The evening times., 1898-11-12
District Officials and Internal
Revenue officer Clash.
PLACING OF WAR STAMPS
Conmis.iOner Miller Holds That Mu-
nicipaI Tax Certificates Are Not
Exempt-AttOrneyT Thomas Renders
AN Opinion 10 the Contrary-No
Solution in sight.

attorney for the District, differs with
Hon. c. w Wilson, the acting commits
sion of internal revenue Of the Treasury
Department relative to the placing Of 10
cent war revenue stamps upon all tax
certificates issued by the District assessor
10 private individuals.
The acting commissioner of internal
revenue in letter sent 10 the District
Commissioners about October . last
stated that such tax certificates were not
exempt from taxation and that the prop
er stamps should in all cases be affixed.
Attorney Thomas in the opinion rem
dered today, states that the assessor is
not required to place stamps on such GER
tihcates under the war revenue act, as
they are exempt, and suggests that the
question be decided judicially.
The controversy, which has thus been
brought to a stand STILL and which Is as
far from any solution as ever, has been
productive Of considerable correspondence
between the District authorities and the
revenue officers OF the Treasury during
the past few months.
The District Commissioners and Asses
sor Trimble hold that, as the District is
a part OF the General Government, il
should not be required to aftiN these eN-
ira war revenue stamps, and especially
as the law at present requires that a
charge Of 50 cents shall be made for all
such certificates.
When the ruling of the acting commis-
sioner of internal revenue was received
by the Commissioners in October. request
ing them to instruct the assessor to attiN
the extra war revenue stamps to the Ger
tiicates, the matter was referred TO
attorney for opinion That opinion Civ
en- today is coincident with the position
which the District officials have assumed
IN the controversy and Joined issue with
the internal revenue officials on the sub
ject.
The position Of Attorney Thomas in the
matter is embraced in the following ex-
Cerpts from his opinion:
The war revenue act expressly eXempts
certificates issued by municipal corpora
tions in execution Of their municipal or
governmental functions from tax duty.
"Whsther these tax certificates are ex-
empt from stamp duty under the war reVe-
nue act depends upon the question wheth-
er they are issued in the exercise OF mU-
nicipal functions. Ii they are then plain
ly they are exempt under section L Of the
revenue act, Notwithstanding they are
ISSUED TO private individuals for their prl-
Vate benefit ID use.
The act under which these tax certif-
Gates are issued makes it the duty Of
the assessor to furnish them whenever
called upon to do SO, and requires the
party requesting the same to pay 10
the District fee of 80 cents for each
certificate.
1t is suggested in Mr.. Wilson's letter
that the ruling of the Internal Revenue
Department. that tax certificates issued
by the assessor Of the District are LA
bic to taxation, is founded upon several
opinions OF the Attorney General on
application for copies Of the opinions l
have been furnished with memoran-
dun by Assistant Attorney General
Boyd holding that tax certificates issued
by the comptroller Of the city Of New Or
leans are liable to a tax OF 10 cents un-
der the war revenue act, because issued
for private benefit and interest
i have examined the published opin-
ions Of the Attorney General, and after
q somewhat careful research have been
unable TO find one which involved the
precise question now submitted TO me
for consideration.
Assuming that tax certificates issued
b. the comptroller of New Orleans are
liable to taxation, that does not prove that
tax certificates issues by the assessor of
the District OF Columbia are also liable.
The relation between the District and
the United States must be taken into ac-
count
The seventh section OF the war reve-
nue. act makes it the duty Of the official
issuing the certificate-not the individual
receiving ito affix the stamp This pro-
vision, If it applies to the assessor con-
templates that he shall have the revenue
stamps. How is he to get them? Plain
~ not out OF his private funds. IL tie
District OF Columbia supplies the stamps,
then under the provisions of the act OF
June II, 1878. one half the cost is charged
TO the United States and one half to tEe
District. 1t will not be contemplated. 1
think, that Congress intended such re-
suit 1t has been held by the Supreme
Court that q municipal corporation is not
subject TO taxation by Congress on its
municipal revenues.
mo duty is imposed upon private in
dividuals requesting certificates to fur
nish stamps. and no penalty is imposed
upon them for receiving certificates with
out stamps. 1t is plain that our tax GER
tihcates are issued by the assessor in the
exercise Of municipal functions 1t is i'm
material that they are for the private
use and benefit OF the persons receiving
them.
II the burden OF stamping tax certi-
flcates issued by the assessor is imposed
Toy the war revenue act upon private in
dividuals Il is not clear from the Ian
Euage Of the statute. Justice Story said
duties are never imposed upon the citi-
gems upon doubtful Interpretation, for
every duty imposes a burden, upon the
public at large, and is construed strictly,
and must be made out in clear and de
termined manner from the language OF
the statute.
In my opinion the questions presente
by this reference affecting as they do
the public revenues are too important to
be disposed of by mere advisory opinion.
The matter should, if possible be deciiej
judiciany."
American Trade With Samoa.
F-l, af int Gfs-