Amendments to Regulations No. 3

December 31, 1921 DOF REGULATIONS NO. 024-21 1 SUBJECT : Amendments to Regulations No. 3 TO : All Internal Revenue Officers and Others Concerned SECTION 1. Section 12 of Regulations No. 3 is hereby amended to read as follows: SEC. 12. (a) Authority of the Collector of Internal Revenue to prescribe official labels, and the manner of affixing thereof to packages or containers of distilled spirits and wines. The Collector of Internal Revenue is hereby empowered to prescribe from time to time the kind of labels or marks which packages or containers of distilled spirits or wines shall bear upon their removal from a distillery or a distillery warehouse; the manner of labelling or marking; and the substance with which the affixture of the marks or labels shall be made. No package or container of distilled spirits or wines shall be removed from a distillery or a distillery warehouse unless marked or labeled in the manner prescribed by the Collector of Internal Revenue. (b) Data to be shown on labels. The official labels must show the following data, printed, stamped, or written thereon with ink: schedule, paragraph, and assessment number of the receipt on which the tax was paid; serial number of packages or container; quantity of contents in gauge liters; percentage of proof. These labels must also be signed by the gauger and dated. (c) Official labels to be destroyed when container is emptied. When a container or package of domestic alcoholic liquors and wines, is emptied, the official label bearing the data required by these regulations, shall immediately and completely be destroyed by the person emptying the container. The foregoing applies to all dealers, wholesale and retail, and to consumers. The owners of distilleries and rectifying establishments are prohibited from receiving empty containers the labels of which have not been completely destroyed and the finding by an internal revenue officer of any such empty container upon the distillery premises bearing any label showing tax-receipt number, serial number, or alcoholic strength in any manner will render the owner of such distillery liable to penalty under the Internal Revenue Law. ETHCDS SECTION 2. Section 14 (c) of Regulations No. 3 is amended by striking out the second and third paragraphs therein. SECTION 3. Section 22 of Regulations No. 3 is hereby amended to read as follows: SEC. 22. Losses and overages. No tax will be refunded on taxpaid distilled spirits lost or destroyed by accident after their removal from the distillery wherein produced, nor will the collection of the tax be waived on bonded spirits similarly lost or destroyed. The internal revenue tax attaches to distilled spirits as soon as they come into existence as such, and any loss which occurs before removal of same must be accounted for in the official register book of the distillery. Losses in rectification of crude spirits and losses in compounding liquor will be ascertained by the gauger, verified by the internal revenue agent, and credited on the auxiliary register books as they occur. A loss not exceeding 7 per cent in rectification and 2 per cent in compounding may be allowed by the Collector of Internal Revenue when such loss is not caused by fraud, negligence or carelessness of the distillers or owners of the rectifying establishments. Other losses exceeding 1 per cent of the total stock handled since the last stock taking will also be subject to disallowance. SECTION 4. Effective Date. These regulations shall become effective upon promulgation in the Official Gazette. Manila, December 31, 1921. ALBERTO BARRETTO Secretary of Finance Footnotes 1. Promulgated February 14, 1922, XX Off. Gaz., 19, page 364.