Hagerstown, in your district, asking for a copy of a circular from which he may be able to ascertain what goods in his line are subject to the "special war tax.”

* You will please inform him that the war-revenue law imposes a tax on sparkling and other wines, when bottled for sale, of 1 cent on each bottle containing a pint or less, and 2 cents on each bottle containing more than one pint. The value of the stamp must correspond with the size or capacity of the bottle used to contain the wine.

In

Stamps must be affixed to domestic as well as imported wines. the case of domestic wines, the stamp is to be affixed when the wines are transferred to the bottles for sale by the person who makes the transfer. In the case of imported wines, the bottles, unless previously stamped, must be stamped by the importer after the same are removed from the custom-house and immediately upon their removal to the premises or warehouse of the importer.

Foreign wines in bottles may be stamped abroad. The stamps may be canceled by the importer before he sends them abroad, or they may be canceled at the time they are affixed to the bottles.

Demijohns and jugs containing wine exposed for sale, which are manifestly substitutes for uncovered bottles, will be considered as bottles, and must be stamped accordingly. The fact that small bottles used for containing wine are surrounded with wickerwork or are composed of earthen or stone ware with a handle attached will not relieve them from liability to .the tax imposed by the new law; but jugs or demijohns containing a gallon or upward, filled from packages containing wines in bulk for delivery as orders arise, would not be considered as bottles within the meaning of the law. In general, it may be said that kettles, pitchers, demijohns, and jugs containing wine do not require stamps, unless these vessels are of such size and material as show them to be used as bottles or substitutes for bottles for the purpose of evading the tax, in which case they must be stamped.

The unfermented juice of the grape, whether bottled or not, is not subject to taxation and need not be stamped.

The presence or absence of a label or seal on bottled wines is not material to the question of taxability.

Where a retail dealer fills a bottle from a barrel for his bar stock, from which he sells wine by the glass, he is not required to stamp the bottle. Bottles of wine sold at retail over the bar are taxable and must be stamped.

The stamping of bottles of wine which were on hand on July 1, 1898, in the hands of wholesale or retail dealers not the manufacturers thereof, may be deferred until the time when the bottle, with its contents, is sold at retail.

Liquor not known and used as wine, the principal ingredient of which is not wine, does not require to be stamped unless it is held out or recommended to the public by the makers, venders, or proprietors thereof as a proprietary medicine or medicinal proprietary article or

preparation, or as a remedy or specific for any disease. This ruling applies to liqueurs, cordials, crêmes, and the like, such as "Maraschino," "Curaçoa," "Crême de Menthe," etc.

Where vermuth is bottled as such, for sale, as its basis or principal ingredient is wine, the fact that other ingredients are added does not take it from the category of wines, at least for the purposes of internal revenue taxation. Where vermuth is held out or recommended to the public, by statements appearing on the label or otherwise, as a proprietary medicine or as a remedy or specific for any disease, it is taxable as a proprietary medicine under Schedule B, and must be stamped accordingly.

Where a customer calls for a pint of wine, bringing his bottle with him to be filled, the bottle must be stamped. Where the dealer who sells the wine furnishes the bottle, it must be stamped. Flasks are considered as bottles and must be stamped accordingly.

Wines produced from native mustang grapes must be stamped when bottled for sale.

A farmer who grows his own grapes and produces wine, which he bottles for sale, must stamp the same. Under the provisions of section 3246, Revised Statutes, as amended, however, vintners who sell wine of their own growth, or manufacturers who sell wine produced from grapes grown by others at the place where the same is made, or at the general office of such vintner or manufacturer, are relieved from the payment of special tax as dealers on account of such sales, on condition, however, that no vintner or manufacturer shall have more than one office for the sale of such wine that shall be exempt from special tax.

The tax applies to all wine bottled for sale, without regard to the purpose for which it is to be used and without regard to the length of time during which it is exposed for sale.

It is not necessary that the stamps should be placed over the cork or over the mouth of the bottle, except in cases where stamps imprinted from private dies are used under the provisions of section 9 of the act of June 13, 1898.

An ordinary revenue stamp canceled with the date when it is affixed and the initials of the person using or affixing the same may be attached to any conspicuous part of the bottle.

Wines transferred to bottles by restaurant keepers and served by the bottle with meals furnished by them must be stamped.

In the case of genuine sparkling wines or champagnes put up in bottles and undergoing the natural process of development, during which they require considerable manipulation before arriving at a finished state, the stamping of the bottles may be postponed until such time as the wine arrives at a marketable condition. As soon as the wines are in such condition the liability to tax at once attaches and the stamp must be affixed. The affixing of caps or labels to such bottles will be taken as conclusive evidence that they are "bottled for sale," and if the

proper stamps have not been attached prior to that time the bottle must be stamped without fail when the caps and labels are affixed.

The foregoing ruling has been extended so as to apply to foreign or domestic wines (other than sparkling) transferred from bulk packages to bottles in an immature state for storage in bins for a considerable length of time for aging purposes, the wine so transferred not being regarded as having been "bottled for sale" until such time as it arrives at a marketable condition.

Where wines are sold by dealers and delivered in bottles, it will be presumed that they were bottled for sale" within the meaning of the law, and they must be stamped accordingly.

Respectfully, yours,

N. B. SCOTT, Commissioner.

Mr. B. F. PARLETT, Collector Internal Revenue. Baltimore, Md.

(20152.)

Special tax-Wines.

A tax is imposed on wine (Schedule B, act of June 13, 1898), namely, "Sparkling or other wines, when bottled for sale, upon each bottle containing one pint or less, one cent. Upon each bottle containing more than one pint, two cents"-When vintners are exempt from special tax-Provisions of United States laws do not interfere in any way with the provisions of the State laws or local ordinances. TREASURY DEPARTMENT,

OFFICE OF COMMISSIONER OF INTERNAL REVENUE,

Washington, D. C., October 5, 1898.

SIR: The Secretary of the Interior has referred to this Department your letter inquiring as to the law "regulating the manufacture and sale of domestic wine." The only provisions of the United States laws which impose a tax on wine are the following in Schedule B of the act of June 13, 1898, namely:

Sparkling or other wines, when bottled for sale, upon each bottle containing one pint or less, one cent. Upon each bottle containing more than one pint, two cents.

As to the special tax which persons are required to pay as liquor dealers for selling wine, you are referred to the following exempting provision in section 3246, Revised States, as amended:

Nothing in this chapter shall be construed to impose a special tax upon vintners who sell wine of their own growth, or manufacturers who sell wine produced from grapes grown by others, at the place where the same is made or at the general business office of such vintner or manu facturer: Provided, That no vintner or manufacturer shall have more than one office for the sale of such wine that shall be exempt from special tax under this act.

These provisions of the United States laws do not interfere in any way with the provisions of the State laws or local ordinances regulating

the sale of domestic or other wines. For information as to such laws, you should, of course, apply to the State or local authorities. * N. B. SCOTT, Commissioner.

Respectfully, yours,

Mr. CLAUDE HERNE, Bay City, Mich.

(20159.)

Stamps-Bottled wine.

Stamps on bottled wine which failed of delivery by reason of imperfections discovered in the wine can not be reused.

TREASURY DEPARTMENT,

OFFICE OF COMMISSIONER OF INTERNAL REVENUE,

Washington, D. C., October 10, 1898.

SIR: This office is in receipt of a letter from the Genesee Valley Wine Company, having an office at 713-714 Powers Building, in your city, who inquire whether, in case where they sell bottled wine to a customer which is returned to them either before or after the customer receives it, because of imperfection discovered in the wine which renders it necessary to dump the bottles containing the same, the stamps may be removed and used on other bottles. In case also where the wine has never left the cellar of the producer, but is required to be dumped on account of imperfections discovered, they inquire whether the stamps can be removed and used on other bottles.

These parties have been referred to you for reply, and you will please inform them that where stamps have once been affixed to bottles of wine and canceled in compliance with the law in that particular, they can never be legally detached therefrom and affixed to other bottles.

The statute imposes severe penalties for the reuse of stamps, and this office can not sanction their reuse in any case. Any expense resulting to the producers of wine under the circumstances cited, by reason of loss on stamps covering wine which failed of delivery, must be regarded as one of the incidents of the business.

Respectfully, yours,

Mr VALENTINE FLECKENSTEIN,

N. B. SCOTT, Commissioner.

Collector Twenty-eighth District, Rochester, N. Y.

(20205.)

Stamp tax-Wines.

Bottled wines "presented" to individuals not exempt from tax-Liability of bottled wines given ostensibly for charitable purposes depends upon circumstances of each case.

TREASURY DEPARTMENT,

OFFICE OF COMMISSIONER OF INTERNAL REVENUE,

Washington, D. C, October 18, 1898.

SIR: This office is in receipt of a letter from Mr. A. M. Smith, of 249 Hennepin avenue, Minneapolis, asking to be advised whether bottled

wines presented by him to "hospitals, individuals, or for charitable purposes, without any remuneration, are liable to the war-revenue stamp tax." Mr. Smith contends that he does not bottle these wines for sale, but simply for presentation, free of charge, to such parties as he may elect.

* You will please inform him that this office has held that bottled wines must bear the stamps required by law, even in cases where the element of sale is nominally lacking, as in case of free samples given away for advertising purposes. In view of this ruling, this office can not make any exception in favor of wines "presented" to individuals.

In case of gifts ostensibly for charitable purposes the liability or nonliability would depend upon the circumstances of each particular case. This office can not lay down a general rule which will satisfactorily cover the matter. Where wine in unstamped bottles is donated to charitable institutions, if the circumstances are such as to fairly indicate that the element of personal profit and of business advertisement is wholly wanting, it is probable that action would not be taken for failure to stamp the bottles. Such a transaction is, however, always open to question, and in such case the burden of proof would doubtless rest upon the party. claiming the exemption, where the failure to stamp the wine was accounted for on the grounds of a pure charity.

Respectfully, yours, G. W. WILSON, Acting Commissioner.

Mr. FREDERICK VON BAUMBACH,

Collector Internal Revenue, St. Paul, Minn.

WRITS AND PROCESSES OF COURTS.

(19971.)

Stamp tax-Writs and processes and copies thereof.

Writs and processes of State courts exempt from taxation-Copies thereof are also

exempt.

TREASURY DEPARTMENT,

OFFICE OF COMMISSIONER OF INTERNAL REVENUE,

Washington, D. C., August 29, 1898.

SIR: I have the honor to acknowledge receipt of your communication of July 24, 1898.

You state that Mr. A. F. Nuquist, sheriff of Polk County, Nebr., said county being a part of your Congressional district, requests information as to the liability to taxation, under the clause relating to "certificates of any description required by law not otherwise specified in this act," of a number of instruments, copies of which are submitted.