FIRE APPARATUS IS FREE FROM MANUFACTURERS’ EXCISE TAX

FIRE APPARATUS IS FREE FROM MANUFACTURERS’ EXCISE TAX

Clause Imposing This Tax Eliminated from Article 12 of Regulations Governing Commercial Taxation

IN a communication to EIRE ENGINEERING, in reply to a request for information on the subject, D. H. Blair, Commissioner of Internal Revenue, United States Treasury Department, writes that, by the elimination of the reference to fire apparatus in Article 12 of Regulations 47, as amended by the Treasury Department’s decision, manufacturers are relieved from the payment of the tax imposed by the Revenue Act of 1924. Mr. Blair writes:

“You are advised that Article 12 of Regulations 47, as amended by Treasury Decision 3782, reads as follows:

” ‘Tank trucks for carrying oil. gasoline, water, etc., moving and furniture vans, and drays, delivery wagons, automobile hearses etc., are all classified as automobile trucks and automobile wagons. Chassis and bodies designed for use in the production of such vehicles are taxable under subdivision (1), if sold for prices in excess of those specified therein.’

“The elimination from Article 12 of ‘fire apparatus, including fire engines, hose carts, hook and ladder trucks, water tower trucks, etc., means that such articles are now held to be exempt from the manufacturer’s excise tax imposed by section 600, Revenue Act of 1924. and corresponding sections of prior Acts.”

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