The Bridgeport times and evening farmer., 1919-05-21
INTERNAL REVENUE COLLECTOR

Inquiries received by the Bureau of Internal Revenue and Collectors indicate a misunderstanding on the part of not only a large portion of the public, but dealers themselves regarding the tax on soft drinks which became effective May 1. Re- ports reaching the Bureau are that some dealers are not collecting the tax while others are charging extra pennies for drinks which are not taxa ble.
 To correct these mistakes the Bu- reau has issued the following off, cial statement relating to the collec- ton of the tax:
 The tax is one cent for each ten cents or fraction therof on the amount paid at soda fountains, ice cream parlors or similar places of business on soft drinks, ice cream, ice cream sundaes, "or similar articles of food or drink when sold for consumption in or in proximity to such place of business" The purchaser can not escape the tax by stepping outside of the place where sold to consume his soft dring or ice cream. Ice cream in cones Is taxable, because sold under conditions which indicate that it is to be consumed 'in or in proximity to the place of business" When ice cream is sold under con- ditions which indicate that 1t would usually be consumed in or in proxim- ity to the premises, the fact that the purchaser does not consume it there but carries it away, does ont render it free from the tax. Ice cream sold in boxes and ice cream sodas or other soft drinks sold in pitchers or buckets for home consumption are exempt.
 ErIz ,f xI.-sr, and similar articles of food and drink in hotels, restaurants, cafterias and club houses are not taxable unless sold separate and apart from meals. If ice cream or a soft drink is the only refreshment ordered in such places the tax applies. Such sales at soda fountains are taxable even though sold as part of the meal.
 In general such beverage common ly known as soft drinks which are compounded or mixed at a soda foun- tain are subject to the tax. Illustra- tive of these are orangeade, lemon- ade, pineapple juice, coca cola, roc. beer, n1oxie, phosphates, fruit and flavoring syrups mixed with plain or carbonated watsrs milk shakes malt ed milk shakes, cream and egg shakes, ice cream, ice cream sodas. ice cream sundaes, ice cream sand wlcheS, and 1laVOreO 1ceS-
 Certain drinks often sold at soda fountains, ice cream parlors and similar places of business are not taxable. Such beverag ges as hot beef tea, coffee. tea. buttermilk. milk, hot chocolate or cocoa, hot clam bisque. hot tomato bisque, and hot tomato bullion. Medicinal preparations such as bromo-s -se1tzer, citrate of ma agnesia, rochelle salts, seitlets powders, bicar- bonate of soda, aromatic spirits of ammonia, epson salts, essence of pep sin, etc, sold at the fountain also escape the '-soft drink" tax. No tax applies on the sale of beverages such as ginger ale, root beer, moxie, min eral water, etc, when served from closed containers, because a manufac- turer'S tax on such drinks has all ready been levied.
 The tax is on the whole amount of the purchase price. Thus, If pur- chaser who treats" a friend orders two sodaS at the same time, each sell ling for 5 cents, the tax is 3 cents, and not cents. If, however, he buys one IS cent soda and immediately thereafter purchases another IS cent drink, the tax is two cents on each sale. Dealers are advised to guard separate customers against pooling their purchase to escape the tax. The penalty for willfully attempting to evade the tax is a fine of not more than s10,000 or not more than one years Imprisonment, or both, to- gether with the cost of prosecution.
 Sales of ice cream and soft drinks by relicious, charitable or educational societies on special occasions such as church festivals, picnics. etc, are not taxable. Such sales in standss and booths at agricultural fairs, racing parks. public exhibitions, circuses shows and similar places are taxa ble.