Document: 354 U.S. 351 77 S.Ct. 1138 1 L.Ed.2d 1394 UNITED STATES of America, Petitioner,v.Victor CALAMARO. No. 304. Argued March 4, 1957. Decided June 17, Mr. Leonard B. Sand, for the petitioner. Raymond ,. Bradley, Philadelphia, Pa., respondent. Justice HARLAN delivered opinion Court. The question before us is whether respondent, a so-called 'pick-up man' in type lottery called 'numbers game,' subject to annual $50 special occupational tax enacted by Subchapter B Chapter 27A (Wagering Taxes) Internal Revenue Code 1939, 65 Stat. 529, 530, 26 U.S.C. § 3285 et seq., U.S.C.A. seq. 2 As will be seen from statute, whose material parts are printed margin,1 this 1939 enacts two kinds wagering taxes: (1) An excise tax, imposed 3285(d) on persons 'engaged business accepting wagers,' and (2) 3290 not only who being business,' but also those receiving wagers' behalf one tax. By definition game' among transactions included statute. 3 At outset we must understand some professional gambling terminology which has been given parties. A numbers game involves three principal functional types individuals: 'banker,' deals against whom player bets; 'writer,' who, banker, does actual selling public, records triplicate slips sold each amount his wager; (3) man,' collects slips2 writer delivers them banker. If there witnnings distributed, banker required writer, turn pays off successful players. 4 respondent here was pick-up man Philadelphia services salary $40 week, having no proprietary interest enterprise. He convicted, after jury trial United States District Court Eastern Pennsylvania, failing pay fined $1,000.3 Appeals reversed divided court, 236 F.2d 182, upon Government's petition granted certiorari, 352 864, 97, 75, resolve conflict between decision below that Fifth Circuit Sagonias v. States, 223 146, as scope 3290. For reasons hereafter consider case took correct view 5 nub Appeals' holding put following language, with agree: 6 'In normal usage familiar 'receiving what someone 'banking' side dealing bettor. Placing wager opposite sides single coin. You can't have without other. (The court referred 'wager' contained 3285(b)(1)(C); note 1, supra.) Before enters picture, such here, received physically and, legal contemplation, writer's well. government recognizes—and an appropriate doubt would insist—that relation bettor amounts wager.' Thus, argue second time when hands yellow slip man. But think ignores very real difference record transaction. It banking receives transmits bank. more wagers than messenger, carries customer branch bank central office, deposits.' at pages 184—185. 7 We do either language or purpose revealed its legislative history, supports position Government. When phrase read conjunction 3285(b)(1), defines terms 'placing' bet connection any embraced statute,4 it seems evident quite regarding 'receiving' 'opposite coin.'5 In other words, used term synonymous 'accepting' wager;6 making contract, transportation piece paper, statute refers; hence that, this, within meaning 8 history is, fully consistent interpretation Senate House Reports bill, stated: 9 '* * person considered if he engaged wagers, so own account. principals commonly 'bookmakers,' although intended technical 'bookmaker,' maintenance handbook device recording required. 'placed' placed another acting him. Persons receive bets sometimes known 'bookmakers' agents' 'runners.' 10 'As bookmaking transactions, pool directly conducts person.' H.R.Rep. 586, 82d Cong., 1st Sess. 56; S.Rep. 781, 114, U.S.Code Congressional Administrative News 1951, vol. 2, p. 2091 (emphasis added). 11 Again, game, indicates Congress regarded complemented 'receipt' him transaction, 12 Nor, contrary Government contends, can see anything registration provisions 3291 points 'receiver' wagers. Those simply provide liable register name address collector district, require addition, (a) 'of behalf,' (b) they wagers.'7 doubtless true these provisions, well itself,8 were designed least part facilitate collection likewise plausible suppose, suggests, participants enterprise swept likely information possible taxes secured. fact remains, however, did choose all employees enterprises reporting requirements, content impose actually wagers.' Neither nor Commissioner may rewrite because feel scheme creates could improved upon.9 13 give weight suggestion defeat policy enactment 'in motivated congressional desire suppress wagering.'10 passed, constitutionality upheld, revenue measure, Kahriger, 345 22, 73 510, 97 L.Ed. 754, apart else, construing justified resorting collateral motives effects which, standing federal taxing power, might place doubt. See Id., page 31, 514. 14 Finally, Treasury Regulations relating purport include tax,11 argues constitutes administrative should particularly section carried over haec verba into 4411 1954, 4411. find neither argument persuasive. light above discussion, cannot regard Regulation attempted addition something there.12 regulation furnish sustenance Koshland Helvering, 298 441, 446—447, 56 767, 769—770, 80 1268. Nor helped 1954 Code. had effect years,13 nothing indicate ever attention Congress. re-enactment accompanied discussion throws scope. circumstances significance. Glenshaw Glass Co., 348 426, 431, 75 473, 476, 99 483. 15 conclusion, accept alternative reasoning dissenting judge relying Daley Cir., 231 123, 128, court's charge prosecution tax,14 respondent's conviction sustainable theory 3285(d). disclaims ground upholding conviction, indeed must, unambiguous showing applies 'principal account.'15 instance, means concedes. 16 hold, therefore, apply man, judgment accordingly affirmed. 17 Affirmed. 18 WHITTAKER consideration case. 19 BURTON, dissenting. 20 stated I believe pickup behalf' §§ 3291(a)(3), therefore residence, 21 limit 'accepting contractual sense. Instead, imposes 'each (for tax).' words readily sole evidence made. 22 contains specific references bookmakers' agents runners.1 shows measure account, help enforce much larger operator enterprise.2 To end, 3291(a)(1) requires Registration aids tracking operations their headquarters essential enforcement Since includes same identical imposing 23 Furthermore, significant. explanation 132: 24 'Example (2). operates game. arrangement ten persons, employed various capacities, bootblacks, elevator operators, news dealers, etc., public behalf. employs collect 25 'B, agents, employee tax.' (Emphasis supplied.) CFR, 1957 Cum. Pocket Supp., 325.41. This disregarded unless shown plainly inconsistent Wheeler, 324 542, 547, 799, 802, 89 1166; Brewster Gage, 280 327, 336, 50 115, 117, 74 457. Moreover, re-enacted (Supp. II) 4411, thus impliedly accepted established section. Corn Products Refining Co. Revenue, 350 46, 53, 76 20, 24, 100 29; Helvering Winmill, 305 79, 83, 59 45, 83 52. 'Subchapter A—Tax Wagers 3285. Tax '(a) Wagers. There shall defined subsection (b), equal per centum thereof. '(b) Definitions. purposes chapter— '(1) (A) respect sports event contest (B) contest, conducted profit, (C) profit. '(2) 'lottery' *. '(d) Each under subchapter lottery. B—Occupational 'A year paid liable. 3291. district— residence; A, where activity makes on, residence behalf; '(3) person. 3294. Penalties Failure Any act subchapter, shall, besides payment less $1,000 $5,000.' 3285—3294, 3285—3294. 'yellow' copy. 'tissue' copy places bet, 'white' retained writer. 137 F.Supp. 816. supra. That complementing recognized 132, 325.24(a) states: contribution agent (one operating lottery) 325.24(a). Indeed, filed charged alleged 'did accept,' receive,' F.Supp., 817, 1. 60; 118 (1951). illuminating, issue us, statement cited 8, supra, 'Enforcement frequently necessitate tracing through complex relationships, requiring identification steps involved.' general statement, necessarily referring mere delivery systems, distinguished arrangements 'lay-off' principals, helpful interpreting men.' Cf. Federal Communications Commission Columbia Broadcasting System Calif., Inc., 311 136, 61 152, 153, 85 87. statements Representative Reed, Cong.Rec. 6896, Senator Kefauver, 12231—12232, relied significance Kefauver's further limited opponent bill. Mastro Plastics Corp. National Labor Relations Board, 270, 288, 349, 360, 309. 6892, 12236, 27, 3, 512, 754. Treas.Reg. 325.41, Example (26 Supp.), issued November 1951 (16 Fed.Reg. 11211, 11222), provides follows: 'B newsdealers, Apart force aid impaired internal inconsistency. while purports make 'a secretary bookkeeper' horse race bets' 'unless business, 'receive telephone' Thus instance distinction drawn 'acceptance' wager, purposes. proper, apparent why valid 'accepts' 'receives' player, recorded passes along 11, judge's below, 185—186. sufficiency instructions apparently challenged appeal. event, concerned quoted, 356, 1142, brought attention. case, contention rejected construction embodied quoted Daley. 114; 6896 (Representative Reed); id., 12231—12232 (Senator Kefauver). connection, noted states 'The banker', even bankers brokers reputable commerce, salaried runners messengers. These couriers men." 184. 118.

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