United States v. Pitney-Bowes Postage Meter Co.

SWAN, Circuit Judge.

Section 3406 of the Internal Revenue Code, added by section 551 of the Revenue Act of 1941, 55 Stat. 716, 26 U.S.C.A. Int.Rev.Code, § 3406, and effective on October 1, 1941, imposes an excise tax on the sale of postage meter machines such as the plaintiff deals in. The Code also provides, section 3440, as amended, 55 Stat. 720, 26 U.S.C.A.Int.Rev.Code, § 3440, that “the lease of an article (including any renewal or any extension of a lease or any subsequent lease of such article) by the manufacturer, producer, or importer shall be considered a taxable sale of such…