The Daily Ardmoreite. [volume] (Ardmore, Okla.) 1893-current, 1898-08-22
WAR TAX ON coTroN.
All Men Eaes9ed ia the CottOn BGsIarss
are interested Ia the war Heveaue
Law Each Esie 10 Be Stsmped.


tically open in the territory,
and as comparatively few OF
tho,e who will sell the white
staple this year are thoroughly
conversant with the provisions
of the war revenue law. the fol-
lowing rulings. which have 70
do particularly with the rela-
ton OF the cotton business to
the new law, may be of interest.
AS will be noted. they are con-
tained in a letter addressed by
Col. P. B. Hunt, the United
States revenue collector for the
Northern district of Texas, to
George A. p ieston, oil Bonham.
Tex:
Office of Internal Revenue
Collector, Dallas. Tex, Aug.
20, 1885, Mr.. George A. Pres
ton, Bonham, Tex: Sir-ln an
swer to your questions and TO
the many inquiries in regard to
warehouse receipts. and for the
information and guidance o!
all who are interested In the
handling of cotton and other
products, | beg to state as fol-
lows:
The provision of the war rev
enue law in regard to this sub
ject is as follows: Warehouse
receipts for any goods, mer-
chandise or property of any
kind held for storage in any
public or private warehouse or
yard, except receipts for agri-
cultural products deposited by
the actual grower thereof in
the regular course of trade for
sale, 25 cents" Commissioner
Scott defines warehouse re-
ceipts to be "any receipt or
memorandum given by a ware
houseman, or any signing by
warebOuseman or any express
company's book or other re-
ceipt evidencing the fact that
goods haoe been placed on stor-
age. is such a receipt requiring
stamp of 25 cents, whether
same is negotiable or non-nego-
table,"
The act says held on stor-
age in any public or private
warehouse or yard" so it in
cludes all cotton yards, and is
now a matter of much interest
to the cotton growing country.
Commissioner Scott says:
Every separate consignment
Of goods delivered for storage
requires a receipt. and the Ie-
ceipt must be stamped" Pro
vided, however, it does not
come under the provisions of
the law which reads, Except
receipts for agricultural prod
ucts deposited by the actual
grower thereof in the regular
course of trade for sale."
From the provision just
quoted it is very plain the ware
house receil t given the actual
grower does not eQuire the 25-
cent stamp. but if he places
the product in the warehouse
or yard for the account of an
other party it is subject to tax.
The producer may take re-
ceipts in his own name and
may use it as collateral. or may
even sell it. and it will not re-
quire the 25-cent stamp; but
the comm. sioner has ruled:
The exemption from tax on
W rehouse receipts for agricult-
l;ral products is restricted to
receipts for products of this
kind which are deposited by the
actual grower thereof in the
regular course of trade. This
does not exempt warehouse re-
ceipts for such products in case
the property deposited has al
ready passed from the owner
ship of the actual grower.
If the sale is made before it
goes to the warehouse or yard
it is not the property of the
producer, and therefore must
be stamped.
Another point | wish to call
attention to is the use of the
cotton receipts at the bank or
elsewhere where they are taken
up and the money paid for the
cotton. 1t has been ruled when
g. used they are an order for
money and each one must bear