Page:United States Statutes at Large Volume 72 Part 1.djvu/1336

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[72 Stat. 1294]
PUBLIC LAW 85-000—MMMM. DD, 1958
[72 Stat. 1294]

1294

PUBLIC LAW 85-859-SEPT. 2, 1958 "(c) INSTALLMENT PURCHASKS OF O B T A I N

[72 S T A T.

SHARES OR CERTIFI-

CATES.—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. Impo.sition 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 ^iven in a penal sum greater than the debt secured, the tax imposed by section 4311 shall be based upon the amount secured. "SEC. 4314. EXEMPTIONS. " (a) INSTALLMENT PURCHASE or OBLIGATIONS.—The tax imposed by section 4311 shall not apply to any instrument under the terms of which the obligee is required to make payment therefor in installments and is not permitted to make in a n j year a payment of more than 20 percent of the cash amount to which entitled upon maturity of the instrument. " (b) OTHER EXEMPTIONS.— "For other exemptions, see section 4382. "SEC. 4315. CROSS REFERENCES. "For definitions, penalties, and other general and administrative provisions applicable to this part, see sections 4381 and 4384 and subtitle F.