Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1902-07-24
Oleo Makers and Dealers Fear For
Export Trade.
New York Merchants Protest-Ac tin z
Commissioner in washingto Shows
New Law Holds the Dealer as
We'll as the Maker Liable to
the Penalty for Attempt
At Fraud.

restored and otherwise doctored butter are
much disturbed by the new law taxing re-
strictng and regulating the business.
| Some say an important export trade in
these articles will be destroyed. II 10 their
contention that their products are no more
deleterious than any others in which pre-
servatives are used; that they are peculiar
| ly fitted for consumption In warm coun-
tries where ordinary butter cannot he
shipped. says the New York Commercial.
Under the new law these products when
carried into a State or Territory in original
packages shall not therefore be exempt
from the local police regulations.
| Adulterated butter, which is the result
OF remixing or reworking with chemic ais
to remove the rancidty, must be packed
in marked packages containing not less
than 10 pounds. The tax upon the manu-
facturer is 10 cents q pound and dealers
pay an annual tax.
Process or renovated butter is the re-
suit OF melting and refining. These pack
ages must be labeled and the tax on the
makers is one-fourth Of one cent pound
TO BE NO LEN1ENCY.
| Questions have been raised as to the
respective liability Of manufacturers and
dealers in case Of errors. intentional OF
otherwise. in stamping the product. Col
leotor Treat of the internal revenue de-
partment has been in communication with
officials in Washington on the subjec.
and it would seem from the correspondence
that the department will hold both manu-
facturers and dealers to strict accounta
bility for any failure to carry out thu
provisions of the law
The collector recently received from
Droste & Snyder Of New York city, dealer.
In creamery process and ladle butter, let
ter In which several pertinent questions
were asked. One of these related to stocl
on hand on and prior to July 1. Another
asked whether the maker the consignee oI
the buyer was to be held for the penalty
and tax in the incident of improperly
stamped goods being discovered.
: Mr.. Treat wrote to Washington. ant
has just received an answer from Rober
! Williams, Jr., acting commissioner of in
ternal revenue.
DEPARTMENT INSTRUCTIONS.
This answer gives an Interpretation o
, the law, with the following instructions
The law of May, 1902. made no provision
for a tax on stock on hand OF renovate'
or adulterated butter, and any such prod
| ucts removed from the factory prior :.
| July l and not further manipulated, re-
worked, etc. would be subject to no inter
:. nal revenue tax.
The manufacturer OF renovated butte
must be presumed to know whether hi
lrroduct is such as to come within the deii
milton Of renovated butter as found in tn
law and regulations, and he should see tina
such product does not contain l6 per cen
or more of moisture. thus throwing it int
the category of adulterated butter tax
able at 10 cents per pound.
I Sec. Of the Act of declares: Ever
I person who knowingly sells or offers 70
sale, or delivers or offers to deliver an
t adulterated butter in any other form tina
. In new wooden or paper packages, OF VIII
n q
butter in any manner contrary to law. o
; who falsely brands any package or affixe
, a stamp on any package denoting les
. amount OF tax than that required by Law
shall be fined for each offence not NOR
, than 1000 and be imprisoned not NOR
than two years"
Should adulterated butter be found in tn
hands Of n dealer bearing stamps at til
rate of one-fourth of one per cent pc
pound as for renovated butter, it would b
liable to seizure if 1t was held for the pur
pose Of being sold or removed in fraud @
the internal revenue laws. or with desig
to avoid payment OF such taxes, and ever
person having such articles in his posses
sion for the purpose Of selling the same /
fraud Of the internal revenue laws woul
. be liable to a penalty OF $500. or not les
than double the amount of tax fraudulent
ly attempted to be evaded.
While the regulations refer only to tn
, percentage of moisture in renovated butte
Z IL seems reasonable to presume that IN
maximum for moisture must be the sam
In butter manufactured by any process. O
containing any material that causes tn
absorption Of moisture In excess of tn
:, maximum fixed for renovated butter.
! would. therefore, follow that butter cor
tanning Is per cent or more of moistur
would fall under the designation Of adu
: terated butter"