CODIFICATION OF INTERNAL REVENUE LAWS lected thereunder in Puerto Rico and the Philippine Islands shall accrue intact to the general governments thereof, respectively. The courts of first instance in the Philippine Islands shall possess and ex- ercise jurisdiction in all cases arising in said islands under this sub- chapter and said part V of chapter 27. (b) CANAL ZoNE.-T he President is authorized and directed to issue such Executive orders as will carry into effect in the Canal Zone the intent and purpose of this subchapter and part V of subchapter A of chapter 27 by providing for the registration and the imposition of a special tax upon all persons in the Canal Zone who produce, import, compound, deal in, dispense, sell, distribute, or give away opium or coca leaves, their salts, derivatives, or preparations. (c) VIRGIN ISLANDS. - For authority of the President to exempt persons in the Virgin Islands from the order form requirements, see subsection (b) of section 2554. SEC. 2565. DEFINITIONS. For definitions of the following, see the subsections of section 3228 indicated below: PERSON.- Subsection (a). IMPORTER, MANUFACTURER, OR PRODUCER.- Subsection (b). WHOLSALES DEALER.- Subsection (c). RETAIL DEALER. - Subsection (d). SUBCHAPTER B-OPIUM FOR SMOKING SEC. 2567. TAX . (a) RATE.- An internal revenue tax of $300 per pound shall be levied and collected upon all opium manufactured in the United States for smoking purposes. (b) How PAm.- (1) STAMPS.- AIl opium prepared for smoking manufactured in the United States shall be duly stamped in such a permanent man- ner as to denote the payment of the internal revenue tax thereon. (2) ASSESSMENT.- For assessment in case of omitted taxes payable by stamp, see section 8311 of chapter 28 and section 8640 of chapter 35. SEC. 2568 STAMPS. The provisions of law covering the engraving, issue, sale, accounta- bility, effacement, cancellation, and the destruction of stamps relating to tobacco and snuff, as far as applicable, shall apply to stamps pro- vided for by paragraph (1) of subsection (b) of the preceding section. SEC. 2569. MANUFACTURERS. (a) DEFINITON.-Every person who prepares opium suitable for smoking purposes from crude gum opium, or from any preparation thereof, or from the residue of smoked or partially smoked opium, commonly known as yen shee, or from any mixture of the above, or any of them, shall be regarded as a manufacturer of smoking opium within the meaning of this subchapter. (b) BoND.-Every manufacturer of opium suitable for smoking purposes shall file with the collector of the district in which his manu- factory is located such bonds as the Secretary may by regulation require. But the bond required of such manufacturer shall be with sureties satisfactory to the collector, and in a penal sum of not less than $100,000; and the sum of said bond may be increased from time 278
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