Page:United States Statutes at Large Volume 79.djvu/194

 154 70 Stat. 388.

PUBLIC LAW 89-44-JUNE 21, 1%5

[79 STAT.

" (C) in the case of a tire or inner tube taxable under section 40Y1, such article is sold by the second manufacturer or producer on or in connection with, or with the sale of, any other article manufactured or produced by him and such other article is by any person exported, sold to a State or local government for the exclusive use of a State or local government, sold to a nonprofit educational organization for its exclusive use, or used or sold for use as supplies for vessels or aircraft;"; (11) by amending paragraph (4) of subsection (b) to read as follows: " (4) TIRES AND INNER TUBES.—If—

72 Stat. 1281.

68A Stat. 829.

" (A) a tire or inner tube taxable under section 4071 is sold by the manufacturer, producer, or importer thereof on or in connection with, or with the sale of, any other article manufactured or produced by him; and " (B) such other article is by any person exported, sold to a State or local government for the exclusive use of a State or local government, sold to a nonprofit educational organization for its exclusive use, or used or sold for use as supplies for vessels or aircraft, any tax imposed by chapter 32 in respect of such tire or inner tube which has been paid by the manufacturer, producer, or importer thereof shall be deemed to be an overpayment by him."; (12) by striking out "4053(b)(1) or" each place it appears in subsection (b)(5). (13) by amending subsection (c) to read as follows: "(c) CREDIT FOR TAX PAID ON TIRES OR INNER TUBES.—If tires or inner tubes on which tax has been paid under chapter 32 are sold on or in connection with, or with the sale of, another article taxable under chapter 32, there shall (under regulations prescribed by the Secretary or his delegate) be credited (without interest) against the tax imposed on the sale of such other article, an amount determined by multiplying the applicable percentage rate of tax for such other article by— "(1) the purchase price (less, in the case of tires, the part of such price attributable to the metal rim or rim base), if such tires or inner tubes were taxable under section 4071 (relating to tax on tires and inner tubes); or "(2) if such tires or inner tubes were taxable under section 4218 (relating to use by manufacturer, producer, or importer), the price (less, in the case of tires, the part of such price attributable to the metal rim or rim base) at which such or similar tires or inner tubes are sold, in the ordinary course of trade, by manufacturers, producers, or importers thereof, as determined by the Secretary or his delegate. The credit provided by this subsection shall be allowable only in respect of the first sale on or in connection with, or with the sale of, another article on the sale of which tax is imposed under chapter 32."; (14:) by striking out subsection (d); and (15) subsection (g) is amended by striking out "sections 4061(a), 4111, 4121, 4141," and inserting in lieu thereof "section 4061(a),". (^) Section 6802 (relating to supply and distribution of stamps) is amended— (1) by striking o u t " (other than the stamps on playing cards)" in paragraph (1); and (2) by striking out paragraph (3).

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