The Somerset herald. [volume] (Somerset, Pa.) 1870-1936, 1875-03-31

The following letter from COmmis-
sioner Douglas u Governor Bagley,
of Michigan, is of great interest to
the tobacco trade:
TREASURY DEPARTMENT,
OFFICE OF INTERNAL REVENUE,
WASHINGTON. March l6, 1907
SRI have received your letter
Of the l4th lust, written, as you
state. in behalf Of the tobacco trade,
aud al heir request, in which you
proponnded several inquiries with re-
gard to special No. 1876, issued March
s, 1875, concerning changes by act OF
March 8, 1875, in the "Scheduie OF
Articles, &C." subject to tax under
Internal Revenue law as amended.
You inquire O-"Does The special
irtend To tax tobacco packed and
slammed on the Sd, twenty-fuur
c~ents:u (2)-"Did the late tax bill
become a law on the I'd inst" o.
as it meant that tobacco sold and
shipped shall pay four cents addl-
tional."
In reply to these several inquiries,
| have to stale that according to a
certified copy received from the State
Department, the act entitled IAN act
to further protect the sinking fund,
and provide for the exig encles OF the
Government" was approved by the
President on the Sd of March, 1873.
The hour Of the day at which his sig
nature was affixed is not given, and
it is not regarded as material that it
should be given or known. The act,
by its enacting clause, is made to take
effect from and after it's passage.
Now, the Supreme Court of the
United States has decided that when
a statute is to take effect from its
passage. the day on which the act is
approved is to be included; and fur
Their. there being no fraction of a
day. it has been decided that the act
relates TO the FIRST moment OF the day
on which it is approved, and as II 1t
we're then approved. Such being the
decision of the courts, ] was not at
liberty to give any other construc-
ton TO the law, aud consequently
hold, and have so instructed the col
lectors of internal revenue, that all
tobacco cigars and cigarettes stamp
en-. sold and removed On the Sd day
of March, with the stamps thereto
fore in use, were insuficiently stamp
ed, and that tobacco, cigars and ci-
garettes so stamped could not be re-
garded as entitled to the exemption
provided in the first proviso to the
second section sf the said act of
March 3d. viz: That the increase Of
tax herein provided for shall lot ap-
ply to tobacco on which the tax IN
der existing law shall have been paid
when this act takes effect" In orher
words, that the law in question took
effect from the first moment of March
Sd, and consequently it is held, and
so Special l56 means, that all tobac-
co, cigars and cigarettes sold or re-
moved on the Sd day of March, as
we'll as those sold and removed sub
sequently, mqst be taxed at the new
rates, and that when stamps of the
old issue have been affixed since mid
night of the I'd day Of March, even
if the goods have been sold and de-
livered, they must be reported to the
Collector, in order that the additional
tax may be assessed. Were it a matter
of mere policy, Dr. a matter depend
ing entirely upon my own volition, |
might be strongly inclined to %r.lieYe
the manufacturers from the embarr
easements 10 which they have placed
themselves 10 their efforts to antic!.
pate the last moment when they could
put their goods on the market under
the old rates, knowing as they all did
that 2 nSw tax bill was pending,
which might, at any moment, become
q law, and which must, in any eFeit,
receive the Presidents signature and
become a law on The Sd day of March
at the farthest, if it WIS to receive
his approval at all, the Sd day Of
March, 1875, being The last day Of
tie existence Of the Forty-tbird Con-
gress. | do not, however, in this
matter feel myself at liberty 10 give
a construction 10 q nice question of
law, different from that which the
Courts have given, or TO relieye the
trade from aug liabilities which the
law has imposed upon them.
Very respectfully,
j. w. DOUGLASS, Com