The sun., 1900-11-17
THE WAR REVENUE LAW.
LE0ISLATION RECoMNBNDED II
REMEDY DEFECTS.
ssdments Also Required to Conform With
Decisions OF the Courts-Tne Receipts Last
Year We're o29S.sl8.lO5, an Increax Of
e2Ie3l,S3A Over the Prtvious Year.


| Decisions OF the Courts-Tne Receipts Last
Year Were o79S.3l8.lO5. an IncreaSs of
| s3l .e3l.s3A Over the PrtvIous Year.
| WASHINGTON. Nov. io.-The annual report
| OF the Commissioner Of Internal Revenue re-
| fers 60 the numerous decisions Of the courts
| on important sections Of the War Revenue act.
! and enumerates others which have been ap-
: pealed 20 the Supreme Court OF the United
States including the legality Of the taxes on
bucket shop transactions. on calls" and on
, bills Of ladlng In view Of the adverse decis-
! ions already rendered and other defects In
the War Revenue act brought to light during the
past year tho following legislation ame ndatory
OF the act are recommended:
| That the paragraph requiring n ten cent stamp
| on certificate OF any description required by
law not otherwise specified" be repealed for
the reason that the greater part OF the certl6-
Gates required by law are necessarily issued BY
I Federal. State and municipal officers. and In
many States the officers have declined To af1iI
the stamps. holding that they are required by
State law.
That the provision requiring two-oent stamp
on bank checks or orders for the payment Of
money be 40 amended as IN include the reooipt
given q bank by depositor In Withdrawing
/ his money. which under the present reading
OF the law is not taxable.
That the parag raph excepting incorporated
medicinal drugs or chemicals from stamp taxes
be amended so that those sold under a claim
Of patent, trads mark or proprletorshlp shAii
be subject to tax. Numerous preparatlons OF
that character are 10 Oe found upon the market
waich ave bean held by the courts as entitled
| TO exemption, but which neN ertheless are put
| no uni'r patent or trade mark and fol. which
proprietary rights arc claimed Some OF these
are imported from Europe and are sold In con- :
petition With domestic preparations. The
, commissioner believes Congress intended TO
tax all patent, proprietary or trade mark uedi-
cinal preparations alike. and the amendment Is
rh,t the provision for nlleviatins, penalties
ior iimrs to propcry, stamp boTds dsbea-
ness" without design TO evade the law. be
amended so as to include any instrument docu-
TSn, or aEer Of any Kind or description ,S men
ficts hardships upon thos" who fall innocenty
10 properlv, use one la of stamps willie
That a penalty be provided ror failure 70
properlv stamp parlor car. and sleeping car
tickets, IN order ,hn, i may be enforced.
to include the propcrty Of persons residing
out Of the United states at the time Of death
ed icltiona or chari,able character be er-
enp,ed from the legacy tax aud numerous
administrative amend drnents to thnt law,
That purchasers Of documentary and pro.
pr 1-y stornrs in quantities of 500 he allowed
q discount Of rer cent
Tina, acricltur9l fairs be exempted from
a. thav are hold Tor bnt a Jew days in the
yelr and the tax is annual
divided profits shall be be considcred as surplus
on estimating the tax. due from banks. the
amount 70 be estimated by tsking ne S average rage
MONEY gopsy' borrowed row or received from. time 70
time AZ deposits In the usual course 81 business
from any rerspn not partner Of nor interested
In TIE bank. asspci't'nn or hrn;
That the tax on commercial brokers. In
of ha iaNtsinr n SlnTarDa Court
be repealed. or that other classes OF business,
such as commission merchants and real es-
tate agents. be alsoreQuired To pay special tax.
That the excise tax on retlners ot sugar
and petroleum be assessed and paid monthly,
Tina. the law be Ss 80 s' f Sns
special tax payer To another To enable the
successor in business to carry. on business
at the same place for the rest OF the year under
special tax stamp Issued, and that special
tax stamps NAV also be redeemed, upon sur
render. when no longer required because Of
the abandonment by the party 10 whom issued
of the business for which issued. at a pro
portionate rae for the uneNplred period: but
no allowance shall be made for fraction OF
The Commissio7er makes RECOMMENDATION
for the following char ges IN nc in'rrnal keVe-
That bottlors of Distilled spirits in bond be
allowed TO ,ransier 80 aIothcr portion oi mo
eix'v DAYS spirits bo'tlcd for exnortation. so as
TO ca-ry In stock sufficient for the c!port trade
Tim, tn same rate Of drawback ~ tax be al
lo-'ot OH sIi-ts as vas pqit t'c'oon
That tho Commissioner or Internal Revenue
be empowered to l-e@Crihe the size and knd
of package for distilled spirits imported into
the nIted States, such provision being. tho
report sers. necessary for the protection OF
the American eNlorter forelSn countries
pelling the American manufacturer 10 dispense
with his orislnh packing and adnpt another
which contained no indication or the character,
age or quality Of lie contents
That manufacturers of Yeast be exempted
from the internal revenue laws.
lFlnt laA ft t.AIf fnT IN
assaults upon internal revenue Officers
That the salaries Of collectors OF internal
revenue and internal revenue agents be equal
lied and increased. their compensation in
many Casea being entirely Inadequate.
The Conmi.sioner recomlnends that tho
vide penalties for failure OF Wholesale dealers
to keen books and render return, of the hisi-
ness done. the in-"rtIon Of the penalty clause
having been omitted
The report shows that the receipts from
internal revenue during the fiscal year ended
June 30 we're t.pS.SldlW, beng t2l ,s3i h84
grcRter than in the previous year. The prin-
Cipal sources OF revenue COMPARED with the
ns.s year ipcIsse Is@ "e, ,losi5ssa to]baroo ] % %9-
s55,os,. incrcose. ss,s9l,s77: fernented liquors.
E3,55O.7A. increase. s!sos,l9s; olcomarearine.
s?.5is,7sS, increase, s5s7l6e; filled cheese,
si7.oti. decrease 81 ,o34 mixed -four. t7.4sa,
decrease sAO. srecial tRAes 81 81 504O. decrease,
s.oj'S2. legade1. s?.sA,,4a, increase n.eie-
.!,o7e.o'i increas., s,s5,o5s miscellaneous.
The recelrts for the first three months ~
the current i-cnl year were 81 .4'o.o22. being
sl.3ii7sl IN excess of those for the ZANE neri1d
sioner es'imate- the receipts OF tho current
year NJ s:oj,~oro and the expense Of collection
H. summing up tho work done by revenue
agents the reior' says that l65 registered and
23j7 illict disllerieS were seized together with
ejr5s gallons Of - lri sand SIS persons were mr.
rested The number ~ stamps issued during the
wear wa, ?. t79,?5s. Tho PRODUCTION Of ccars