The daily telegram. [volume] (Clarksburg, W. Va.) 1901-1926, 1908-01-20
TO SECURE The
DEPQsITQRS
Is Purpose Of Tax on Public
Moneys in Banks Proposed
by Senator Scott.


Following IS copy Of al bin
which has been intoduced in the
Senate Of the United States by sena-
tor N. B. Scott for the taxation of
certain deposits with national bank
ing associations and for other pur-
uoses:
Be It enacted by the snate and House
OF Representatives of the United
States Of America in Congress As
sembled. q
That whenever any national bank
ing association shall receive from the
Secretary of the Treasury, under the
authority vested in him by section
515s OF the Revised Statutes, are
amended by section OF the Act APP
proved March, II. 1907, entitled can
Act to amend the national banking
Act, and for other purposes" or by
any other provision OF law now ex-
listing or hereafter enacted, any de-
posit of public money, such banking
association shall be. and is hereby
made subject to a tax of one-twenty-
fourth of one percentum per month
upon the average amount of such
deposits so received and held by ii
as hereinafter provided. the tax here
by levied being in addition to any
and all other taxes imposed by law
upon national banking institutions.
Sec. 2. That It shall be the duty of
each national banking association
with whom the Secretary of the
Treasury shall make deposits of pub
lie moneys as aforesaid to render
return in duplicate. under the oath OF
the president or cashier of said bank
ing association. in such form and
manner as may be prescribed by the
Commissioner Of Internal Revenue,
with the approval of the Secretary of
the Treasury, one copy of which re-
turn shall be deposited with the coll
lector of internal revenue of the IN
ternal revenue collecting district in
which such banking association is To-
Gated and one copy transmitted to
the Commissioner of Internal Reve-
nue.. Such return shall be made
semi-annually on the first day of De-
cember and the first day of June OF
each year, and shall set out the av-
erage monthly amount of the depos-
its aforesaid so received and held by
such banking association. The copy
of said return which is to be depos-
tied with the collector of internal
revenue as aforesaid shall be accom-
panied by the amount of the tax
shown to he due by said return.
Sec. 3. That in default of the re-
turn herein provided for the Com
missioner of Internal Revenue shall
estimate the amount of deposits re-
ceived and held by any such bank
ing association upon the best infor-
nation he can obtain, including in
formation Of such deposits secured
from the Secretary of the Treasury;
and the tax found due upon such es-
innate shall be assessed and collected
as in other cases of default under
the internal revenue laws. And for
refusal or neglect to make the return
or payment herein provided for the
banking association shall pay a pen
atty of two hundred dollars for every
such default, to be collected by dis
traint.
Sec. 4. That the amounts collected
as tax under the provisions of this
Act shall constitute special fund
the Treasury of the United States to
be denominated the deposltors' sure
ty fund. which fund shall be held to
the order of the Secretary of the
Treasury, to be used by him under
such regulations as he may promul-
gate, to reimburse depositors in ma
tional banks, either in full or in such
pro rata as the condition of the said
fund may allow. for loss occasloned
by the failure of any national bank
ins association, and for no other pur-
pose except such as may be specific
ally authorized by law.
Sec. 5. That all existing provisions
of law for the assessment and collec-
ton of internal revenue taxes, so far
as applicable, are hereby made part
OF this Act