.- 

. 

OFFICE OF THE ATTORNILY GENERAL OF TEXAS 

AUSTIN 
iionorrbls O4Or&4 ii. 3m~,p8r4, 7864 2 

8r.A Cotobrr~of reoh /44r, a ral;ort to the 

Coaptrollrr und4'~ oath of ths in2lrldua1, :ar 

of the prrridrnt, trosaarer, or rup~r?ntandrnt 

of suoh eaapaay, or 4-rpor8tioa, or‘ 444ooi8ti.n 

shnw?n(( tha g r o ss l a.uv.6 rooo:rai! rm.. 4uoh b-i,- 

~8s aan@ 1.1 raoh a)uc:.~ lacorporutrt? city cr toaa 

within thllc 7tata la th8 paymoat of oh*rp,48 ror 

lipOh aas, rlrctrlo lbht8, rlrctrlc powar 

i 

62 

v8t6r ior the :;urrtrr nut prroadi~f. :a 4 la4lri4us1, oospaay, 4orp5ratba, or ~r8o4lotloa, 

at the t?rcl of uatlnd 8old r8port for any raoh 

lrraarporrtod town or eltf of more t.h?n on4 tkousand (l,COO+) Izhabttatitr, snd lrar than two 

thou88cid, flri hundrrd (7,500) inhbltcrntr, 80- 

uordlng to th le8t Fo46t81 Cbnau8 n4at preeedlng th4 fll:uu ct 8ai.i report, 4hall pnf ti'ths 

TnaWr4r of LhZs ::t*te an booupofl,rn tst for 

th quartw b&Mi&$ 00 l 8id deta 4;uml to forty-four hon4r4dths (.u) of me (1.) vr wat of 

8414 e;raas rscslpta; a8 ahom by 8aid raport. . . * 

Th4 only qnertirn praseJit4c! ie uhotker tb6 

dI8trIbutor I4 oporotlnq Y “gaiwtorka” or I 348 *phiat* 

'within 8n fnoorpor4tat tom cr o%ty* within thr ~88~. 

iq3 o? art2016 7050. . :a 6184U88iaq this 8tatut4 thr 

Wm,l8r;lOG Qf':.pp8818, Ir th4 0880 sf C'tlllta~s *WIral Oa* Ceapsny T. COatr, 126 3.Z. (24) 1153, in 8n 

oplnlon 84opte5 by thr Supr4ma Cart, e4t6.d 

-Th6 6i6ia Obj64t Of thI8 8ktUt6 ia tbr 

laplirg of ar. rooapeti:.a t4x l gdart thocrr rho 

4wrp4 in a bu81~1488 or tb4 oh8trot4r dafln44 

In th6 8trtotr. ?hr l ubjoot ntt4r In rddp44t 

to which the tax is lmpo884 18 a bwln488 b88?- 

laq thr 4.8?4at4ri4tlO mark8 rprolflrd in tho 

rtatutr. "Ith roirrmo6 to thr buslnrra of li 

648 oomp8a), th6rr oh4r8~ot4rirtio scrrks inala44 8-q other4 uhloh mod nat b4 notiod 

at tat8 t1.w 8 eoo-vorka looatsd in says laootporatrd oh* La this State whidh lr '0144 

tar looal 8414 6nd 418tribatla* OS 468 in 

l aiu 41tr or LOWll.’ 

fn the rbmr Oar* the court sakes the further 

atrtraaat thetr 

%Ina4, th4retor4, thr~wr ot *8oa-work8’ 

in a 4Ity 'r town I?. thlr ::tsrta, far the dirtrlbutlon 09 gsn In mid alty or towi is, bf 
austaaaii in tSe citr, cad shoe t&la In true one l l6- 

sent of lirblll ty ID lacking. Cml8aqurr:tly *we hold 

t:at Oh. dimtributar dru~uribad by you $a rrf-t aubJaot to 

t& t’a. Tblr holdiog, hmatar, in limitad to tba i&t 

oltwtlen rtatrd in your iap~~irg, via: where tba dietrihltar owla no maobfnocy, tixtursa, aqll!cosnt or'appllsaeer used for ths loos2 eale 8w.l 6IstrIbutIon or 

gar and Joaeted nittta ttre citr. 

statute, aMe dli es8entlal obaracterlatia of 

tb8 btuinoss toxe3, it tallowa tlxc tt&e bus;- 

naae-in *Iah Ma pleintirr In aw:+gaa, aa 

4loclo~rtl. by the undl#putud Snots, Ic mt rub- 

&at Co the taz whloh thie rwtuta ~ro~ld~e~.~ 

‘WI court had beiorr It the ~i~Iext~Oo of %Gethl r a uaa ~dtrtcibntor wbors p ip e l.inl e xtenCd fa te ths 

. 

aits, KIWI which 68% mn tbrra delivered to n sin,& cuatomr utir 1ieb.k SOr thu tar. As will be saw srom the 

d0v8 quottbtLons, thr aetmt in holbinq tbt onoh distrlbutor wa8 not 1IaRle For the tax cnmtrtm? ths atrtutr to 

16Vy thr tax UFGG the OOOU~~tiO~'Whleh hno the follciulag oharmotariatie mnrksr 1. The gat! plant aaat ~bc loorbed within the IAQOQO~-: ted otty and 2. It ,must be 

wad for thr *loc31 ro',e *ml dfatr¶butloa* of es* ln 

*uOt. xltp or. town. 

The uo.cd 300ttt4a- “has born r.+rl~msly detlned 

ae Slrrc; Sired in ~1s~: plrord)‘sltc:ntad.* )@ C.J. 

132. Tar various QefInItionr'arr eyztonpa us, if not 

IdektIoel, In maanlng. f'bey oertrinly ornvoy alowly 

tt*a ord!nary Si(illiriO&Itit.?A Of the word -.LOCYta”.” 

perapnraslw tbs stntuts, 

ThuB, 

we M y l ny t:i:1t in o r da x to 

broom rubJr& to the tex lovkd by &rticls 7060, VA. 

C.S. the @an .dlstributor must (I.1 own, opew-a, aaan~ge 

Or OOlIt~Ol 0 @BO Dbttt 11146 i~~DltQO0. PlROd Or 8itUatrd rlthil WI hmorporatra Oity or town nnd (2) must 

iGYkb pL*at ror tha loas1 ralr ana dlatributian or 

a@# ill SUOC Oitf 01 tOhA. 

*:a think .that, under the faatr eub,slttsd, 

waars ia no -go8 9hAt”~ 

to4 oitr. arhrxr the izeo 

Lha lAoorporaby truck ta t&e 
Eoaonblo Ooorge H. Sheppard, Paga 4 

Our opinion NO. O-3776 rtatas that,: 

*'It IB the oplniun or thla drpartmnt in 

111~ aith the above quoted oeeoe that any lndltldaal cr corporation eellily or dletrlbutlng 

liquid petroleur gee to mom than one coneumer 

in zany incorporated city within the population 

brackots atetad in Artlela 7060, *P amndrd by 

Fauea 8111 8,, Aote of the lorty-eoarnth hgielattlre, 1941, would br rubjaot to the gross rooaipte tex lavlrd therrln.* 

pia wore than diecussing a feat situation 

when the plant or the distributor was loaatsd wlthln 

tha lnoorpcratad city. To the rxtont .that euoh date-, tint Is l pplloabla to dIstrlbubor8 whoas plant6 are not. 

loaetrd In the Incorporatrd oltv It ir diotua, and it 

Is not epplloebls to the ract bltoatlon here uadm oonsidrratlon. 

Vor)- truly p:-.urr, 

&A& 

Powlrr Roberta 

Asslmtant 

APPROVEDOCT 15, ;1942 

AZ%-- e-