Page:United States Statutes at Large Volume 56 Part 1.djvu/1000

 [56 STAT. PUBLIC LAWS-CH. 619-OCT. 21, 1942 Ante, p. 970. 53 Stat. 388. 26U.S.C.§3250; Supp. I, § 3250. "(b) WITHDRAWAL TAX FREE FOR USE OF UNITED STATES. -Alcohol may be withdrawn from customs custody by the United States or any governmental agency thereof for its own use, free of internal-revenue tax, under such regulations as may be prescribed." (2) EFFECTIVE DATE OF SUBSECTION. -Notwithstanding section 601, this subsection shall take effect on the day following the date of enactment of this Act. (f) DRAWBACK IF DISTILLED SPIRITS USED FOR CERTAIN PURPOSES. - Section 3250 (relating to taxation of distilled spirits) is amended by inserting at the end thereof the following new subsection: "(1) MANUFACTURERS OR PRODUCERS OF DESIGNATED NONBEVERAGE PRODUCTS.- "(1) IN GENERAL.- Any person using distilled spirits produced in a domestic registered distillery or industrial alcohol plant and fully tax-paid in the manufacture or production of medicines, medicinal preparations, food products, flavors, or flavoring extracts which are unfit for beverage purposes and are sold or otherwise transferred for use for other than beverage purposes upon payment of a special tax per annum, shall be eligible for drawback as hereinafter provided for. "(2) Such special tax per annum shall be graduated in amount as follows: (a) for total annual withdrawals not exceeding 25 proof gallons, $25 per annum; (b) for total annual withdrawals not exceeding 50 proof gallons, $50 per annum; (c) for total annual withdrawals of 50 proof gallons or more, $100 per annum. "(3) REQUIREMENTs.- Such person shall register annually with the Commissioner; keep such books and records as may be necessary to establish the fact that distilled spirits purchased by him and fully tax-paid were used in the manufacture or produc- tion of medicines, medicinal preparations, food products, flavors, or flavoring extracts which were unfit for use for beverage pur- poses; and shall be subject to such rules and regulations in rela- tion thereto as the Commissioner, with the approval of the Secre- tary, shall prescribe to secure the Treasury of the United States against frauds. "(4) INVESTIGATIVE POWERS OF COMMISSIONER.-T he Commis- sioner, for the purpose of ascertaining the correctness of any claim filed under this subsection is authorized, by any officer or employee of the Bureau of Internal Revenue, including the field service, designated by him for that purpose, to examine any books, papers, records, or memoranda bearing upon the matters required to be alleged in the claim, and may require the attend- ance of the person filing the claim or of any officer or employee of such person, or the attendance of any other person having knowledge in the premises, and may take his testimony with reference to any matter covered by the claim, with power to administer oaths to such person or persons. "(5) DRAWBACK.- A drawback at the rate of $3:75 on each proof gallon shall be allowed on distilled spirits tax-paid and used as provided in this subsection and be due and payable quarterly upon filing of a proper claim with the Commissioner. No claim under this subsection shall be allowed unless filed with the Commissioner within the three months next succeeding the quarter for which the drawback is claimed." SEC. 603. FERMENTED MALT LIQUORS. 53U.S. 8 pp. (a) RAT E ON FmRENTE MALT LIQuoRs. - Section 3150 (a) is as0 ). amended by striking out "$6" and inserting in lieu thereof "$7". 972

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