(f) TRANSPORTATION OUTSIDE THE NORTHERN PORTION OF THE WESTERN HEMISPHERE. In applying this part to transportation any part of which is outside the northern portion of the Western Hemisphere (1) If the route of such transportation leaves and reenters the northern portion of the Western Hemisphere, such transportation shall be considered to consist of transportation to a point outside. such northern portion, and of separate transportation thereafter. (2) If such transportation is transportation by water on a vessel which makes one or more intermediate stops at ports within the United States on a voyage which begins or ends in the United States and ends or begins outside the northern portion of the Western Hemisphere, a stop at an intermediate port within the United States at which such vessel is not authorized both to discharge and to take on passengers shall not be considered to be a stop at a port within the United States. For purposes of this subsection, the term "northern portion of the Western Hemisphere" means the area lying west of the 30th meridian west of Greenwich, east of the International Date Line, and north of the equator, but not including any country of South America. Subchapter D-Safe Deposit Boxes Sec. 4286. Imposition of tax. Sec. 4287. Definition of safe deposit box. SEC. 4286. IMPOSITION OF TAX. There is hereby imposed a tax equivalent to 10 percent of the amount collected for the use of any safe deposit box. Such tax shall be paid by the person paying for the use of the safe deposit box. SEC. 4287. DEFINITION OF SAFE DEPOSIT BOX. For the purposes of section 4286, any vault, safe, box, or other receptacle, of not more than 40 cubic feet capacity, used for the safekeeping or storage of jewelry, plate, money, specie, bullion, stocks, bonds, securities, valuable papers of any kind, or other valuable personal property, shall be regarded as a safe deposit box. Subchapter E-Special Provisions Applicable to Services and Facilities Taxes Sec. 4291. Cases where persons receiving payment must collect tax. Sec. 4293. Exemption for United States and possessions. SEC. 4291. CASES WHERE PERSONS RECEIVING PAYMENT MUST Except as otherwise provided in sections 4231 and 4264 (a), every person receiving any payment for facilities or services on which a tax is imposed upon the payor thereof under this chapter shall collect the amount of the tax from the person making such payment. For the purpose of this section every club or organization having life members shall collect the tax imposed on life memberships by section 4241. SEC. 4292. STATE AND LOCAL GOVERNMENTAL EXEMPTION. Under regulations prescribed by the Secretary or his delegate, no tax shall be imposed under section 4251 or 4261 upon any payment received for services or facilities furnished to the Government of any State, Territory of the United States, or any political subdivision of the foregoing or the District of Columbia. SEC. 4293. EXEMPTION FOR UNITED STATES AND POSSESSIONS. The Secretary may authorize exemption from the taxes imposed by chapters 31 and 32 and subchapters B and C of chapter 33, as to any particular article, or service or class of articles or services, to be purchased for the exclusive use of the United States, if he determines that the imposition of such taxes with respect to such articles or services, or class of articles or services will cause substantial burden or expense which can be avoided by granting tax exemption and that full benefit of such exemption, if granted, will accrue to the United States. SEC. 4294. EXEMPTION FOR NONPROFIT EDUCATIONAL ORGANIZATIONS. (a) EXEMPTION.-Under regulations prescribed by the Secretary or his delegate, no tax shall be imposed under section 4251 or 4261 on any amount paid by a nonprofit educational organization for services or facilities furnished to such organization. (b) DEFINITION. For purposes of subsection (a), the term "nonprofit educational organization" means an educational organization described in section 503 (b) (2) which is exempt from income tax under section 501 (a). The term also includes a school operated as an activity of an organization described in section 501 (c) (3) which is exempt from income tax under section 501 (a), if such school normally maintains a regular faculty and curriculum and normally has a regularly enrolled body of pupils or students in attendance at the place where its educational activities are regularly carried on. SEC. 4295. CROSS REFERENCE TO GENERAL ADMINISTRATIVE PRO VISIONS. See Subtitle F for administrative provisions of general application to the taxes imposed under this chapter. CHAPTER 34-DOCUMENTARY STAMP TAXES SUBCHAPTER A. Issuance of capital stock and certificates of indebtedness by a corporation. SUBCHAPTER B. Sales or transfers of capital stock and certificates of indebtedness of a corporation. SUBCHAPTER C. Conveyances. SUBCHAPTER D. Policies issued by foreign insurers. SUBCHAPTER E. Miscellaneous provisions applicable to documentary stamp taxes. Subchapter A-Issuance of Capital Stock and Certificates of Indebtedness by a Corporation Part I. Issuance of capital stock and similar interests. Part II. Issuance of certificates of indebtedness. PART I-ISSUANCE OF CAPITAL STOCK AND SIMILAR INTERESTS Sec. 4301. Imposition of tax. Sec. 4302. Recapitalization. Sec. 4304. Affixing of stamps. SEC. 4301. IMPOSITION OF TAX. There is hereby imposed, on each original issue of shares or certificates of stock issued by a corporation (whether on organization or reorganization), a tax at the rate of 10 cents on each $100 (or major fraction thereof) of the actual value of the certificates (or of the shares where no certificates are issued); except that such rate shall be 4 cents instead of 10 cents in the case of shares or certificates issued by a corporation to which subchapter M of chapter 1 applies for the taxable year during which such share or certificate is issued. The tax imposed by this section shall be computed on the basis of all certificates (or shares) so issued by the corporation on each day. SEC. 4302. RECAPITALIZATION. In the case of a recapitalization, the tax imposed by section 4391 shall be that proportion of the tax computed on the certificates (or on the shares where no certificates are issued) issued in the recapitalization that (1) the amount dedicated as capital for the first time by the recapitalization, whether by a transfer of earned surplus or otherwise, bears to (2) the total actual value of such certificates or shares issued in the recapitalization. SEC. 4303. EXEMPTIONS. (a) COMMON TRUST FUNDS.-The tax imposed by section 4301 shall not apply to the issue of shares or certificates of a common trust fund, as defined in section 584. (b) POOLED INVESTMENT FUNDS.-The tax imposed by section 4301 shall not apply to the issue of shares or certificates of a fund maintained by a bank exclusively for the collective investment and reinvestment of assets of qualified trusts (within the meaning of section 401, relating to qualified pension, profit-sharing, and stock bonus plans). (c) INSTALLMENT PURCHASES OF CERTAIN SHARES OR CERTIFICATES. The tax imposed by section 4301 shall not apply to shares or certificates issued by a corporation pursuant to an installment purchase agreement which provides that- (1) the periodic payments by the purchaser will be applied (as received by the corporation) solely to the acquisition of shares or certificates in specified other corporations (and in specified percentages), and (2) the corporation will transfer to the purchaser, on or before the termination of the agreement, all shares or certificates in other corporations acquired by it for the purchaser. For purposes of the preceding sentence, the term "purchaser" includes a successor in interest of the purchaser. (d) OTHER EXEMPTIONS. For other exemptions, see section 4382. SEC. 4304. AFFIXING OF STAMPS. The stamps representing the tax imposed by section 4301 shall be affixed to the stock books or corresponding records of the organization and not to the certificates issued. SEC. 4305. CROSS REFERENCES. For definitions, penalties, and other general and administrative provisions applicable to this part, see sections 4381 and 4384 and subtitle F. PART II-ISSUANCE OF CERTIFICATES OF INDEBTEDNESS Sec. 4311. Imposition of tax. Sec. 4312. Renewals. Sec. 4313. Bond as security for debt. Sec. 4314. Exemptions. Sec. 4315. Cross references. SEC. 4311. IMPOSITION Of tax. There is hereby imposed, on all certificates of indebtedness issued by a corporation, a tax at the rate of 11 cents on each $100 of face value or fraction thereof. SEC. 4312. RENEWALS. Every renewal of any certificate of indebtedness shall be taxed as a new issue. SEC. 4313. BOND AS SECURITY FOR DEBT. In the case where a bond conditioned for the repayment or payment. of money is given in a penal sum greater than the debt secured, the tax imposed by section 4311 shall be based upon the amount secured. |