The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1897-07-29
THE STATE EQUALIZERS
Members of the Board Go to
Ogden.
MATTER OF ASSESSING FRAN.
cHIsEs OF CORPORATIONS.
1t Will Come Up For Action Today
The Session Will Be an Important
one-opinion of Attorney General
Bishop.

me members or the Utah board OF
equalization went to Ogden yesterday
to size up the property of the Union De
pot company and the Pullman COM
pany. No routine business was trans
acted by the body, but today's session
viii be an important one
The matter of assessing franchises OF
corporations viii come up for action,
| the following opinion as to the matter
having been sent in by the attorney
general:
THE OPINION.
State Board of Equalization. Salt Lake
City, Utah.
Gentlemen: l beg to submit the fol-
lowing, relative to your inquiry of July
19. which is as follows:
Please inform this board whether.
under the revenue act, it is its duty to
assess franchises of corporations indie
pendent of the assessment for general
property
Section of article Is of the constitu-
ton relating to revenue and taxes. pro-
vides: "All property in the state not
exempt under the laws of the United
States, or under this constitution. shall
be taxed in proportion to its value. to
be ascertained as provided by law"
Then follows the definition of the word
property" which includes, among
other things, franchises" In this sec
ton is contained two propositions:
First, that all property in the state is
subject to taxation. Second. that a
franchise is property within the mean
ing of the constitution. Pursuant TO
this provision of the constitution. it
seems apparent that the legislature in
tended that franchises should be as
sasSa6-
Section u of the revenue act provides:
sAll property and franchises owned by
railroads, street railways. car, railway
depots, telegraph and telephone COM
panies of this state must be assessed
by the state board of equalization, as
hereinafter provided
Without attempting to point out ev-
cry place in the revenue act where 1t
is provided for the assessment of fran
chises, it will be sufficient to call atten-
ti9n to a few of them. In section 80.
the personal property and franchises
of gas and water companies must be
listed and assessed. etc. Section 81 pro-
vides for the assessment of bridges and
ferries. and their franchises. Section 80
provides for the assessment Of electric
light lines, canals, bitches and
fumes and the franchise of the
same when separately taxable. SO also
section 56 in determining the duties OF
the state board of equalization, pro-
vides for the assessment of all prop
erty and franchises of railroads, street
railways, cars, railway depots, tele-
graph and telephone companies, but
contains this proviso-franchises de-
rived from the United States must not
be assessed.
Again in subdivision 5 of section 81.
which defines the powers of the state
board of equalization, il is provided:
ITO annually assess the property,
franchises. and roadways of all rail-
roads, street railways, cars, railway
depots, telegraph and telephone COM
NAMES in this state at their actual
value on the first Monday in March
at u o'clock noon, etc"
INTENTION OF THE LEGIsLA
TURE.
These references to legislative en-
actments, 1 think are sufficient TO
show that it was unquestionably the
intention of the legislature that fran
chises of all kinds should be taxed,
and these legislative enactments are in
perfect accord with the provision OF
the constitution above referred to.
A franchise is a species of property
intangible, it is true, but nevertheless,
valuable. 6epending upon the sondi-
tions and circumstances surrounding
the same They are special privileges
conferred by the government upon IN
dividuals, and when SO conferred be-
long to the individual to whom they
are granted and not to citizens of the
country generally of common right.
Neither corporations as such nor be-
cause their franchises may constitute
a contract, are exempt from taxation
unless by clear, uneGuivocal and valid