substitute for tobacco, ground, dry, damp, pick- 

 led, scented, or otherwise, of all descriptions, 

 when prepared for use, a tax of 6 cents per pound. 

 And snuff-flour, when sold, or removed for use 

 or consumption, shall be taxed as snuff, and shall 

 be put up in packages and stamped in the same 

 manner as snuff. 



" ' On all chewing and smoking tobacco, fine 

 cut, cavendish, plug, or twist, cut or granulated, 

 of every description ; on tobacco twisted by hand 

 or reduced into a condition to be consumed, or 

 in any manner other than the ordinary mode of 

 drying and curing, prepared for sale or con- 

 sumption, even if prepared without the use of 

 any machine or instrument, and without being 

 pressed or sweetened; and on all fine-cut shorts 

 and refuse scraps, clippings, cuttings, and sweep- 

 ings of tobacco, a tax of 6 cents per pound. 



' ' That the internal-revenue tax on cigars or 

 cigarettes weighing more than 3 pounds per 1,000 

 shall be $3 per 1,000; and the tax on cigars weigh- 

 ing not more than 3 pounds per 1,000 shall be 18 

 cents per pound, and on cigarettes weighing not 

 more than 3 pounds per 1.000 and of a wholesale 

 value or price of not more than $2 per 1.000 shall 

 be 18 cents per pound; and the tax on cigarettes 

 weighing not more than 3 pounds per 1,000 and of 

 a wholesale value or price of more than $2 per 

 1.000 shall be 36 cents per pound; and all such 

 cigars and cigarettes weighing not more than 3 

 pounds per 1,000 shall, for purposes of taxation, 

 be held and considered as weighing 3 pounds. 



' That in addition to the packages of smoking 

 tobacco and snuff now authorized l>v law there 



shall be packages of 1 ounce, 2 ounces, 2$ 

 ounces, 3 ounces, 3J ounces, and 4 ounces; and 

 there may be a package containing 1 ounce of 

 smoking tobacco.' 



" SEC. 4. That on all original and unbroken 

 factory packages of smoking and manufactured 

 tobacco and snuff held by manufacturers or deal- 

 ers on July 1, 1902, upon which there has been 

 paid a higher tax than that provided for in the 

 preceding section of this act, there shall be al- 

 lowed a drawback or rebate equal to the full 

 amount of the difference between such higher 

 tax and the tax imposed by this act, after mak- 

 ing the proper allowance for discounts and re- 

 bates heretofore authorized, but the same shall 

 not apply in any case where the claim has 

 not been presented within sixty days after July 

 1, 1902; and no claim shall be allowed or draw- 

 back paid for a less amount than $10. It 

 shall be the duty of the Commissioner of Inter- 

 nal Revenue, with the approval of the Secretary 

 of the Treasury, to adopt such rules and regula- 

 tions and to prescribe and furnish such blanks 

 and forms as may be necessary to carry this sec- 

 tion into effect. 



" SEC. 5. That section 4 of the act of June 13, 

 1898, is hereby repealed. 



" SEC. 6. That section 5 of the act of June 13, 

 1898, be amended to read as follows: 



" ' SEC. 5. That until appropriate stamps are 

 prepared and furnished, the stamps heretofore 

 used to denote the payment of the internal-reve- 

 nue tax on fermented liquors, tobacco, and snuff 

 may be stamped or imprinted with a suitable de- 

 vice to denote the new rate of tax, and shall be 

 affixed to all packages containing such articles on 

 which the tax imposed by this act is paid. And 

 any person having possession of unaflixed stamps 

 heretofore issued for the payment of the tax 

 upon fermented liquors, tobacco, and snuff 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 there- 

 of new or imprinted stamps at the rate provided 

 by this act.' 



" SEC. 7. That section 4 of said act of March 2, 

 1901, and sections 6, 12. 18. 20, 21, 22, 23, 24, 25, 

 Schedule A, Schedule B, sections 27, 28, and 29 

 of the act of June 13, 1898. and all amendments 

 of said sections and schedules be, and the same 

 are hereby repealed. 



" SEC. 8. That all taxes or duties imposed bj 

 section 29 of the act of June 13. 1898, and amend 

 ments thereof, prior to the taking effect of tl 

 act, shall be subject, as to lien, charge, collectior 

 and otherwise, to the provisions of section 30 of 

 said act of June 13, 1898. and amendments there- 

 of, which are hereby continued in force, as fol- 

 lows : 



" ' SEC. 30. That the tax or duty aforesaid shall 

 be due and payable in one year after the death 

 of the testator and shall be a lien and charge 

 upon the property of every person who may die 

 as aforesaid for twenty years, or until the same 

 shall, within that period, be fully paid to and dis- 

 charged by the United States: and every exeru 

 tor, administrator, or trustee having in charge or 

 trust any legacy or distributive share, as afore- 

 said, shall give notice thereof, in writing, to the 

 collector or deputy collector of the district when 

 the deceased grantor or bargainer last resided 

 within thirty days after he shall have taker 

 charge of such trust, and every executor, ad- 

 ministrator, or trustee, before payment and di~ 

 trilnition to the legatees, or any parties entitled 

 to beneficial interest therein, shall pay to the col- 

 lector or deputy collector of the district of which 



