Page:United States Statutes at Large Volume 50 Part 1.djvu/100

 7 5TH CON GRESS , 1sT SESSION-CH. 127-APRIL 20, 1937 The counsel is authorized to make such expenditures as may be neces- sary for the performance of the duties vested in him. (4) The counsel shall annually make a full report of the activities of his office directly to the Congress. TAX ON COAL SEC. 3 . (a) There is hereby imposed upon the sale or other dis- posal of bituminous coal produced within the United States when sold or otherwise disposed of by the producer thereof an excise tax of 1 cent per ton of two thousand pounds. The term "disposal" as used in this section includes consumption or use (whether in the production of coke or fuel, or otherwise) by a producer, and any transfer of title by the producer other than by sale. (b) In addition to the tax imposed by subsection (a) of this section, there is hereby imposed upon the sale or other disposal of bituminous coal produced within the United States, when sold or otherwise disposed of by the producer thereof, which would be subject to the application of the conditions and provisions of the code provided for in section 4, or of the provisions of section 4-A, an excise t ax .in an amount equal to 191/2 per centum of the sale price at the mine in the case of coal disposed of by sale at the mine, or in the case of coal disposed of otherwise than by sale at the mine, and coal sold otherwise than through an arms' length transaction, 191/2 per centum of the fair market value of such coal at the time of such disposal or sale. In the case of any producer who is a code member as provided in section 4 and is s o ce rtifi ed to the Commi ssion er of Inte rnal Reven ue by the Com- mission, the sale or disposal by such producer during the con- tinuance of his membership in the code of coal produced by him shall be exempt from the tax imposed by this subsection. (c) The taxes imposed by this section shall be paid to the United States by the producer, and shall be payable monthly for each calendar month on or before the first business day of the second succeeding month under such regulations and in such manner as shall be prescribed by the Commissioner of Internal Revenue, with the approval of the Secretary of the Treasury. (d) In the case of coal disposed of otherwise than by sale at the mine, and coal sold otherwise than through an arms' length transaction, the Commissioner of Internal Revenue shall determine the market value thereof. Such market value shall equal the cur- rent market price at the mine of coal of a comparable kind, quality, and size produced for market in the locality where the coal so disposed of is produced. (e) The tax imposed by subsection (a) of this section shall not apply in the case of a sale of coal for the exclusive use of the United States or of any State or Territory of the United States or the D istrict of Colu mbia, or any po litical subdivis ion of any of t hem, for use in the performance of governmental functions. Under regula- tions prescribed by the Commissioner of Internal Revenue with the approval of the Secretary of the Treasury, a credit against the tax imposed by subsection (a) of this section or a refund may be allowed or made to any producer of coal in the amount of such tax paid with respect to the sale of coal to any vendee, if the p roduce r has in his posse ssion such e videnc e as t he reg ulatio ns may p rescri be tha t such coal was re sold b y any person for t he exc lusive use of the United States or of any State, Territory of the United States, or the District of Columbia, or any political subdivision Expenditures au- thorized. Annual report to Congress, Tax on coal. Levyonbituminous, sold by prod ucor. 75 "Disposal" defined Additional, coal sub. Sect to code. Tax ex emp tio n, code members. Payments. Coal dispose d of other than by sale at the mine, etc. ; deter- mining market value. United state s or political subdivision the reof. Sales to be tax ex- empt if for sole use of. Credit s here in, allowed producer's vendee.