Sacramento daily record-union. [volume] (Sacramento [Calif.]) 1875-1891, 1886-10-11
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, dues, franchises and all
other matters and things, real, personal and
mixed. capable of private ownership; pr0gided,
that growing crops, property used exclusively
for public schools, and such as may belong to
the United States, this State, or 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,
provided further. that railroads shall be taxed as
provided in Section Ten OF this article; and,
prouided 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 and 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 by mortgage
or trust deed, for a deduction from credits OF
debts due 10 bona hde residents OF this Stale.
Double taxation in any form is prohibited.
SEC. s. The Legislature shall, by law. require
each taxpayer in this State TO make and deliver
to the County Assessor. annually, a statement
under oath, setting forth specifically all prop
erty, real and personal, except railroad property,
as defined in Section Ten of this article, owned
py such taxpayer, or in his possession or under
his control, at twelve o'clock meridian on the
first Monday in March.
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 it is situated, in the
manner provided by law. Every corporation
and person owning or operating d railroad, or
any portion thereof, in this State, shall, on or
before the first day of July OF each year, pay 20
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-frst day OF December
next preceding, which tax shall be in lieu OF
all other State and county taxes upon the fran
chise, business, right of way, roadway, roadbed,
rails, rolling stock, fences, stations and their
appurtenances, and upon ferryboats, when op-
Grated as n part of such railroad, and upon the
shares of the capital stock, and upon the mort
cages, 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
p%oration 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-irst day OF December last
preceding, of all railroads, shall be, annually,
before the first day of Maythereafter, ascertained
and declared by the State Board OF Equalization,
under such rules and regulations as may be pre-
seribed by said Board; prortded, however, that
the Legislature may at any time pass law 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
0tbcll1biCh W bohAAh
Fird-The gross earnings which, during the
year last preceding, have been earned wholly
within this State.
~Second-The gross earnings which, during the
same year, have been earned partly WITHIN TINS
State and partly without this state. wnlcn snail
be ascertaiDed by apportioning such earnings
between this State and other States or Terrific
ries, in the proportion which the number OF
miles of such railroad situated in this State, and
used in making such earnings, bears TO ne
whole number of miles thereof, by the use oil
which such earnings have been made. The pro
portion of interstate earnings thus ascertained
shall be added to the earnings made wholly
within the State, and the total thus obtained
shall be taken and deemed to be the gross earn
ings of such railroads for all purposes OF assess.
ment and taxation. For every purpose OF TINS
section. except for the purpose of ascertain1ng
the proportion of interstate earnings to be added
to the earnings made wholly within this state,
all railroads operated as one system snail DC
treated as one road. One-th1rd 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 TINS
State, and two thir Is thereof shall be PAID Y
the county or counties IN Whlcn saio Iai,roao y
situated, In proportion to the length of the rail
road operated in the several counties. FOR ths
| purposes of this section a consolidated city ano
county shall be treated as a county. ANY cofpo'
| ration, association, partnership, person or per
sous. unlawfully falling or refusing to pay the
tax herein provided. when the same snail De
| come due. or within thirty days heTeaites, snal
| be deemed to have waived their right cooperate
| their railroads within this state. Iae taxei
| herein provided for, together with s~uehPenaltie
| as the legislature may impose for the non-pay
| ment thereof. shall be a lien upon the proPert,
/ hereinbefore in this section desigrased, ana maj
he enforced in such manner as tbs Legislature
may nv law prescribe. All railroads, so far a
fine same are situated within tie boundaries o
any common school district, shall be subject Il
an ad yaIorem tax for school purposes voted b.
the electors of the district, al a special election
held for that purpose, the same as other Prep
ertv situated within the district, anything Il
:his article to the contrary notwithstanding
And all railroads, as fay as they are Situate
within the boundaries OF any Incorporated cit
OF shall be subject TO an ad valosem ia,
for municipal purposes the same as oszeT PROF
erty situated therein, anything in this article I
the contrary Notwithstanding.
SEC. IL. Income taxes may be assessed an
collected from persons, corporations, joint xtoc
associations or companies, resident or dom
business in this State, or any one OF more
them, in such cases and amounts and IN sue
manner rs shall be prescribed BIZ law. No Cou
within this State shall have powes, By mum