he must be licensed as such. (Com'r Boutw., N. Y. Trans., Nov. 11, '62.) CLOCKS AND CLOCK MOVEMENTS. [Duty, three per cent, ad valorem.] The duty on clock movements made to run one day is five cents each; made to run more than one day, 10 cents each (875). By the amendatory act of March 3, 1863 (p. 260, infra), the specific duty on clock movements is altered to an ad valorem duty of three per cent upon all clocks and clock movements uncased. And any duties which may have been paid on clock movements used for clocks or time-pieces are to be deducted from the three per cent tax on clocks. CLOTH. [Duty, three per cent, ad valorem, or on increased value.] 1. THE DUTY. The statute contemplates 1. Cloth, before it has been dyed, printed, bleached, or prepared in any other manner; and, 2. Cloth, after it has been dyed, printed, bleached, or otherwise prepared, and "manufactured into fabrics." A duty of three per cent, ad valorem, is imposed on the first of these kinds; and when this duty has been paid, and the cloth is dyed, &c., or worked into fabrics, the duty on the second kind, so prepared, is levied only upon its increased value over the unprepared material. The first class, or Unprepared Cloth, includes all textile or knitted or felted fabrics of cotton, wool, or other material, unbleached, &c. (§ 75.) And, in order that a third duty may not be imposed on cloths, the thread or yarn used in the manufacture of knitted fabrics, or in the weaving of cloth, when the spinning and weaving are carried on separately, is exempt from duty as manufactures. Prepared Cloth. The duty of three per cent on prepared cloth, or cloth manufactured into fabrics, is upon the increased value thereof; but this is contingent upon the payment of the ad valorem duty on the unprepared material. "Manufactured into other fabrics," does not mean manufactured into clothing, caps, &c., but is confined to those cases where the last manufacture is still a "fabric,"-as printing cloths made into prints, cloths prepared by a covering of India rubber, &c. It is these kinds of manufactured fabrics to which the proviso refers that the tax is to be assessed only on the increased value of the cloth on which a duty has already been paid. (Com'r Boutw., N. Y. Her., Oct. 22, '62.) It does not apply to "manufactures of cotton, wool, silk," &c.—such as clothing, gloves, caps, &c., which are subject to the three per cent ad valorem tax as "manufactures.” The proviso treats of cloths as "fabrics," and provides for a tax on the increased value of such cloths as "fabrics," when they have been subjected to the process of dyeing, bleaching, printing, or manufacturing. In the language of commerce and trade, cloth is a fabric, but a coat is not. (Com'r Boutw., Decis. No. 36.) It refers only to such preparations of cloth by which the cloth remains intact. If, however, the cloth is cut, so as to be made into garments, then the tax must be paid on the full value. Thus, manufactured clothing, caps, gloves, neck-ties, &c., manufactured from cloth previously taxed, are subject to the three per cent tax on their full value when finished. (Com'r Boutw., N. Y. Trans., Nov. 7, '62; id., Oct. 27, '62.) Under this provision, white cloths may be dyed and printed; brown cloths may be bleached; oil-cloth, India-rubber cloth, or enameled cloth, may be manufactured or prepared, and the manufacturer be liable to taxation for the increased value of his product over the value of the basis or primary manufacture on which the tax shall have been previously paid. This construction appears to give reasonable and adequate scope to the language employed; and this proviso, being an exception to the general policy of the law, which is to tax such distinct manufacture of its full commercial value, no broader construction can properly be made. (Com'r Boutw., Decis. Nos. 5 and 36.) Goods printed since August 31st, upon cloths manufactured previous to September 1st, 1862, on which no duty or tax has been paid, are liable to assessment upon the present value of the goods. The provision of section 75 authorizes an assessment upon the increased value only when the duty or tax shall have been paid before the cloths were so prepared or printed. (Com'r Boutw., Decis. No. 5.) By the act of March 3, 1863, it is provided, that on all cloths of silk, cotton, or other material, dyed, printed, bleached, manufactured, or prepared into other fabrics, which were removed from the place of manufacture prior to the 1st of September, 1862, or which have been or shall be imported, the duty of three per cent shall be assessed only upon the increased value thereof. And whenever the duty has been assessed, or assessed and collected at the full value upon cloths of silk, cotton, or other material manufactured and removed from the place of manufacture prior to the 1st of September, 1862, or which were imported prior to the 3d of March, 1863, and which have been dyed, printed, bleached, manufactured, or otherwise prepared, since September 1, 1862, the commissioner, subject to the regulation of the secretary of the treasury, may refund and pay back such proportion of said duties as were assessed upon the value of such cloths before the same were so dyed, printed, bleached, manufactured, or otherwise prepared. (§ 30, page 264, infra.) For an exposition of this provision, see Decision No. 85, Appendix V., p. 306. Calico printers, and other manufacturers of cloth into fabrics, are liable to be taxed for articles of their manufacture when sold or removed. (Com'r Boutw., N. Y. Trans., Nov. 17, '62.) 2. PAYMENT OF THE DUTY. The duty is payable, from month to month, on the amount made and sold; of which, also, returns are to be rendered, as of a manufacture. CLOTHING. [Duty, three per cent, ad valorem.] 1. THE DUTY. Clothing must be included among those "manufactures of cotton, wool, silk, worsted," &c., "or of other materials not otherwise provided for," which are subject to a duty of three per cent, ad valorem. It is claimed that the material or materials of which clothing is made are not enumerated, nor covered by the phrase, "or of other materials." This interpretation does not seem to be justified by the language of the provision, nor sustained by the general policy of the law. As leather is the material of which shoes are made, or paper the material of a variety of manufactures, so cloth may properly be regarded as a principal material in the manufacture of clothing, and as such is covered by the phrase, "or of other materials," in the section of the law before referred to. It would also be a reasonable construction of the provision under consideration to say, that the tax of three per cent, ad valorem, is to be levied upon all manufactures of which "cotton" is the material, of which "silk" is the material, of which "worsted" is the material, "wholly or in part," and so on through the list of articles enumerated in the statute. This construction would cover clothing, as it is a manufacture of which cotton, and wool, and silk, and worsted, wholly or in part, are the ultimate materials of which it is composed. But using the language of the statute as the same language is used in daily business, it seems altogether reasonable to speak of cloths of the various sorts as the materials of which clothing is manufactured. Hence, upon either construction of the provision of the law, clothing must be regarded as a manufacture, subject to an ad valorem duty of three per cent. It is the decision of the commissioner that clothing is a manufacture, and subject to taxation at the rate of three per cent, ad valorem,--the value to be returned by the manufacturers, or estimated by assessors, in the manner pointed out by the statute. (Com'r Boutw., Decis. No. 36.) See CLOTH, supra. This principle is somewhat modified by the amendments to the act, adopted March 3, 1863, which provide that articles- -e. g., garments-manufactured from materials upon which internal or import duties are imposed, or which are exempt, where the increased value of the manufactured article does not exceed five per cent, ad valorem, shall be exempt from duty as a separate manufacture. See MANUFACTURES IN GENERAL, article ii., infra. 2. How AND WHEN PAID. The duty is to be paid by the manufacturer, from month. to month, upon the amount made and sold; and returns of the same are to be rendered to the assistant assessor of the district where the manufacture is carried on. Who is the manufacturer.-The work of manufacturing clothing is generally performed by persons who are not the owners, and who receive the garments cut, and return them, completed, to the owners. This does not constitute them "manufacturers." An operative employed in the manufacture of a coat can no more be regarded as the manufacturer than the weaver of cloth in a mill. (Com'r Boutw., Decis. No. 36.) When persons receive from a manufacturer of clothing, whether in the same town or at a distance, garments to be made, and, when finished, to be returned to the manufacturer or owner, such persons need not pay the three per cent duty, on complying with the following regulation: On the request of the assistant assessor, they must make out a list, subscribed and sworn; which list must contain the quantity of garments made up during each month, and, as near as may be, the value thereof; together with the name and residence of the person for whom the labor has been performed. Such list is to be transmitted, by the assessor receiving the same, to the assessor of the district wherein the owner of the goods resides, or has his usual place of business, and there the duty is to be paid by the actual owner of the goods. (Com'r Boutw., Decis. No. 7.) CLOVES (Ground). [Duty, one cent per pound.] The duty on ground cloves, and all imitations of it, is one cent per pound (§ 75); to be paid monthly. COAL. [Duty, three and a half cents per ton.*] A duty of three and a half cents per ton is imposed on The treasury department has decided that the measure of a ton, in making assessments for the internal revenue, shall be two thousand two hundred and forty pounds, in all cases, under the excise law, unless the contrary is specified. |