The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1901-02-01
Provision Made for Rebates ON Tobac-
co and Cigars I'm stock when
Law Takes Eject.
SLEUTHs TO BE APPOINTED
FOR THE PURPOSE OF ENFORCING
COLLECTION OF LEGACY TAX.
Section Relating TO Bills of Exchange
Also Amended-Secretary Gage ON
an Elastic Currency.

WASHINGTON. Jan. s1.-The Senate
committee on finance to-day reported q
number OF amendments TO the war revenue
reduction act. The following, relating 10
stock transactions, is new section:
That from and after the passage of this
act every person, association, copartnership
or corporation who. or which shall In his.
its or their own behalf, or agent, engage
In the business Of making or Offering 10
make contracts. agreements. trades or
transactions respecting the purchase or sale
or purchase and sale of any grain, provi-
sions, raw or manufactured, stock bonds
or other securities, wherein both parties
thereto or such person, association, copart-
nersnip or corporation, above named. con-
template or intend that such contracts
agreements, trades or transactions shall be
or may be closed. adjusted or settled ac-
cordlng or with reference to the public
market quotations OF prices made on any
board OF trade or exchange on which the
commodities or securities referred to I'm
said contracts, agreements. trades or trans
actions are dealt IN, and without bona
nde transaction on such board OF trade or
exchange. or wherein such parties, person,
association or copartnership or corpora
ton above named shall contemplate or in
tenI that such contracts, agreements.
trades or transactions shall be or may be
deemed closed or determined when the pub
lie market quotations OF prices made on
such board or trade or exchange for the
articles as securities named in such con-
tracts, agreements, trades or transactions
shall reach certain figure; and every per-
son. association copartnership and corpo-
ration who. or which, shall in his or In its
own behalf, or as agent. conduct what IL
commonly known as q 'bucketshop,' shall
pay stamp tax OF cent on each 500 In
value OF the merchandise covered. or pre-
tended TO be covered, and also tax OF 2
cents on each 500 or the face value os all
stocks. bonds or other securities covered or
pretended to be covered by each and all or
such contracts. agreements. trades or
transactions.
Provided, however That the payment or
any tax imposed by this section shall not
be held or construed to exempt any such
person. association, copartnership or cor
poration from any penalty or punishment
provided by the laws OF any State for car
rying on such business or the making Of
such contracts, agreements, trades or
transactions within such State. or in any
manner to authorize the commencement or
continuance of such business or the making
of any such contracts, agreements, trades
or transactions contrary TO the laws or
such State, or I'm any place prohibited by
municipal law: nor shall the payment or
any usch tax be held to prohibit any State
from placing duty or tax on the same
trade or business for State or other pur-
poses and every such person. association.
copartnership or corporation, as aforesaid,
shall pay an annual special tax OF $50, and
for each branch Office. wherever estaD-
lished, an annual special tax in addition. or
$50. which said tax shall be paid within
thirty days after the passage Of this act
or corporation now engaged In such busi-
ness, and from and after the passage OF
this act by every such person association.
copartnership or corporation proposing to
engage I'm the business aforesaid before
commencing such business.
PENALTY ATTACHED.
Provision is made compelling all persons
or associations doing business under this
section to file notice, under oath. with a
collector, giving the names OF persons or
members, and officers of the corporation.
their residence and place where the busi-
ness Is carried on. Books must be kept by
such firms showing all transactions subject
to inspection by collectors. Penalties are
provided making IL a misdemeanor IL any
of the provisions OF the act is not carried
out; fines OF $500 to $1,000. and imprison-
ment OF three months to two years being
the penalty.
A rebate provision relating to tobacco 10
added as follows:
THAT on ali original and unbroken fac
tory packages OF smoking and manufac-
tured tobacco and snuff and cigars held by
manufacturers or dealers at the time such
discount or reductiop of tax shall go into
effect upon which the tax has been PAID.
there shall be allowed a drawback or re-
bate OF the full amount OF such discount or
reduction of tax. but the same shall not
apply I'm any case where the claim has not
been presented within sixty days following
the date Of the reduction; and such rebate
to manufacturers may be paid In stamps at
the reduced rates and no claim shall be
allowed or drawback paid for a less amount
than $40 IL shall be the duty of the CONF
missioner of internal revenue. with the ap-
proyal OF the secretary OF the treasury. to
adopt such rules and regulations. and 10
prescribe and furnish such blanks and
forms as may be necessary to carry this
section into effect.
Another new section is as follows: That
from and after the passage OF this
act the secretary OF the treasury Is au-
thorized TO appoint competent person
whose special duty 1t shall be to conduct
such Investigations as may be necessary
TO secure the efficient enforcement OF taxes
imposed upon legacies and distributive
shares OF personal property by Section =
OF said act approved June l3 1895. and ne
may also appoint such additional clerks or
agents as may be necessary for the collec-
ton OF said taxes"
The existing laws relating 10 the tax on
bills OF exchange is amended so as TO
read as follows:
'BilIs OF exchange (foreign) or letters OF
credit Uncucing orders by telegraph or
otherwise. for the payment OF money is
sued by express or other companies or
any person or personsl. drawn in but pav-
able out OF. the United States. III drawn
singly or otherwise than a set OF three or
more. according TO the custom OF mer-
chants or bankers. shall pay for a sum not
exceeding 500 two cents, and for each 500
or fractional part thereof I'm excess Of
800. two cents: II drawn In sets OF two or
more. for every bill OF each set. where the
sum made payable shall not exceed 500
or the equivalent thereof, IN any foreign
currency in which said bin may be ex-
pressed In accordance with the standard
of value fixed by the United States On.