30 June 1864.

When attachment to issue

against persons in default.

Assessors to make returns

summons, or to give testimony, or to answer interrogatories as required, (a) it shall be lawful for the assessor to apply to the judge of the district court, or to a commissioner of the circuit court of the United States, for the district within which the person so summoned resides, for an attachment against such person, as for a contempt. It shall be the duty of such judge or commissioner to hear such application, and if satisfactory proof be made, to issue an attachment, directed to some proper officer, for the arrest of such person, and upon his being brought before him to proceed to a hearing of the case; and upon such hearing, the judge or commissioner shall have power to make such order as he shall deem proper, not inconsistent with the provisions of existing laws for the punishment of contempts, to enforce obedience to the requirements of the summons, and punish such person for his default or disobedience. It shall be the duty of the and assess duties. assessor or assistant assessor of the district within which such person shall have taxable property to enter into and upon the premises, if it be necessary, of such person so refusing or neglecting, or rendering a false or fraudulent list or return, and to make, according to the best information which he can obtain, including that derived from the evidence elicited by the examination of the assessor, and on his own view and information, such list or return, according to the form prescribed, of the property, goods, wares and merchandise, and all articles or objects liable to tax, owned or possessed or under the care or management of such person, and assess the tax thereon, including the amount, if any, due for special or income tax; and in case of the return of a false or fraudulent list or valuation, he shall add one hundred per centum to such tax; (b) and in case of a refusal or neglect, except in cases of sickness or absence, to make a list or return, or to verify the same as aforesaid, he shall add fifty per centum to such tax; and in case of neglect occasioned by sickness or absence as aforesaid, the assessor may allow such further time for making and delivering such list or return as he may judge necessary, not exceeding thirty days; and the amount so added to the tax shall, in all cases, be collected by the collector, at the same time and in the same manner as the tax; and the list or return so made and subscribed by such assessor or assistant assessor shall be taken and reputed as good and sufficient for all legal purposes. (c)

Penalty to be added.

When further time may be allowed.

Ibid. 15.

34. If any person (d) shall deliver or disclose to any assessor or assistant assessor Penalty for mak- appointed in pursuance of law any false or fraudulent list, return, account or statement,

ing fraudulent

returns.

Or refusing to produce books,

&c.

Ibid. 16.

with intent to defeat or evade the valuation, enumeration or assessment intended to be made, or if any person who being duly summoned to appear to testify, or to appear and produce such books as aforesaid, shall neglect to appear or to produce said books, he shall, upon conviction thereof before any circuit or district court of the United States, be fined in any sum not exceeding one thousand dollars, (e) or be imprisoned for not exceeding one year, or both, at the discretion of the court, with costs of prosecution.(g) 35. Whenever there shall be, in any assessment district, any property, goods, wares How property of and merchandise, articles or objects, not owned or possessed by or under the care or management of any person within such district, and liable to be taxed as aforesaid, and no list of which shall have been transmitted to the assistant assessor in the manner provided by this act, it shall be the duty of the assistant assessor for such district to enter into and upon the premises where such property is situated, and take such view thereof as may be necessary, and to make lists of the same, according to the form prescribed, which lists, being subscribed by the said assessor, shall be taken and reputed as good and sufficient lists of such property, goods, wares and merchandise, articles or objects as aforesaid, for all legal purposes.

non-residents to be assessed.

Ibid. 17.

Non-resident owners may

make returns of their taxable property.

Proceedings thereon.

36. Any owner or person having the care or management of property, goods, wares and merchandise, articles or objects, not lying or being within the assessment district in which he resides, shall be permitted to make out and deliver the lists thereof required by this act (provided the assessment district in which the said objects of duty or taxation are situated is therein distinctly stated) at the time and in the manner prescribed to the assistant assessor of the assessment district wherein such person resides. And it shall be the duty of the assistant assessor who receives any such list, to transmit the same to the assistant assessor where such objects of taxation are situate, who shall examine such list, and if he approves the same, he shall return it to the assistant assessor from whom he received it, with his approval thereof; and if he fails to approve the same, he shall make such alterations therein and additions thereto as he may deem to be just and proper, and shall then return the said list to the assistant assessor from whom it was received; who shall proceed, in making the assessment of the tax upon

(a) The party is excused from answering questions, or exhibiting entries in his books, which he truly thinks will criminate himself. Ex parte Lippman, 9 Int. R. Rec. 1.

(b) He can ad the penal duty, before the lists have been returned to the collector, but not afterwards. 11 Opin. 280. (c) So amended by act 13 July 1866. 14 Stat. 101. (The members of a firm may be jointly indicted for making

a fraudulent monthly return of tobacco manufactured, though sworn to by one of them only. United States v. Mountjoy, 3 Int. R. Rec. 83, 159.

(e) See 11 Opin. 62.

(g) Since the passage of the act 31 March 1868, 15 Stat. 58, no indictment can be sustained under this section. United States v. Finlay, 26 Leg. Int. 92. s. c. 16 Pitts. L. J. 254.

the list by him so received, in all respects as if the said list had been made out by 30 June 1864. himself.

Ibid. 18.

37. The lists aforesaid shall, where not otherwise specially provided for, be taken with reference to the day fixed for that purpose by this act, as aforesaid, and where General returns duties accrue at other and different times, the lists shall be taken with reference to the to be made out. time when said duties become due, and shall be denominated annual, monthly and special lists. And the assistant assessors respectively, after collecting the said lists, shall proceed to arrange the same, and to make two general lists-the first of which shall exhibit, in alphabetical order, the names of all persons, firms, companies or corporations liable to pay any duty, tax or license under this act, residing within the assessment district, together with the value and assessment or enumeration, as the case may require, of the objects liable to duty or taxation within such districts for which each such person is liable, or for which any firm, company or corporation is liable, with the amount of duty or tax payable thereon; and the second list shall exhibit, in alphabetical order, the names of all persons residing out of the collection district, who own property within the district, together with the value and assessment or enumeration thereof, as the case may be, with the amount of duty or tax payable thereon as aforesaid. The forms of the said general list shall be devised and prescribed by the assessor, Forms of general under the direction of the commissioner of internal revenue, and lists taken according to such forms shall be made out by the assistant assessors, and delivered to the assessor within thirty days after the day fixed by this act as aforesaid, requiring lists from individuals; or where duties, licenses or taxes accrue at other and different times, the lists shall be delivered from time to time as they become due.

returns.

where tax lists

38. The assessor for each collection district shall give notice by advertisement in one Ibid. 19. newspaper published in each county within said district, and if there be none pub- Assessors to give lished in the district, then in a newspaper published in a collection district adjoining public notice, thereto, and shall post notices in at least four public places within each assessment may be examined. district, and shall mail a copy of such notice to each postmaster in his district, to be posted in his office, stating the time and place within said collection district when and where appeals will be received and determined, relative to any erroneous or excessive valuations, assessments or enumerations by the assessor or assistant assessor returned in the annual list, and such notice shall be advertised and posted by the assessor, and mailed as aforesaid, at least ten days before the time appointed for hearing said appeals. Appeals. And it shall be the duty of the assessor for each collection district, at the time fixed for hearing such appeals as aforesaid, to submit the proceedings of the assessor and assistant assessor, and the annual lists taken and returned as aforesaid, to the inspection of any and all persons who may apply for that purpose. And such assessor is hereby authorized, at any time, to hear and determine in a summary way, according to law and right, upon any and all appeals which may be exhibited against the proceedings of the said assessor or assistant assessors; and the office or principal place of business of the said assessor shall be open during the business hours of each day, for the hearing of appeals by parties who shall appear voluntarily before him: Provided, That no appeal shall be allowed to any party after he shall have been duly assessed, and the annual list containing the assessment has been transmitted to the collector of the district. And all appeals to the assessor as aforesaid shall be made in writing, and shall specify To be in writing. the particular cause, matter or thing respecting which a decision is requested, and shall, moreover, state the ground or principle of error complained of. And the assessor Power of assessshall have power to re-examine and determine upon the assessments and valuations, ors, on appeal. and rectify the same as shall appear just and equitable; but such valuation, assessment or enumeration shall not be increased without a previous notice of at least five days to the party interested, to appear and object to the same if he judge proper, which notice shall be in writing, and left at the dwelling-house, office or place of business of the party, by such assessor, assistant assessor or other person, or sent by mail

to the nearest or usual post-office address of said party: Provided further, That on the Witnesses may be hearing of appeals, it shall be lawful for the assessor to require by summons the examined, &c. attendance of witnesses and the production of books of account, in the same manner and under the same penalties as are provided in cases of refusal or neglect to furnish lists or returns. (a) The costs for the attendance and mileage of said witnesses shall Payment of costs. be taxed by the assessor and paid by the delinquent parties, or by the disbursing agent for the district, on certificate of the assessor, at the rates allowed to witnesses in the district courts of the United States.

39. The assessor of each collection district shall, immediately after the expiration of the time for hearing appeals concerning taxes returned in the annual list, and from

Ibid. 20.

(a) After the list has gone to the collector, the power of the assessor to examine the party assessed is at an end. Ex parte Brown, 3 Int. R. Rec. 134.

30 June 1864.

time to time, as taxes become liable to be assessed, make out lists containing the sums Collection lists to payable according to law upon every subject of taxation for each collection district;

be made out. Form thereof.

of non-residents.

lector.

made thereto.

which list shall contain the name of each person residing within the said district, or owning or having the care or superintendence of property lying within the said district, or engaged in any business or pursuit which is liable to any tax, when such person or List of property persons are known, together with the sums payable by each; and where there is any property within any collection district liable to tax, not owned or occupied by or under the superintendence of any person resident therein, there shall be a separate list of such property, specifying the sum payable, and the names of the respective proprietors when known. And the assessor making out any such separate list shall transmit to the assessor of the district where the persons liable to pay such tax reside, or shall have their principal place of business, copies of the list of property held by persons so liable to pay such tax, to the end that the taxes assessed under the provisions of this act may be paid within the collection district where the persons liable to pay the same reside, or When lists to be may have their principal place of business. And in all other cases the said assessor furnished to col- shall furnish to the collectors of the several collection districts, respectively, within ten days after the time of hearing appeals concerning taxes returned in the annual list, and from time to time thereafter as required, a certified copy of such list or lists for their Additions may be proper collection districts. And in case it shall be ascertained that the annual list, or any other list, which may have been, or which shall hereafter be, delivered to any collector, is imperfect or incomplete, in consequence of the omission of the names of any persons or parties liable to tax, or in consequence of any omission, or understatement, or undervaluation, or false or fraudulent statement contained in any return or returns made by any persons or parties liable to tax, the said assessor may, from time to time, or at any time within fifteen months from the time of the passage of this act, or from the time of the delivery of the list to the collector as aforesaid, enter on any monthly or special list the names of such persons or parties so omitted, together with the amount of tax for which they may have been or shall become liable, and also the names of the persons or parties in respect to whose returns, as aforesaid, there has been or shall be any omission, undervaluation, understatement or false or fraudulent statement, together with the amounts for which such persons or parties may be liable, over and above the amount for which they may have been, or shall be assessed upon any return or returns made as aforesaid, and shall certify or return said list to the collector as required by law. And all provisions of law for the ascertainment of liability to any tax, or the assessment or collection thereof, shall be held to apply, as far as may be necessary, to the proceedings herein authorized and directed. And wherever the word "duty" is used in this act, or the acts to which this is an amendment, it shall be construed to mean tax," whenever such construction shall be necessary in order to effect the purposes of said acts.

2 March 1867 26. 14 Stat. 472.

Commissioner

may detail

assistant assessors for special duties.

30 June 1864 227. 13 Stat. 232.

40. It shall be lawful for the commissioner of internal revenue, whenever he shall deem it expedient, to designate one or more of the assistant assessors in any collection district, to make assessments in any part of such collection district, for all such taxes as may be due upon any specified objects of taxation; and in such cases it shall be the duty of the other assistant assessors of such collection district to report to the assistant assessor thus specially designated, all matters which may come to their knowledge relative to any assessments to be made by him: Provided, That whenever two or more districts or parts of districts are embraced within one county, it may be lawful for such assistant assessor or assessors to make assessment anywhere within such county, upon such specified objects of taxation as he may be by said commissioner required: Provided further, That such assessment shall be returned to the assessor of the district in which such taxes are payable.

V. COLLECTION OF INTERNAL TAXES.

41. Each collector, on receiving, from time to time, lists and returns from the said assessors, shall subscribe three receipts: one of which shall be made upon a full and correct copy of each list or return, and be delivered by him to, and shall remain with, the assessor of his collection district, and shall be open to the inspection of any person How disposed of. who may apply to inspect the same; and the other two shall be made upon aggregate

Collectors to give receipts for tax

lists.

statements of the lists or returns aforesaid, exhibiting the gross amount of taxes to be collected in his collection district, one of which aggregate statements and receipts shall be transmitted to the commissioner of internal revenue, and the other to the first comptroller of the treasury.

Ibid. 28. 42. Each of said collectors shall, within twenty days after receiving his annual colCollectors to give lection list from the assessors, give notice, by advertisement in one newspaper pubpublic notice. lished in each county in his collection district, if there be any, and if not, then in a

30 June 1861.

fault.

to be collected

Demand for du

ties not included

in annual lists.

tress and

distraint.

newspaper published in an adjoining county, and by notifications to be posted in at least four public places in each county in his collection district, that the said taxes have become due and payable, and state the time and place within said county at which he or his deputy will attend to receive the same, which time shall not be less than ten days after the date of such notification; and shall send a copy of such notice by mail to each postmaster in the county, to be posted in his office. And if any per- Personal notice son shall neglect to pay, as aforesaid, for more than ten days, it shall be the duty of to parties in dethe collector or his deputy to issue to such person a notice, to be left at his dwelling or usual place of business, or be sent by mail, demanding the payment of said taxes, stating the amount thereof, with a fee of twenty cents for the issuing and service of such notice, and with four cents for each mile actually and necessarily travelled in serving the same. And if such persons shall not pay the duties or taxes, and the fee Penalty and costs of twenty cents and mileage as aforesaid, within ten days after the service or the send- from defaulters. ing by mail of such notice, it shall be the duty of the collector or his deputy to collect the said taxes and fee of twenty cents and mileage, with a penalty of ten per centum additional upon the amount of taxes. (a) And with respect to all such taxes as are not included in the annual lists aforesaid, all taxes the collection of which is not other wise provided for in this act, it shall be the duty of each collector, in person or by deputy, to give notice and demand payment thereof, in the manner last mentioned, within ten days from and after receiving the list thereof from the assessor, or within twenty days from and after the expiration of the time within which such tax should have been paid; and if the annual or other taxes shall not be paid within ten days Payment to be from and after such notice and demand, it shall be lawful for such collector, or his enforced by disdeputies, to proceed to collect the said taxes, with ten per centum additional thereto, as aforesaid, by distraint and sale of the goods, chattels or effects, including stocks, securities and evidences of debt, of the persons delinquent as aforesaid. And in case Proceedings on of distraint, it shall be the duty of the officer charged with the collection to make, or cause to be made, an account of the goods or effects distrained, a copy of which, signed by the officer making such distraint, shall be left with the owner or possessor of such goods or effects, or at his or her dwelling or usual place of business, with some person of suitable age and discretion, if any such can be found, with a note of the sum demanded, and the time and place of sale; and the said officer shall forthwith cause a Notice. notification to be published in some newspaper within the county wherein said distraint is made, if there is a newspaper published in said county, or to be publicly posted at the post office, if there be one within five miles, nearest to the residence of the person whose property shall be distrained, and in not less than two other public places; which notice shall specify the articles distrained, and the time and place for the sale thereof, which time shall not be less than ten nor more than twenty days from the date of such notification to the owner or possessor of the property and the publication or posting of such notice as herein provided, and the place proposed for sale shall not be more than five miles distant from the place of making such distraint; and said sale may be adjourned from time to time by said officer, if he shall think it advisable to do so, but not for a time to exceed in all thirty days. And if any person, bank, association, com- Tax to be a lien. pany or corporation, liable to pay any tax, shall neglect or refuse to pay the same after demand, the amount shall be a lien in favor of the United States from the time it was due until paid, with the interest, penalties and costs that may accrue in addition thereto, upon all property and rights to property belonging to such person, bank, association, company or corporation; and the collector, after demand, may levy, or by warrant may How collected. authorize a deputy collector to levy, upon all property and rights to property belonging to such person, bank, association, company or corporation, or on which the said lien exists, for the payment of the sum due as aforesaid, with interest and penalty for non payment, and also of such further sum as shall be sufficient for the fees, costs and expenses of such levy. And in all cases of sale, as aforesaid, the certificate of such Effect of bill of sale shall transfer to the purchaser all right, title and interest of such delinquent in and to the property sold; and where such property shall consist of stocks, said certificate shall be notice, when received, to any corporation, company or association of said transfer, and shall be authority to such corporation, company or association to record the same on their books and records, in the same manner as if transferred or assigned by the person or party holding the same, in lieu of any original or prior certificates, which shall be void, whether cancelled or not; and said certificates, where the subject of sale shall be securities or other evidences of debt, shall be good and valid receipts to the person holding the same, as against any person holding, or claiming to hold, possession of such securities or other evidences of debt. And all persons and officers of Parties to exhibit companies or corporations, are required, on demand of a collector or deputy-collector lector.

sale.

books to col

(a) Five per cent. penalty, with interest at one per cent. per month, by act 2 March 1867, § 8, infra 85.

30 June 1864.

to be released on payment of taxes and expenses.

about to distrain, or having distrained on any property or rights of property, to exhibit all books containing evidence or statements relating to the subject or subjects of distraint, or the property or rights of property liable to distraint for the tax so due as Goods distrained aforesaid: Provided, That in any case of distraint for the payment of the taxes aforesaid, the goods, chattels or effects so distrained shall and may be restored to the owner or possessor, if, prior to the sale, payment of the amount due shall be made to the proper officer charged with the collection, together with the fees and other charges; but Sales regulated. in case of non-payment as aforesaid, the said officers shall proceed to sell the said goods, chattels or effects at public auction, and shall retain from the proceeds of such sale the amount demandable for the use of the United States, and a commission of five per centum thereon for his own use, with the fees and charges for distraint and sale, rendering the overplus, if any there be, to the person who may be entitled to receive the same: Provided further, That there shall be exempt from distraint and sale, if belonging to the head of a family, the school-books and wearing apparel necessary for such family; also arms for personal use, one cow, two hogs, five sheep and the wool thereof, provided the aggregate market value of said sheep shall not exceed fifty dollars; the necessary food for such cow, hogs and sheep for a period not exceeding thirty days; fuel to an amount not greater in value than twenty-five dollars; provisions to an amount not greater than fifty dollars; household furniture kept for use to an amount not greater than three hundred dollars; and the books, tools or implements of a trade or profession to an amount not greater than one hundred dollars shall also be exempt; and the officer making the distraint shall summon three disinterested householders of the vicinity, who shall appraise and set apart to the owner the amount of property herein declared to be exempt.

Exemptions.

Ibid. 29.

Proceedings where property is not divisible.

When collector

to purchase for the government.

Sales of property so purchased.

same,

43. In all cases where property liable to distraint for taxes may not be divisible, so as to enable the collector by sale of part thereof to raise the whole amount of the tax, with all costs, charges and commissions, the whole of such property shall be sold, and the surplus of the proceeds of the sale, after satisfying the tax, costs and charges, shall be paid to the person legally entitled to receive the same; or if he cannot be found, or refuse to receive the same, then such surplus shall be deposited in the treasury of the United States, to be there held for the use of the person legally entitled to receive the until he shall make application therefor to the secretary of the treasury, who, upon such application and satisfactory proofs in support thereof, shall, by warrant on the treasury, cause the same to be paid to the applicant. And if any of the property advertised for sale as aforesaid is of a kind subject to tax, and such tax has not been paid, and the amount bid for such property is not equal to the amount of such tax, the collector may purchase the same in behalf of the United States, for an amount not exceeding the said tax. And in all cases where property subject to tax, but upon which the tax has not been paid, shall be seized upon distraint and sold, the amount of such tax shall, after deducting the expenses of such sale, be first appropriated out of the proceeds thereof to the payment of said tax; and if no assessment of tax has been made upon such property, the collector shall make a return thereof in the form required by law, and the assessor shall assess the tax thereon. And all property so purchased may be sold by said collector, under such regulations as may be prescribed by the commissioner of internal revenue. And the collector shall render a distinct account of all charges incurred in the sale of such property to the commissioner of internal revenue, who shall by regulation determine the fees and charges to be allowed in all cases of distraint and other seizures; or where necessary expenses for making such distraint or seizure have been incurred, and in case of sale, the said collector shall pay into the treasury the surplus, if any there be, after defraying such fees and charges. 44. In any case where goods, chattels or effects sufficient to satisfy the taxes imposed In default of per- by law upon any person liable to pay the same shall not be found by the collector or sonal property, deputy-collector whose duty it may be to collect the same, he is hereby authorized to collect the same by seizure and sale of real estate. And the officer making such seizure and sale shall give notice to the person whose estate is proposed to be sold, by giving him in hand, or leaving at his last or usual place of abode, if he has any such within the collection district where said estate is situated, a notice, in writing, stating what particular estate is proposed to be sold, describing the same with reasonable certainty, and the time when and place where said officer proposes to sell the same; which time shall not be less than twenty nor more than forty days from the time of giving said notice. And the said officer shall also cause a notification to the same effect to be published in some newspaper within the county where such seizure is made, if any such there be, and shall also cause a like notice to be posted at the post office nearest to the estate to be seized, and in two other public places within the county; and the place of said sale shall not be more than five miles distant from the estate seized, except by

Collectors to account.

Ibid. 30.

real estate to be seized.

Proceedings in such cases.