Arkansas true Democrat., 1858-06-29
Taxation-A Question for Lawyers.

Taxasion-A Question for Lawyers. week or two since we found the fol owing paragraph in our exchanges and cut 1t out l1tend- inc to inquire whether such decision had ever been made and to what extent it nterfered with the right of taxation by the States:
 A recent decision, said to have been made bv the U S. Supreme Court, in relation to tax afion of lands purchased of the United States, has attracted less notice than 1t deserves. The decision is that the public lands belonging to the United States are not subject to taxation; and the dec;son of the Supreme Court Is. that the title to the lands sold at the varous offices remains ill the United States until the potet ls issued to the purchaser, and consequently DO state or territory has any right to levy tax for land for which the purchaser mas hot fece'V- ed his patent from the United States OoVerh- | ment'
 The New Orleans Delta, paper generally well posted in such matters, re-aiilrms the statement that such decision was made, and says:
 "The United States Supreme Court have made an important decision relative to taxes. They decide that as the government parts with it's title only when the patent issues, that pub " territories uatsg Ne actIti issue of tue Patent.- This is decision ot vast importance to western settlers and all they have to do to avoid the payment of taxes is to let the patent lie in the office, or if necessary, get friend to contest 1t, SO to delay tho issue as long as he may deSre to avoid taxes.''
 So far as regards the compact between the Unl- tedStates aud the State of Arkansas as well as the act of admission the stipalaUons are " l hat the said General Assembly of said State shall never interfere with the primary disposal Of the soil within the same by the United States nor with any regulations Congress may find neces- sary for securing the title in such soil to the bona fde purchasers hereof; aad that no tax shall be imposed on lands the property of the United States"
 There is further stipulation, to the effect that the bounty lands granted for military ser vices during the war of 1872, shall be exempt | from taxation for three years from the date of the patents When the decision of the Su- preme Court of the United States, referred to, is examined, we apprehend that 1t will be found to refer to these military bounty lands, which were all exempted by acts of admission of the several new western States wherein they lie.
 But, even if it applies, as the Delta and other papers think il does to all lands purchased from the United States, we do not think it will pre- cIude the right of the States to tax the lands when sold by the general government. When the purchaser receives the receipt of the rec.iver of public moneys, he acquires the 1 right of possession of the land so bought and ] paid for by him; he may maintain all action of trepp,lsS, and cau sell and convey fee simple title. The United States has recognized this latter right, by requiring the parties who apply for change of entry before patent has been issued, to produce proof that the tract formerly entered and sought to be exchanged tor auo- 1 ther, has not been sold, or otherwise encum- bered It. tact. the United ateS, at the mo- meut of sale, passes the right of fossession and other rights, of which the patent thereafter to | be issued k only the leg al confirmation. If on l ly an inchoate title rests Tn the purchaser, the State may tax that right as she may declare ! 1 One of the highest attributes of sovereign s ate is the right of taxation, and by the Act of adnsson, the State of Arkansas, in common with other new Sta,es, ouly agreed to >urrea- der the right to tax lands of the Un.ted States. l When however the general governments sells l these lands, they become le5tim,te subjects of l taxation. If this was not he case, by holding up the patents, S,a.e m. 1ht have n.llious of | property within her borders that sue could not control. Again, some tracts are patented in 4 1 few years after being entered; other entries are not patented in ten or twenty years that tracts of land entered, it may be, on the same day, and equally valuable, woui be, the one subject, and the other exemp, from taxition.- As this IS a matter ot vita np'r-a ce, We will I inquire further into this alleged d.c.Siou nd keep our readers advised of the true state ot 1 the case.