Internal Revenue Service
Rev. Rul. 68-671
1968-2 C.B. 488
Caution: Amplified by Rev. Rul. 70-11
Sales of articles to a State for use by the National Guard are sales for the exclusive use of a State and are exempt from the retailers and manufacturers taxes imposed by Chapters 31 and 32 of the Code; S.T. 795 superseded.
Rev. Rul. 68-671 /1/
Retailers of articles subject to the retailers excise taxes imposed under Chapter 31 of the Internal Revenue Code of 1954, and manufacturers, producers, or importers of articles subject to the manufacturers excise taxes imposed under Chapter 32, sell such articles to a State for use by the National Guard. Held , such sales are for the exclusive use of a State within the meaning of sections 4055 and 4221(a)(4). Therefore, in accordance with the provisions of those sections, the excise taxes imposed under Chapters 31 and 32 do not apply to such sales.
S.T. 795, C.B. XIV-1, 413 (1935), is hereby superseded, since the provisions thereof are restated under current law in this Revenue Ruling.
/1/ Prepared pursuant to Rev. Proc. 67-6, C.B. 1967-1, 576.