1 No allowance is included for the rayon, silk, or other textile-fiber content of articles (except as to rugs and mats, other than weft). 1 No allowance is included for the rayon, silk, or other textile-fiber content of articles (except as to rugs and mats, other than cotton weft). Articles processed in whole from comber waste.. Articles processed in part from comber waste. Articles processed in whole from card strips..... Articles processed in part from car strips..... Articles processed in whole from second-hand articles or from The conversion factor for such articles shall be 85 percent of the above-established conversion factor for like articles processed from raw cotton. The conversion factor for such part of such articles shall be 85 percent of the above-established conversion factor for like articles processed from raw cotton. The conversion factor for such articles shall be 65 percent of the above-established conversion factor for like articles processed from raw cotton. The conversion factor for such part of such articles shall be 65 percent of the above-established conversion factor for like articles processed from raw cotton. 。 |----- The conversion factor for such part of such articles shall be 0 percent. No allowance is included for the rayon, silk, or other textile-fiber content of articles (except as to rugs and mats, other than cotton weft). (A) As to any article for which no conversion factor is assigned, I hereby establish (1) that, if such article is made, directly or indirectly, in some part from another article for which a conversion factor is assigned, then as to each pound of the cotton content of such part the conversion factor shall be the conversion factor for such other article, and (2) that, if such article is made, directly or indirectly, in some part from cotton, but not as to such part from another article for which a conversion factor is assigned, then as to such part, the tax or refund shall be computed at the rate of the processing tax, upon the basis of the amount of cotton established to have been actually used in the production of such part. (B) In the event that any taxpayer or person entitled to a refund establishes that any article processed from cotton, with respect to which a tax is imposed, or which may be the subject of a claim for refund, which is included in the above list, contains more or less cotton than represented by the listed conversion factor, then the amount of the tax or of the refund shall be computed at the rate of the processing tax, upon the basis of the amount of cotton established to have been actually used in the production of the article, with proper allowances for card strips and comber waste based on the conversion factor hereinabove established therefor. (C) In the event that any taxpayer or person entitled to a refund establishes that any article processed from cotton, with respect to which a tax is imposed, or which may be the subject of a claim for refund, which is included in the above list, has more or less noncotton content of the kind for which provision has been made hereinabove, than that represented by the percentage of total weight of the article deductible for noncotton content to determine the cotton content of the article, then the amount of the noncotton content to be deducted from the total weight of the article shall be the amount of noncotton content established to be actually contained in the particular article. The noncotton content to which this election refers does not include rayon, silk, or other textile fiber content of articles (except as to "rugs and mats, other than cotton weft"). PAR. F. Section 19 (a), Agricultural Adjustment Act, provides: The taxes provided in this title shall be collected by the Bureau of Internal Revenue under the direction of the Secretary of the Treasury. Such taxes shall be paid into the Treasury of the United States. PAR. G. Section 10 (d), Agricultural Adjustment Act, provides: The Secretary of the Treasury is authorized to make such regulations as may be necessary to carry out the powers vested in him by this title. PAR. H. Section 1101, Revenue Act of 1926, made applicable by section 19 (b), Agricultural Adjustment Act, provides: The Commissioner, with the approval of the Secretary, shall prescribe and publish all needful rules and regulations for the enforcement of this Act. Pursuant to the above-quoted provisions and the provisions of the various internal revenue laws the following regulations are hereby prescribed: ARTICLE 1. General.-(a) By virtue of the provisions of the Agricultural Adjustment Act and the proclamation and regulations of the Secretary of Agriculture, a processing tax on the first domestic processing of cotton becomes effective at the earliest moment of August 1, 1933. At the same moment there becomes effective a compensating tax on all articles processed or manufactured wholly or in chief value from cotton, and imported on or after August 1, 1933. At the same moment there becomes effective a tax on floor stocks of articles processed wholly or in chief value from cotton which, on August 1, 1933, are held for sale or other disposition. The rate of processing tax is given in article 2 of these regulations. The rates of compensating tax are given in article 3 of these regulations. (b) By virtue of the proclamation of the Secretary of Agriculture, set forth in paragraph B, above, Regulations 81, relating to the processing tax and compensating tax; Regulations 82, relating to the tax on floor stocks; and Regulations 83, relating to exportation, which are general regulations under the Agricultural Adjustment Act, become applicable to cotton. These regulations supplement, but are not intended to change or revoke in any way, Regulations 81, Regulations 82, or Regulations 83. (c) With respect to products processed or manufactured wholly or in chief value from cotton, the date, August 1, 1933, is the "effective date" as defined and used in Regulations 81, Regulations 82, and Regulations 83, that is, the date when the processing tax on cotton first takes effect. (d) The various definitions set forth in the regulations of the Secretary of Agriculture in paragraph E, above, are hereby adopted as part of these regulations. (e) The term "cotton" as used in these regulations means lint cotton (that is, cotton which has been ginned) of any kind, classification, type, or grade. ART. 2. Processing tax.—(a) The processing tax on the first domestic processing of cotton becomes effective at the first moment of August 1, 1933. For detailed regulations as to the tax on processing, see Regulations 81. The form prescribed for return of processing tax is P.T. form 2. The first return of processing tax shall embrace the period August 1, 1933, to August 31, 1933, both inclusive, and shall be filed on or before September 30, 1933. The tax shown thereon must be paid at the time when the return is filed, or, if the time for payment be postponed or extended, then at the time or times designated for payment in such postponement or extension. See article 6 for list of prescribed forms. (b) In accordance with the regulations of the Secretary of Agriculture, the rate of tax applicable to the first domestic processing of cotton is 4.2 cents per pound of lint cotton, net weight. The net weight of lint cotton subject to the processing tax shall be determined by deducting the weight of tare (bagging, ties, and patches) from the gross weight of the bale. (c) For the period from August 1, 1933, to August 31, 1933, both inclusive, and for each calendar month thereafter, each processor of cotton shall keep a record of (1) the quantity of cotton on hand at the beginning of the period, (2) the quantity of cotton received during the period, (3) the quantity of cotton shipped or delivered during the period, (4) the quantity of cotton sold or otherwise disposed of as waste during the period, and (5) the quantity of cotton on hand at |