New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1886-09-26
A BLOW TO BOGUS BUTTER.
MAKERS OF oLEOMARGARINE UNHAPPY.

WHAT 1nEY SAY ABOUT THE PROVISIONS OF THE
NEW LAW.
The pamphlet of regulations issued by the
Internal Revenue Bureau concerning oloomsrgarine has
caused much unhappness among manufacturers OF the
compound. Tue department rulings on certain douotiu
provisions Of tue act effectively close every avenue OF
escape upon techuoates hence they are moody pre-
pairing adverse winds to break IN November upon
the already troubled which they sailing.
When the bIl was debated III the House tue question
was asked by its opponents whether oeomsrgarne OIL
pure and uncolored. would be liable to the tax Inc re-
ply OF Mr. Hatch. who had charge OF the BILL was
regarded the time by oeomargarne manufacturers as
concusvs that in his OPINION based conferences with
the mmissouer would not DO taxable except when
manufactured aud sold as imitation butter Inc COM
missioner Internal Revenue however, maintains that
oleomargarine denned in the bill Includes hrsu all
manufactured substances heretofore known as oleomar
garne 90, oleomargarlne OIL butterne ardine. suine
and neutral. and (seconD al mixtures aud CON-
pounds OF these substances. including mixtures
and compounds thereof with butter" He also adds
In Wsbsters dictionary oieomargarine IL defined TO
be artificial .de from animal fat, with the ad
dton o milk other snostances and butterne
therein defined to be substitute for butter made
from animal fat called also oleo margarine"
In view OF this dafnition the New-YOr manu'actur
era now turn with interest 20 Mr. Hatcn's reply An
they pronounce wonderful piece OF guOus rhet
ORIG There some who claim that his utterances
specific the esct that the article could not
he taxed while the phrase printed In The Congres
RECORD they differs wholly ID tae matter OF
directuess from tho words spoken. They claim that
oleomargarine oil being recognized legitimate
article of manufacture of which i'm nense quantities
annually exportod under its real name honest manufsc
turers ana dealers are made to suffer unustly aud In
some instances will be driven from the industry in
which their capital Is invested factory plant
not he provided for less than 5000 aud with
house attached tue sum OF $4,000 is required. The
ruling OF the Commissioner WILL therefore. inevitably
have the effect OF closing many Establishments AS
soon {. the law goes into effect on November
l. case will be begun to test lite con
additionally. particularly with reference TO its
application TO the honest nufacture OF pure oeom
garine oil aud neutral oil to he sold add exported
such Ths action will probably occur IN the West
WHAT THE NETWORK M.NUFACruRERs SAY.
II Is evident from careful inquiry among NewYOrk
manufacturers that the Industry has received severe
blow Manufacturers to pay license fec OF $500;
the Wholesale dealer mast $3.50. But at this point
distinction enters for tho minutscturer who sells his
own goods eIcusvey At the place of Manufacture aud
mas given bond and paid the special tax. AMI
has affixed the stamps 20 the original pack
ages is exempt from tho tax OF a Wholesale dealer
The retail pay $40 and sell only in less guam
titles than pounds. The wholesale dealer doss not
know what to H the retail dealer does not take out
license the wholesaler will have no customers for his
stuff II the retail dealer does pay his tax. how
ever the manufacturer sell directly IN wholesale
without the payment OF other than the special
Tax The manufacturer and the consumer will then be
brought 90 together that the Wholesale dealer or
middle-man will have chancs Yet ia behaved that
thout his entinu thu demand will steatiy de-
Ths theory does not quite conform to the views
advanced tho debate in Congress-, however 1t was
ere argued by friends OF butter that ia spite
of the burdens sought to be imposed upon oeonar
garine could stand alone" upon ths simple merits
OF intrtuso sweetness and goodness. just as
Of