# United States Statutes at Large/Volume 13/38th Congress/2nd Session/Chapter 78

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Chap. LXXVIII. — An Act to amend an Act entitled "An Act to provide Internal Revenue to support the Government, to pay Interest on the Public Debt, and for other Purposes," approved June thirtieth, eighteen hundred and sixty-four.
Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That the act entitled "An act to provide internal revenue to support the government, to pay interest on the public debt, and for other purposes," approved June thirtieth, eighteen hundred and sixty-four, be, and the same is hereby, amended as hereinafter set forth, namely:—
Number of agents. That section four be amended by striking out the word "five," and inserting in lieu thereof the word "ten."
Assessors to appoint assistants. That section eight be amended by striking out, after the words "within each of which the," the words "Secretary of the Treasury, whenever there shall be a vacancy, or the public interest shall require, shall appoint, with the approval of the said commissioner,Ante, p. 224. one assistant assessor, who shall be a resident of the district of said assessor," and inserting in lieu thereof the words "assessor, whenever there shall be a vacancy, shall appoint, with the approval of said commissioner, one or more assistant assessor[s], who shall be a resident of such assessment district."
Penalty for not making returns. That section fourteen be amended by striking out the word "fifty," and inserting in lieu thereof the words "twenty-five."
Commissions of collectors. That section twenty-five be amended by inserting after the words "four hundred thousand dollars," the words "and not exceeding one million of dollars, and one eighth of one per centum on all sums above one millionAnte, p. 232. of dollars;" by inserting after the words "reasonable charges for," the word "advertising;" and by striking out all of the first proviso; and by striking out the word "further" in the second proviso.
That section twenty-six be amended by striking out the word "apportionment," and inserting in lieu thereof the word "appointment."
That section twenty-eight be amended by striking out all after the enacting clause, and inserting in lieu thereofCollector to give notice when and where taxes are payable. the words "That each of said collectors shall, within twenty days after receiving his annual collection list from the assessors, give notice, by advertisement published in each county in his collection district, in one newspaper printed in such county, if any such there be, and by notificationsAnte, pp. 232, 233. to be posted up in at least four public places in each county in his collection district, that the said duties have become due and payable, and state the time and place within said county ​at which he or his deputy will attend to receive the same, which time shall not be less than ten days after such notification. And if any person shall neglect to pay, as aforesaid,Notice to those neglecting to pay. for more than ten days, it shall be the duty of the collector or his deputy to issue to such person a notice, to be left at his dwelling or usual place of business, or be sent by mail, demanding the payment of said duties or taxes, stating the amount thereof, with a fee of twenty cents for the issuingCosts. and service of such notice, and with four cents for each mile actually and necessarily travelled in serving the same. And if such person shall not payIf not paid after notice, to be collected with costs and penalty. the duties or taxes, and the fee of twenty cents and mileage as aforesaid, within ten days after the service or the sending by mail of such notice, it shall be the duty of the collector or his deputy to collect the said duties or taxes, and fee of twenty cents and mileage, with a penalty of ten per centum additional upon the amount of duties. And with respect to all such duties or taxes as are not included in the annual lists aforesaid, and all taxes and duties the collection of which is not otherwise provided for in this act, it shall be the duty of each collector, in person or by deputy,Demand for taxes, &c., not in annual list. to demand payment thereof, in the manner last mentioned, within ten days from and after receiving the list thereof from the assessor, or within twenty days from and after the expiration of the time within which such duty or tax should have been paid; and if the annual or other duties shall not be paid within ten days from and after such demand therefor, it shall be lawful for such collector, or his deputies, to proceed to collect the said duties or taxes,Collection by distraint and sale. Proceedings in case of distraint. with ten per centum additional thereto, as aforesaid, by distraint and sale of the goods, chattels, or effects of the persons delinquent as aforesaid. And in case of distraint it shall be the duty of the officer charged with the collection to make, or cause to be made, an account of the goods or chattels distrained, a copy of which, signed by the officer making such distraint, shall be left with the owner or possessor of such goods, chattels, or effects, or at his or her dwelling, or usual place of business, with some person of suitable age and discretion, if any such can be found, with a note of the sum demanded, and the time and place of sale; and the said officer shall forthwith cause a notification to be published in some newspaper within the county wherein said distraint is made, if there is a newspaper published in said county, or to be publicly posted up at the post-office, if there be one within five miles, nearest to the residence of the person whose property shall be distrained, and in not less than two other public places, which notice shall specify the articles distrained, and the time and place for the sale thereof, which time shall not be less than ten nor more than twenty days from the date of such notification, [and] the place proposed for sale not more than five miles distant from the place of making such distraint. AndWhen returns are not made to commissioner. in any case in which any person, bank, association, company, or corporation required by law to make return to the commissioner of internal revenue shall refuse or neglect to make such return within the time specified, the amount of circulation, deposit, and capital, or either, shall be estimated by the proper assessor or assistant assessor, and shall be certified by him to the commissioner. And in all cases in which the person, bank, association, company, or corporation required by law to make payment of taxes to the commissioner, shall neglect or refuse to make such payment within the time required, the commissioner shall certifyTax, how collected. the amount of tax due by such person, bank, association, or corporation, with all the penalties, additions, and expenses accruing, to the collector of the proper district, who shall collect the same by distraint and sale, as in other cases. And the same proceedings may be had to enforce the collection of taxes which have already accrued and which still remain unpaid. And if any person, bank, association, company, or corporation, liable to pay any duty, shall neglect or refuse to pay the same after demand, the amount shall be a lien in favor of the United States from the timeAmount due to be a lien. it was due until paid, with the interests, penalties, and costs that may accrue in addition thereto, upon all ​property and rights to property; and the collector, after demand, may levyLevy. or by warrant may authorize a deputy collector to levy upon all property and rights to property belonging to such person, bank, association, company, or corporation, or on which the said lien exists, for the payment of the sum due as aforesaid, with interest and penalty for non-payment, and also of such further sum as shall be sufficient for the fees, costs, and expenses of such levy. AndEffect of certificate of sale. in all cases of sale, the certificate of such sale by the collector shall have the same effect as is prescribed by the one hundred and nineteenth section of the act to which this is an amendment. And all persons and officers of companies or corporations are required, on demand of a collector or deputy collector about to distrain or having distrained on any property and rights of property,Books to be exhibited. to exhibit all books containing or supposed to contain evidence or statements relating to the subject or subjects of distraint, or the property or rights of property liable to distraint for the tax so due as aforesaid: Provided, That in any case of distraint for the paymentWhen and how goods distrained may be restored. of the duties or taxes aforesaid, the goods, chattels, or effects so distrained shall and may be restored to the owner or possessor, if prior to the sale payment of the amount due or tender thereof shall be made to the proper officer charged with the collection of the full amount demanded, together with such fee for levying, and such sum for the necessary and reasonable expense of removing, advertising, and keeping [the] goods, chattels, or effects so distrained, as may be prescribed by the commissioner of internal revenue; but in case of non-payment or tender as aforesaid, the said officers shall proceed to sell the said goods, chattels, or effects at public auction, and shall and may retain from the proceeds of such sale the amount demandable for the use of the United States, with the necessary and reasonable expenses of distraint and sale, and a commission of five per centum thereon for his own use, rendering the overplus, if any there be,Overplus to be returned. to the person whose goods, chattels, or effects shall have been distrained: Provided, further, That there shall be exempt from distraint the toolsExempt from distraint. or implements of a trade or profession, one cow, arms, and provisions, and household furniture kept for use, school-books, and apparel necessary for a family."
That section thirty-eight be amended by striking therefrom the words "thirty-five," and inserting in lieu thereof the words "thirty-six."
That section forty be amended by inserting after the words "appointment of a successor," the words: "Provided,Vacancy in office of collector. That in case it shall appear to the Secretary of the Treasury that the interest of the government shall so require, he may, by his order,Ante, p. 239. direct said duties to be performed by such other one of the said deputies as he may in such order designate."
Oaths. That section fifty-two be amended by inserting before the words "That all assessors," the words "And be it further enacted;" by inserting after the word "deputies,"Ante, p. 242. the words "revenue agents;" and by striking out after the word "charged" the word "and," and inserting in lieu thereof the word "or."
Ante, p. 242. That section fifty-three be amended by inserting after the word "distiller," where it first occurs, the words "before distilling any spirits;" by striking out after the word "any," and preceding the words "still or stills," the word "additional;" by striking out after the word "used," and preceding the words "shall be erected," the words "as aforesaid," and inserting in lieu thereof the words "for distilling;" and by inserting after the words "shall be erected," the words "or used."
Application for license as a distiller. That section fifty-four be amended by striking out the words "the same," and inserting in lieu thereof the words "and owning the same, and owning the building used as a distillery, and the land on which the same is located, and if the building or land is leased, the terms and conditions of the lease;" and by striking out the word "one," and inserting in lieu thereof the word "three."
That section fifty-five be amended by inserting after the words "said ​duties shall be a lien," the wordsTax a lien on spirits distilled, &c. "on the spirit distilled and;" and by adding at the end of the first proviso the words "except when made and used in the manufacture of vinegar or acetic acid, in which case the duties shall be collected on the basis of the actual proof."
"Gallon" to mean what. Ante, p. 243. That section fifty-six be amended by adding at the end of the section the following words, to wit: "and in all sales of spirits hereafter made, where not otherwise specially agreed, a gallon shall be taken to be a gallon of first proof, according to the standard set forth and declared for the inspection and gauging of spirits throughout the United States."
Brandy from grapes, &c. Ante, p. 214 That section fifty-seven be amended by striking out the words "twenty-five," in the last proviso, and inserting "fifty" in its place; and by adding to the said proviso the following words, "and distilled from apples or peaches, shall pay one dollar and fifty cents per gallon."
Duty on certain spirits. That section fifty-nine be amended by striking out the words "so inspected and," and also "forthwith," in the last clause of the first sentence; and by adding to the said sentence, after the word "warehouse," the words "before the day prescribed by law for making return of the same;"Penalty for changing inspection mark. and by striking out the words "one hundred," and inserting in lieu thereof the words "three hundred."
Coal oil may be placed in warehouse, &c. Ante p. 245. That section sixty-one be amended by striking out after the words "and all," the words "refined coal oil," and inserting in lieu thereof the words "distilled or refined coal oil, distillate benzoin or benzole;" also by inserting after the word "warehouse," and before the words "and no drawback," the following words, "and the same fees shall be paid for exports as are charged to exporters for like services in the custom-house;" and by inserting after the words "redistilled," and before the words "for export," the words "or canned."
Penalty upon brewers and distillers. Ante, p. 248. That section sixty-eight be amended by inserting after the word "suits" the words "and shall be deemed guilty of a misdemeanor, and be subject to imprisonment for a term not exceeding one year;" and that the proviso to said section be amended by adding after the words "forfeiture shall have" the word "been;" and by striking out the word "the" where it occurs the second time before the word "nature."
That section seventy-four be amended by striking out the word "or" after the word "with," and inserting, in lieu thereof, the word "one;" and by striking out the wordsDisposition of goods of peddler seized, &c. Ante, p. 249. "and hold the same until the license is produced," and inserting in lieu thereof the words "and the assessor of the district in which the seizure has occurred may, on ten days' notice, published in any newspaper in the district, or served personally on the peddler, or at his dwelling-house, require such peddler to show cause, if any he has, why the horses, wagon, and contents, pack, bundle, or basket so seized shall not be forfeited; and, in case no sufficient cause is shown, the assessor may direct a forfeiture, and issue an order to the collector or to any deputy collector of the district for the sale of the property so forfeited; and one half of the same, after payment of the expenses of the proceedings, shall be paid to the officer making the seizure, and the other half thereof to the collector for the use of the United States."
Persons who may carry on business as copartners. Ante, p. 251. That section seventy-nine be amended by inserting in the first paragraph, after the words "claim agents," the words "patent agents;" by striking out, in the same paragraph, the words "carrying on such," and inserting in lieu thereof the words "may carry on;" by striking out, in the same paragraph, the words "may transact such business:" Provided, That no license shall hereafter issueLottery-ticket dealers. Ante, p. 252. until the managers of a lottery now existing shall give bond, in the sum of one thousand dollars, that the person receiving such license shall not sell any ticket, or supplementary ticket of such lottery which has not been duly stamped according to law; by inserting, in paragraph nine,Brokers. after the words "other securities," the words "for themselves or others;" by striking from said paragraph the words "and shall make oath or affirmation, according to the form to be ​prescribed by the commissioner of internal revenue, that all their transactions are made for a commission;"Insurance agents, &c. Ante, p. 254. Peddlers. by striking out the proviso at the end of paragraph "twenty-eight;" by adding to paragraph thirty-two the following proviso: "Provided, further, That no man between the ages of twenty and forty-five who is not enrolled for military duty, or regularly exempted from enrolment or draft for physical disability, shall be entitled to a license as a peddler."
By striking out all of paragraph "forty-nine," and inserting in lieu thereof the following, to wit:—
Licenses. Miners. "Forty-nine. Miners shall pay for each and every license the sum of ten dollars. Every person, firm, or company who shall employ others in the business of mining for coal, or for gold, silver, copper, lead, iron, zinc, spelter, or other minerals, not having taken out a license as a manufacturer, and no other, shall be regarded as a miner under this act: Provided,Proviso. That this shall not apply to any miner whose receipts from his mine shall not exceed annually one thousand dollars.
Express-men. "Fifty. A license of ten dollars shall be required of every person, firm, or company engaged in the carrying or delivery of money, valuable papers, or any articles for pay, or doing an express business, whose gross receipts therefrom exceed the sum of six hundred dollars per annum. But one license fee of ten dollars shall be required from any one person, firm, or company in respect to all the business to be done by such person, firm, or company on a continuous route, and the payment of such license fee shall cover all business done upon such route by such person, firm, or company, anywhere in the United States; and such license fee shall be required only from the principal in such business, and not from any subordinate.
Substitute brokers. "Fifty-one. Substitute brokers shall pay one hundred dollars for each and every license, and in addition thereto ten dollars for each substitute procured by him and actually mustered into the military service of the United States. Every person who shall furnish or offer to furnish for pay, fee, or reward, volunteers, representative recruits, or substitutes for men drafted or liable to be drafted, for the military or naval service of the United States, shall be deemed a substitute broker under this act: Provided, however,Proviso. That persons appointed by any state, county, city, township, or district, or the officers thereof, to procure the enlistment of volunteers or substitutes to fill the quota of such state, county, city, township, or district, for the military service of the United States, under the call of the President of the United States, shall not be considered substitute brokers: And provided, further,Proviso. That such person or agent shall receive no compensation except that which is given by such state, county, town, city, or district.
Insurance brokers. "Fifty-two. Insurance brokers shall pay twenty-five dollars for each license. Any person who shall negotiate or procure insurance in behalf of another person or party for which he shall receive any pay, commission, or compensation, shall be regarded as an insurance broker under this act," and the licenses herein provided for shall take effect on the first day of May next.
Ante, p. 258. That section eighty-one be amended by striking therefrom the words "seventy-three," and inserting in lieu thereof the words "seventy-four," and by striking out the words "to vinters," and inserting in lieu thereof the words "nor to vintners."
Manufacturers That section eighty-three be amended by inserting after the words "within his district, monthly," the words "within ten days from the twentieth day of each month," and by inserting after the words "such duties within" the word "said," and by striking out after the words "ten days," following the words "after demand in writing delivered to him in person, or left at his house or place of business, or manufactory, or sent by mail."
That section eighty-four be amended by striking out the words "eighty ​first" and inserting in lieu thereof the words "eighty-second," and by striking out the words "eighty-fourth." and inserting in lieu thereof the words "eighty-fifth."
Manufacturers. Freight. Ante. p. 261. That section eighty-six be amended by striking out the words "deposit at the time of sale," after the words "freight from the place of" and inserting in lieu thereof the word "manufacture," and in the next following paragraph by striking out the word "that" where it first occurs, and inserting in lieu thereof the word "the."
Manufacturers of tobacco, &c.; That section eighty-seven be amended by striking out after the words "accurately setting" the word "for," and inserting in lieu thereof the word "forth," and after the words "description of the manufactured article," by striking out the words "the proposed market for the same, whether foreign or domestic," and by inserting after the word "assessor," and preceding the word "assistant," the word "or."
That section ninety be amended by striking out all after the enacting clause and inserting in lieu thereofAnte, p. 262. the following: "That any person, firm, company, or corporation, now or hereafter engaged in the manufacture of tobacco, snuff, or cigars of any description whatsoever, shall be, and hereby is, required to make outto make returns, &c., January 1st of each year; and deliver to the assistant assessor of the assessment district a true statement or inventory of the quantity of each of the different kinds of tobacco, snuff-flour, snuff, cigars, tin-foil, licorice, and stems held or owned by him or them on the first day of January of each year, or at the time of commencing business under this act, setting forth what portion of said goods was manufactured or produced by him or them, and what was purchased from others, whether chewing, smoking, fine-cut, shorts, pressed, plug, snuff-flour, or prepared snuff, or cigars, which statement or inventory shall be verified by the oath or affirmation of such person or persons, and be in manner and form as prescribed by the commissioner of internal revenue; and every such person, company, or corporation shall keep in a book, in such manner and form as said commissioner may prescribe, an accurate account of all the articles aforesaid thereafter purchased by him or them, the quantity of tobacco, snuff, snuff-flour, or cigars, of whatever description sold, consumed, or removed for consumption or sale, or removed from the place of manufacture; and he or they shall, on or beforeand each month. the tenth day of each month, furnish to the assistant assessor of the district a true and accurate copy of the entries in said book during the preceding month, which copy shall be verified by oath or affirmation;If duties are not paid. and in case the duties shall not be paid within five days after demand thereof, the said collector may, on one day's notice, distrain for the same, with ten per centum additional on the amount thereof, subject to all the provisions of law relating to licenses, returns, assessments, payment of taxes, liens, fines, penalties, and forfeitures, not inconsistent herewith in the case of other manufacturers; and such duty shall be paid by the manufacturer or the person for whom the goods are manufactured, as the assessor may deem best for the collection of the revenue: Provided, That it shall be the duty of any manufacturer or vendor of tin-foil or other material usedTin-foil for covering tobacco. in covering manufactured tobacco, on demand of any officer of internal revenue, to render to such officer a correct statement, verified by oath or affirmation, of the quantity and amount of tin-foil or other materials sold or delivered to any person or persons named in such demand; and in case of refusal or neglect to render such statement, or of cause to believe such statement to be incorrect or fraudulent, the assessor of the district may cause an examination of persons, books, and papers to be made in the same manner as provided in the fourteenth section of this act: Provided, further, That manufactured tobacco, snuff, or cigars, whether ofTobacco may be transferred to bonded warehouse. domestic manufacture or imported, may be transferred, without payment of the duty, to a bonded warehouse established in conformity with law and treasury regulations, under such rules and regulations and upon the execution of such transportation bonds ​or other security as the Secretary of theTobacco. Treasury may prescribe, said bonds or other security to be taken by the collector of the district from which such removal is made; and may be transported from such a warehouse to a bonded warehouse used for the storage of merchandise at any port of entry, and may be withdrawn from bonded warehouse for consumption on payment of the duty, or removed for export to a foreign country without payment of duty, in conformity with the provisions of law relating to the removal of distilled spirits, all the rules, regulations, and conditions of which, so far as applicable, shall apply to tobacco, snuff, or cigars in bonded warehouse. AndNo drawback on tobacco, &c no drawback shall in any case be allowed upon any manufactured tobacco, snuff, or cigars, upon which any excise duty has been paid, either before or after it has been placed in bonded warehouse."
That section ninety-one be amended by striking out all after the enacting clause, and inserting in lieu thereof the following: "That all manufactured tobacco, snuff, or cigars,Tobacco, snuff, &c., to be inspected, &c. whether of domestic manufacture or imported, shall, before the same is used or removed for consumption, be inspected and weighed by an inspector appointed under the fifty-eighth section of the act to which this is an amendment, who shall mark or affix a stamp upon the box or other package containing such tobacco, snuff, or cigars, in a manner to be prescribed by the commissioner of internal revenue, denoting the kind or form of tobacco and the weight of such package, with the date of inspection and the name of the inspector. TheFees. fees of such inspector shall in all cases be paid by the owner of the manufactured tobacco, snuff, or cigars, so inspected and weighed. AndPenalties. the penalties for the fraudulent marking of any box or other package of tobacco, snuff, or cigars, and for any fraudulent attempt to evade the duties on tobacco, snuff, or cigars, so inspected, by changing in any manner the package or the marks thereon, shall be the same as are provided in relation to distilled spirits by existing laws. AndCigars to be packed. all cigars manufactured after the passage of this act shall be packed in boxes. And any manufactured tobacco, snuff, and cigars,Certain tobacco, &c., to be forfeited. whether of domestic manufacture or imported, which shall be sold or pass out of the hands of the manufacturer or importer, except into a bonded warehouse, without the inspection marks or stamps affixed by the inspector, unless otherwise provided, shall be forfeited, and may be seized wherever found, and shall be sold, one half of the proceeds of such sale to be paid to the informer, and the other moiety to the United States. The commissioner of internal revenue shall keep an account of all stamps deliveredStamps. to the several inspectors; and said inspectors shall also keep an account of all stamps by them used or placed upon boxes containing cigars, and of all tobacco, snuff, and cigars inspected, and the name of the person, firm, or company for whom the same were so inspected, and return to the assessor of the district a separate and distinct account of the same; and also return to the said commissioner on demand all stamps not otherwise accounted for, and shall give a bond for a faithful performance of all the duties to which he may be assigned, and to return or account for all stamps which may be placed in his hands."
That section ninety-two be amended by striking out the words "by this act," and inserting in lieu thereof the words "by law."
Pea coal. That section ninety-four be amended by inserting after the words "pea coal" the words "or coal that will pass through a five-eighth inch, and over a three-eighth inch mesh;" inGas. the paragraph relating to gas, by adding after the words "understood to be," in the first proviso, the words "in addition to the gas consumed by said company or other party;" by inserting in the last proviso in the paragraphAnte, pp. 264, 265. on gas, after the words "coal-tar," where they first occur, the words "and ammoniacal liquor;" and by inserting after the words "coal-tar," where they occur the second time in said proviso, the words "and the products of the manufacture of ammo​niacal liquor;" by inserting after the wordNaphtha. "naphtha," in the paragraph relating to coal illuminating oil, the word "distillate;" by inserting after the words "returns, assessments," the words "removing to and withdrawing from warehouses;" by striking from the proviso relating to naphtha, after the word "exceeding," the word "eighty," and inserting in lieu thereof the word "seventy;" by striking out of the first paragraph relating to "sugar" the wordsSugar. "brown or Muscovado;" and by striking out of the second paragraph relating to "sugar"Ante, p. 265. the words "all clarified or refined;" and by striking out of the third paragraph relating to "sugar" the words "all clarified or refined;" by striking from the paragraph relating to gunpowder the wordsGunpowder. "at twenty-eight cents per pound or less, a duty of one cent per pound; when valued above twenty-eight and not exceeding thirty-eight cents per pound, a duty of one and a half cent per pound," and inserting in lieu thereof "at thirty-eight cents per pound or less, five per centum ad valorem;" and by striking out, in the last line of said paragraph, the word "eight," and inserting in lieu thereof the word "ten;" by inserting in the paragraphBill-heads, &c. relating to "bill-heads, printed," after the word "circulars," the words "law-blanks, conveyancers' blanks, and other printed forms;" by adding at the end of the paragraph relating to printed books the words "which shall be paid by the publishers thereof;" by inserting in the paragraphPhotographs. relating to photographs, after the words "being copies of engravings or works of art," the words "when the same are sold by the producer at wholesale at a price not exceeding ten cents each, or are;" by striking fromHulls of vessels. the paragraph relating to "hulls, as launched," the word "launched," and inserting in lieu thereof the words "finished, including cabins, inner and upper works;" by inserting after the word "sewing," in the proviso to theSails, tents, &c. paragraph relating to "sails, tents, awnings, and bags," the words "or pasting;" by inserting at the end of the paragraph relating to stoves and hollow-ware the following:
Railroad chairs, &c. Ante, p. 268. "On railroad chairs, and railroad, boat, and ship spikes and tubes, made of wrought iron, five dollars per ton;" by striking out, in the second proviso of the paragraph relating to "rivets," the words "upon which no duty has been assessed or paid," and inserting in lieu thereof the words "the duty to which it was liable;" and after the word "loops," in the line following, inserting "not having been paid;" by striking out the paragraph relating to steam-engines, and inserting in lieu thereof the following words: "On steam, locomotive, and marine engines,Steam, &c., engines. including the boilers and all their parts, a duty of five per centum ad valorem: Provided, That when such boilers shall have been once assessed and a duty previously paid thereon, the amount so paid shall be deducted from the duties on the finished engine.
Boilers, tanks, &c. "On boilers of all kinds, water-tanks, sugar-tanks, oil-stills, sewing-machines, lathes, tools, planes, planing-machines, shafting and gearing, a duty of five per centum ad valorem.
Iron railings, gates, &c. "On iron railings, gates, fences, furniture, and statuary, a duty of five per centum ad valorem;" by adding at the end of the paragraph relating to quicksilver the following:Quicksilver. "Provided, That quicksilver may be transferred, without payment of the duty, to a bonded warehouse established in conformity with law and treasury regulations, under such rules and regulations and upon the execution of such transportation bonds or other security as the Secretary of the Treasury may prescribe; said bonds or other security to be taken by the collector of the district from which such removal is made; and may be transported from such warehouse to a bonded warehouse used for the storage of merchandise at any port of entry; and quicksilver so bonded may be withdrawn from the bonded warehouse for consumption on payment of the duty, or removed for export to a foreign country without payment of duty, in conformity with the provisions of law relating to the removal of distilled spirits, all the rules, regulations, and conditions of which, so far as applicable, shall apply to quicksilver ​in bonded warehouse; and no drawbackNo drawback on quicksilver shall in any case be allowed upon any quicksilver upon which any excise duty has been paid, either before or after it has been placed in bonded warehouse;" by adding at the end of the paragraph relating to copper and lead ingots the following proviso: "Provided, however, That brass made ofBrass. copper and spelter, on which a duty of three per centum ad valorem shall have been assessed and paid, shall be assessed and pay a duty of three per centum on the increased value only thereof;" by inserting in the paragraph relating to rolled brass, after the word "sheets," the wordsCopper, &c., nails. Patent, &c., leather. "copper, zinc, and brass nails or rivets;" by adding to the paragraph relating to patent, enamelled, and japanned leather, the words "Provided, That when a duty has been paid on the leather in the rough, the duty shall be assessed and paid only on the increased value;" by striking out all of the first sentence of the proviso in the paragraph relating to winesWines or liquors. or liquors, and inserting in lieu thereof the words "Provided, That the return, assessment, collection, and the time of collection of the dutiesAnte, p. 269. on such wines, and wine made of grapes, shall be subject to the regulations of the commissioner of internal revenue;" by inserting in the paragraphCloth. relating to cloth, after the word "felted," the words "articles or;" after the word "warps," in the proviso of said paragraph, by striking out the word "for," and inserting in lieu thereof the words "sold before;" by inserting in the paragraph relating to ready-made clothing, after the wordClothing. "dress," the words "not otherwise assessed and taxed as such;" and by striking out of the same paragraph all after the words "does not exceed the sum of," and inserting the words "one thousand dollars per annum shall be exempt from duty;" by inserting in the paragraph relating to manufacturesManufactures of cotton. of cotton, after the word "cloths," in the first proviso, the words "or articles," and after the word "fabrics," in the second proviso,Ante, p. 270. the words "or articles;" by striking out the words "as aforesaid," where they occur the second time in said proviso, and by inserting at the end of said proviso the words "and when made wholly by the same manufacturer shall be subject to a duty only of five per centum ad valorem;" by striking out in [the] paragraph relating to diamonds, precious stones, and imitations thereof,Diamonds, &c. and all other jewelry, the word "ten," and inserting in lieu thereof the word "five;" by striking out of said section the several paragraphs from the words "on cavendish, plug, twist," down to and including the words "and the other to the United States," and inserting in lieu thereof the following:
Snuff. "On snuff, manufactured of tobacco or any substitute for tobacco, ground dry or damp, pickled, scented, or otherwise, of all descriptions, when prepared for use, forty cents per pound.
Tobacco. "On cavendish, plug, twist, and all other kinds of manufactured tobacco, not herein otherwise provided for, forty cents per pound.
"On tobacco twisted by hand, or reduced from leaf into a condition to be consumed, without the use of any machine or instrument, and without being pressed, sweetened, or otherwise prepared, thirty cents per pound.
"On fine-cut chewing tobacco, whether manufactured with the stems in or not, or however sold, whether loose, in bulk, or in rolls, packages, papers, wrappers, or boxes, forty cents per pound.
"On smoking tobacco of all kinds, and imitations thereof, not otherwise herein provided for, thirty-five cents per pound.
"On smoking tobacco made exclusively of stems, and so sold, fifteen cents per pound.
Cigarettes. "On cigarettes made of tobacco, enclosed in a paper wrapper, and put up in packages containing not more than twenty-five cigarettes, and valued at not more than five dollars per hundred packages, five cents per package.
Cigars, &c. "On all cigars, cheroots, and cigarettes, made wholly of tobacco, or of any substitutes therefor, ten dollars per thousand cigars;" by inserting in ​the last paragraph relating to cigars, after the words "imprisonment not exceeding thirty days," the words,Permit for sale of cigars before inspection. "And any person furnished with such permit may apply to the assistant assessor or inspector of the district to have any cigars of their own manufacture counted; and on receiving a certificate of the number for which such fee as may be prescribed by the commissioner of internal revenue shall be paid by the owner thereof, may sell and deliver such cigars to any purchaser, in the presence of said assistant assessor or inspector, in bulk or unpacked, without payment of the duty. A copy of the certificate shall be retained by the assistant assessor, or by the inspector, who shall return the same to the assistant assessor of the district. The purchaser shall pack such cigars in boxes, and have the same inspected and marked or stamped according to the provisions of this act, and shall make a return of the same as inspected to the assistant assessor of the district, and, unless removed to a bonded warehouse, shall pay the duties on such cigars within five days after purchasing them to the collector of the district wherein they were manufactured, and before the same have been removed from the store or building of such purchaser, or from his possession; and any such purchaser who shall neglect for more than five days to pack and have such cigars duly inspected, and pay the duties thereon according to this act, or who shall purchase any cigars from any person not holding such permit, the duties thereon not having been paid, shall be deemed guilty of a misdemeanor, and be fined not exceeding five hundred dollars, and be imprisoned not exceeding six months, at the discretion of the court, and the cigars shall be forfeited and sold, one fourth for the benefit of the informer, one fourth for the officer who seized or had them condemned, and one half shall be paid to the government."
Cider and cider-vinegar. Ante, p. 272. That section ninety-six be amended by inserting after the words "concentrated milk," the words "cider and cider-vinegar, and sugar or molasses made from other articles than the sugar-cane;" by striking out after the words "use exclusively," the words "materials prepared for the manufacture of hoop-skirts exclusively,Hoop-skirts. and unfit for other use, such as," and inserting in lieu thereof the word "and," and by striking out the words "for joining hoops together," and inserting in lieu thereof the words "used in the manufacture of hoop-skirts."
Sales, &c., of gold, &c. That section ninety-nine be amended by striking out the words "gold and silver bullion and coin," and by striking out the words "of all contracts for such sales," and inserting in lieu thereof the words "upon any sales or contracts for the sale of gold and silver bullion and coin, one tenth of one per centum on the amount of such sales or contracts."
Railroads, steamboats, canal-boats, stages, &c. That section one hundred and three be amended by adding the following after the word "vehicle," where it occurs the second time in the section: "Provided, That this section shall not apply to those teams, wagons, and vehicles used in the transportation of silver ores from the mines where the same is [are] excavatedAnte, p. 275. to the place where they are reduced or worked."
That section one hundred and three be further amended by inserting after the words "and any foreign port," the words "but such duty shall be assessed upon the transportation of persons and property shipped from a port within the United States, through a foreign territory, to a port within the United States, and shall be assessed upon, and collected from, persons, firms, companies, or corporations within the United States receiving such freight or transportation." And that section one hundred and three be amended by adding at the end of said section the following: "And provided further, That no tax under this section shall be assessed upon any person whose gross receipts do not exceed one thousand dollars per annum."
That section one hundred and five be amended by striking out, at the end thereof, the words "for the quarter then next preceding."
​That section one hundred and nine be amended by striking out, after the words "one hundred and," the word "two," and inserting in lieu thereof the word "three."
Savings banks. Ante, p. 278. That section one hundred and ten be amended by striking out, after the words "and redemption thereof," the words "nor to any savings bank having no capital stock, and whose business is confined to receiving deposits and loaning the same on interest for the benefit of the depositors only, and which do no other business of banking."
That section one hundred and sixteen be amended by striking out all after the enacting clause, and inserting in lieu thereof the following: "That there shall be levied, collected,Income tax. and paid annually upon the annual gains, profits, and income of every person residing in the United States, or of any citizen of the United StatesAnte, p. 281. residing abroad, whether derived from any kind of property, rents, interests, dividends, or salaries, or from any profession, trade, employment, or vocation, carried on in the United States or elsewhere, or from any otherRate. source whatever, a duty of five per centum on the excess over six hundred dollars and not exceeding five thousand dollars, and a duty of ten per centum on the excess over five thousand dollars; and in ascertainingIncomes, how ascertained. the income of any person liable to an income tax, the amount of income received from institutions whose officers, as required by law, withhold a per centum of the dividends made by such institutions and pay the same to the commissioner of internal revenue, or other officer authorized to receive the same, shall be included; and the amount so withheld shall be deducted from the tax which otherwise would be assessed upon such person. And the duty herein provided for shall be assessed, collected, and paid upon the gains, profits, and income for the year ending the thirty-first day of December next preceding the time for levying, collecting, and paying said duty: Provided,Proviso. That incomes derived from interest upon notes, bonds, and other securities of the United States, and also all premiums on gold and coupons shall be included in estimating incomes under this section. Provided, further, That only one deduction of six hundred dollars shall beDeduction. made from the aggregate incomes of all the members of any family composed of parents and minor children, or husband and wife: And provided, further,Profits, &c., from sales of real estate. That net profits realized by sales of real estate purchased within the year for which income is estimated, shall be chargeable as income; and losses on sales of real estate purchased within the year for which income is estimated, shall be deducted from the income of such year."
That section one hundred and seventeen be amended by striking out all after the enacting clause, and inserting in lieu thereof the following: "That in estimating the annual gains,Deductions. Taxes. profits, and income of any person, all national, state, county, and municipal taxes paid within the year shall be deducted from the gains, profits, or income of the person who has actually paid the same, whether owner, tenant, or mortgagor; also the salary or pay received for services in the civil, military, naval, or other service of the United States, including senators, representatives, and delegates in congress, above the rate of six hundred dollars per annum; also the amount paid by any person forRent. the rent of the homestead used or occupied by himself or his family, and the rental value of any homestead used or occupied by any person or by his family, in his own right or in the right of his wife, shall not be included and assessed as part of the income of such person. In estimating the annual gains, profits, or income of any person, the interest received orInterest. accrued upon all notes, bonds, and mortgages, or other forms of indebtedness bearing interest, whether paid or not, if good and collectable, less the interest paid by or due from such person, shall be included and assessed as part of the income of such person for each year; and also all income or gainsGains from sales. derived from the purchase and sale of stocks or other property, real or personal, and of live stock, and the amount of live stock, sugar, wool, butter, cheese, pork, beef, mutton, ​or other meats, hay and grain,Live stock, produce, &c. or other vegetable or other productions, being the growth or produce of the estate of such person sold, not including any part thereof unsold or on hand during the year next preceding the thirty-first of December, until the same shall be sold, shall be included and assessed as part of the income of such person for each year, and his share of the gains and profits of all companies, whether incorporated or partnership, shall be included in estimating the annual gains, profits, or income of any person entitled to the same, whether divided or otherwise. In estimating deductions from income,Amounts paid for labor, &c. as aforesaid, when any person rents buildings, lands, or other property, or hires labor to cultivate land, or to conduct any other business from which such income is actually derived, or pays interest upon any actual incumbrance thereon, the amount actually paid for such rent, labor, or interest, shall be deducted; and also the amount paid out for usual or ordinary repairs,Repairs. not exceeding the average paid out for such purposes for the preceding five years, shall be deducted, but no deduction shall be made for any amount paid out for new buildings, permanent improvements, or betterments, made to increase the value of any property or estate: Provided,Proviso. That in cases where the salary or other compensation paid to any person in the employment or service of the United States shall not exceed the rate of six hundred dollars per annum, or shall be by fees, or uncertain or irregular in the amount or in the time during which the same shall have accrued or been earned, such salary or other compensation shall be included in estimating the annual gains, profits, or income of the person to whom the same shall have been paid, in such manner as the commissioner of internal revenue, under the direction of the Secretary of the Treasury, may prescribe."
List or return. That section one hundred and eighteen be amended by striking out all after the enacting clause, and inserting in lieu thereof the words, "That it shall be the duty of all persons ofAnte, p. 282. lawful age to make and render a list or return, in such form and manner as may be prescribed by the commissioner of internal revenue, to the assistant assessor of the district in which they reside, of the amount of their income, gains, and profits, as aforesaid; and all guardians and trustees, whether as executors, administrators, or in any other fiduciary capacity, shall make and render a list or return, as aforesaid, to the assistant assessor of the district in which such guardian or trustee resides, of the amount of income, gains, and profits of any minor or person for whom they act as guardian or trustee; and the assistant assessor shall require every list or return to be verified by the oath or affirmation of the partyOath. Increase. rendering it, and may increase the amount of any list or return, if he has reason to believe that the same is understated; and in case any person, guardian, or trustee shall neglect or refuse to make and renderNeglect, or false returns. such list or return, or shall render a false or fraudulent list or return, it shall be the duty of the assessor or the assistant assessor to make such list, according to the best information he can obtain, by the examination of such person, and his books and accounts, or any other evidence, and to add twenty-five per centum as a penalty to the amount of the duty duePenalty. on such list in all cases of wilful neglect or refusal to make and render a list or return, and, in all cases of a false or fraudulent list or return having been rendered, to add one hundred per centum, as a penalty, to the amount of duty ascertained to be due, the duty and the additions thereto as penalty to be assessed and collected in the manner provided for in other cases of wilful neglect or refusal to render a list or return, or of rendering a false and fraudulent return: Provided,Proviso. That any party, in his or her own behalf, or as guardian or trustee, shall be permitted to declare, under oath or affirmation, the form and manner of which shall be prescribed by the commissioner of internal revenue, that he or she, or his or her ward or beneficiary, was not possessed of an income of six hundred dollars, liable to be assessed according to the provisions of this act; or may declare that he or ​she has been assessed and paid an incomeIncome paid in another district. duty elsewhere in the same year, under authority of the United States, upon his or her gains and profits, as prescribed by law, and if the assistant assessor shall be satisfied of the truth of the declaration, shall thereupon be exempt from income duty in said district; or if the list or return of any party shall have been increased by the assistant assessor, such party may exhibit his books and accounts, and be permitted to prove and declare,Amount of income may be proved. under oath or affirmation, the amount of annual income liable to be assessed; but such oaths and evidence shall not be considered as conclusive of the facts, and no deductions claimed in such cases shall be made or allowed until approved by the assistant assessor. Any person feeling aggrieved by the decision of the assistant assessor in such cases may appealAppeal. to the assessor of the district, and his decision thereon, unless reversed by the commissioner of internal revenue, shall be final, and the form, time, and manner of proceedings shall be subject to rules and regulations to be prescribed by the commissioner of internal revenue."
Income tax, when payable. Ante, p. 283. That section one hundred and nineteen be amended by striking out the words "for thirty days," and, after the words "for ten days after," inserting the words "notice and."
That section one hundred and twenty be amended by striking out, at the end thereof, the word "act,"Ante, p. 284. and inserting in lieu thereof the word "section."
Ante, p. 287. That section one hundred and twenty-five be amended by striking therefrom the word "and," following the word "custody," and inserting in lieu thereof the word "any."
Succession to real estate. Ante, p. 289. That section one hundred and thirty-three be amended by adding, at the end thereof, the following words: "Provided, That no duty shall be levied in respect of any succession vesting before or subsequent to the passage of this act, where the successor shall be the wife of the predecessor."
That section one hundred and thirty-five be amended by striking therefrom the word "extension," and inserting in lieu thereof the word "extinction."
Ante, p. 291. That section one hundred and forty-nine be amended by striking out the word "assment," and inserting in lieu thereof the word "assessment."
That section one hundred and fifty-eight be amended by striking out all after the enacting clause,Ante, p. 293. Penalty for making, paying, &c., unstamped instruments, &c. and inserting in lieu thereof the following, to wit: "That any person or persons who shall make, sign, or issue, or who shall cause to be made, signed, or issued, any instrument, document, or paper of any kind or description whatsoever, or shall accept, negotiate, or pay, or cause to be accepted, negotiated, or paid, any bill of exchange, draft, or order, or promissory note, for the payment of money, without the same being duly stamped or having thereupon an adhesive stamp for denoting the duty chargeable thereon, with intent to evade the provisions of this act, shall for every such offence forfeit the sum of fifty dollars, and such instrument, document, or paper, bill, draft, order, or note shall be deemed invalid and of no effect: Provided,Title to real estate. That the title of a purchaser of land, by deed duly stamped, shall not be defeated or affected by the want of a proper stamp on any deed conveying said land by any person from, through, or under whom his grantor claims or holds title: And provided, further,When and how unstamped instruments may be stamped. Ante, p. 291. That hereafter, in all cases where the party has not affixed to any instrument [as] required by the one hundred and fifty-first section of the act of June thirtieth, eighteen hundred and sixty-four, or the schedule marked B thereunto annexed, and the stamp thereby required to be thereunto affixed, at the time of making or issuing the said instrument, and he or they or any party having an interest therein shall be subsequently desirous of affixing such stamp to said instrument, he or they shall appear before the collector of the revenue of the proper district, who shall, upon the payment of the price of the proper stamp required by ​ ​ ​ ​ ​ ​