The Worcester spy. [volume] (Worcester, Mass.) 1898-1904, 1899-03-20
MORE DECISIONS
lntricaciss of Stamp Tax Are Still Being
UnraYeiled.


unravetled.
Important decisions still continue to
De received by Deputy Collector of In
ternal Revenue Winslow. Many of the
decisions received yesterday Will be of
Importance to many Worcester busi-
ness men and merchants. Among the
late decisions are these:
Guaranty and fidelity bonds are
hela by the commissioner not to be
IN the nature of bonds which REQUIRE a
hfty-cent stamp. but are rather in the
nature OF insurance policies which pa
quire to be stamped as Insurance. poll
cies. II ls not the bond of a principal,
the principal becoming the principal
obliger on the bond, but in the nature
OF an insurance policy, similar In law
10 IRE insurance policies and fire in
sufance policies. the 61frereneN being
only In the risk assumed.
When theatrical company eaters
any sCaCe, the proprietor is required by
the internal revenue law to make an
plication to the collector of internal
revenue In the district OF that state in
which the company is about to begin
playing or TO his deputy. It is the duty
10 ascertain the name and address OF
the collector who, upon his written an
pilcation, will Immediately forward to
him the form to be sworn to and viii
receive from MIN the amount of the
special TAX and issue the required
stamp. Every person who carries on
any business or occupation for which
such special tax Is required without
having paid the special tax required
snail beside being liable to the pay
ment OF such special tax be deemed
guilty of misdemeanor and upon
conviction thereof shah pay fine of
not more than five hundred dollars or
be imprisoned not more than six
court.
The negotiation of sales Of exchange
including foreign drafts as well as do
mestic is the business of a broker as
defined by statute. Express companies
engaged in the business of selling ex-
change are required to pay special tax
as brokers.
Funds Of band even if they are
called undivided profits, which are
used In carrying on the banking bust
ness, should be included in the work.
ing capital of the bank in estimating
the special tax due.
Bonds given by private individuals
secured by mortgage are taxable like
ordinary bonds and not as promissory
notes. such bonds, given by persons
other than associations or corporations
are included in the category of bonds
OF any description not otherwise pro-
vided for, and are taxable at the rate
of fifty cents each.
NO tax aCcrueS on a contract between
life, fire and marine insurance compa-
MES for reinsurance. 1t was the pur-
pose of the law to tax the policy by
which the insurance is made, either
life, fire or marine, and there is no rea-
sonable construction of it which would
tax q. transaction between the insur-
ance companies themselves by which
risk taken by policy already issued
is divided
When a partition deed is operative in
defining boundary lines or in showing
by location each tenant in commons
interest, no tax accrues.
Certificates of stock of a. foreign cor
poration, when sold or delivered with
In the United States, are liable to the
same tax as certificates OF stock OF any
domestic corporation.
A referee in foreclosure proceedings
is required to affix an internal revenue
stamp 20 the referees deed delivered to
the purchaser.