Page:United States Statutes at Large Volume 68A.djvu/663

 CH. 51—DISTILLED SPIRITS, WINES, AND BEER

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alcohol plant and on which the tax has been determined, in the manufacture or production of medicines, medicinal preparations, food products, flavors, or flavoring extracts, which are unfit for beverage purposes, on payment of a special tax per annum, shall be eligible for drawback at the time when such distilled spirits are used in the manufacture of such products as provided for in this subpart. (b) R A T E OP T A X. — The special tax imposed by subsection (a)

shall be graduated in amount as follows: (1) for total annual withdrawals not exceeding 25 proof gallons, $25 a year; (2) for total annual withdrawals not exceeding 50 proof gallons, $50 a year; (3) for total annual withdrawals of more than 50 proof gallons, $100 a year. SEC. 5132. REGISTRATION AND REGULATION.

Every person claiming drawback under this subpart shall register annually with the Secretary or his delegate; keep such books and records as may be necessary to establish the fact that distilled spirits purchased by him and on which the tax has been determined were used in the manufacture or production of medicines, medicinal preparations, food products, flavors, or flavoring extracts which were unfit for use for beverage purposes; and be subject to such rules and regulations in relation thereto as the Secretary or his delegate shall prescribe to secure the Treasury against frauds. SEC. 5133. INVESTIGATION OF CLAIMS.

The Secretary or his delegate, for the purpose of ascertaining the correctness of any claim filed under this subpart, is authorized, by any officer or employee of the Treasury Department, 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 attendance 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. SEC. 5134. DRAWBACK.

(a) I n the case of distilled spirits on which the tax has been determined and used as provided in this subpart, a drawback shall be allowed— (1) A t the rate of $6 on each proof gallon upon which tax is paid a t a rate of $9 per proof gallon prior to November 1, 1951; (2) a t the rate of $9.50 on each proof gallon upon which tax is determined a t the rate of $10.50 per proof gallon on and after November 1, 1951; (3) at the rate of $8 on each proof gallon upon which tax is determined at a rate of $9 per proof gallon after March 31, 1955. (b) Such drawback shall be due and payable quarterly upon filing of a proper claim with the Secretary or his delegate; except that, where any person entitled to such drawback shall elect in writing to file monthly claims therefor, such drawback shall be due and payable monthly upon filing of a proper claim with the Secretary or his delegate: Provided, however, That the Secretary or his delegate may require persons electing to file monthly drawback claims to file with him a bond or other security in such amount and with such conditions as he shall by regulations prescribe. Any such election may be § 5134(b)

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