Page:United States Statutes at Large Volume 53 Part 1.djvu/663

 CLVIII CODIFICATION OF INTERNAL REVENUE LAWS use of imported merchandise, the full amount of the duties paid upon the merchandise so used shall be refunded as drawback, less 1 per centum of such duties, except that such duties shall not be so refunded upon the exportation of flour or by-products produced from wheat imported after ninety days after the date of the enactment of this Act. Where two or more products result from the manipulation of imported merchandise, the drawback shall be dis- tributed to the several products in accordance with their relative values at the time of separation. (b) SUBSTrroU'N FOB DRAWBACK PURPOSES.-If imported duty-paid sugar or non-ferrous metal, or ore containing non-ferrous metal, and duty free or domes- tic merchandise of the same kind and quality are used in the manufacture or production of articles within a period not to exceed one year from the receipt of such imported merchandise by the manufacturer or producer of such articles, there shall be allowed upon the exportation (or shipment to the Philippine Islands) of any such articles, notwithstanding the fact that none of the im- ported merchandise may actually have been used in the manufacture or pro- duction of the exported articles, an amount of drawback equal to that which would have been allowable had the sugar or non-ferrous metal, or ore contain- ing non-ferrous metal, used therein been imported; but the total amount of drawback allowed upon the exportation of such articles, together with the total amount of drawback allowed in respect of such imported merchandise under any other provision of law, shall not exceed 99 per centum of the duty paid on such imported merchandise. (c) MERCHANDISE NOT CONFORMING TO SAMPLE on SPECIFICATIONS.-Upon the exportation of merchandise not conforming to sample or specifications upon which the duties have been paid and which have been entered or withdrawn for consumption and, within thirty days after release from customs custody, re - turned to customs custody for exportation, the full amount of the duties paid upon such merchandise shall be refunded as drawback, less 1 per centum of such duties. (d) FLAVORING EXTRACTS AND MEDICINAL OB TOILEr PREPARATIONS.-Upon the exportation of flavoring extracts, medicinal or toilet preparations (including perfumery) manufactured or produced in the United States in part from do- mestic alcohol on which an internal-revenue tax has been paid, there shall be allowed a drawback equal in amount to the tax found to have been paid on the alcohol so used. Upon the exportation of bottled distilled spirits and wines manufactured or produced in the United States on which an internal-revenue tax has been paid, there shall be allowed, under regulations to be prescribed by the Commissioner of Internal Revenue, with the approval of the Secretary of the Treasury, a drawback equal in amount to the tax found to have been paid on such bottled distilled spirits and wines: Provided, That such distilled spirits and wines have been bottled especially for export, under regulations prescribed by the Commis- sioner of Internal Revenue, with the approval of the Secretary of the Treasury. (h) TIME LIMITATION ON EXPORTATION.-No drawback shall be allowed under the provisions of this section or of section 6 of the Act entitled "An Act tem- porarily to provide revenue for the Philippine Islands, and for other purposes," approved March 8, 1902 (relating to drawback on shipments to the Philippine Islands), unless the completed article is exported, or shipped to the Philippine Islands, within three years after importation of the Imported merchandise. (i) REaULATIONS.-The Secretary of the Treasury is authorized to prescribe regulations governing (1) the Identification of imported merchandise used in the manufacture or production of articles entitled to drawback of customs duties, the ascertainment of the quantity of such merchandise used, of the time when such merchandise was received by the manufacturer or producer of the exported articles, and of the amount of duties paid thereon, the determina- tion of the facts of the manufacture or production of such articles in the United States and their exportation therefrom, the time within which drawback entries on such articles shall be filed and completed, to entitle such articles to draw- back, and the payment of drawback due thereon; (2) the identification of merchandise withdrawn for consumption and returned to customs custody for exportation, the determination of the facts of nonconformity thereof to sample or specifications and of exportation thereof from the United States, and the payment of the drawback due thereon; (3) the determination and payment of drawback of internal-revenue tax on domestic distilled spirits and wines, including the requirement of such notices, bonds, bills of lading, and other evidence of payment of tax and exportation as the Secretary of the Treasury deems necessary; (4) the remission of duties on imported salt used in curing fish, including the production of proof that the salt has been so used; and (5) the refunding of duties paid upon imported salt used in curing exported meats, including the production of proof that the salt has been so used; and designat- ing the person to whom refund or payment of drawback shall be made.

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