The gazette-times., May 15, 1919, Page PAGE SEVEN, Image 7

THK UAZL1 I K-TIMKH. MKPPXER. OKEGOX, TflHlSD W, ! W 13, 1919.
PAGE SKV KB
ICE CREAM AND SOFT
DRINKS COLLECTION
OF REVENUE TAXES
!-u-ir.ess, or for ice-cream, ice-cream cents or fraction thereof of the price. th fuel thai the purchaser does not
! d:s, BUiidves, or other similar The tax is upon the whole of the ' so consume it but carries it away
articleb of food or drink, when any amount of the price paid by the pur- j does not render It free from tax.
of the above are sold on or after chaser. "When the price Is paid at j When ice cream, soft drinks, or
such date for consumption in or iu one time tho In payment for several similar articles of food or drink are
The commissioner of Internal Rev
enue has made the following state
ment In the nature of a tentative
ruling with reference to the collec
tion of the tax upon soft drinks, Ice
cream and similar articles sold at
soda fountains and similar places of
business. The printed regulations
relating thereto will be issued
shortly. This is according to Infor
mation furnished this paper from the
office of Milton A. Miller, Collector
of Internal Revenue, at Portland.
Sec. 630. That on and after May
1st, 1919, there shall be levied, as
sessed, collected and paid a tax of 1
cent for each 10 cents or fraction
thereof of the amount paid to any
person conducting a soda fountain,
Ice-cream parlor, or other similar
place of business, for drinks coai
monly known as soft drinks, com-1
pounded or mixed at Buch place of
proximity to such place of busluess. articles which are the subject of a
Effective date: The tax is upon single transaction of purchase or
Ice-cream, Ice-cream sundaes, and sale; the total price paid is the unit
sjft drinks, and similar articles of, for computing the tax." Thus, if
food or drink sold at soda fountains ! the purchaser orders two sodas at
cr similar places of business on or
after May 1st, 1919.
Who 1st a vendor: For the purpose
f tho tax and as used in these
regulations, the term "vendor"
.neaus any Individual, partnership,
association, or corporction engaged
in the business of selling any of the
articles enumerated iu section 630
lo a purchaser for consumption.
Thus, a vendor may be a manu
facturer, jobber, wholesaler, retailer,
tiustee in bankruptcy, receiver, or
peddler.
iUite of tax:- The tax is measured
by the price for which the food or
ill Ink' is sold. If. is on the actual
?ah s price at the rate of 1 cent for
each 10 cents or fraction thereof of
.no amount paid far any of the
articles mentioned in section 630.
Each sale for 10 cents or less is
taxed 1 cent and every sale for over
10 cents la taxed 1 cent for each 10
iu uk carried away lor consump
tion at a place not in proximity to
the place of business, such Ice cream,
food or drink being placed In con
tainers of a kind ordinarily used to
the same time, eaoh sold lor IZc, U.c,so convey the articles indicated, they
Least Carbon
Zerolene, scientific
ally refined from se
lected California crude
oil, gives maximum
lubrication with least
carbon deposit. Get a
Correct Lubrica
O tion Chart for
your car.
STANDARD OIB
COMPANY
(California)
tax is 3c and not 4c. If, however,
he buys one soda for ISc the tax is
2 cents and if he then immediately
purchases another 15c drink the tax
is 2c on the second sale, which can
not be treated as part of the first
sale. Any means by which separate
purchasers pool their orfler for de
feating or escaping the tax imposed
by section 630 shall be carefully
guarded against by the vendor, tot
its employment subjects the pur
chaser and the vendor (if he connives
iu it) to the penalties provided In
section 1308 of the Act.
Place of business: The tax is
upon the price of certain comr
modifies "paid to any person con
ducting a soda fountain, ice-cream
parlor, or other similar place of
business." The words, "other
similar place of business" refer
primarily to the character of the bus
iness transacted rather than to any
physical resemblance to the place
where such business is done. Wheth
er a person selling ine aDove oe
scribed articles Is conducting a place
of business similar to a soda foun
tain or ice-cream parlor is a question
are not taxable.
lteveraeH taxable: In general,
such beverages as are commonly
known as soft drinks which are com
pounded or mixed at the fountaiu
where sold are subject to the tax.
Beverages, tho sold at the fountain,
If delivered, ready for consumption
from a bottle or closed container and
on which a tax has been paid under
section 628 of the Revenue Act of
1918, are not subject to the tax.
Articles taxable: Examples: The
following articles of food or drink
are subject to the tax within the
m aning of section 630 of the rev
enue act of 1918: all beverages when
compounded or mixed at the foun
tain, such as orangeade, lemonade,
1 pineapple Juice, coca cola, root beer,
moxie, phosphates, fruit and flavor
ing sirups compounded or mixed
with carbonated water or plain
water, milk, milk shakes in any
form, malted milk shakes in any
. form, cream and egg shakes, f Ice
I cream sodas, ice cream, Ice cream
sundaes, ice cream sandwiches,
flavored Ices, and all other similar
,,. .. A -(., , .. .1 ...
dependent on the facts in each par-i UL'""
ticular case. Sales Of soft drinks, P- This list, however is not
ice cream, and similar articles ored ' considered to be corn
food or drink otherwise taxable, P ete f lBttive of the
when made In the course of h!g of articles subject to ax.
leverages not luxume: mere are
certain drinks which are often sold
at soda-fountains, ice-cream parlors
L MONTERE
STFi 1 1
MARBLE AND GRANITE
WORKS
PENDLETON, OREGON
FINE MONUMENT AND CEMETERY WORK
All parties interested in getting work in my line
should get my prices and estimates before
placing their orders
ALL WORK GUARANTEED
llll
Geo. W. Milholiand, Special Agent, Standard Oil Company
Heppner, Oregon.
Meats
and
POULTR
AT THE
HEPPNER
MEAT MARKET
H. C. ASHBAUGH, Prpprietor.
FRESH AND CURED MEATS, POULTRY
AND LARD. FISH IN SEASON.
Finest quality meats at the lowest possible price.
Phone Main 203
regular business by a traveling
vendor, (whether by means of a
motor vehicle, pushcart, or other-"t-M
m-f ftihiect t6 the tax Imposed
by section 630. Sales of soft drinks.
i Ice cream and similar articles by
individuals or 'organizations, suh as
religious, educational, or charitable
societies, on special occasions pnly,
as church festivals, social parties,
etc., are not taxable; .such sales in
stands, booths and similar places at
agricultnral fairs, racing parks,
public exhibitions, circuses, shows
and similar places, are taxable. The
distinction lies in the fact of the
sale being made by the person con
ducting a place of business, even tho
temporarily, and merely Incidental
sales which cannot properly be con
sidered "business." Sales of soft
drinks, Ice cream, and similar
articles of food and drink are not
taxable when made in the regular
course of business at a hotel, resr
taurant, cafeteria, lunch-room, or
olub-house, unless such articles are
sold separate and apart from meals.
Consumption at place of business:
The above section provides that tho
tax shall be levied upon the sale of
soft drinks, ice cream, lce-creain
or similar places of business which
are not regarded as soft drinks, or
ice-cream products or similar article
of food or drink within the meaning
of section 630 of Revenue Act of
1918. Such beverages are - exem
plified by hot beef tea, coffee, (hot,
cold or iced) tea, (hot, cold or iced J
fcuttermilk, milk, hot chocolate or
cocoa, hot clam broth, hot clam
bisque, and hot tomato bouillon. No
tax applies on the sale of beverages
or drinks, such as ginger ale, root
beer, moxie, mineral water etc.,
when served directly from a con
tainer, in which case the manufac
tuer's tax on such drinks has already
been levied. See section 628 of the
Revenue Act of 1918. However, if
any of the drinks or beverages here
in mentioned are compounded or
mixed with carbonated water or ex
tract or other ingredient at the
fountain, they are taxable. ,
.,' Beverages not taxable: Medicinal:
"There are certain medicines, such as
bromo seltzer, citrate of magnesia,
Rochelle Salts, seidlitz powders,
bicarbonate of soda, castor oil,
u
Some Saving P says the
Good Judge
You men are saving
every cen t you can. You
ought to know that this
quality tobacco costs less
to chew not more I
You take a smaller
chew. It gives you the
good tobacco taste. It
lasts and Ir.stG, Yeu
i don't need a fresh chew
so often.
THE REAL TOBACCO CHEW
put up in two styles '
RIGHT CUT is a short-cut tobacco
W-B CUT is a long fine-cut tobacco
sodas, sundaes, or other similar j Epsom salts, and esseifce of pepsin,
articles of food or drink, when sold
for consumption in or in proximity
to such place of business." This
provision is interpreted to mean that
when any of the specified articles
are sold in such containers v under
such conditions as to indicate that
they would ordinarily be consumed
in or in proximity of the place of
business, they are taxble. Ice
rearn sold in cones is taxable. When
ice cream or any similar article is
sold under conditions which indicate
that it usually would bo consumed
at or iu proximity to the premises,
BRIGGS AUTO WOOD-SAW Attachment
One man cuts 15 cords; 2 men, 35 cvrcU.
Goes Anywhere -Any Auto.
BRIGGS 4 BURPEE CO. he, Muofaetorers
219 Hawthorns Ave., Portland.
Send for lnfomfction and llliutrated CirtuUr
KEEP YOUR CHICKENS FIT
There is no money made in feed
ing your chickens high priced
grain without' keeping their sys
tems in perfect condition.
LEGEORS Poultry Powder Will Do It.
We have the exclusive sale of
these celebrated remedies.
PHELPS GROCERY COMPANY
which are often sold at soda foun
tains, ice cream parlors, and .similar
articles of food or drink and hence
are not taxable.
Tax Paid Ily Purchaser.
Sec. 630. Such tax shall be paid
by the purchaser to the vendor at
ihe time of the sale and .l:all be
collected, returned, and paid to the
United States by such vendor in the
same manner as provided in section
502.
Payment of tax: Tim fix is upon
the sale by the vendor ..o.tlie pur
chaser and nirst he paid at the time
of sale by the purchaser upon all
taxable sales made by the vendor.
Return c.i'd collectim of tux: Tl)?
tax imposed must be paid by the
purchaser to the vendor and the
vendor must make return under oati:
in duplicate, and ny the tax s
collected, to the collector of t lie dis
trict in which the principal place cf
business is located, on or before the
first day of each month for the bus
iness done during the preceding
month. Daily records shall be kept
by the proprietors or their agents in
charge, showing separately the
amounts received for each class of
taxable transactions (grouped ac
cording to amount of sale) and the
tax paid thereon. The Collector of
Internal Revenue may in his dis
cretion require any person receiving
payment for taxes, to make da!:;
deposits of the same so received i'
a special amount in such bank a.-
the collector shall designate. Tli
dallv records of tho proprietors or
j their agents, with copies of their
monthly returns, shall bp kept on
I file, in the place of business of such
i proprietors, In such manner as to he
readily accessible to investigating
! internal revenue. 'officers. In case
; the proprietor ft a soda fountain,
j ice-cream parloi, or similar place of
business does not iu;s an adequate
' cash register or check system from
which daily and monthly records
may be kept, a separate receptacle
: shall be used to retain the tax col
lected by the vendor from the pur
, chaser. Such receptacle shall be so
i arranged or subdivided Into com-
partments suitable for holding the
different amounts of tax collected, in
order to facilitate the compilation
of the daily and monthly records of
! the tax collection.
! Mr. and Mrs. Hob Thompson and
I son motored to Pendleton Friday
j and spent Saturday in that city.
I Prank and Adrian Engelmnn, of
! lone, were iu Hoppner on Monday,
B 1 court business calling them to the
Two Bargains That
Should Interest You
700 ACRES CO acres of this can be put under ditch ; part
of this under ditch. now;-. 30O acres broken and more can
be put under plow.. 2 miles from town. Price $14 per
acre on easy terms.
480 ACRES FARM LAND 300 acres in cultivation, at
$20 per acre. "Will, take Heppner residence property up
to $2000, as first payment ; balance easy terms.
RoyV.Whiteis
Cc
Pisfaim
Season Now Open
and you will want to be there
with a good outfit. "We have
what you want in fishing tackle.
Steel and Split Bamboo ,
Rods
Reels, Hooks, Lines,
Baskets, etc.
A splendid new assortment now on display.
PLENTY OF OTHER SPORTING GOODS ALSO
Peoples Hardware Company
gpf I city.