APPENDIX
court shall have exclusive jurisdiction to affirm the decision of the Board, or
to modify or reverse such decision, if it is not in accordance with law, with or
without remanding the cause for a rehearing, as justice may require. No ob-
jection shall be considered by the court unless such objection shall have been
urged before the Board or division and the presiding officer, or unless there were
reasonable grounds for failure so to do. If the claimant or the Commissioner
shall apply to the court for leave to adduce additional evidence and shall show
to the satisfaction of the court that such additional evidence is material, and
that there were reasonable grounds for failure to adduce such evidence in the
hearing before the presiding officer, the court may order such additional evi-
dence to be taken before such officer, and to be adduced upon the hearing in
such manner and upon such terms and conditions as to the court may seem
proper. The Board may modify its findings of fact and decision by reason of
the additional evidence so taken and it shall file with the court such modified
or new findings and decision. The judgment of the court shall be final, subject
to review by the Supreme Court of the United States, upon certification or
certiorari as provided in sections 239 and 240 of the Judicial Code, as amended.
Such courts are authorized to adopt rules for the filing of petitions for review,
the preparation of the record for review, and the conduct of the proceedings on
review. If the decision of the Board is affirmed, costs shall be awarded against
the claimant, and if such decision is reversed, the judgment shall provide for a
refund of any costs paid by the claimant. In case of modification of such
decision costs shall be awarded or refused as justice may require. The decision
of the Board made after the hearing provided herein shall become final in the
same manner that decisions of the Board of Tax Appeals become final under
section 1005 of the Revenue Act of 1926, as amended. (U. S . C., Title 7, § 648.)
SEC. 907. EVIDENCE AND PRESUMPTIONS
(a) Where the refund claimed is for an amount paid or collected as process-
ing tax, as defined herein, it shall be prima-facie evidence that the burden of
such amount was borne by the claimant to the extent (not to exceed the
amount of the tax) that the average margin per unit of the commodity proc-
essed was lower during the tax period than the average margin was during
the period before and after the tax. If the average margin during the tax
period was not lower, it shall be prima-facie evidence that none of the burden
of such amount was borne by the claimant but that it was shifted to others.
(b) The average margin for the tax period and the average margin for the
period before and after the tax shall each be determined as follows:'
(1) TAX PERIOD. - The average margin for the tax period shall be the
average of the margins for all months (or portions of months) within the
tax period. The margin for each such month shall be computed as follows:
From the gross sales value of all articles processed by the claimant from
the commodity during such month, deduct the cost of the commodity proc-
essed during the month and deduct the processing tax paid with respect
thereto. The sum so ascertained shall be divided by the total number of
units of the commodity processed during such month, and the resulting
figure shall be the margin for the month.
(2) PERIOD BEFORE AND AFTER THE TAX.-The average margin for the period
before and after the tax shall be the average of the margins for all months
(or portions of months) within the period before and after the tax. The
margin for each such month shall be computed as follows: From the gross
sales value of all articles processed by the claimant from the commodity dur-
ing such month, deduct the cost of the commodity processed during the month.
The sum so ascertained shall be divided by the number of units of the com-
modity processed during such month, and the resulting figure shall be the
margin for the month.
(3) AVERAGE MARGIN. - The average margin for each period shall be ascer-
tained in the same manner as monthly margins under subdivisions (1) and
(2), using total gross sales value, total cost of commodity processed, total
processing tax paid, and total units of commodity processed, during such
period.
(4) CoMBINATION OF COMMODITIEs.- Where, as, for example, in the case of
certain types of tobacco, the articles produced and sold by the claimant
are the product of several commodities combined by him during processing,
the average margins shall be established with respect to such commodities
as a group, and not individually, in accordance with rules and regulations
prescribed by the Commissioner, with the approval of the Secretary of the
Treasury.
(5) COST OF COMMODITY.-The cost of commodity processed during each
month shall be (a) the actual cost of the commodity processed if the account-
ing procedure of the claimant is based thereon, or (b) the product computed
by multiplying the quantity of the commodity processed by the current prices
at the time of processing for commodities of like quality and grade in the
markets where the claimant customarily makes his purchases.
XCIX
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