wages, hours, or other conditions of the work offered are substantially less favorable to the individual than those prevailing for similar work in the locality; (C) if as a condition of being employed the individual would be required to join a company union or to resign from or refrain from joining any bona fide labor organization;

(6) All the rights, privileges, or immunities conferred by such law or by acts done pursuant thereto shall exist subject to the power of the legislature to amend or repeal such law at any time. (b) NOTIFICATION.-The Board shall, upon approving such law, notify the Governor of the State of its approval.

(c) CERTIFICATION.-On December 31 of each taxable year the Board shall certify to the Secretary each State whose law it has previously approved, except that it shall not certify any State which, after reasonable notice and opportunity for hearing to the State agency, the Board finds has changed its law so that it no longer contains the provisions specified in subsection (a) or has with respect to such taxable year failed to comply substantially with any such provision. (d) NOTICE OF NON-CERTIFICATION.-If, at any time during the taxable year, the Board has reason to believe that a State whose law it has previously approved, may not be certified under subsection (c), it shall promptly so notify the Governor of such State.

SEC. 1604. RETURNS.

(a) REQUIREMENT.-Not later than January 31, next following the close of the taxable year, each employer shall make a return of the tax under this subchapter for such taxable year. Each such return shall be made under oath, shall be filed with the collector for the district in which is located the principal place of business of the employer, or, if he has no principal place of business in the United States, then with the collector at Baltimore, Maryland, and shall contain such information and be made in such manner as the Commissioner, with the approval of the Secretary, may by regulations prescribe.

(b) EXTENSION OF TIME FOR FILING.-The Commissioner may extend the time for filing the return of the tax imposed by this subchapter, under such rules and regulations as he may prescribe with the approval of the Secretary, but no such extension shall be for more than sixty days.

(c) PUBLICITY.-Returns filed under this subchapter shall be open to inspection in the same manner, to the same extent, and subject to the same provisions of law, including penalties, as returns made under chapter 1, except that paragraph (2) of subsections (a), (b) and (f) of section 55 shall not apply.

SEC. 1605. PAYMENT OF TAXES.

(a) ADMINISTRATION.-The tax imposed by this subchapter shall be collected by the Bureau of Internal Revenue under the direction of the Secretary and shall be paid into the Treasury as internal-revenue collections.

(b) ADDITION TO TAX IN CASE OF DELINQUENCY.-If the tax is not paid when due, there shall be added as part of the tax interest at the rate of 6 per centum per annum from the date the tax became due until paid.

(c) INSTALLMENT PAYMENTS.-The taxpayer may elect to pay the tax in four equal installments instead of in a single payment, in which case the first installment shall be paid not later than the last day prescribed for the filing of returns, the second installment shall be paid on or before the last day of the third month, the third installment on or before the last day of the sixth month, and the fourth installment on or before the last day of the ninth month, after such last day. If the tax or any installment thereof is not paid on or before the last day of the period fixed for its payment, the whole

amount of the tax unpaid shall be paid upon notice and demand from the collector.

(d) EXTENSION OF TIME FOR PAYMENT.-At the request of the taxpayer the time for payment of the tax or any installment thereof may be extended under regulations prescribed by the Commissioner with the approval of the Secretary, for a period not to exceed six months from the last day of the period prescribed for the payment of the tax or any installment thereof. The amount of the tax in respect of which any extension is granted shall be paid (with interest at the rate of one-half of 1 per centum per month) on or before the date of the expiration of the period of the extension.

(e) FRACTIONAL PARTS OF A CENT.-In the payment of any tax under this subchapter a fractional part of a cent shall be disregarded unless it amounts to one-half cent or more, in which case it shall be increased to 1 cent.

SEC. 1606. INTERSTATE COMMERCE.

No person required under a State law to make payments to an unemployment fund shall be relieved from compliance therewith on the ground that he is engaged in interstate commerce, or that the State law does not distinguish between employees engaged in interstate commerce and those engaged in intrastate commerce.

SEC. 1607. DEFINITIONS.

When used in this subchapter

(a) EMPLOYER.-The term "employer" does not include any person unless on each of some twenty days during the taxable year, each day being in a different calendar week, the total number of individuals who were in his employ for some portion of the day (whether or not at the same moment of time) was eight or more.

(b) WAGES.-The term "wages" means all remuneration for employment, including the cash value of all remuneration paid in any medium other than cash.

(c) EMPLOYMENT.-The term "employment" means any service, of whatever nature, performed within the United States by an employee for his employer, except—

(1) Agricultural labor;

(2) Domestic service in a private home;

(3) Service performed as an officer or member of the crew of a vessel on the navigable waters of the United States;

(4) Service performed by an individual in the employ of his son, daughter, or spouse, and service performed by a child under the age of twenty-one in the employ of his father or mother;

(5) Service performed in the employ of the United States Government or of an instrumentality of the United States;

(6) Service performed in the employ of a State, a political subdivision thereof, or an instrumentality of one or more States or political subdivisions;

(7) Service performed in the employ of a corporation, community chest, fund, or foundation, organized and operated exclusively for religious, charitable, scientific, literary, or educational purposes, or for the prevention of cruelty to children or animals, no part of the net earnings of which inures to the benefit of any private shareholder or individual.

(d) STATE AGENCY.-The term "State agency" means any State officer, board, or other authority, designated under a State law to administer the unemployment fund in such State.

(e) UNEMPLOYMENT FUND.-The term "unemployment fund" means a special fund, established under a State law and administered by a State agency, for the payment of compensation.

(f) CONTRIBUTIONS.-The term "contributions" means payments required by a State law to be made by an employer into an unem

ployment fund, to the extent that such payments are made by him without any part thereof being deducted or deductible from the wages of individuals in his employ.

(g) COMPENSATION.-The term "compensation" means cash benefits payable to individuals with respect to their unemployment.

(h) EMPLOYEE.-The term "employee" includes an officer of a corporation.

(i) STATE.-The term "State" includes Alaska, Hawaii, and the District of Columbia.

(j) PERSON.-The term "person" means an individual, a trust or estate, a partnership, or a corporation.

SEC. 1608. DEDUCTIONS AS CONSTRUCTIVE PAYMENTS.

Whenever under this subchapter or any Act of Congress, or under the law of any State, an employer is required or permitted to deduct any amount from the remuneration of an employee and to pay the amount deducted to the United States, a State, or any political subdivision thereof, then for the purposes of this subchapter the amount so deducted shall be considered to have been paid to the employee at the time of such deduction.

SEC. 1609. RULES AND REGULATIONS.

The Secretary and the Social Security Board, respectively, shall make and publish such rules and regulations, not inconsistent with this subchapter, as may be necessary to the efficient administration of the functions with which each is charged under this subchapter. The Commissioner, with the approval of the Secretary, shall make and publish rules and regulations for the enforcement of this subchapter, except sections 1602 and 1603.

SEC. 1610. OTHER LAWS APPLICABLE.

All provisions of law (including penalties) applicable in respect of the taxes imposed by section 2700, shall, insofar as not inconsistent with this subchapter, be applicable in respect of the tax imposed by this subchapter.

Sec. 1719. Discretionary method allowed Commissioner for collecting tax.
Ses. 1720. Records, statements, and returns.

Sec. 1721. Rules and regulations.

Sec. 1722. Other laws applicable.

Sec. 1723. Effective date of chapter.

Sec. 1724. Cross references.

CHAPTER 10-ADMISSIONS AND DUES

SEC. 1700. TAX.

SUBCHAPTER A—ADMISSIONS

There shall be levied, assessed, collected, and paid(a) SINGLE OR SEASON TICKET; SUBSCRIPTION.

(1) RATE.-A tax of 1 cent for each 10 cents or fraction thereof of the amount paid for admission to any place, including admission by season ticket or subscription; except that in case the amount paid for admission, until July 1, 1939, is less than 41 cents, and thereafter is $3 or less, no tax shall be imposed. In the case of persons (except bona fide employees, municipal officers on official business, and children under 12 years of age) admitted free or at reduced rates to any place at a time when and under circumstances under which an admission charge is made to other persons, an equivalent tax shall be collected based on the price so charged to such other persons for the same or similar accommodations, to be paid by the person so admitted, except that no tax shall be imposed in the case of persons admitted free to any spoken play (not a mechanical reproduction), whether or not set to music or with musical parts or accompaniments, which is a consecutive narrative interpreted by a single set of characters, all necessary to the development of the plot, in two or more acts, the performance consuming more than 1 hour and 45 minutes of time, and except that in the case of tickets or cards of admission to any such spoken play sold at the ticket office of theaters at reduced rates the tax shall be based upon the price for which sold. Amounts paid for admission by season ticket or subscription shall be exempt only if the amount

which would be charged to the holder or subscriber for a single admission is less than 41 cents, until July 1, 1939, and thereafter $3 or less.

(2) BY WHOM PAID.-The tax imposed under paragraph (1) shall be paid by the person paying for such admission.

(b) PERMANENT USE OR LEASE OF BOXES OR SEATS.

(1) RATE.-In the case of persons having the permanent use of boxes or seats in an opera house or any place of amusement or a lease for the use of such box or seat in such opera house or place of amusement (in lieu of the tax imposed under paragraph (1) of subsection (a)), a tax equivalent to 10 per centum of the amount for which a similar box or seat is sold for each performance or exhibition at which the box or seat is used or reserved by or for the lessee or holder.

(2) BY WHOM PAID.-The tax imposed under paragraph (1) shall be paid by the lessee or holder.

(c) SALES OUTSIDE BOX OFFICE.

(1) RATE.-Upon tickets or cards of admission to theaters, operas, and other places of amusement, sold at news stands, hotels, and places other than the ticket offices of such theaters, operas, or other places of amusement, at a price in excess of the sum of the established price therefor at such ticket offices plus the amount of any tax imposed under paragraph (1) of subsection (a), a tax equivalent to 10 per centum of the amount of such excess.

(2) BY WHOM PAID.-The taxes imposed under paragraph (1) shall be returned and paid by the person selling such tickets.

(3) How PAID.-The taxes imposed under paragraph (1) shall be returned and paid in the manner and subject to the interest provided in sections 1715, 1716, and 1717.

(d) SALES BY PROPRIETORS IN EXCESS OF REGULAR PRICE.

(1) RATE-A tax equivalent to 50 per centum of the amount for which the proprietors, managers, or employees of any opera house, theater, or other place of amusement sell or dispose of tickets or cards of admission in excess of the regular or established price or charge therefor.

(2) BY WHOM PAID.-The tax imposed under paragraph (1) shall be returned and paid by the persons selling such tickets.

(3) HOW PAID.-The tax imposed under paragraph (1) shall be returned and paid in the manner and subject to the interest provided in sections 1715, 1716, and 1717.

(e) SALES WHERE PRICE INCLUDES REFRESHMENTS, SERVICE, OR MER

CHANDISE.

(1) RATE.-A tax of 12 cents for each 10 cents or fraction thereof of the amount paid for admission to any public performance for profit at any roof garden, cabaret, or other similar entertainment, to which the charge for admission is wholly or in part included in the price paid for refreshment, service, or merchandise; the amount paid for such admission to be deemed to be 20 per centum of the amount paid for refreshment, service, and merchandise. Where the amount paid for admission is 50 cents or less, no tax shall be imposed.

(2) BY WHOM PAID.-The tax imposed under paragraph (1) shall be paid by the person paying for such refreshment, service, or merchandise.

(f) CROSS REFERENCE.

For provisions requiring the tax so collected to be held as a special fund in trust for the United States, see section 3661.

SEC. 1701. EXEMPTIONS FROM TAX.

No tax shall be levied under this subchapter in respect of(a) RELIGIOUS, EDUCATIONAL, OR CHARITABLE ENTERTAINMENTS.— Except in the case of admissions to any athletic game or exhibition