Page:United States Statutes at Large Volume 72 Part 1.djvu/1318

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PUBLIC LAW 8 6 - 8 6 9 - 8 E P T. 2, 1968

[72 S T A T.

Spinel Topaz Tourmaline Turquoise Zircon." SEC. 102. CERTAIN CLOCKS, CASES, AND MOVEMENTS. 26 USC 4003.

Section 4003 (exemptions from tax on jewelry and related items) is amended by adding at the end thereof the following new subsections: "(c) CLOCKS SUBJECT TO MANUFACTURERS TAX.—The tax imposed

26 U S C 40614226.

by section 4001 shall not apply to a clock or watch, or to a case or movement for a clock or watch, if a tax in respect of such clock, watch, case, or movement was imposed under chapter 32 by reason of its sale (1) as a part or accessory, or (2) on or m connection with or with the sale of any article: " (d) CERTAIN PARTS or CONTROL OR REGULATORY DEVICES.—The tax

imposed by section 4001 shall not apply to a clock or watch, or to a case or movement for a clock or watch, if such clock, watch, case, or movement is (1) a part of a control or regulatory device which is an article (or part thereof) not taxable under chapter 32, or (2) sold as a repair or replacement part for such a device." SEC. 103. LUGGAGE TAX. 26 USC 4031.

Section 4031 (tax on luggage) is amended to read as follows: "SEC. 4031. IMPOSITION OF TAX.

"There is hereby imposed upon the following articles, by whatever name called, sold at retail (including in each case fittings or accessories therefor sold on or in connection with the sale thereof) a tax equivalent to 10 percent of the price for which so sold— "Bathing suit bags. Manicure set cases.

Beach bags or kits. Memorandum pad cases (suitable Billfolds. for use as card or pass cases, Briefcases. billfolds, purses, or wallets). Brief bags. Musette bags. Overnight bags. Camping bags. Pocketbooks. Card and pass cases. Purses and handbags. Collar cases. Ring binders, capable of closure Cosmetic bags and kits. Dressing cases. on all sides. Dufflebags. Salesmen's sample or display Furlough bags. cases, bags, or trunks. Garment bags designed for use Satchels. by travelers. Shoe and slipper bags. Hatboxes designed for use. by Suitcases. travelers. Tie cases. Haversacks. Toilet kits and cases. Key cases or containers. Traveling bags. Knapsacks. Trunks. Knitting or shopping bags (suitVanity bags or cases. able for use as "purses or handValises. bags). Wallets. "Wardrobe cases." Makeup boxes. SEC. 104. SALES OF INSTALLMENT ACCOUNTS BY RETAILERS. 26 USC 4053.

Section 4053 (computation of tax on installment sales, etc.) is amended— (1) by striking out " I n the case of—" and inserting in lieu thereof the following: " (a) GENERAL RULE.—In the case of—"; and (2) by adding at the end thereof the following new subsections: " (b) SALES OF INSTALLMENT ACCOUNTS.—If installment accounts,

with respect to payments on which tax is being computed as provided in subsection (a), are sold or otherwise disposed of, then subsection (a) shall not apply with respect to any subsequent payments on such accounts (other than subsequent payments on returned accounts with

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