Notice. The manufacturer of the adulterated butter herein contained has complied with all the requirements of law. Every person is cautioned not to use either this package (for adulterated butter) again or the stamp thereon again, nor to remove the contents of this package without destroying said stamp, under the penalty provided by law in such cases.

The label must be securely affixed, by paste, across the side of the package in such a way as to be exposed to public view and easily read.

Tax on Adulterated, and Process or Renovated Butter.

Section 4 of said Act of May 9, 1902, provides:

That upon adulterated butter, when manufactured or sold or removed for consumption or use, there shall be assessed and collected a tax of ten cents per pound, to be paid by the manufacturer thereof, and any fractional part of a pound shall be taxed as a pound, and that upon process or renovated butter, when manufactured or sold or removed for consumption or use, there shall be assessed and collected a tax of one-fourth of one cent per pound, to be paid by the manufacturer thereof, and any fractional part of a pound shall be taxed as a pound. The tax to be levied by this section shall be represented by coupon stamps, and the provisions of existing laws governing engraving, issuing, sale, accountability, effacement, and destruction of stamps relating to tobacco and snuff, as far as applicable, are hereby made to apply to the stamps provided by this section.

That the provisions of Sections 9, 10, 11, 12, 13, 14, 15, 16, 17, 18, 19, 20, and 21 of “An Act defining butter, also imposing a tax upon and regulating the manufacture, sale. importation, and exportation of oleomargarine," approved August 2, 1886, shall apply to manufacturers of "adulterated butter" to an extent necessary to enforce the marking, branding, identification, and regulation of the exportation and importation of adulterated butter.

Oleomargarine Regulations made Applicable to Adulterated Butter.

The provisions made in the foregoing regulations for the issuing, affixing, and canceling tax-paid stamps for oleomargarine, and for the inspection, sampling, exportation, or importation of that article, are hereby extended and made to apply to adulterated butter taxable under said Act of May 9, 1902.

Tax Paid Stamps.

Appropriate tax-paid stamps to be affixed to packages containing adulterated butter (subject to a tax of ten cents per pound) and for packages containing process or renovated butter (subject to tax at the rate of one-fourth of one cent per pound) will be furnished to collectors on requisition. While the Act does not prescribe the size of packages in which process or renovated butter shall be packed, it provides that any fractional part of a pound shall be taxed as a pound. Coupon stamps for such packages will be provided in denominations of ten, twenty, forty, fifty, sixty, and one hundred pounds, each stamp having nine coupons attached.

Export Stamps.

Export stamps for adulterated butter are printed in book form, each book containing four hundred stamps, and are issued to collectors on requisition. These stamps are similar to the oleomargarine export stamps and must be filled out, affixed and canceled in like manner.

Collectors' Returns.

Each collector in whose district adulterated butter or process or renovated butter is manufactured will render monthly an account (in the case of adulterated butter) on Form 504, and (in case of process or renovated butter) on Form 515, which account, in each case, will be prepared and forwarded to the Commissioner of Internal Revenue, as in the case of monthly oleomargarine account, Forms 516 and 517.

Wholesale dealers in process or renovated butter will not be required to keep books or render any returns in relation thereto until further advised. As the law does not define a wholesale dealer in process or renovated butter, nor impose a special tax on such business, it is possible it will not be necessary for them to keep any books or render returns. JOHN G. CAPERS,

Commissioner of Internal Revenue.

Approved:

J. B. REYNOLDS,

Acting Secretary of the Treasury.

PURE FOOD-57.

APPENDIX L.

REGULATIONS CONCERNING RENOVATED BUTTER UNDER INTERNAL REVENUE ACT

APPROVED MAY 9, 1902.

REVISED JULY, 1907.

Note. All changes since July, 1907, have been inserted by the author in brackets.

RENOVATED BUTTER (OR "PROCESS BUTTER”).

Section 4.

Adulterated Butter Defined.

Extracts from Act of May 9, 1902:

*

That for the purpose of this Act "butter" is hereby defined to mean an article of food as defined in "An Act defining butter, also imposing a tax upon and regulating the manufacture, sale, importation, and exportation of oleomargarine," approved August 2, 1886; that "adulterated butter" is hereby defined to mean a grade of butter produced by mixing, reworking, rechurn. ing in milk or cream, refining, or in any way producing a uniform, purified, or improved product from different lots or parcels of melted or unmelted butter or butter fat, in which any acid, alkali, chemical, or any substance whatever is introduced or used for the purpose or with the effect of deodorizing or removing therefrom rancidity, or any butter or butter fat with which there is mixed any substance foreign to butter as herein defined, with intent or effect of cheapening in cost the product or any butter in the manufacture or manipulation of which any process or material is used with intent or effect of causing the absorption of abnormal quantities of water, milk, or cream; that "process butter" or "renovated butter" is hereby defined to mean butter which has been subjected to any process by which it is melted, clarified, or refined and made to resemble genuine butter, always excepting "adulterated butter" as defined by this Act.

Special Taxes.

That special taxes are imposed as follows:

Manufacturers of process or renovated butter shall pay fifty dollars per year and manufacturers of adulterated butter shall pay six hundred dollars per year. Every person who engages in the production of process or renovated butter or adulterated butter as a business shall be considered to be a manufacturer thereof.

Penalty for Selling Adulterated Butter.

Every person who sells adulterated butter shall be regarded as a dealer in adulterated butter. And Sections 3232, 3233, 3234, 3235, 3236, 3237, 3238, 3239, 3240, 3241, 3243 of the Revised Statutes of the United States are, so far as applicable, made to extend to and include and apply to the special taxes imposed by this section and to the person upon whom they are imposed.

Manufacturer-Penalty.

That every person who carries on the business of a manufacturer of process or renovated butter or adulterated butter without having paid the special tax therefor, as required by law, shall, besides being liable to the payment of the tax, be fined not less than one thousand and not more than five thousand dollars; and every person who carries on the business of a dealer in adulterated butter, without having paid the special tax therefor, as required by law, shall, besides being liable to the payment of the tax, be fined not less than fifty nor more than five hundred dollars for each offense.

Filing Notice with Collector of Internal Revenue-Bond.

That every manufacturer of process or renovated butter or adulterated butter shall file with the collector of internal revenue of the district in which his manufactory is located such notices, inventories, and bonds, shall keep such books and render such returns of material and products, shall put up such signs and affix such number of his factory, and conduct his business under such surveillance of officers and agents as the Commissioner of Internal Revenue, with the approval of the Secretary of the Treasury, may by regulation require. But the bond required of such manufacturer shall be with sureties satisfactory to the collector of internal revenue, and in a penal sum of not less than five hundred dollars and the sum of said bond may be increased from time to time and additional sureties required at the discretion of the collector or under instructions of the Commissioner of Internal Revenue.

that upon process or renovated butter, when manufactured or sold or removed for consumption or use, there shall be assessed and collected a tax of one-fourth of one cent per pound, to be paid by the manufacturer thereof, and any fractional part of a pound shall be taxed as a pound. The tax to be levied by this section shall be represented by coupon stamps, and the provisions of existing laws governing engraving, issuing, sale, accountability,

effacement, and destruction of stamps relating to tobacco and snuff, as far as applicable, are hereby made to apply to stamps provided by this section.

Section 5. Inspection-Marking-Regulations-Penalty.

All parts of an Act providing for an inspection of meats for exportation, approved August 30, 1890, and of an Act to provide for the inspection of live cattle, hogs, and the carcasses and products thereof which are the subjects of interstate commerce, approved March 3, 1891, and of amendment thereto approved March 2, 1895, which are applicable to the subjects and purposes described in this section shall apply to process or renovated butter. And the Secretary of Agriculture is hereby authorized and required to cause a rigid sanitary inspection to be made, at such times as he may deem proper or necessary, of all factories and storehouses where process or renovated butter is manufactured, packed, or prepared for market, and of the products thereof and materials going into the manufacture of the same. All process or renovated butter and the packages containing the same shall be marked with the words "Renovated Butter" or "Process Butter" and by such other marks, labels, or brands and in such manner as may be prescribed by the Secretary of Agriculture, and no process or renovated butter shall be shipped or transported from its place of manufacture into any other State or Territory or the District of Columbia, or to any foreign country, until it has been marked as provided in this section. The Secretary of Agriculture shall make all needful regulations for carrying this section into effect, and shall cause to be ascertained and reported from time to time the quantity and quality of process or renovated butter manufactured, and the character and the condition of the material from which it is made. And he shall also have power to ascer tain whether or not materials used in the manufacture of said process or renovated butter are deleterious to health or unwholesome in the finished product, and in case such deleterious or unwholesome materials are found to be used in product intended for exportation or shipment into other States or in course of exportation or shipment he shall have power to confiscate the same. Any person, firm, or corporation violating any of the provisions of this section shall be deemed guilty of a misdemeanor and on conviction thereof shall be punished by a fine of not less than fifty dollars nor more than five hundred dollars or by impris onment not less than one month nor more than six months, or by both said punishments, in the discretion of the court.