Sacramento daily record-union. [volume] (Sacramento [Calif.]) 1875-1891, 1886-10-13
AMENDMENT NUMBER one.

SECTION l. All property in the State, except
railroads. not exempt under the laws of the
United States, shall be taxed in proportion to its
value, to be ascertained as provided by law.
The word property, as used i'll this article and
section is hereby declared TO include moneys,
credits, bonds, stocks, cues, franchises and all
other matters and things, real, personal ana
mixed. capable of private ownership; pr0Uided,
that growing crops, property used exclusively
for public schools, ana such as may belong TO
the United States, this State OF any county or
municipal corporation within this State, shall
be exempt from taxation. Growing vines and
fruit trees shall be deemed to be and shall be
assessed and taxed as a part OF the realty; and,
progided further, that railroads shall be taxed as
provided in Section Ten OF this article; and,
provided further, that the Legislature may pro-
vide for the exemption from taxation of ships
and vessels owned and registered or enrolled in
this state, or may tax such ships ard vessels on
their gross or net earnings, IN lieu OF an ad val
orem tax The Legislature may also provide,
except in case of credits secured 10y mortgage
or trust deed, for deduction from credits OF
debts due to bona hde residents Of this Stale.
Double taxation il any form is prohibited.
SEC. S. The Legislature shall, by law require
each taxpayer i'll this State to make and deliver
to the County Assessor, annually, statement
under oath, setting forth specifically all prop
erty real and personal, except railroad property,
as defined in Section Ten of this article, owned
by such taxpayer, or in his possession or under
his control at twelve O'Clock meridian on the
uIsL III
SEC 10. All property, except railroad prop
erty, as hereinafter provided, shall be assessed
in the county, city, city and county, town, town.
ship, or district in which 1t is situated, in the
manner provided by law. Every corporation
and person owning or operating railroad, or
any portion thereof, in this State, shall, on or
before the first day of July of each year, pay TO
the State Treasurer an annual tax OF two and
a half per cent upon the gross earnings, earned
within this State, of such railroad for the year
ending upon the thirty.tirst day OF December
next preceding, which tax shall be i'll lieu OF
all other State and county taxes upon the fran
ehise, business, right of way, roadway, noadbed,
rails, rolling stock, fences, stations and their
appurtenances, and upon ferry boats, when op-
Grated as part OF such railroad, and upon the
shares OF the capital stock, and upon the mort
gsges, deeds OF trust, contracts or other obliga-
ton By which a debt is secured upon such prop
erty. All other property belonging to such cor
poration or person shall be assessed and taxed
as other property is assessed and taxed. The
gross annual earnings earned during the year
ending on the thirty-frst day OF December last
preceding, of all railroads. shall be, annually,
before the first day of May thereafter escertained
and declared by the State Board of Equalization,
under such rules and regulations as may be pre-
scribed by said Board; prGrided, however, that
the Legislature may at any time pass laws pre-
scribing said rules and regulations. In all cases
where railroads are situated partly within this
State and partly without this state, the gross an
nual earnings thereof shall be ascertained and
determined By taking:
First The gross earnings which, during the
year last preceding, have been earned wholly
within this State.
Secoa,d-The gross earnings which, during the
same year, have been earned partly within this
State and partly without this state, which Shall
be sscertained by appOrtioning such earnings
between this State and other States or Terrific,
miles of such railroad situated in this State and
used in making such earnings, bears to he
whole number of miles thereof. by the use OF
which such earnings have been made. The pro
portion of interstate earnings thus ascertnined
shall be added to the earnings made wholly
within the State, and the total thus obtained
shall be taken and deemed 10 be the gross earn
ings of such railroads for all purposes OF assess
ment and taxation. For every purpose OF this
section, except for the purpose of ascerta1ning
the proportion of interstate earnings TO be added
to the earnings made wholly within this State,
all railroads operated as one system snail be
treated as one road One-third of the tax paid
by CORPORATIONS or persons owning or operating
railroads under the provisions OF this section
shall become part of the General Fund OF this
State, snd two thir Is thereof shall be paid 10
the county or counties in which said railroad Is
situated in proportion to the length of the rail.
road operated in the several counties. For the
purposes of this section consolidated city and
county shall be treated as county. Any corpo-
ration, association, partnership, person or per
sons, unlawiully falling, or refusing to pay the
tax herein provided. when the same shall be
come due or within thirty days thereafter, shall
be deemed to have waived their right to operate
their railroads within this State. The taxes
herein provided for, together with such penalties
as the Legislature may impose for tlna non pay
rnent thereof, shall be a lien upon the property
hereinbefOre in this section designated ana may
be enforced in such manner as the Legislature
NAV by law prescribe. All railroads, so far a.
the same are situated within the boundaries OF
any common school district, shall be subject 10
an ad vaiorem tax for school purposes voted BIZ
the electors of the district at special election
held for that purpose, the same as other prop
erty situated within the district, anything in
this article to the contrary notwithstanding
And all railroads, as far as they are situated
within the boundaries of any incorporated city
or town, shall be subject to an ed valoreIn ta1
for municipal purposes the same as other prop
erty situated therein anything in this article Il
the contrary notwithstanding.
SEC L. Income taxes may be assessed and
collected from persons, corporations, joint stoci
associations or companies, resident or doint
business in this State, or any one or more
them, in such cases and amounts and in sucf
manner as shall be prescribed By law. NO Coor
within this State shall have powes by inluuc