to the officer making the purchase. This permit will be delivered to the Collec tor of Internal Revenue having charge of the warehouse, and will be by him transmitted to the Office of Internal Revenue as his voucher for the cancellation of the warehouse bond under which the goods were stored. 2. Articles not Stored in Bonded Warehouse.-When any articles which are subject to an excise tax, and which are not stored in a bonded warehouse, are purchased for the use of the United States directly from the producer or manufacturer of such goods, under a contract entered into subsequently to the first day of April, A. D. 1865, the officer making such purchase will furnish to the manufacturer or producer a certificate similar to that required in the case of bonded articles, but setting forth in addition the price paid under the contract, and the fact that there was a mutual understanding at the time of making the contract that the goods were to be free of tax. This certificate will be forwarded to the bureau or department on behalf of which the purchase is made; and if the head of such bureau or department shall approve the terms of the purchase, he will transinit the certificate to the Secre tary of the Treasury, with a request for the remission of the tax. If the certificate is found to be in proper form, and to set forth the quantity and description of the goods with sufficient clearness to allow of their identifica tion, a permit will be issued for their delivery to the officer making the purchase without payment of duty. This permit will be accepted by the assessor of the district in which the goods were manufactured, in full discharge of any liability of the manufacturer to an excise tax on account of the manufacture and sale of the articles so purchased for the use of the United States, and in making any assessment against such manufacturer, he will omit the value and quantity of such goods. H. McCULLOCH, Secretary of the Treasury. [Circular No. 31.] REGULATIONS FOR THE INSPECTION OF TOBACCO, SNUFF AND CIGARS. Treasury Department, Office of Internal Revenue, As it was found that stamps of a suitable character to be used on boxes and packages of cigars could not be conveniently provided prior to the first day of April, it was determined that the alternative mode of marking allowed by the statute should be adopted as a temporary measure. It is now ascertained with reasonable certainty that a sufficient supply of stamps calculated to answer the purposes intended can be had by the first day of June next. It is therefore deemed expedient to apprise revenue officers and manufacturers of cigars that from and after that date these revised regulations, prepared specially in reference to the use of stamps, but adapted to the requirements of the law relating to souff and tobacco, will take effect, and the regulations heretofore issued, so far as they differ from these, or are inconsistent with them, are to be considered as rescinded. Until the first of June, however, the regulations of the thirtieth of March will continue to be observed. Tobacco. Section 91 of the act of June 30, 1864, as amended by the act of March 3, 1865, provides that all manufactured tobacco, snuff, or cigars, whether of domes tic manufacture or imported, shall, before the same is used or removed for consumption, be inspected and weighed by an Inspector, who shall mark or affix a stamp upon the box or other package containing such tobacco, snuff or cigars in a manner to be prescribed by the Commissioner of Internal Revenue, denoting the kind or form of tobacco, and the weight of such package, with the date of inspection and the name of the inspector. 1. By virtue of this section, plug, twist and all other kinds of manufactured tobacco, including cut and granulated tobacco, whether designed for chewing or smoking, snuff and all substitutes for such manufactured tobacco or snuff shall be inspected in the boxes, casks, barrels, bundles or packages in which they are intended to be sold or offered for sale by the manufacturer. 2. Tobacco twisted by hand or reduced from leaf into condition to be consumed without the use of any machine or instrument, and not pressed, sweetened or otherwise prepared will be subject to inspection in the same manner. 3. Where tobacco of any kind is placed in bond it must be presented to the inspector packed in such boxes, barrels or cases as will enable him to brand or mark each box, barrel. or case as required. 4. The inspector will mark with a stencil or branding iron on each box, cask, barrel, bundle or other package of tobacco or snuff inspected by him, the weight and kind of tobacco or snuff contained in each, with the date of the inspection and his name and official designation. 5 The inspector will keep an accurate account of all tobacco and snuff inspected by him, and on the first day of each month return to the assessor of his district a separate and distinct account of the weight and kind of all tobacco and snuff inspected by him during the preceding month, with the dates of such inspections and the names of the persons, firms or companies for whom the same were so inspected. 6 Any Inspector who shall knowingly put upon any box, cask or package, any false or fraudulent mark, is liable to a penalty of three hundred dollars for each box, cask or package so marked. And any person who shall attempt fraudulently to evade the payment of the tax by changing the mark, or who shall purchase or sell any empty box, cask or package, with the Inspector's marks thereon, or who shall fraudulently use the same so marked, shall be subject to a like penalty for each box, cask or package so purchased, sold or used, or upon which the mark was so changed. Cigars and Cigarrettes. 7. All cigars manufactured, on removal from the place of manufacture, must be packed in boxes by the manufacturer, and all cigars imported must be so packed by the importer; provided that any manufacturer may avail himselt of the privilege given him, by the late amendment of section 94, to have cigars counted by the assistant assessor or inspector, and to sell the same unpacked or in bulk in his presence. 8. The inspector will satisfy himself of the number of cigars in each box, and will attach to the box a stamp, or more than one if necessary, expressing in the aggregate the number of cigars and the tax payable thereon, and bearing also his name, official designation and date of inspection. The requisition for marking the weight does not apply to domestic cigars, but only to those that are imported. 9. The inspector will keep an accurate account of the cigars inspected by him, and on the first day of each inonth return to the assessor of his district a separate and distinct account of the number of cigars inspected by him during the preceding month, the number of stamps used, the dates of inspections, and the names of the persons, firms or companies, severally for whom the same were so inspected. 10. Under the provisious of the amendatory act in relation to cigarrettes made of tobacco inclosed in a paper wrapper, it is evident that there can be none which can be valued at not more than five dollars per hundred packages," inasmuch as they must be valued at least at the cost of the tax and making beyond the tax, which is itself five dolars per hundred packages. Cigarrettes therefore made of tobacco inclosed in a paper wrapper, are not subject to inspection as cigarrettes, but subject to duty at the rate of five per cent ad valorem. The tobacco of which such cigarrettes are made, being a species of manufactured tobacco mentioned in the law, will however be necessarily inspected as manufac tured tobacco, and the tax assessed at the rate of thirty five cents per pound. The term cigarrette, originally the diminutive of cigars, must be confined strictly to its trade meaning which is descriptive of smoking tobacco cut and made fine and inclosed in a paper wrapper. Any so called cigarrette containing any tobacco other than smoking tobacco, cut and made fine or inclosed in any other than a paper wrapper, must be classed and treated as a cigar. All cigars, cheroots, and cigarrettes, made wholly of tobacco or of any substi tutes therefor, are required to be inspected. This will include cigarrettes properly so-called inclosed in tobacco wrappers, and all cigars and cheroots made of tobacco or of any substitutes for tobacco, whether made entirely of tobacco or some substitute therefor, or partly of tobacco and partly of such substitute. Imported Tobacco, Snuff and Cigars. 11. Imported tobacco, snuff and cigars, are subject to the same rules and regulations relating to inspection, as the same denomination of articles of domes tic manufacture, except that the weight of imported cigars is to be marked on the boxes or packages instead of the number. Bonds of Inspectors. 12. Inspectors are required by the late amendatory act to give bond for the faithful performance of all the duties to which they may be assigned, and to return or account for all stamps which may be put in their hands. The bonds of inspectors shall be taken by the collectors of the respective districts in such penalties as they may severally require, and with not less than two sureties each, to be approved by the collectors. The collectors shall certify to the sufficiency of the sureties, and transmit the bonds with their certificates to the Commissioner of Internal Revenue for his approval and custody. The Commissioner will, at any time, if he deems the bond of any inspector insufficient in amount or unsatisfactory in any other respect, require other or additional security. Blank bonds in proper form will be furnished by this office. Fees of Inspectors. 13. The fees of inspectors are in all cases to be paid by the owner of the manufactured tobacco, snuff, or cigars. They shall be as follows: For inspection of cigars, twenty-five cents per thousand. For inspection of tobacco, ten cents per hundred pounds. For the certificate of cigars sold without inspection, as provided by the amendment to section 94, ten cents per thousand. For the examination and identification of tobacco received at a bonded ware. house under transportation bond, five cents per hundred pounds. When this scale shall be found, in any district, to be excessive or inadequate, the scale will be modified upon a report of the circumstances to this office. Re-Inspection. 14. All manufactured tobacco of any kind which shall be sold or pass out of the hands of the manufacturer, except into a bonded warehouse, without the inspection marks, is liable to seizure and forfeiture. The only exception is that cigars may be sold before inspection under the regulations for that purpose. But a purchaser of tobacco after inspection may innocently repack the same for sale; although, under the law, the appearance of the tobacco in the market without the inspection marks, is prima facia evidence of fraud. In case of repacking, therefore, to avoid suspicion and trouble, such purchasers on application to the assessor of the district, will be permitted to have such repacked tobacco re-inspected by an Inspector. The inspector shall receive the original boxes, casks, envelopes, or other packages, and destroy the marks or brands thereon; and shall brand or mark the new packages with the word "re-inspected," in addition to the words and figures above required; and shall return the amount to the assessor as 66 re inspected," and not as again taxable. Stamps. 15. Stamps will be furnished of three denominations, for packages of twentyfive, one hundred, and five hundred cigars each, and representing duties of twenty-five cents, one dollar, and five dollars respectively. It is supposed that each box will contain twenty-five cigars, or some multiple of that number, agreeably to the present trade custom. But as the inspector cannot control the manufacturer in this, if any manufacturer determine to pack such numbers as cannot be represented by the above stamps, on notice to this office stamps will be provided, and the fees for inspection will be increased for such lots. 16. Each Inspector will transmit to the Commissioner of Internal Revenue through the assessor of his district his application for stamps, setting forth his name, his post-office address, his collection district, and the number of each denomination of stamps required by him. This number ought not in general to exceed one month's supply. The application must be endorsed by the assessor of the district, to whom the stamps will thereupon be sent, if the application is approved by the Commissioner. The assessor will deliver them to the inspector, taking his receipt for them in duplicate, one of which he will transmit to this office. 17. If at any time, when an inspector presents his application for a supply of stamps, the assessor shall be of opinion that some other inspector in his district holds more stamps than are needed by him, he will endorse upon such application an order for the transfer of a designated number of stamps; and the inspector receiving such stamps will give a receipt in duplicate in the same manner as provided above, and such receipt will be a sufficient voucher for the inspector delivering such stamps in the settlement of his account. 19. Each of the stamps furnished will bear imprinted upon it a series of months and days, in such manner that the inspector, by a stroke of his brush or pen, under any date, may indicate that as the date of inspection. Inspectors and Assessors. 20. It will be seen by the foregoing, that it becomes important that assessors and inspectors shall be particularly vigilant that the whole product of each manufactory be returned and accounted for, and that care be exercised in the use and application of stamps, which must also be accounted for. 21. Section 12 of the amendatory act provides that any person required by law to be licensed as a manufacturer of tobacco, snuff or cigars, shall, before said license is issued, give a bond to the United States in such sum as shall be required by the Collector, with one or more sureties, to be approved by the Collector. The amount of such bond should not, in any case, be less than twice the estimated monthly tax to which such manufacturer will be liable. Such bond will be conditioned that the manufacturer will comply with all the requirements of law in regard to any persons, firms, companies or corporations, engaged in the manufacture of tobacco, snuff, or cigars; that he will not manufacture or employ others to manufacture tobacco, snuff, or cigars, without first obtaining the requi site permit therefor; that he will not engage in any attempt by himself or by collusion with others to defraud the government of any duty or tax on any manufacture of tobacco, snuff, or cigars; that he will render truly and correctly all the returns, statements, and inventories prescribed for manufacturers of tobacco, snuff, and cigars, and will pay to the Collector of the district all the duty or taxes which may or should be assessed and due on any tobacco, snuff, or cigars, so manufactured, and that he will not knowingly sell, purchase, or receive for sale any such tobacco, snuff, or cigars, which has not been inspected, branded, or stamped as required by law, or upon which the tax has not been paid. Collec tors will require this bond to be given before any license shall hereafter be issued, and it will be the duty of the manufacturer to prepare and furnish the bond. Forms of such bond will be furnished by this office. Treasury Department, Office of Internal Revenue, DECISION WITH REFERENCE TO THE TAX ON IRON, COPPER, LEAD, SPELTER AND Under the several clauses of the 94th section of the act of June 30, 1864, as amended by the act of March 3, 1865, the following rates of duty are imposed on iron, copper, lead, spelter and brass in the different states hereinafter named, accordingly as each metal at different stages is wrought from material which has been previously taxed, or from material on which no tax has been paid. Whenever a manufacturer reduces iron or other metal from the ore, or advan ces it from one of the primary forms to a more advanced state, and afterwards uses or consumes the same in the production of manufactured articles, he is liable to pay the same tax thereon as if he removed it for sale. Applying these provisions to the different metals in question, and the manu factures therefrom, we obtain the following schedule of rates : 1. Pig-Iron, $2 40. 2. Blooms, slabs and loops from the ore, $3 60. 3. Railroad Iron, $3 60. 4. Do. do, re-rolled, $2 40. 5. Bars, or Rods, $3 60. Band, hoop, and sheet, not thinner than No. 18 wire gauge, and plate not less than one-eighth of an inch in thickness, $3 60. 6. Band, hoop, and sheet, thinner than No. 18, and plate less than one-eighth of an inch. $6 00. Do. do., from material taxed under No. 5, $2 40. Cut nails and spikes made from plate taxed under No. 5 or 6. $2 40. Cut nails and spikes made from plate which has not been taxed under No. [Axe polls are subject to the same rates of duty and the same provisions as cut nails and spikes.] 7. Castings for bridges or other permanent structures, $3 60. 8. Stoves, and hollow ware, and castings, exceeding ten per cent, $3 60. 9. Rivets exceeding one-fourth of an inch, nuts and washers not less than two ounces each, and bolts exceeding five-sixteenths of an inch, $6 00. Rivets, nuts, washers and bolts made from iron taxed under No. 5 or 6, $240. 10. Railroad chairs, and railroad, boat, and ship spikes and tubes made from wrought iron, $6 00. 11. Axle bars, or rough forgings for car and wagon axles, car tire, shafting, cranks, anchors, &c., &c., made of blooms, slabs or loops, or of scrap iron, are taxable as bar iron under No. 5. |