REVENUE ACT OF 1918
137
[Title VII, Revenue Act of 1918 4]
Sec. 70. (a) That upon cigars and cigarettes manufactured in or imported
into the United States, and hereafter sold by the manufacturer or importer, or
removed for consumption or sale, there shall be levied, collected, and paid
under the provisions of existing law, in lieu of the internal-revenue taxes now
imposed thereon by law, the following taxes, to be paid by the manufacturer or
importer thereof—
On cigars of all descriptions made of tobacco, or any substitute therefor, and
weighing not more than three pounds per thousand, $1.50 per thousand ;
On cigars made of tobacco, or any substitute therefor, and weighing more
than three pounds per thousand, if manufactured or imported to retail at not
nore than 5 cents each, $4 per thousand:
If manufactured or imported to retail at more than 5 cents each and not
more than 8 cents each, $6 per thousand;
If manufactured or imported to retail at more than 8 cents each and not
more than 15 cents each, $9 per thousand;
If manufactured or imported to retail at more than 15 cents each and not
more than 20 cents each, $12 per thousand;
If manufactured or imported to retail at more than 20 cents each, $15 per
thousand ;
On cigarettes made of tobacco, or any substitute therefor, and weighing not
more than three pounds per thousand, $3 per thousand ;
Weighing more than three pounds per thousand, $7.20 per thousand.
(b) Whenever in this section reference is made to cigars manufactured or
imported to retail at not over a certain price each, then in determining the tax
to be paid regard shall be had to the ordinary retail price of a single cigar.
(¢) The Commissioner may, by regulation, require the manufacturer or
importer to affix to each box, package, or container a conspicuous label indicat-
ing the clause of this section under which the cigars therein contained have been
tax-paid, which must correspond with the tax-paid stamp on such box or
container.
(d) Every manufacturer of cigarettes (including small cigars weighing not
more than three pounds per thousand) shall put up all the cigarettes and such
small cigars that he manufactures or has manufactured for him, and sells or
removes for consumption or sale, in packages or parcels containing five, eight,
‘en, twelve, fifteen, sixteen, twenty, twenty-four, forty, fifty, eighty, or one
hundred cigarettes each, and shall securely aflix to each of such packages
or parcels a suitable stamp denoting the tax thereon and shall properly cancel
the same prior to such sale or removal for consumption or sale under such regu-
lations as the Commissioner, with the approval of the Secretary, shall prescribe;
and all cigarettes imported from a foreign country shall be packed, stamped, and
the stamps canceled in a like manner, in addition to the import stamp indicating
inspection of the customhouse before they are withdrawn therefrom.
Sec. 702. That upon all the articles enumerated in section 700 or 701, which
were manufactured or imported, and removed from factory or customhouse on
or prior to the date of the passage of this act, and upon which the tax
imposed by existing law has been paid, and which are, on the day after the
passage of this act, held by any person and intended for sale, there shall be
levied, assessed, collected, and paid a floor tax equal to the difference between
(a) the tax imposed by this act upon such articles according to the class in which
they are placed by this title, and (b) the tax imposed upon such articles by
existing law other than section 403 of the Revenue Act of 1917.
Seo. 703. That there shall be levied, collected, and paid, in lieu of the taxes
imposed by section 404 of the Revenue Act of 1917, upon cigarette paper made
up into packages, books, sets, or tubes, made up in or imported into the United
States and hereafter sold by the manufacturer or importer to any person (other
than to a manufacturer of cigarettes for use by him in the manufacture of
cigarettes) the following taxes, to be paid by the manufacturer or importer:
On each package, book, or set containing more than twenty-five but not more
than fifty papers, %4 cent; containing more than fifty but not more than one
hundred papers, 1 cent; containing more than one hundred papers, 14 cent for
each fifty papers or fractional part thereof; and upon tubes, 1 cent for each
fifty tubes or fractional part thereof.
* Repealed by sec. 1400 (a), Revenue Act of 1921, effective Jan. 1, 1922. See chapter 23.