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leaf tobacco otherwise than to sell, or offer for sale, or consign for sale on commission, to an amount not exceeding twenty five thousand pounds in any one special-tax year, only such leaf-tobacco as they purchase or receive in the hand directly from farmers or planters who have produced the same on land owned, rented, or leased by them, or received the same as rent from their tenants, who have produced the same on such land, shall each be required to pay for carrying on such business a special tax of five dollars only. If any person who has paid such special tax shall be found to have purchased or received and sold, or consigned for sale on commission, more than twenty-five thousand pounds of leaftobacco, such as is herein provided for, in any one special-tax year, the Commissioner of Internal Revenue is authorized and directed to assess such person an amount of tax equal to the difference between the special tax paid by him and the special tax of twenty-five dollars hereinbefore imposed upon a dealer in leaf tobacco. [R. S.)
The provisions of the above subdivision him as rent from tenants who have produced sixth of R. S. sec. 3244, preceding the words, the same on his land: Provided, That noth* Prorided further, That dealers in leaf to ing in this section shall be construed to exbacco," etc., were substituted for the sub empt from a special tax any farmer or planter division as originally enacted, by Act of who, by peddling or otherwise, sells leafMarch 1, 1879, ch. 125, 20 Stat. L. 343. The tobacco at retail directly to consumers, or provisions beginning with the words quoted who sells or assigns, consigns, transfers, or were added by Act of June 16, 1880, ch. 250, disposes of to persons other than those who 21 Stat. L. 291.
have paid a special tax as leaf-dealers or The original subdivision read as follows: manufacturers of tobacco, snuff, or cigars,
“Sixth. Dealers in leaf-tobacco, except re or to persons purchasing leaf tobacco for tail dealers in leaf-tobacco, as hereinafter export. defined, shall pay twenty-five dollars. Every " Dealers in leaf-tobacco shall sell only to person shall be regarded as a dealer in leaf other dealers who have paid a special tax as tobacco, whose business it is, for himself or such, and to manufacturers of tobacco, snuff, on commission, to sell, or offer for sale, or or cigars, and to such persons as are known to consign for sale on commission, leaf-tobacco; be purchasers of leaf-tobacco for export.” Act and payment of a special tax as dealer in of July 20, 1868, ch. 186, 15 Stat. L. 150; tobacco, manufacturer of tobacco, manufac Act of June 6, 1872, ch. 315, 17 Stat. L. 250. turer of cigars, or any other special tax, shall The above taxes were reduced by Act of not exempt any person dealing in leaf-tobacco March 3, 1883, ch. 121, sec. 2, 22 Stat. L. 488. from the payment of the special tax therefor Repeal of taxes imposed on dealers in hereby required. But no farmer or planter leaf-tobacco and provisions for registry, etc., shall be required to pay a special tax as a which supersede the above provisions, etc., see dealer in leaf-tobacco, for selling tobacco of Act of Oct. 1, 1890, ch. 1244, sec. 26, 26 Stat. his own production, or tobacco received by L 618, infra, p. 619.
[Retail dealers in leaf-tobacco.] Seventh. Retail dealers in leaf-tobacco shall each pay five hundred dollars, and if their annual sales exceed one thousand dollars, shall each pay, in addition thereto, fifty cents for every dollar in excess of one thousand dollars of their sales. Every person shall be regarded as a retail Jealer in leaf-tobacco whose business it is to sell leaf-tobacco in quantities less than an original hogshead, case, or bale; or who sells directly to consumers, or to persons other than dealers in leaf-tobacco, who have paid a special tax as such; or to manufacturers of tobacco, snuff, or cigars who have paid a special tax; or to persons who purchase in original packages for export. Retail dealers in leaf-tobacco shall also keep a book, and enter therein daily their purchases and sales, in a form and manner to be prescribed by the Commissioner of Internal Revenue, which book shall be open at all times for the inspection of any revenue officer. Whenever it becomes necessary to ascertain the amount of annual sales made by any retail dealer in leaf-tobacco, or to ascertain the excess of such sales over one thousand dollars, such amount and excess, shall be ascertained and returned under such regulations and in such form as may be prescribed by the Commissioner of Internal Revenue. And whenever the amount of sales or receipts is understated or underestimated by any retail dealer
in leaf-tobacco, he shall be again assessed for such deficiency, and shall be required to pay the same, with any penalties that may by law have accrued or be chargeable thereon. [R. S.]
Act of July 29, 1868, ch. 186, 15 Stat. L. Repeal of taxes imposed on dealers in leaf152; Act of June 6, 1872, ch. 315, 17 Stat. tobacco and provisions as to registry practiL. 250.
cally superseding the above provisions, see The above taxes were reduced by Act of Act of Oct. 1, 1890, ch. 1244, sec. 26, 26 Stat. March 3, 1883, ch. 121, sec. 2, 22 Stat. L. 488. L. 618, infra.
[Dealers in tobacco.] Eighth. Dealers in tobacco shall each pay five dollars. Every person whose business it is to sell, or offer for sale, manufactured tobacco, snuff, or cigars, shall be regarded as a dealer in tobacco, and the payment of a special tax as a wholesale or retail liquor-dealer, or the payment of any other special tax, shall not relieve any person who sells manufactured tobacco and cigars from the payment of this tax: Provided, That no manufacturer of tobacco, snuff, or cigars shall be required to pay a special tax as dealer in manufactured tobacco and cigars for selling his own products at the place of manufacture.
Act of June 6, 1872, ch. 315, 17 Stat. L. lawfully carried on at the same time and in 250.
the same place. (1878) 16 Op. Atty.-Gen. These taxes were reduced by Act of March 89. See U. S. v. Neid, (1870) 27 Fed. Cas. 3, 1883, ch. 121, sec. 2, 22 Stat. L. 488.
No. 15,860. Repeal of taxes imposed on dealers in to * The provision in section 3244 has no other bacco, provisions for registry, etc., supersed effect than not to require that a manufacing the provisions in the above text, see Act turer of tobacco, snuff, or cigars, who sells of Oct. 1, 1890, ch. 1244, sec. 26, 26 Stat. L. his own products at the place of manufacture 618, in following text.
in such manner as is consistent with other Payment of employees in tobacco, even at provisions of law as to the manner of the cost price, is technically a sale, and also sale of such products, shall pay a special tax comes within the spirit of the Act requiring as a dealer in manufactured tobacco and the payment of a special tax by one "whose cigars. It has relation solely to the exaction business it is to sell or offer for sale manu of a tax, and not to the conferring of aufactured tobacco.” U. S. v. Vinson, (1881) thority to sell,” in violation of regulations 8 Fed. Rep. 507.
prescribed by the commissioner of internal The manufacture and sale at retail of revenue under section 3396, R. S. Ludloff cigars and manufactured tobacco cannot be v. U. S., (1883) 108 U. S. 183.
SEC. 26. [Special taxes of tobacco dealers, etc., repealed - registry required.] That on and after the first day of May, eighteen hundred and ninety-one, all special taxes imposed by the laws now in force upon dealers in leaf tobacco, retail dealers in leaf tobacco, dealers in tobacco, manufacturers of tobacco, manufacturers of cigars, and peddlers of tobacco are hereby repealed. Every such dealer in leaf tobacco, retail dealer in leaf tobacco, manufacturer, and peddler shall, however, register with the collector of the district his name, or style, place of residence, trade, or business, and the place where such trade or business is to be carried on, the same as though the tax had not been repealed, and a failure to register as herein required shall subject such person to a penalty of fifty dollars. [26 Stat. L. 618.]
This is from the Tariff Act of Oct. 1, 1890, ch. 1244, sec. 26, 26 Stat. L. 618.
SEC. 27. [Restrictions on growers of tobacco repealed.] That all provisions of the statutes imposing restrictions of any kind whatsoever upon farmers and growers of tobacro in regard to the sale of their leaf tobacco, and the keeping of books, and the registration and report of their
sales of leaf tobacco, or imposing any tax on account of such sales, are hereby repealed: [26 Stat. L. 618.]
This is from the tariff Act of Oct. 1, of the first class, as now defined by law, 1890, ch. 1244, sec. 27, 26 Stat. L. 618. shall pay thirty dollars; peddlers of the As originally enacted it contained the second class shall pay fifteen dollars; further provision:
peddlers of the third class shall pay seven “ Provided, houerer, That it shall be the dollars and twenty cents; and peddlers duty of every farmer or planter produc of the fourth class shall pay three dollars ing and selling leaf-tobacco, on demand and sixty cents. Retail dealers in leafof any internal-revenue officer, or other tobacco shall pay two hundred and fifty authorized agent of the Treasury Depart dollars, and thirty cents for each dollar ment, to furnish said officer or agent a on the amount of their monthly sales in true and complete statement, verified by excess of the rate of five hundred dollars oath, of all his sales of leaf-tobacco, the per annum: Prorided, That farmers and number of hogsheads, cases, or pounds, producers of tobacco may sell at the with the name and residence, in each in place of production tobacco of their own stance, of the person to whom sold, and growth and raising at retail directly to the place to which it is shipped. And consumers, to an amount not exceeding every farmer or planter who willfully re one hundred dollars annually. [22 Stat. fuses to furnish such information, or L. 488.] who knowingly makes false statements “ SEC. 3. That hereafter the special tax as to any of the facts aforesaid, shall be of a dealer in manufactured tobacco shall guilty of a misdemeanor, and shall be not be required from any farmer, planter, liable to a penalty not exceeding five or lumberman who furnishes such tohundred dollars."
bacco only as rations or supplies to his This provision was stricken out by Act laborers or employees in the same manof Aug. 27, 1894, ch. 349, sec. 69, 28 Stat. ner as other supplies are furnished by L. 568, given below.
him to them: Prorided, That the aggreProvisions of the Act of March 3, 1883, gate of the supplies of tobacco so by him ch. 121, 22 Stat. L. 488, repealed or super furnished shall not exceed in quantity seded by the provisions in the text, read one hundred pounds in any one special as follows:
tax year; that is, from the first day of “ SEC. 2. That on and after the first May in any year until the thirtieth day day of May, eighteen hundred and eighty of April in the next year: And prothree, dealers in leaf tobacco shall an vided further, That such farmer, planter, nually pay twelve dollars; dealers in or lumberman shall not be, at the time manufactured tobacco shall pay two dol he is furnishing such supplies, engaged in lars and forty cents; all manufacturers the general business of selling dry goods, of tobacco shall pay six dollars; manu groceries, or other similar supplies in the facturers of cigars shall pay six dollars; manner of a merchant or storekeeper to peddlers of tobacco, i nuff, and cigars shall others than his own employees or laborpay special taxes, as follows: Peddlers ers.” [22 Stat. L. 489.]
[Manufacturers of tobacco.] Ninth. [Superseded.] This subdivision of R. S. sec. 3244 is originally enacted was the same as the prosuperseded by Act of Aug. 27, 1894, ch. 349, visions given in the text hereinafter following sec. 69. 28 Stat. L. 568, given in the text down to the first period, except that it was following, and by the repealing Act of Oct. introduced with the clause, “Ninth. Manufac1, 1890, ch. 1244, sec. 26, 26 Stat. L. 618, turers of tobacco shall each pay ten dollars." given supra, p. 619. The subdivision
SEC. 69. [Tobacco manufacturer. defined.] Every person whose business it is to manufacture tobacco or snuff for himself, or who employs others to manufacture tobacco or snuff, whether such manufacture be by cutting, pressing, grinding, crushing, or rubbing of any raw or leaftobacco, or otherwise preparing raw or leaf tobacco, or manufactured or partially manufactured tobacco or snuff, or the putting up for use or consumption of scraps, waste, clippings, stems, or deposits of tobacco resulting from any process of handling tobacco, or by the working or preparation of leaf-tobacco, tobacco-stems, scraps, clippings, or waste, by sifting, twisting, screening, or any other process, shall be regarded as a manufacturer of tobacco. Every person shall also be regarded as a manufacturer of tobacco whose business it is to sell leaf tobacco in quantities less than a hogshead, case or bale; or who sells directly to consumers, or to persons other than duly registered dealers in leaf tobacco, or duly registered
manufacturers of tobacco, snuff or cigars, or to persons who purchase in packages for export; and all tobacco so sold by such persons shall be regarded as manufactured tobacco, and such manufactured tobacco shall be put up and prepared by such manufacturer in such packages only as the Commissioner of Internal Revenue with the approval of the Secretary of the Treasury shall prescribe: Provided, That farmers and growers of tobacco who sell leaf tobacco of their own growth and raising shall not be regarded as manufacturers of tobacco; and so much of section three thousand two hundred and forty-four of the Revised Statutes of the United States, and Acts amendatory thereof, as are in conflict with this Act are hereby repealed: Provided further, * * *
That section thirty-three hundred and sixty-one of the Revised Statutes is hereby repealed. [28 Stat. L. 568.]
This is from the Revenue Act of Aug. 27, 1894, ch. 349, sec. 69, 28 Stat. L. 568, and supersedes subdivision ninth of R. S. sec. 3244, noted supra, p. 620.
The proviso omitted amends section 27, Act of Oct. 1, 1890, ch. 1244, 26 Stat. L.
618, by striking out the proviso in such section as noted supra, p. 620. This section and sections 3262 and 3268, complete accounting by the manufacturer for R. S., “sought to accomplish two objects: all the product of his factory, including the first, the taxation of all forms of manu waste." Seeberger v. Castro, (1894) 153 U. factured tobacco, including also the waste or S. 36. scrap arising therefrom; and, second, the
[Manufacturers of cigars.] Tenth. Manufacturers of cigars shall each pay ten dollars. Every person whose business it is to make or manufacture cigars for himself, or who employs others to make or manufacture cigars, shall be regarded as a manufacturer of cigars. No special tax stamp shall be issued to any manufacturer of cigars until he has given the bond required by law. Every person whose business it is to make cigars for others, either for pay, upon commission, on shares, or otherwise, from material furnished by others, shall be regarded as a cigar-maker. Every cigar-maker shall cause his name and residence to be registered, without previous demand, with the collector of the district in which such cigar-maker shall be employed; and every manufacturer of cigars employing any cigar-maker who shall have neglected or refused to make such registry shall be fined five dollars for each day that such cigar-maker so offending, by neglect or refusal to register, shall be employed by him. [R. S.]
Act of July 20, 1868, ch. 186, 15 Stat. L. Repeal of tax imposed on manufacturers 150; Act of June 6, 1872, ch. 315, 17 Stat. of cigars and provisions for registry, see Act L. 251.
of Oct. 1, 1890, ch. 1244, sec, 26, 26 Stat. L. These taxes were reduced by Act of March 618, supra, p. 619. 3, 1883, ch. 121, sec. 2, 22 Stat. L. 488.
[Peddlers of tobacco.] Eleventh, Peddlers of tobacco shall be classified and rated as follows, to wit: When traveling with more than two horses, mules, or other animals, as of the first class, and shall pay fifty dollars; when traveling with two horses, mules, or other animals, as of the second class, and shall pay twenty-five dollars; when traveling with one horse, mule, or other animal, as of the third class, and shall pay fifteen dollars; when traveling on foot or by public conveyance, as of the fourth class, and shall pay ten dollars. Any person who sells or offers to sell and deliver manufactured tobacco, snuff, or cigars, traveling from place to place, in the town or through the country, shall be regarded as a peddler of tobacco. [R. S.]
Act of June 6, 1872, ch. 315, 17 Stat. L. 251. of Oct. 1, 1890, ch. 1244, sec. 26, 26 Stat.
These taxes were reduced by Act of March L. 618, supra, p. 619. 3, 1883, ch. 121, sec. 2, 22 Stat. L. 488.
Legislative definition of peddler. — “If this Repeal of tax imposed on peddlers of statute hud simply imposed a license tax tobacco and provisions for registry, see Aet upon the occupation of a peddler in tobacco,'
it would be proper to have recourse to the signification of the word at the time the law was passed, to ascertain whether the person charged was comprehended within the general epithet. But when the legislature saw fit to declare that a person who commits certain enumerated acts shall be considered a peddler and treated as such, it is too late to resort
to glossaries to ascertain whether the legis. lature observed the dictionary definition of the occupation, according to antecedent usage or strict etymological rules. The legislative definition outweighs the dictum of the lexicographers." In re Wilson, (1890) 8 Mackey (D. C.) 341.
Sec. 3245. [Balance of distillers' special tax to be refunded.] The special tax paid by distillers prior to August one, eighteen hundred and seventy-two, which has not been exhausted by the quantity of spirits distilled as provided by law, shall be refunded, upon proper application, out of any money arising from internal taxes, not otherwise appropriated. [R. S.]
Act of June 6, 1872, ch. 315, 17 Stat. L. 238.
Sec. 3246. [Special tax not payable by vintners, etc., nor by apothecaries in certain cases.] Nothing in this chapter shall be construed to impose a special tax upon vintners who sell wine of their own growth, or manufacturers who sell wine produced from grapes grown by others, at the place where the same is made or at the general business office of such vintner or manufacturer: Provided, That no vintner or manufacturer shall have more than one office for the sale of such wine that shall be exempt from special tax under this act; nor shall any special tax be imposed upon apothecaries as to wines or spirituous liquors which they use exclusively in the preparation or making-up of medicines. [R. S.]
The above provisions were substituted for liquors which they use exclusively in the the section as originally enacted, by Act of preparation or making up of medicines.” Act March 1, 1879, ch. 125, sec. 5, 20 Stat. L. 334. of July 13, 1866, ch. 184, 14 Stat. L. 122.
The section as originally enacted was as A physician who has not paid the special follows:
tax cannot keep on hand a supply of spiritSEC. 3246. Nothing in this chapter shall uous liquor, and sell it out to his patients, be construed to impose a special tax upon even if he does this in the way of prescripvintners who sell wine of their own growth tion. U. S. v. Smith, (1891) 45 Fed. Rep. at the place where the same is made; or upon 115. apothecaries, to wines or spirituous
Joint resolution concerning special-tax stamps.
[Res. No. 10 of May 8, 1876, 19 Stat. L. 213.] [Special-tax stamps to retail dealers in liquors and tobacco on railway-trains, vessels, etc.] That nothing contained in chapter three of title thirty-five of the Revised Statutes shall prevent the issue, under such regulations as the Commissioner of Internal Revenue may prescribe, of special-tax stamps to persons carrying on the business of retail dealers in liquors, retail dealers in malt liquors, or dealers in tobacco, upon passenger railroad-trains or upon steamboats or other vessels engaged in the business of carrying passengers. [19 Stat. L. 213.]
Chapter 3 of title XXX. of the Revised Special taxes imposed upon dealers in Statutes consists of sections 3232-3246, en tobacco were repealed by Act of Oct. 1, 1890, titled “Special Taxes.”
ch. 1244, sec. 26, 26 Stat. L. 618, supra, p. 619.
An act to reduce taxation, to provide revenue for the Government, and for other purposes.
[Act of Aug. 27, 1894, ch. 349, 28 Stat. L. 509.] Sec. 27. [Tax on incomes.] That from and after the first day of January, eighteen hundred and ninety-five, and until the first day of January, nineteen hundred, there shall be assessed, levied, collected, and paid annually upon the gains, profits, and income received in the preceding calendar year by every