Rev. Rul. 57-249

Advice has been requested whether the retailers excise tax on lugage, handbags, etc., applies to the sale of a child's `Tote Bag' which is six and one-half inches long, three inches wide, five inches high, and which is constructed of cloth-covered cardboard, lined with rayon fabric, and equipped with plastic strap handles.

Section 4031 of the Internal Revenue Code of 1954 imposes a tax upon the sale at retail of articles enumerated therein (including in each case fittings or accessories therefor sold on or in connection with the sale thereof). The enumeration of articles includes handbags and bags for use in carrying toilet articles.

Accordingly, it is held that a child's `Tote Bag' is either a handbag or a bag for use in carrying toilet articles. Therefore, such an article is subject to the retailers excise tax on luggage, handbags, etc., when sold at retail, regardless of the material from which made.