1868.

be removed from the distillery warehouse with-
out payment of the tax, and the guards and
machinery provided are with a view to detect
and take possession immediately of distilled
spirits, put them in warehouse, and keep them
till the tax is paid.

Mr. TRUMBULL. I suppose the commit-
tee have considered the objections that are
made by manufacturers of whisky in the West,
where it is chiefly manufactered, to this system
of requiring the tax to be paid there when the
market is not there, and the advantage that it
gives to other portions of the country.

Mr. SHERMAN. As a matter of course we
If the Senator
have considered them fully.

wants to raise the question at any time, I am
prepared to discuss it at length; but I am sat-
isfied, and I think the whole country is satis-
fied, and every officer of the Government is
satisfied, that it is utterly impossible to col-
lect the tax on spirits unless that tax is levied
at the place of distillatiou. That may be said
to be an axiom upon which we have based the
whole bill. If that axiom is overthrown, as a
matter of course the bill entirely fails. I do
not choose to go into the discussion unless
required to do so.

Section fifteen, now sixteen, was next read,
as follows:

And be it further enacted, That the owner, agent, or superintendent of any distillery established as hereinbefore provided, shall erect in a room or building to be provided and used for that purpose, and for no other, and to be constructed in the manner to be prescribed by the Commissioner of Internal Revenue, two or more receiving cisterns, each to be at least of suthicient capacity to hold all the spirits distilled during the day of twenty-four hours, into which shall be conveyed all the spirits produced in said distillery; and each of such cisterns shall be so constructed as to leave an open space of at least three feet between the top thereof and the floor or roof above, and of not less than eighteen inches between the bottom thereof and the floor below, and shall be so situated that the officer can pass around the same, and shall be connected with the outlet of the worm or condenser by suitable pipes or other apparatus so constructed as always to be exposed to the view of the officer, and so connected and constructed as to prevent the abstraction of spirits while passing from the outlet of the worm or condenser to the receiving cisterns; such cisterns and the room in which they are contained shall be in charge of and under the lock and seal of the internal revenue gauger designated for that duty; and on the third day after the spirits are conveyed into such cisterns the same shall be drawn off into casks or other packages, under the supervision of such gauger in the presence of the storekeeper; and shall be immediately inspected, gauged, proved, and the casks or packages marked, as herein provided by law, and be removed directly to the distillery warehouse; and on special application to the assessor or assistant assessor by the owner, agent, or superintendent of any distillery, the spirits may be drawn off from the said cisterns under the supervision of the gauger at any time previous to to the third day. All locks and seals required by law shall be provided by the Commissioner of Internal Revenue, at the expense of the owner of the distillery or warehouse; and the keys shall be in charge of the collector or such gauger as he may designate.

The Committee on Finance proposed to amend the section by striking out the words "or other packages" after casks" in line twenty-four.

The amendment was agreed to.

The next amendment was to strike out in lines twenty-five, twenty-six, and twenty-seven the words" and shall be immediately inspected, gauged, proved, and the casks or packages marked as herein provided by law."

The amendment was agreed to.

Section sixteen, now seventeen, was read as follows:

And be it further enacted, That the door of the furnace of every still or boiler used in any distillery shall be so constructed that it may be securely fastened and locked. The fermenting tubs shall be so placed as to be easily accessible to any revenue officer, and each tub shall have distinctly painted thereon in oil colors its cubic contents in gallons, and the number of the tub.. There shall be a clear space of not less than one foot around every wood still, and not less than two feet around every doubler and The doubler, or doubler and worm worm tank, tanks, shall be elevated not less than one foot from the floor; and every fixed pipe to be used by the distiller, except for the conveyance of water, or of spent mash or beer only, shall be so fixed and placed as to be capable of being examined by the officer for the whole of its length of course, and shall be painted, and kept painted, as follows, that is to say: Every pipe for the conveyance of mash or beer shall be painted of a red color; every pipe for the conveyance of low wines back into the still or doubler shall be painted blue; every pipe for the conveyance of 40TH CONG. 2D SESS.-No. 235.

spirits shall be painted black; and every pipe for the conveyance of water shall be painted white. If any fixed pipe shall be used by any distiller which shall not be painted or kept painted as herein directed, or which shall be painted otherwise than as herein directed, he shall forfeit the sum of $1,000. No assessor shall approve the bond of any distiller until all the requirements of the law and all regulations made by the Commissioner of Internal Revenue in relation to distilleries, in pursuance thereof, shall have been complied with. Any assessor who shall violate the provisions of this section shall forfeit and pay $2,000, and shall be dismissed from office.

The Committee on Finance proposed to amend this section by striking out the words 66 or doubler," after "doubler," in line ten. The amendment was agreed to.

The next section, seventeen, now eighteen, was read, as follows:

SEC. 18. And be it further enacted. That every person engaged in distilling or rectifying spirits, and every wholesale liquor dealer and compounder of liquors, and every keeper of a warehouse for distilled spirits, shall place and keep conspicuously on the outside of his distillery, rectifying establishment, place of business, or warehouse, a sign, in plain and legible letters, not less than three inches in length, painted in oil colors or gilded, and of a proper and proportionate width, the name or firm of the distiller, rectifier, wholesale dealer, compounder, or wareRegistered distillhouse keeper, with the words:

ery,

66

or

or

66

or

The next amendment was before the word "provisions," in line twenty-six, to insert the word "foregoing."

The amendment was agreed to.

The next amendment was after the words "liquor dealers," in line thirty-one, to strike out keeper of a warehouse for distilled spirits;" and in line thirty-six to strike out "warehouse."

The amendment was agreed to.

The next amendment was before the word "carry," in line forty-one, to insert "knowingly receive at or.

The amendment was agreed to.

The next amendment was in line forty-seven, to strike out "and" before "imprisoned, and insert "or be."

The amendment was agreed to.

The next section was read as follows:

SEC. 18. And be it further exacted. That every person making or distilling spirits, or owning any still, boiler, or other vessel used for the purpose of distilling spirits, or having such still, boiler, or other vessel so used under his superintendence, either as agent or owner, or using any such still, boiler, or other vessel, shall, from day to day, make, or cause to be made, true and exact entry in a book or books, to be kept by him, in such form as the Commissioner of Internal Revenue may prescribe, of the kind of materials, and the quantity in pounds, bushels, or gallons purchased by him for the production of spirits, from whom and when purchased, and by what conveyance delivered at said distillery, together with the amount paid therefor, the kind and quantity of fuel purchased for use in the distillery, and from whom purchased, the amount paid for ice or water for use in the distillery, the repairs placed on said distillery or distilling apparatus, the cost thereof, and by whom and when made; and in another book shall ir.ake like entry of the name and residence of each person employed in or about the distillery, and in what capacity employed, the quantity of grain or other material used for the production of spirits, the time of day when any yeast or other composition is put into any mash or beer for the purpose of exciting fermentation, the quantity of mash in each tub, designating the same by the number of the tub, tho number of dry inches, that is to say, the number of inches between the top of each tub and the surface of the mash or beer therein at the time of yeasting, the gravity and temperature of the beer at the time of yeasting, and on every day thereafter its gravity and temperature at the hour of twelve meridian; also the time when any fermenting tub is emptied of ripe inash or beer, the number of gallons of spirits distilled, the number of gallons placed in warehouse, and the proof thereof, and the number of gallons sold or removed, with the proof thereof, and the name, place of business, and residence of the person to whom sold; and every fermenting tub shall be emptied at the end of the fermenting period, and shall remain empty for a period of twenty-four hours. On the 1st, 11th, and 21st days of each month, or within five days thereafter, respectively, every distillery shall render to the assistant assessor an account in duplicate, taken from his books, stating the quantity and kind of materials used for the production of spirits each day, and the number of wine gallons and of proof gallons of spirits produced and placed in warehouse. And the distiller or the principal manager of the distillery shall make and subscribe the following oath, to be attached to said return:

I

distiller, (or principal manager as the case may be,) of the distillery at, do solemnly swear that, since the date of the last return of the business of said distillery, dated day of today of, both inclusive, there was produced in said diştillery, and withdrawn and placed in warehouse, the number of wine gallons and proof gallons of spirits, and there were actually mashed and used in said distillery, and consumed in the distilling of spirits therein, the several quantities of grain, sugar, molasses, and other materials, respectively, herein before specified, and no more.'

The said books shall always be kept at the distillery, and be always open to the inspection of any revenue officer, and, when filled up, shall be preserved by the distiller for a period not less than two years thereafter, and whenever required shall be produced for the inspection of any revenue officer. If any false entry shall be made in either of said books, or any entry required to be made therein shall be omitted therefrom, for every such false entry made, or omission, the distiller shall forfeit and pay a penalty of $1,000. And if any such false entry shall be made, or any entry shall be omitted therefrom with intent to defraud or to conceal from the revenue officers any fact or particular required to be stated and entered in either of said books, or to mislead in reference thereto, or if any distiller as aforesaid shall omit or refuse to provide cither of said books, or shall cancel, obliterat or destroy any part of either of such books, or any entry therein, with intent to defraud, or shall permit the same to be done, or such books, or either of them, be not produced when required by any revenue officer, the distillery, distilling apparatus, and the lot or tract of land on which it stands, and all personal property of every kind and description on said premises, or used in the business there carried on, shall be forfeited to the United States. And any person making such false entry or omitting to make any entry hereinbefore required to be made, with the intent aforesaid, or who shall cause or procure the same to be done, or

who shall fraudulently cancel, obliterate, or destroy any part of said books, or any entry therein, or who shall willfully fail to produce such books or either of them, on conviction, shall be fined not less than $500 nor more than $5,000, and imprisoned not less than six months nor more than two years.

The Committee on Finance proposed to amend this section by striking out after the word "and," in line seventeen, the words "in another book shall make like entry," and after the word "employed," in line twenty, to insert and in another book shall make like entry." The amendment was agreed to.

The next amendment was in line thirty, before the word "gravity," to insert "quantity." The amendment was agreed to.

The next amendment was in line forty, to strike out "distillery," and insert "distiller." The amendment was agreed to.

The next amendment was in line sixty, after the word "inspection," to insert "and examination."

The amendment was agreed to.

The next amendment was in line eighty, to strike out the word "or" between "premises" and used."

The amendment was agreed to.

The next section was read as follows:

SEC. [19] 20. And be it further enacted. That on the receipt of the distiller's first return in each month the assessor shall proceed to inquire and determine whether said distiller as accounted in his returns for the preceding month for all the spirits produced by him; and to determine the quantity of spirits thus to be accounted for, the whole quantity of spirits produced from the materials used shall be ascertained; and forty-five gallons of mash or beer brewed or fermented from grain shall represent not less than one bushel of grain, and seven gallons of mash or beer brewed or fermented from molasses shall represent not less than one gallon of molasses. In case the return of the distiller shall have been tess than the quantity thus ascertained, the distiller shall be assessed for such deficiency at the rate of fifty cents for every proof gallon, and the collector shall proceed to collect the same as in cases of other assessments for deficiencies; but in no case shall the quantity of spirits returned by the distiller, together with the quantity so assessed, be for a less quantity of spirits than eighty per cent. of the producing capacity of the distillery.

The Committee on Finance proposed to amend the section by striking out the words "proceed to" before "inquire" in line three. The amendment was agreed to.

The next amendment was after the word "ascertained," in line seven, to insert "by reckoning not less than twelve quarts of proofspirits for every bushel of grain used, nor less than seven tenths of one proof gallon of spirits for every gallon of molasses used."

The amendment was agreed to.

The next amendment was after the word "gallon," in line eighteen, to insert "and four dollars for every cask of forty proof gallons." The amendment was agreed to.

The next amendment was after the word "distillery," at the end of the section to insert "as estimated and determined by the provisions of this act."

The amendment was agreed to.

Section twenty of the House bill, now become section twenty-one, was read, as follows:

SEC. [20] 21. And be it further enacted, That the storekeeper assigned to any distillery warehouseshall also have charge of the distillery connected therewith; and, in addition to the duties required of him as a storekeeper in charge of a warehouse, shall keep in a book to be provided for that purpose, and in the manner to be prescribed by the Commissioner of Internal Revenue, a daily account of all the meal and vegetable productions or other substances brought into said distillery, or on said premises, to be used for the purpose of producing spirits, from whom purchased, and when delivered at said distillery, the kind and quantity of all fuel used, and from whom purchased, and of all repairs made on said distillery, and by whom and when made, the names and places of residence of all persons employed in or about the business of the distillery, of the materials put into the mash-tub or otherwise used for the production of spirits, the time when any fermenting tub is emptied of ripe mash or beer, recording the same by the number painted on said tub, and of all spirits drawn off from the receiving cistern, and the time when the same were drawn off. Any distiller or person employed in any distillery who shall use, cause, or permit to be used any material for the purpose of making mash, wort, or beer, or for the production of spirits, or shall remove any spirits in the absence of the storekeeper or person designated, to act as said storekeeper, shall forfeit and pay double the amount

of taxes on the spirits so produced, distilled, or removed, and, in addition thereto, be liable to a penalty of $1,000.

And the entry shall specify the kind of spirits, the whole number of casks or packages, the marks and serial numbers thereon, the number of gauge or wing

The amendment was agreed to.

Section twenty-one of the House bill, now section twenty-two, was next read, as follows: SEC. [21]22. And be it further enacted, That every distiller, at the hour of twelve meridian, on the third day after that on which his bond shall have been approved by the assessor, shall be deemed to have cominenced and thereafter to be continuously engaged in the production of distilled spirits in his distillery, except in the intervals when he shall have suspended work, as hereinafter authorized or provided. Any distiller desiring to suspend work in his distillery may give notice in writing to the assistant assessor of his division, stating when he will stop work; and on the day mentioned in said notice said assistant assessor shall, at the expense of the distiller, proceed to fasten securely the door of every furnace of every still or boiler in said distillery, by locks and otherwise, and shail adopt such other means as the Commissioner of Internal Revenue shall prescribe to prevent the lighting of any fire in such furnace or under such stills or boilers. The locks and seals, and other materials required for such purpose shall be furnished to the assessor of the district by the Commissioner of Internal Revenue, to be duly accounted for by said assessor. Such notice by any distiller, and the action taken by the assistant assessor in pursuance thereof, shall be immediately reported to the assessor of the district, and by him transmitted to the Commissioner of Internal Revenue. No distiller, after having given such notice, shall, after the time stated therein, carry on the business of a distiller on said premises until he shall have given another notice in writing to said assessor, stating the t me when he will resume work; and at the time so stated for resuming work the assistant assessor shall attend at the distillery to remove said locks and other fastenings; and thereupon, and not before, work may be resumed in said distillery, which fact shall be immediately reported to the assessor of the district, and by him transmitted to the Commissioner of Internal Revenue. Any distiller, after the time fixed in said notice declaring his intention to stop work, who shall carry on the business of a distiller on said premises, or shall have mash, wort, or beer in his distillery, or on any preises connected therewith, or who shall have in his possession or under his control any mash, wort, or beer, with intent to distill the same on said premises, shall incur the forfeitures, and be subject to the same punishment as provided for persons who carry on the business of a distiller without having paid the special tax.

It was proposed to amend this section by striking out stop" and insert "suspend' before "work" in line ten and in line thirtyfive respectively.

The amendment was agreed to.

The next section was read, as follows:

SEC. 23. And be it further enacted, That all distilled spirits shall be drawn from the receiving cisterns into casks or packages, each of not less capacity than twenty gallons, wine measure, and shall be immediately removed into the distillery warehouse, and shall thereupon be gauged and proved by an internal revenue gauger, who shall mark, by cutting on the cask or package containing such spirits, in a manner to be prescribed by the Commissioner of Internal Revenue, the quantity in wine gallons, and in proof gallons, of the contents of such cask or package, and shall, in presence of the storekeeper of the warehouse, place upon the head of the cask or package an engraved stamp, which shall be signed by the collector of the district and the storekeeper and gauger, and shall have written thereon the number of proof gallons contained therein, the name of the distiller, the date of the receipt in the warehouse, and the serial number of each cask or package, in progressive order, as the same shall be received from the distillery. Such serial number for every distillery shall begin with number one (No. 1) with the first cask or package deposited therein after this act takes effect, and no two or more casks or packages warehoused at the same distillery shall be marked with the same number. The said stamp shall be as follows: -] [Distillery warehouse stamp No. Issued by - Collector, District. State of Distillery warehouse of -, 18-. Cask No. , contents — -gallons proof-spirit.

Attest:

United States Storekeeper.

United States Gauger.

And the distiller or owner of all spirits so removed to the distillery warehouse shall on the 1st, 11th, and 21st days of each month, or within five days thereafter, enter the same for deposit in such warehouse, under such rules and regulations not inconsistent herewith, as the Commissioner of Internal Revenue may prescribe; and said entry shall be in triplicate and shall contain the name of the person making the entry, the designation of the warehouse in which the deposit is made, and the date thereof, and shall be in form as follows:

tax on the spirits contained in them; all of which shall be verified by the oath or affirmation of the distiller or owner of the same attached to the entry: and the said distiller or owner shall give his bond in duplicate, with one or more suretics satisfactory to the collector of the district, conditioned that the p-incipal named in said boud will pay the tax on the spirits, as specified in the entry, or cause the same to be paid before removal from said distillery warehouse, and within one year from the date of said bond, unless the same shall be removed by him from said warehouse according to the provisions of this act; and the penal sum of such bond shall not be less than double the amount of the tax on such distilled spirits. One of said entries shall be retained in the office of the collector of the district, one sent to the storekeeper in charge of the warehouse, to be retained and filed in the warehouse, and one sent with the duplicate of the bond to the Commissioner of Internal Revenue, to be filed in his office.

The next amendment was to insert at this point as section twenty-four, the following:

SEC. 24. And be it further enacted. That any distilled spirits may, on payment of the tax thereon, be withdrawn from warehouse on application to the collector of the district in charge of such warehouse, on making a withdrawal entry, in duplicate, and in form as follows:

[Entry for withdrawal of distilled spirits from warehouse. Tax paid.]

Entry of distilled spirits to be withdrawn, on payment of the tax, from warehouse by ·

deposited on the day of A. D. - by

in said warehouse.

And the entry shall specify the whole number of casks or packages, with the marks and serial nambers thereon, the number of gauge or wine gallons, and of proof gallons, and the amount of the tax on the distilled spirits contained in them: all of which shall be verified by the oath or affirmation of the person making such entry; and on payment of the tax the collector shall issue his order to the storekeeper in charge of the warehouse for the delivery. One of said entries shall be filed in the office of the collector, and the other transmitted by him to the Commissioner of Internal Revenue.

The amendment was agreed to.

Section twenty-three of the House bill, now section twenty-five, was next read as follows: SEC. 25. And be it further enacted, That whenever an order is received from the collector for the removal from any distillery warehouse of any cask or package of distilled spirits, on which tax has been paid. it shall be the duty of the gauger by whom the same is gauged and inspected, in presence of the storekeeper, before such cask or package has left the warehouse, to place upon the head thereof, in such manner as to cover no portion of any brand or mark prescribed by law already placed thereon, a stamp, on which shall be engraved the number of proof gallons contained in said cask or package, on which the tax has been paid, and which shall be signed by the collector of the district, storekeeper, and gauger, and which shall state the serial number of the cask or package, the name of the person by whom the tax was paid, and the person to whom and the place where it is to be delivered; which stamp shall be as follows:

[Tax-paid stamp No.-] Received ――, 18-, from, tax on galwarehouse at lons proof-spirit, cask No. for delivery to at. Collector

Attest:

District, State of

United States Storekeeper.

United States Guager.

Whenever any cask or package of rectified spirits shall be filled for shipment, sale, or delivery, on the premises of any rectifier, who shall have paid the special tax required by law, it shall be the duty of a United States gauger to gauge and inspect the same and place thereon an engraved stamp, which shall be signed by the collector of the district and the said gauger, and state the date when affixed, which stamp shall be as follows: [Stamp for rectified spirits No.-.] Issued by collector district, State of -. - rectifier of spirits in the district. State of, — . 18-.

U. S. Gauger. Whenever any cask or package of distilled spirits shall be filled for shipment, sale, or delivery, on the premises of any wholesale liquor dealer or com

U. S. Gauger. District, State of All blanks in any of the above forms shall be duly filled in accordance with the facts in each case. And the stamps above designated shall be affixed so as to fasten the same securely to the cask or package and duly canceled, and shall then be immediately covered with a coating of transparent varnish or other substance, so as to protect them from removal or damage by exposure; and such affixing, cancellation, and covering shall be done in such manner as the Commissioner of Internal Revenue shall by regulation prescribe; but such stamps shall in every case be affixed to a smooth surface of the cask or other package, which surface shall not have been previously painted or covered with any substance.

The Committee on Finance proposed to amend the section by striking out the words or package" after "cask" wherever those words occur.

66

The amendment was agreed to.

The committee also proposed to amend the section by inserting after line twenty-seven the following:

And at the time of affixing the tax-paid stamp or stamps, the gauger shall, in the presence of the storekeeper, cut or burn upon each cask the name of the distiller, the district, the date of the payment of the tax, the number of proof gallons, and the number of the stamp, which burning shall be erased when such cask is emptied, by cutting or burning a canceling line across such marks or brands, which branding and cancellation shall be done under such rules and regulations as the Commissioner of Internal Revenue may prescribe.

Mr. VAN WINKLE. I move to amend the amendment by inserting "cutting or" before "burning.' It now provides for cutting or burning, but provides for erasing only one. The amendment to the amendment was agreed to.

The amendment, as amended, was agreed to. The twenty-fourth section, now twenty-six, was read, as follows:

SEC. 26. And be it further enacted, That all stamps required for distilled spirits shall be engraved in their several kinds in book form, and shall be issued by the Commissioner of Internal Revenue to any collector, upon his requisition, in such numbers as may be necessary in the several districts. Each stamp shall have an engraved stub attached thereto with a number thereon corresponding with an engraved number on the stamp, and the stub shall not be removed from the book. And there shall be entered on the corresponding stub such memoranda of the contents of every stamp as shall be necessary to preserve a perfect record of the use of such stamp when detached.

shall be charged to his account at the full value of the tax on the number of gallons represented on the stamps and coupons contained in said books; and every collector shall make a monthly return to the Commissioner of Internal Revenue of all tax-paid stamps issued by him to be affixed to any cask or package containing distilled spirits on which the tax has been paid, and account for the amount of the tax collected; and when the said collector shall return to the Commissioner of Internal Revenue any book of marginal stubs, which it shall be his duty to do as soon as all the stamps contained in the book, when issued to him from the office of internal revenue, have been used, and shall have accounted for the tax on the number of gallons represented on the stamps and coupons that were contained in said book, he shall be allowed a commission of half of one per cent. on the amount, in addition to any other commission by law allowed, on all money accounted for by him for tax collected on distilled spirits, which shall be equally divided between the collector receiving the tax and the collector of the district in which the distilled spirits were produced. All stamps relating to distilled spirits other than the tax-paid stamps shall be charged to collectors as representing the value of twenty-five cents for each stamp; and the books containing such stamps may be intrusted by any collector to the gauger of the district, who shall make a daily report to the assessor and collector of all such stamps used by him and for whom used, and from these reports the assessor of the district shall on his monthly list assess the person for whom they were used, and the collector shall thereupon collect the amount due for such stamps at the rate of twenty-five cents for each stamp issued during the month; and when all the stamps contained in any such book shall have been issued the gauger of the district shall return the book to the collector with all the marginal stubs therein.

It was proposed to amend this section by inserting after the word "amount," in line seventeen, the words "of the tax on spirits distilled after the passage of this act.'

Mr. SHERMAN. I merely wish to call the attention of the Senate to the fact that this amendment changes the commission allowed to collectors and assessors.

The amendment was agreed to. The next amendment was in line twenty-one, to strike out"collector" and insert assessor. The amendment was agreed to. Section [twenty-seven] twenty-nine was next read, as follows:

SEC. [27] 29. And be it further enacted, That any revenue officer who shall affix or cancel, or cause or permit to be affixed or canceled, any stamp relating to distilled spirits required or provided for in this act in any other manner or in any other place, or who shall issue the same to any other person than as provided by law or regulation made in pursuance thereof, or who shall knowingly affix or permit to be affixed any such stamp to any cask or package of spirits of which the whole or any part has been distilled, rectified, compounded, removed, or sold, in violation of law, or which has in any manner escaped payment of tax due thereon, shall, for every such offense, be fined not less than $500 nor more than $3,000, and be imprisoned for not less than six months nor more than three years.

The PRESIDING OFFICER, (Mr. POMEROY.) The words "or package" will be stricken out after "casks," in line eight, to conform to

Section [twenty-five] twenty-seven was next previous amendments. read, as follows:

SEC. 27. And be it further enacted, That every stamp for the payment of tax on distilled spirits shall have engraved thereon words and figures representing a decimal number of gallons, and a similar number of gallons shall be engraved on the stub corresponding to such stamp, and between the stamp and the stub and connecting them shall be engraved nine coupons, which, beginning next to the stamp, shall indicate in succession the several numbers of gallons between the number named in the stamp and the decimal number next above. And whenever any collector shall receive the tax on the distilled spirits contained in any cask or package, he shall detach from the book a stamp representing the denominate quantity nearest to the quantity of proof-spirits in such cask or package, as shown by the gauger's return, with such number of the coupons attached thereto as shall be necessary to make up the whole number of proof gallons in said cask or package, and any quantity in addition to the number of full gallons less than one gallon shall be regarded as a full gallon; and all unused coupons shall remain attached to the marginal stub; and no coupon shall have any value or significance whatever when detached from the stamp and stub. And the tax-paid stamps with the coupons may denote such number of gallons, not less than twenty, as the Commissioner of Internal Revenue may deem advisable.

It was proposed to amend the section by striking out the words "or package" after "cask" wherever they occurred.

The amendment was agreed to. Section [twenty-six] twenty-eight was next read, as follows:

SEC. [26] 28. And be it further enacted, That the books of tax-paid stamps issued to any collector

The following sections were read, to which no amendment was reported:

SEC. [28] 30. And be it further enacted, That if any distiller shall desire to reduce the producing capacity of his distillery, he shall give notice of such intention in writing to said assessor, stating the quantity of spirits which he desires thereafter to manufacture or produce every twenty-four hours, and thereupon said assessor shall proceed, at the expense of the distiller, to reduce and limit the producing capacity of the distillery to the quantity stated in said notice, by placing upon a sufficient number of the fermenting tubs close-fitting covers, which shall be securely fastened by nails, seals, and otherwise, and in such manner as to prevent the use of such tubs without removing said covers or breaking said seals, and shall adopt such other precautions as shall be prescribed by the Commissioner of Internal Revenue to reduce the capacity of said distillery. And any person who shall break, injure, or in any manner tamper with any lock, seal, or other fastening applied to any furnace, still, or fermenting-tub, or other vessel, in pursuance of the provisions of this act, or who shall open or attempt to open any door, tub, or other vessel which shall have been locked or sealed, or otherwise closed or fastened as herein provided, or who shall use any furnace, still, or fermenting tub, or other vessel which shall be so locked, sealed or fastened, shall be deemed guilty of a felony, and, on conviction, shall be fined not less than $1,000 nor more than $5,000, and imprisoned for not less than one year, nor more than three years.

SEC. [29]31. And be it further enacted, That whenever any officer shall require that the water contained in any worm-tub in a distillery, at any time when the still shall not be at work, shall be drawn off, and the tub and worm cleansed, the water shall forthwith be drawn off and the tub and worm cleansed by the distiller or his workmen accordingly; and the water shall be kept and continued out of such worm-tub

for the space of two hours, or until the officer has finished his examination thereof; and for any refusal or neglect to comply with the requisition of the officer in this behalf, or the provision in this clause contained, the distiller shall forfeit the sum of $1,000, and it shall be lawful for the officer to draw off such water, or any portion of it, and to keep the same drawn off for so long a time as he shall think neces

sary.

SEC. [30] 32. And be it further enacted, That it shall be lawful for any revenue officer, at all times, as well by night as by day, to enter into any distillery or building or place used for the business of distilling. or in connection therewith, for storage or other purposes, and to examine, gauge, measure, and take an account of every still or other vessel or utensil of any kind, and of all low wines, and of the quality and gravity of all mash, wort, or beer, and of all yeast, or other compositions for exciting or producing fermentation in any mash or beer, and of all spirits and of all materials for making or distilling spirits, which shall be in any such distillery or premises, or in the possession of the distiller; and if any revenue officer or any person called by him to his aid, shall be hindered, obstructed, or prevented by any distiller, or by any workman or other person acting for such distiller or in his employ, from entering into any such distillery or building or place as aforesaid or if any such officer shall be by the distiller or his workman or any person in his employ, prevented or hindered from or opposed or obstructed or molested in the performance of his duty under this act, in any respect, the distiller shall forfeit the sum of $1,000. If any officer, having demanded admittance into a distillery or premises of a distillery, and having declared his name and office, shall not be admitted into any such distillery or premises by the distiller or other person having charge of the same, it shall be lawful for such officer, at all times, as well by night as by day, to break open by force any of the doors or windows, or to break through any of the walls of such distillery or premises necessary to be broken open or through, to enable him to enter the said distillery or premises; and the distiller shall forfeit the sum of $1,000.

SEC. [31] 33. And be it further enacted, That, on the demand of any revenue officer, every distiller, rectifier, or compounder of spirits shall furnish strong, safe, and convenient ladders of sufficient length to enable the officer to examine and gauge any vessel or utensil in such distillery or premises; and shall, at all times when required, supply all assistance, lights, ladders, tools, staging, or other things necessary for inspecting the premises, stock, tools, and apparatus belonging to such person, and shall open all doors, and open for examination all boxes, packages, and all casks. barrels, and other vessels not under the control of a revenue officer in charge, under a penalty of $500 for every refusal or neglect so to do.

SEC. [3] 34. And be it further enacted. That it shall be lawful for any revenue officer, and any person acting in his aid, to break up the ground on any part of the distillery or premises of a distiller, rectifier, or compounder of liquors, or any ground adjoining or near to such distillery or premises, or any wall or partition thereof, or belonging thereto, or other place, to search for any pipe, cock, private conveyance, or utensil; and upon finding any such pipe or conveyance leading therefrom or thereto, he may break up any ground, house, wall, or other place through or into which such pipe or other conveyance shall lead, and break or cut away such pipe or other conveyance, and turn any cock, or examine whether such pipe or other conveyance may convey or conceal any, mash, wort, or beer, or other liquor which may be used for distillation of low wines or spirits from the sight or view of the officer, so as to prevent or hinder him from taking a true account thereof.

SEC. [33] 35. And be it further enacted, That no malt, corn, grain, or other material shall be mashed, nor any wash, wort, or beer brewed or made, nor any still used by a distiller at any time between the hour of eleven in the afternoon of any Saturday and the hour of one in the forenoon of the next succeeding Monday; and any person who shal violate the provisions of this section shall be liable to a penalty of $1,000.

Section [thirty-four] thirty-six was next read, as follows:

SEC. [34] 36. And be it further enacted, That all distilled spirits found elsewhere than in a distillery or distillery warehouse, not having been removed therefrom according to law, shall be forfeited to the United States. And in case of the seizure of any distilled spirits found elsewhere than in a distillery, distillery warehouse, or other warehouse for distilled spirits authorized by law, or in the store or place of business of a rectifier, or of a wholesale liquor dealer, or of a compounder of liquors, or in transit from any one of said places; and in case of the seizure of any distilled spirits found in any one of the places aforesaid, or in transit therefrom, which shall not have been received into or sent out therefrom in conformity to law, or in regard to which any of the entries required by law to be made in the books of the owner of such spirits or of the storekeeper, wholesale dealer, rectifier, or compounder, have not been made at the time or in the manner required, or in respect to which the owner or person having possession, control, or charge of said spirits shall have omitted to do any act required to be done, or shall have done or committed any act prohibited in regard to said spirits, the burden of proof shall be upon the claimant of said spirits to show that no fraud has been committed, and that all the requirements of the law in relation to the payment of the tax have been complied with. And every person who shall remove, or shall aid or abet in the removal of any distilled spirits from a distillery to a place other than the dis

tillery warehouse as provided by law, or who shall conceal or aid in the concealment of any spirits so removed, or who shall remove or shall aid or abet in the removal of any distilled spirits from any distillery warehouse, or other warehouse for distilled spirits authorized by law, in any manner other than as is provided by law, or who shall conceal, or aid in the concealment of any spirits so removed, shall be liable to a penalty of double the tax imposed on such distilled spirits so removed or concealed, and shall, on conviction, be fined not less than $200 nor more than $5,000, and imprisoned not less than three months nor more than three years.

The amendment proposed to this section was in line twenty-six, to strike out the words "from a distillery," and insert "on which the tax has not been paid."

The amendment was agreed to.

The following sections were read, to which no amendment was proposed:

SEC. [35] 37. And be it further enacted, That no person shall remove any distilled spirits at any other time than after sun-rising and before sun-setting, in any cask or package containing more than ten gallons from any premises or building in which the same may have been distilled, redistilled, rectified, compounded, manufactured, or stored, and every person who shall violate this provision shall be liable to a penalty of $100 for each cask, barrel, or package of spirits so removed; and said spirits, together with any vessel containing the same, and any horse, cart, boat, or other conveyance used in the removal thereof, shall be forfeited to the United States.

SEC. 136138. And be it further enacted, That any person who shall add or cause to be added any ingredient or substance to any distilled spirits before the tax imposed by law shall have been paid thereon, for the purpose of creating a fictitious proof, shall, on conviction, be fined not less than $100 nor more than $1,000 for each cask or package so adulterated, and imprisoned not less than three months nor more than two years, and every such cask or package, with its contents, shall be forfeited to the United States.

SEC. [37] 39. And be it further enacted, That any person who shall evade or attempt to evade the payment of the tax on any distilled spirits, in any manner whatever, shall forfeit and pay double the amount of the tax so evaded or attempted to be evaded; and any person who shall change or alter any stamp, mark, or brand on any cask or package containing distilled spirits, or who shall put into any cask or package spirits of greater strength than is indicated by the inspection mark thereon, or who shall fraudulently use any cask or package having any inspection mark or stamp thereon for the purpose of selling other spirits or spirits of quantity or quality different from the spirits previously inspected therein, shall forfeit and pay the sum of $200 for every cask or package on which the stamp or mark is so changed or altered or which is so fraudulently used, and, on conviction, shall be fined for each such offense not less than $100 nor more than $1,000, and imprisoned not less than one month nor more than one year.

SEC. [38] 40. And be it further enacted, That any person who shall knowingly use any faise weights or measures in ascertaining, weighing, or measuring the quantities of grain, meal, or vegetable materials, molasses, beer, or other substances to be used for distillation, or who shall destroy, break, injure, or tamper with any lock or seal which may be placed on any cistern-room or building, by the duly authorized officers of the revenue, or shall open said lock or seal, or the door to such cistern-room or building. or shall in any manner gain access to the contents therein in the absence of the proper officer, shall, on conviction, be fined not less than $500 nor more than $5,000, and imprisoned not less than one year nor more than three years; and any person who shall use any molasses, beer, or other substance, whether fermented on the premises or elsewhere, for the purpose of producing spirits, before an account for the same shall have been registered in the proper record book provided for that purpose, shall forfeit and pay the sum of $1,000 for each and every offense so committed.

SEC. [39] 41. And be it further enacted, That it shall be lawful for any internal revenue officer to seize and detain any cask or package containing, or supposed to contain, distilled spirits when such officer has reason to believe the tax imposed by law upon the same has not been paid, or that the same is being removed in violation of law; and every such cask or package may be held by such officer at a safe place until it shall be determined whether the property so seized is liable by law to be proceeded against for forfeiture; but such summary detention shall not continue in any case longer than forty-eight hours without process of law or intervention of the officer to whom such seizure is to be reported.

SEC. [40] 42. And be it further enacted, That no distillery seized for any violation of law shall be released to the claimant or any intervening party before judginent, except in case of a distillery for which the special tax has been paid, and which has a registered producing capacity of one hundred and fifty proof gallons or more per day, on showing by sufficient affidavits that there are hogs or other live stock, not less than fifty head in number, depending for their feed on the products of said distillery which would suffer injury if the business of such distillery is stopped; such distillery in that case may be released to the claimant, or any other intervening party, at the discretion of the court, on a bond to be given and approved in open court with two or more sureties for the full appraised value of all the property seized,

which value shall be ascertained by three competent appraisers to be designated and appointed by the court. In case of the seizure of and judgment of forfeiture against any distillery used or fit for use in the production of distilled spirits having a registered producing capacity of less than one hundred and fifty gallons per day, or of any distillery for the nonpayment of the special tax, the still, stills, doubler, worm, worm-tub, and all mash-tubs and fermentingtubs shall be so destroyed as to prevent the use of the same or any part thereof for the purpose of distilling; and the materials shall be sold as in case of other forfeited property.

SEC. [41] 43. And be it further enacted, That it shall be the duty of every person who emptics or draws off, or causes to be emptied or drawn off, any distilled spirits from a cask or package bearing any mark, brand, or stamp required by law, at the time of emptying such cask or package, to efface, and obliterate said mark, stamp, or brand. Any such cask or package from which said mark, brand, and stamp, is not so effaced and obliterated, as herein required, shall be forfeited to the United States, and may be seized by any officer of internal revenue wherever found. Any railroad company or other transportation company, or person, who shall receive or transport, or have in possession with intent to transport, or with intent to cause or procure to be transported, any such empty cask or package, or any part thereof, having thereon any brand, mark, or stamp, required by law to be placed on any cask or package containing distilled spirits, shall forfeit $300 for each such cask or package, or any part thereof, so received or transported, or had in possession with the intent aforesaid; and any boat, railroad ear, cart, dray, wagon, or other vehicle, and all horses or other animals used in carrying or transporting the same, shall be forfeited to the United States. Any person who shall fail or neglect to efface and obliterate said mark, stamp, or brand, at the time of emptying such cask or package, or who shall receive any such cask or package, or any part thereof, with the intent aforesaid, or who shall transport the same, or knowingly aid or assist therein, or who shall remove any stamp provided by this act from any cask or package containing or which had contained distilled spirits, without defacing and destroying the same at the time of such removal, or who shall aid or assist therein, or who shall have in his possession any such stamp so removed, as aforesaid, or have in his possession any canceled stamp or any stamp which has been used, or which purports to have been used, upon any cask or package of distilled spirits, shall be deemed guilty of felony, and, on conviction, shall be fined not less than $500 nor more than $10,000, and imprisoned not less than one year nor more than five years.

SEC. [42] 44. And be it further enacted, That any person who shall carry on the business of a distiller, rectifier, compounder of liquors, wholesale liquor dealer, retail liquor dealer, or manufacturer of stills, without having paid the special tax, as required by law, or who shall carry on the business of a distiller or rectifier without having given bond as required by law, or who shall engage in or carry on the business of a distiller, with intent to defraud the United States of the tax on the spirits distilled by him, or any part thereof, shall, for every such offense, be fined not less than $1,000 nor more than $5,000, and imprisoned not less than six months nor more than two years. And all distilled spirits or wines, and all stills or other apparatus fit, or intended to be used, for the distillation or rectification of spirts or for the compounding of liquors, owned by such person, wherever found, and all distilled spirits or wines and personal property found in the distillery or rectifying establishment, or in the store or other place of business of the compounder, or in any building, room, yard, or inclosure connected therewith, and used with or constituting a part of the premises; and all the right, title, and interest of such person in the lot or tract of land on which such distillery is situated, and all right, title, and interest therein of every person who knowingly has suffered or permitted the business of a distiller to be there carried on, or has connived at the same; and all personal property owned by or in possession of any person who has permitted or suffered any building, yard, or inclosure, or any part thereof, to be used for purposes of ingress or egress to or from such distillery, which shall be found in any such building, yard, or inclosure, and all the right, title, and interest of every person in any premises used for ingress or egress to or from such distillery, who has knowingly suffered or permitted such premises to be used for such ingress or egress, shall be forfeited to the United States.

MESSAGE FROM THE HOUSE.

A message from the House of Representatives, by Mr. MCPHERSON, its Clerk, announced that the House had passed the following bills and joint resolutions, in which it requested the concurrence of the Senate:

A bill (H. R. No. 39) authorizing the Commissioner of Internal Revenue to adjust the accounts of Mark Howard;

A bill (H. R. No. 1326) for the relief of Anthony Bucher;

A bill (H. R. No. 1354) to provide for the issue of arms for the use of the militia;

A joint resolution (H. R. No. 305) in respect to the construction of bridges over the Ohio river;

A joint resolution (H. R. No. 325) relative to the pay of the chief clerk in the office of the Sergeant-at-Arms of the House;

A joint resolution (H. R. No. 323) in relation to surveys and examinations of rivers and harbors; and

A joint resolution (H. R. No. 324) to extend the time for the completion of the West Wis

consin railroad.

The message also returned to the Senate in compliance with its request the bill (H. R. No. 554) making a grant of land to the State of Minnesota to aid in the improvement of the navigation of the Mississippi river, with the amendment of the Senate thereto.

The message further announced that the House had agreed to some and disagreed to other amendments of the Senate to the bill (H. R. No. 605) making appropriations for the legislative, executive, and judicial expenses of the Government for the year ending the 30th June, 1869, and agreed to other amendments of the Senate with amendments; asked a conference on the disagreeing votes of the two Houses on the said bill, and appointed Mr. ELIHU B. WASHBURNE of Illinois, Mr. COLUMBUS DELANO of Ohio, and Mr. CHARLES E. PHELPS, of Maryland, managers at the same on its part.

ENROLLED BILL SIGNED.

The message also announced that the Speaker of the House had signed the following enrolled bills and joint resolutions; and they were thereupon signed by the President pro tempore of the Senate:

A bill (S. No. 505) to amend section five of an act entitled "An act concerning the registering and recording of ships or vessels," approved December 31, 1792;

A bill (H. R. No. 502) to incorporate the congregation of the First Presbyterian Church of Washington;

A bill (H. R. No. 503) for the relief of William B. Todd;

A joint resolution (H. R. No. 96) for the relief of John Sedgwick, collector of internal revenue, third district of California; and

A joint resolution (H. R. No. 321) in relation to the erection of a bridge in Boston harbor.

EXECUTIVE BUSINESS.

Mr. FESSENDEN. I should like to have a short executive session, and I suggest to the honorable Senator from Ohio whether it would not be as well to stop here.

Mr. SHERMAN. I have no objection.

Mr. SUMNER. Before that question is put I should like to understand from the Senator from Ohio whether he proposes an evening session.

Mr. SHERMAN. Yes, sir. I desire to continue the reading of the tax bill, and the consideration of the amendments of the committee.

The PRESIDENT pro tempore. Before putting the question on the motion of the Senator from Ohio, the Chair will present some House bills for reference.

HOUSE BILLS REFERRED.

The following bills received from the House of Representatives were severally read twice by their titles, and referred as indicated below:

A bill (H. R. No. 39) authorizing the Commissioner of Internal Revenue to adjust the accounts of Mark Howard-to the Committee on Finance.

A bill (H. R. No. 1326) for the relief or Anthony Bucher-to the Committee on Claims.

A bill (H. R. No. 1354) to provide for the issue of arms for the use of the militia-to the Committee on Military Affairs and the Militia.

A joint resolution (H. R. No. 305) in respect to the construction of bridges over the Ohio river-to the Committee on Post Offices and Post Roads.

A joint resolution (H. R. No. 323) in relation to surveys and examinations of rivers and harbors to the Committee on Commerce.

A joint resolution (H. R. No. 325) relative to the pay of the chief clerk in the office of the Sergeant-at-Arms of the House-to the Committee on Appropriations.

WEST WISCONSIN RAILROAD.

The joint resolution (H. R. No. 324) to extend the time for the completion of the West Wisconsin railroad was read twice by its title.

Mr. HOWE. The Senate passed a joint resolution, of which this is a copy, the other day upon the recommendation of the Committee on Public Lands, and I see no necessity for sending it to a committee. I hope it will be passed now.

Mr. POMEROY. I think we may as well pass it at once.

Mr. FESSENDEN. I should like to have the Senator state whether it is precisely the same resolution that we passed the other day. Mr. HOWE. I have read it, and I think it is precisely the same, word for word. I was told so by a member of the other House, and such is my recollection. I have not compared it, but I will compare it if the Senate will pass it now, and if I find it not to be the same I will move a reconsideration.

The joint resolution was considered as in Committee of the Whole, reported to the Senate, ordered to a third reading, read the third time, and passed.

LEGISLATIVE, ETC., APPROPRIATION BILL. The Senate proceeded to consider its amendments to the bill (H. R. No. 605) making appropriations for the legislative, executive, aud judicial expenses of the Government for the year ending June 30, 1869, disagreed to by the House, and the amendments of the House of Representatives to other amendments of the Senate; and,

On motion by Mr. MORRILL, of Maine, Resolved, That the Senate insist upon its amendments to the said bill disagreed to by the House of Representatives, and disagree to the amendments of the House to other amendments of the Senate thereto, and agree to the conference asked by the House on the disagreeing votes of the two houses thereon.

Ordered, That the conferees on the part of the Senate be appointed by the President pro tempore.

The PRESIDENT pro tempore appointed Mr. MORRILL of Maine, Mr. Howe, and Mr. HENDRICKS, managers on the part of the Senate.

EXECUTIVE SESSION.

On motion of Mr. FESSENDEN, the Senate proceeded to the consideration of executive business, and after some time spent therein, the doors were reopened, and the Senate, at five o'clock p. m., took a recess till half past seven.

EVENING SESSION.

The Senate reassembled at half past seven o'clock p. m.

MESSAGE FROM THE HOUSE.

A message from the House of Representatives, by Mr. MCPHERSON, its Clerk, announced that the House had agreed to the amendments of the Senate to the bill (H. R. No. 453) increasing the pension of Nancy Weeks, widow of Francis Weeks, a soldier of the war of 1812.

The message further announced that the House had agreed to the amendments of the Senate to the bill (H. R. No. 869) prescribing an oath of office to be taken by persons from whom legal disabilities shall have been removed, with an amendment, in which it requested the concurrence of the Senate.

The message also announced that the House had passed a joint resolution (H. R. No. 326) for the relief of Henry B. St. Marie, and a bill (H. R. No. 396) for the relief of Samuel Tibbetts; in which it requested the concurrence of the Senate.

OATH OF OFFICE.

Mr. TRUMBULL. I ask the consent of the Senate to concur in the amendment of the House to the bill in regard to the oath of office. It merely leaves out the words and no other." I think there will be no objection to concurring in it.

The Senate proceeded to consider the amendment of the House of Representatives to the amendment of the Senate to the bill (H. R. No. 869) prescribing an oath of office to be

taken by persons from whom legal disabilities shall have been removed; and the House amendment was concurred in.

INTERNAL TAXES.

The Senate, as in Committee of the Whole, resumed the consideration of the bill (H. R. No. 1284) to change and more effectually secure the collection of internal taxes on distilled spirits and tobacco, and to amend the tax on banks.

ing

The PRESIDENT pro tempore. The readof the bill will be continued. The Chief Clerk resumed the reading of the bill, as follows:

SEC. [43] 45. And be it further enacted, That every rectifier, wholesale liquor dealer, and compounder of liquors, shall provide himself with a book, to be prepared and kept in such form as shall be prescribed by the Commissioner of Internal Revenue, and shall, on the same day on which he receives any spirits. and before he shall draw off any part thereof, or add water or anything thereto, or in any respect alter the same, enter in such book, and in the proper columns respectively prepared for the purpose, the date when, the name of the person or firm from whom and the place whence the spirits were received, when and by whom distilled, rectified, or compounded, and when and by whom inspected, and, if in the original package, the serial number of each package, the number of wine gallons and proof gallons, the kind of spirit, and the number and kind of adhesive stamps thereon; and every such rectifier, compounder, and wholesale dealer, shall, at the time of sending out of his stock or possession any spirits, and before the same shall be removed from his premises, enter, in like manner, in the said book, the day when, and the name and place of business of the person or firm to whom such spirits are to be sent, the quantity and the kind or quality of such spirits, and the strength thereof; and also the number of gallons and fractions of a gallon at proof; and if in the original packages in which they were received, he shali enter the name of the distiller, and the serial number of the package. And every such book shall be at all times kept in some public or open place on the premises of such rectifier, wholesale dealer, or compounder of liquors, respectively, for inspection; and any revenue officer may make an examination of such book and take an abstract therefrom; and every such book, when it has been filled up as aforesaid, shall be preserved by such rectifier, wholesale liquor dealer, or compounder of liquors, for a period not less than two years; and during such time it shall be produced by him to every revenue officer demanding the same; and if any rectifier, wholesale dealer, or compounder of liquors, shall refuse or neglect to provide such book or to makes entries therein as aforesaid, or shall cancel, alter, obliterate, or destroy any part of such book, or any entry therein, or make any false entry therein, or hinder or obstruct any revenue officer from examining such book or making any entry therein, or taking any abstract therefrom; or if such book shall not be preserved or not produced by any rectifier, or wholesale dealer, or compounder, as hereinbefore directed, he shall pay a penalty of $100, and on conviction shall be fined not less than $100 nor more than $5,000, and imprisoned not less than three months nor more than three years.

The Committee on Finance reported two amendments to this section. The first was in line ten, after the word "received," to strike out the words "when and."

The amendment was agreed to.

The next amendment was in line twenty-two, after the word "spirits" to strike out the words" and the strength thereof." The amendment was agreed to.

The Chief Clerk read the following sections, to which no amendment had been reported:

SEC. [44] 46. And be it further enacted, That it shall not be lawful for any rectifier of distilled spirits, compounder of liquors, liquor dealer, wholesale or retail liquor dealer to purchase or receive any distilled spirits in quantities greater than twenty gallons from any person other than an authorized rectifier of distilled spirits, compounder of liquors, distiller, or wholesale liquor dealer. Any person violating this section shall forfeit and pay $1,000: Providal, That this shall not be held to apply to judicial sales, nor to sales at public auction made by an auctioneer who has paid a special tax as such, SEC. [45] 47. And be it further enacted, That all distilled spirits drawn from any cask or other package and placed in any other cask or package containing not less than ten gallons, and intended for sale, shall be again inspected and gauged, and the cask or package into which it is so transferred shall be marked or branded, and such marking or branding shall distinctly indicate the name of the gauger, the time and place of inspection, the proof of the spirits, the particular name of such spirits as known to the trade, together with the name and place of business of the dealer, rectifier, or compounder, as the case may be; and in all cases, except where such spirits have been rectified or compounded, the name also of the distiller, and the distillery where such spirits were produced, and the serial number of the original package; and the absence of such mark or brand shall be taken and held as sufficient cause and evidence for the forfeiture of such unmarked packages of spirits.

The Chief Clerk read section [forty-six] forty-eight, as follows:

SEC. [46] 48. And be it further enacted, That on all wines, liquors, or compounds known or denominated as wine, not made from grapes grown in the United States, but made in imitation of sparkling wine or champagne, and on all liquors not made from grapes, currants, rhubarb, or berries grown in the United States, but produced by being rectified or mixed with distilled spirits or by the infusion of any matter in spirits, to be sold as wine or by any other name, there shall be levied and paid a tax of six dollars per dozen bottles, cach bottle containing more than one pint and not more than one quart; or three dollars per dozen bottles, each bottle containing not more than one pint, and at the same rate for any quantity of such merchandise, however the same may be put up or whatever be the package. And any person manufacturing, compounding, or putting up such wines, shall, without previous demand, make return, under oath or affirmation, to the assistant assessor, on the 1st and 15th day of each and every month, or within five days thereafter, of the entire amount of such wine manufactured or put up during the first fifteen days of the month, and the residue of the month, respectively, except when the wines so manufactured or put up are used exclusively by the family of the person manufacturing the same; and the tax herein imposed shall be payable at the time such return is made. And in case such manufacturer shall neglect or refuse to make such return within the time specified, the assessor shall proceed to ascertain the amount of tax due as provided in other cases of a refusal or neglect to make returns, and shall assess the tax, and add a penalty of fifty per cent. to the amount; which said tax, and also said penalty shall be collected in the manner provided for the collection of tax on monthly and other lists. Any person who shall fraudulently evade or attempt to evade the payment of the tax herein imposed shall, on conviction, be fined not less than $500, nor more than $5,000, and imprisoned not less than six months nor more than two years.

The Committee on Finance reported an amendment to this section, in line two, after the word "wine," to insert "and made in imitation of sparkling wine or champagne, but;" and in line four, after the word "United States," to strike out the words, "but made in imitation of sparkling wine or champagne." The amendment was agreed to.

The Chief Clerk read section [forty-seven] forty-nine, as follows:

SEC. [47] 49. And be it further enacted, That the Secretary of the Treasury, on the recommendation of the Commissioner of Internal Revenue, shall appoint one officer for each United States judicial district, to be called a supervisor of internal revenue on distilled spirits and tobacco, whose duty it shall be to reside in such district, and keep his office at some convenient place therein to be designated by the Commissioner, and who shall receive, in compensation for his services, such salary as the Commissioner of Internal Revenue may deem just and reasonable, not exceeding $2,500 per annum, and shall be paid his necessary traveling expenses when absent from his office on official business. It shall be the duty of every supervisor of internal revenue on distilled spirits and tobacco, under the direction of the Commissioner, to see that all laws and regulations relating to the collection of internal taxes upon distilled spirits and tobacco are faithfully executed and complied with; to aid in the prevention, detection, and punishment of any frauds in relation thereto, and to examine into the efficiency and conduct of all officers of internal revenue within his district; and for such purposes he shall have power to examine all persons, books, papers, accounts, and premises, and to administer oaths and to summon any person to produce books and papers, or to appear and testify under oath before him, and to compel a compliance with such summons in the same manner as assessors may do. It shall be the duty of every supervisor of internal revenue as aforesaid to report in writing to the Commissioner of Internal Revenue any neglect of duty, incompeteney, delinquency, or malfeasance in office of any internal revenue officer within his district of which he may obtain knowledge, with a statement of all the facts in each case, and any evidence sustaining the same; and he shall have power to transfer any inspector, gauger, or storekeeper from one distillery or other place of duty to another, or from one collection district to another, within his district, and may, by notice in writing, suspend from duty any such inspector, gauger, or storekeeper, and in case of suspension shall immediately notify the collector of the proper district and the Commissioner of Internal Revenue, and within three days thereafter make report of his action, and his reasons therefor, in writing, to said Commissioner, who shall thereupon take such further action as he may deem proper.

The Committee on Finance reported several amendments to this section. The first was in line three, after the word "revenue," to strike outshall' and insert "may;" and after the word "appoint," to strike out the words "one officer for each United States judicial district" and to insert" not exceeding twenty officers." The amendment was agreed to.

The next amendment was in line five, to strike out the word "a" before "supervisor;" and also to add the letter "s" to supervisor;"