depositary separate and apart from all other requisitions for stamps, and shall preserve them in his office for a period of at least 4 years.*f 112.103 Silver tax stamps issued. Under authority conferred upon the Commissioner of Internal Revenue in section 805 (a) of the Act, the following adhesive stamps have been prepared:

Documentary stamps, Schedule A, silver tax: 1 cent, 2 cents, 3 cents, 4 cents, 5 cents, 8 cents, 10 cents, 20 cents, 25 cents, 40 cents, 50 cents, 80 cents, $1, $2, $3, $4, $5, $10, $30, $60, $100, $500, $1,000.*+ 112.104 Purchase of stamps. The stamps may be purchased from collectors, stamp deputy collectors of internal revenue, and postmasters in all post offices of the first and second classes and such offices of the third and fourth classes as are located in county seats.

In addition, provision is made in the act for the delivery of stamps by collectors without prepayment to any designated depositary of the United States, who may be required to give bond for the value of stamps so deposited. It is not mandatory upon the persons named to secure and keep the stamps on sale.*† [Ås amended by T.D. 4805, May 25, 1938, 3 F.R. 1028]

112.105 Use of stamps. Where a stamp of the proper denomination to pay the tax due on an article or document cannot be procured, two or more stamps may be used. In such case as few stamps as possible should be attached.*t

112.106 Stamp affixed or canceled cannot lawfully be removed and affixed to another instrument. A stamp affixed to an instrument or canceled cannot lawfully be removed therefrom and affixed to another instrument requiring a stamp.*t

112.107 "Silver tax" stamps only to be used. Only documentary stamps, overprinted by the Government with the words "Silver tax", shall be used for the payment of the tax.**

112.108 Ordinary postage stamps not to be used for internalrevenue taxes. Ordinary postage stamps cannot be used for the payment of any internal-revenue taxes.**

112.109 Stamp tax to be reported for assessment in certain cases. In cases where instruments are no longer in existence or cannot possibly be stamped or where a taxpayer, after being advised of his liability, refuses to affix stamps, the tax will be reported for assessment. When assessment is paid a receipt on Form 1 will be issued. In those instances where stamps are purchased and affixed to the instrument receipt on Form 1 will not be issued.*t

112.110 Stamps rendered useless, affixed in error, or for which the owner has no use. Where stamps are rendered useless by gumming or sticking together in transit or otherwise without fault of the purchaser, they may be exchanged by a collector for other stamps of exactly the same quantity and denomination. Amounts paid for stamps used in excess, or on instruments not actually effective and for which a substitute is prepared and stamped, or on instruments not subject to tax, or for which the owner has no use, may be refunded, upon claim properly presented to the collector.*t

**For statutory and source citations, see note to § 112.1.

112.111 Claims. All claims for the redemption of or allowance for stamps must be presented within 4 years after the purchase of said stamps from the Government. In filing a claim for the redemption of or allowance for stamps, the stamps involved should be submitted therewith, or if it is impracticable to remove the stamps from the instruments to which they are attached, they should be presented to a deputy collector or other internal-revenue representative, who shall write on the face of the stamps the words "claim for refund filed", and a statement from such internal-revenue representative shall be furnished showing that such endorsement has been made. In any case where the actual date of purchase of the stamps from the Government cannot be given, it must be definitely shown in the claim whether they were so purchased within 4 years prior to the date of filing of the claim. The provisions of sections 3220 to 3228, Revised Statutes (26 U.S.C. 1275, 1433, 1543, 1670, 1672, 1676) do not apply to the redemption of or allowance for internal-revenue stamps, and the authority for such redemption or allowance is the act of May 12, 1900 (31 Stat. 177), as amended by section 1013 (a) of the Revenue Act of 1924, set forth hereinafter.**

REDEMPTION OF STAMPS

ACT OF MAY 12, 1900, as AMENDED BY SECTION 1013 (A) OF THE REVENUE ACT OF 1924

That the Commissioner of Internal Revenue, subject to regulations prescribed by the Secretary of the Treasury, may, upon receipt of satisfactory evidence of the facts, make allowance for or redeem such of the stamps, issued under authority of law, to denote the payment of any internal-revenue tax, as may have been spoiled, destroyed, or rendered useless or unfit for the purpose intended, or for which the owner may have no use, or which through mistake may have been improperly or unnecessarily used, or where the rates or duties represented thereby have been excessive in amount, paid in error, or in any manner wrongfully collected. Such allowance or redemption may be made, either by giving other stamps in lieu of the stamps so allowed for or redeemed, or by refunding the amount or value to the owner thereof, deducting therefrom, in case of repayment, the percentage, if any, allowed to the purchaser thereof; but no allowance or redemption shall be made in any case until the stamps so spoiled or rendered useless shall have been returned to the Commissioner of Internal Revenue, or until satisfactory proof has been made showing the reason why the same cannot be returned; or, if so required by the said Commissioner, when the person presenting the same cannot satisfactorily trace the history of said stamps from their issuance to the presentation of his claim as aforesaid.

Provided, further, That no claim for the redemption of or allowance for stamps shall be allowed unless presented within four years after the purchase of such stamps from the Government.

SEC. 2. That the finding of facts in and the decision of the Commissioner of Internal Revenue upon the merits of any claim presented under or authorized by this act shall, in the absence of fraud or mistake in mathematical calculation, be final and not subject to revision by any accounting officer.

SEC. 3. That all laws and parts of laws in conflict with any of the provisions of this Act are hereby repealed.

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**For statutory and source citations, see note to § 112.1.

REFUNDS

SECTION 3220 OF THE REVISED STATUTES, AS AMENDED BY SECTION 1111 OF THE REVENUE ACT OF 1926 AND SECTION 619 (b) OF THE REVENUE ACT OF 1928 Except as otherwise provided by law in the case of income, war-profits, excess-profits, estate, and gift taxes, the Commissioner of Internal Revenue, subject to regulations prescribed by the Secretary of the Treasury, is authorized to remit, refund, and pay back all taxes erroneously or illegally assessed or collected, all penalties collected without authority, and all taxes that appear to be unjustly assessed or excessive in amount, or in any manner wrongfully collected; also to repay to any collector or deputy collector the full amount of such sums of money as may be recovered against him in any court, for any internal-revenue taxes collected by him, with the cost and expenses of suit; also all damages and costs recovered against any assessor, assistant assessor, collector, deputy collector, agent, or inspector, in any suit brought against him by reason of anything done in the due performance of his official duty, and shall make report to Congress at the beginning of each regular session of Congress of all transactions under this section.

SECTION 3228 OF THE REVISED STATUTES, AS AMENDED BY SECTION 1112 OF THE REVENUE ACT OF 1926, SECTION 619 (c) OF THE REVENUE ACT OF 1928, and SECTION 1106 OF THE REVENUE ACT OF 1932

(a) All claims for the refunding or crediting of any internal-revenue tax alleged to have been erroneously or illegally assessed or collected, or of any penalty alleged to have been collected without authority, or of any sum alleged to have been excessive or in any manner wrongfully collected must, except as otherwise provided by law in the case of income, war-profits, excessprofits, estate, and gift taxes, be presented to the Commissioner of Internal Revenue within four years next after the payment of such tax, penalty, or sum. The amount of the refund (in the case of taxes other than income, war-profits, excess-profits, estate, and gift taxes) shall not exceed the portion of the tax, penalty, or sum paid during the four years immediately preceding the filing of the claim, or if no claim was filed, then during the four years immediately preceding the allowance of the refund.

SECTION 1106 (b) oF THE REVENUE ACT OF 1932

(b) The amendment made by subsection (a) of this section to section 3228 of the Revised Statutes shall not bar from allowance a claim for refund filed prior to the enactment of this Act which but for such enactment would have been allowable.

112.112 Refunds. As indicated hereinbefore, the tax is ordinarily paid by the purchase and affixing of stamps. However, in exceptional cases, where the taxes are paid pursuant to an assessment and not by the affixing of stamps, and in the case of the tax on transfers prior to the enactment of the Silver Purchase Act of 1934, claims for the refund of amounts so paid are governed by sections 32203228, Revised Statutes, as amended, and must be presented within four years next after payment of such taxes.**

VIOLATIONS, FINES, AND PENALTIES

SECTIONS 802, 803, AND 1114 OF THE REVENUE ACT OF 1926

SEO. 802. Whoever

(a) Makes, signs, issues, or accepts, or causes to be made, signed, issued, or accepted, any instrument, document, or paper of any kind or description whatsoever without the full amount of tax thereon being duly paid;

**For statutory and source citations, see note to § 112.1.

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Is guilty of a misdemeanor and upon conviction thereof shall pay a fine of not more than $100 for each offense.

SEC. 803. Whoever

(a) Fraudulently cuts, tears, or removes from any vellum, parchment, paper, instrument, writing, package, or article, upon which any tax is imposed by this title, any adhesive stamp or the impression of any stamp, die, plate, or other article provided, made, or used in pursuance of this title;

(b) Fraudulently uses, joins, fixes, or places to, with, or upon any vellum, parchment, paper, instrument, writing, package, or article upon which any tax is imposed by this title, (1) any adhesive stamp, or the impression of any stamp, die, plate, or other article, which has been cut, torn, or removed from any other vellum, parchment, paper, instrument, writing, package, or article, upon which any tax is imposed by this title; or (2) any adhesive stamp or the impression of any stamp, die, plate, or other article of insufficient value; or (3) any forged or counterfeited stamp, or the impression of any forged or counterfeited stamp, die, plate, or other article;

(c) Willfully removes or alters the cancellation or defacing marks of, or otherwise prepares, any adhesive stamp, with intent to use or cause the same to be used, after it has been already used, or knowingly or willfully buys, sells, offers for sale, or gives away, any such washed or restored stamp to any person for use, or knowingly uses the same;

(d) Knowingly and without lawful excuse (the burden of proof of such excuse being on the accused) has in possession any washed, restored, or altered stamp, which has been removed from any vellum, parchment, paper, instrument, writing, package, or article;

Is guilty of a misdemeanor, and upon conviction shall be punished by a fine of not more than $1,000, or by imprisonment for not more than five years, or both, and any such reused, canceled, or counterfeit stamp and the vellum, parchment, document, paper, package, or article upon which it is placed or impressed shall be forfeited to the United States.

SEC. 1114. (a) Any person required under this Act to pay any tax, or required by law or regulations made under authority thereof to make a return, keep any records, or supply any information, for the purposes of the computation, assessment, or collection of any tax imposed by this Act, who willfully fails to pay such tax, make such return, keep such records, or supply such information, at the time or times required by law or regulations, shall, in addition to other penalties provided by law, be guilty of a misdemeanor and, upon conviction thereof, be fined not more than $10,000, or imprisoned for not more than one year, or both, together with the costs of prosecution.

(c) Any person who willfully aids or assists in, or procures, counsels, or advises, the preparation or presentation under, or in connection with any matter arising under, the internal-revenue laws, of a false or fraudulent return, affidavit, claim, or document, shall (whether or not such falsity or fraud is with the knowledge or consent of the person authorized or required to present such return, affidavit, claim, or document) be guilty of a felony and, upon conviction thereof, be fined not more than $10,000, or imprisoned for not more than five years, or both, together with the costs of prosecution.

(d) Any person who willfully fails to pay, collect, or truthfully account for and pay over, any tax imposed by Titles IV, V, VI, VII, VIII, and XI, or willfully attempts in any manner to evade or defeat any such tax or the payment thereof, shall, in addition to other penalties provided by law, be liable to a penalty of the amount of the tax evaded, or not paid, collected or accounted for and paid over, to be assessed and collected in the same manner as taxes are assessed and collected. No penalty shall be assessed under this subdivision for any offense for which a penalty may be assessed under authority of section 3176 of the Revised Statutes, as amended, or for any offense for which a penalty has been recovered under section 3256 of the Revised Statutes.

(e) Any person in possession of property, or rights to property, subject to distraint, upon which a levy has been made, shall, upon demand by the collector or deputy collector making such levy, surrender such property or rights

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to such collector or deputy, unless such property or right is, at the time of such demand, subject to an attachment or execution under any judicial process. Any person who fails or refuses to so surrender any of such property or rights shall be liable in his own person and estate to the United States in a sum equal to the value of the property or rights not so surrendered, but not exceeding the amount of the taxes (including penalties and interest) for the collection of which such levy has been made, together with costs and interest from the date of such levy.

"

(f) The term "person' as used in this section includes an officer or employee of a corporation or a member or employee of a partnership, who as such officer, employee, or member is under a duty to perform the act in respect of which the violation occurs.

SUBPART J-ADMINISTRATIVE PROVISIONS

LAWS MADE APPLICABLE

SECTIONS 805 (b) AND 1100 OF THE REVENUE ACT OF 1926

SEC. 805. (b) All internal revenue laws relating to the assessment and collection of taxes are hereby extended to and made a part of this title, so far as applicable, for the purpose of collecting stamp taxes omitted through_mis take, or fraud from any instrument, document, paper, writing, parcel, package, or article named herein.

SEC. 1100. All administrative, special, or stamp provisions of law, including the law relating to the assessment of taxes, so far as applicable, are hereby extended to and made a part of this Act.

RECORDS, STATEMENTS, AND SPECIAL RETURNS

SECTION 1102 OF THE REVENUE ACT OF 1926

(a) Every person liable to any tax imposed by this act, or for the collection thereof, shall keep such records, render under oath such statements, make such returns, and comply with such rules and regulations, as the Commissioner, with the approval of the Secretary, may from time to time prescribe.

(b) Whenever in the judgment of the Commissioner necessary he may require any person, by notice served upon him, to make a return, render under oath such statements, or keep such records as the Commissioner deems sufficient to show whether or not such person is liable to tax.

(c) The Commissioner, with the approval of the Secretary, may by regulation prescribe that any return required by any internal revenue law (except returns required under income or estate tax laws) to be under oath may, if the amount of the tax covered thereby is not in excess of $10, be signed or acknowledged before two witnesses instead of under oath.

(d) Any oath or affirmation required by the provisions of this Act or regulations made under authority thereof may be administered by any officer authorized to administer oaths for general purposes by the law of the United States or of any State, Territory, or possession of the United States, wherein such oath or affirmation is administered, or by any consular officer of the United States. SECTION 3176 OF THE REVISED STATUTES, AS AMENDED BY SECTION 1103 OF THE REVENUE ACT OF 1926 AND SECTION 619 (d) oF THE REVENUE ACT OF 1928

If any person, corporation, company, or association fails to make and file a return or list at the time prescribed by law or by regulation made under authority of law, or makes, willfully or otherwise, a false or fraudulent return or list, the collector or deputy collector shall make the return or list from his own knowledge and from such information as he can obtain through testimony or otherwise. In any such case the Commissioner of Internal Revenue may, from his own knowledge and from such information as he can obtain through testimony or otherwise, make a return or amend any return made by a collector or deputy collector. Any return or list so made and subscribed by the Commis

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