The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1886-04-15
EXEMPTION FROM TAXATION.
An Opinion by the Attorney General Concern
ing the Taxation Of Secret Societies

ObdIo AuulboI leiCc, udtluS EcVCANo0 many Az
quiries from different parts of the State, asking
whether or not the property Of Knights of Pyth-
las, the Order Of Elks and Odd fellows 10 exempt
from taxation, submitted the question to Attor-
ney-general Hord for an official opinion.
In replying to the question, after quoting the
Indiana statutes relating to taxation, the Attor-
ney-general says: Taxation being the rule and
exemption from taxation the exception, the doc
trine is well settled that statute that exemp.s
persons property from taxation is to be strict
ly construed. and not to be extended beyond its
pressed in clear and unambiguous terms, as
every presumption is against exemption. Such
is the strictness with which statutes comforting
exemption are construed that an exemption of
property from taxation. in general terms, will
not be held to exempt it from spe-
cial assessments for local improvements.
Where exemption from taxation is granted by
statute as TO property used and set apart for
charitable purposes. 1t covers only such property
as may be held and occupied for such purposes
and not to property leased for business pur-
poses diverted to secular use for gain The
use of building by Jessees for concerts, or for
mercantile other business purposes is not
use by a charitable Institution within the mean
ing of the statute, although the rents derived
therefrom are devoted to charitable purposes.
the exemption must be directly In aid of the
charitable purpose. It has been held that under
the provisions of che fourth clause of Section 6.
OF The assessment law, that parsonage that
has been erected for the accommodation and
convenience of the pastor of church is not ex
empt from taxation. Your inquiry does not en-
brace facts as to the organization and the entire
purpose of the several lodges to which you refer,
and cannot assume that they are, or are not
charitable institutions for the purposes of an opin
ion. but only anOIV Opiniau To fha facts
as stated in question to me. Each case should
rest upon its own merits, and it becomes more a
subject for judicial investigation, than an ex
parte opinion by me in the absence of facts. /
will consider some of the questions pertaining to
charitable institutions and charities by a dis
cussion OF some geparal rules Of law, and of
fcers may apply them as they may ascertain
and know the facts. A corporation for business
purposes, although such purposes may Incl
dentally contemplate benevolent results is not
within the meaning Of a general act providing
for the incorporation of charitable societies, and
is not charitable institution within the mean
ing of the tax law. 1t has been held
that q beneficial society whose bene-
fits and benevolence are confined ex
clusively to its contributing members is
not an association for charitable uses. In case
of the City of Indianapolis vs. Grand Master of
the Grand Lodge of Indiana l25 Indiana 5l8) in
which the complaint AYERS, that the grand
master, ETC., was benevolent corporation, that
the building was used for purposes of universal
benevolence and charity. held that the allega-
tions made case emitting the property to- x
emption under the statute, and that an nstitu-
ton limiting its benefactions to membership of a
particular religious or secular organization, does
not deprive it Of the character Of charitable in
stitution."
In the case of the State ex rel VS.. Indianapo-
lis t69 Indiana 1851 it was held that a statute
that exempts from taxation property the
amount of $500 of widow or unmarried female,
or of female minor, whose father is deceased,
was unconstitutional, as such exemption was not
for charitable uses 1t must be public, benefit
ing all alike, without reference to individuals
or classes such It is the character of the
property, its use or purpose, and not the charac-
ter or class of its owner, that may exempt it
from taxation A charitable institution. to be
exempt from taxation, must be purely charita-
ble good charitable use is public, not in the
sense that it must be executed openly in public,
but in the sense of being SO general and indef-
mite in its objects as to be deemed of common
public benefit Whether or not the several
lodges referred to by you are charitable institu-
tions within the meaning of the law, and exempt
from taxation, depends upon the purpose and
character of the organization, the facts of which
are not officially before me, and it is proper that
the courts should pass upon the merits Of each
organization after an exhibition of the case to
them ~