INCREASE IN TAXES ON CERTAIN TIRES, TUBES, AND TREAD RUBBER.

Sec. 202. INCREASE IN TAXES ON CERTAIN TIRES, TUBES, AND TREAD RUBBER. (a) Tires.—Paragraph (1) of section 4071(a) of the Internal Revenue Code of 1954 (relating to tax on tires used on highway vehicles) is amended by striking out “8 cents a pound” and inserting in lieu thereof “10 cents a pound”. (b) Inner Tubes.—Paragraph (3) of section 4071(a) of such Code (relating to tax on inner tubes for tires) is amended by striking out “9 cents a pound” and inserting in lieu thereof “10 cents a pound”. (c) Tread Rubber.—Paragraph (4) of section 4071(a) of such Code (relating to tax on tread rubber) is amended by striking out “3 cents a pound” and inserting in lieu thereof “5 cents a pound”. (d) Rate Reduction in 1972.—Subsection (c) of section 4071 of such Code (relating to rate reduction on July 1, 1972) is amended to read as follows: “(c) Rate Reduction.—On and after October 1, 1972— “(1) the tax imposed by paragraph (1) of subsection (a) shall be 5 cents a pound; “(2) the tax imposed by paragraph (3) of subsection (a) shall be 9 cents a pound; and “(3) paragraph (4) of subsection (a) shall not apply.”