The Houston daily post. [volume] (Houston, Tex.) 1886-1903, 1899-06-25
ASSESSMENT OF BANKS.
Al Opinion Which May Change the Present
System.
TIRE RIGHT TO DEDUCT INDEBTEDNESS
Lies with the Holders Of stock In
National Banks, II IL
Held.


al Va. T. ]. Primm ct al, which anects the
assessment of National banks. mention OF
which has been made:
In this case the plaintiffs are stock
holders in the First National bank OF
Waco. and seek to have their indebtedness
deducted from the value OF their stock IN
said hank in the rendition OF their prop
erty for taxes for the year 1894, claiming
and showing that they had no credits
from which to deduct said Indebtedness
and that they we're each Indebted IN
larger amount than the value OF their re-
spective shares of such stock. They dld
nor render their stock to the assessor,
hut the defendant bank rendered to the
assessor all of the stock Of the bank Tor
assessment. Plaintiffs declined TO pay on
their shares, asserting their right 10 de-
duct therefrom their Indebtedness, which
was denied aud they sued out THIS IN
junction to enjoin Primm, the tax COZ
lector, from enforcing the same against
their shares OF stock In said bank as
against either themselves or said bank
and TO enioin the bank from paying said
taxes for the year 1874.
Article 1868 OF the Revised Statutes
reads as follows:
Personal property shall, for the pur-
poses of taxation, be construed to include
all goods. chattels and effects, and all
moneys, credits bonds and other evidences
of debt owned by citizens OF the State,
whether the same be in or out OF the state;
all ships, boats and vessels belonging to
the inhabitants OF this State, II registered
in this State, whether at home or abroad,
and all capital invested therein; all
moneys at interest either within or with
ont this State, due the person, TO be taxed
over and above what he pays Interest for
and all other debts due such persons over
and above their indebtedness"
Article 5079 provides that Every bank
whether Of issue or deposit, banker
broker, dealer in exchange, or stock job
ber shall at the time fixed by this chapter
for listing personal property make out
and furnish the assessor of taxes a sworn
statement showing.
l. II a National bank, the president OF
some other officer OF such bank. shall
furnish to the officer OF the county In
which such bank Is located list OF The
names of all the shareholders of the stock
together with the number and amount o
the shares OF each stakeholder OF stool
in said bank, aud the shareholders OF th'
stock in National banks shall render tC
the tax assessor Of the county in which
said bank is located the number OF thei
shares and the true and full value there
not rendered to the assessor OF taxes II
the county where such bank is LOCATED
within the time prescribed by law TO
listing property for taxes shall be assesse
by the assessor against the owner or own
ers thereof as unrendered property is as
sessed but the tax roll shall show tn
name of the owner or owners thereof o
per statement furnished by the presiden
or other officers OF said bank.
2. National banks shall render all othC
bonds and stocks OF every kind, eXceI
United States bonds. and all shares
capital stock or Joint stock or stocks {
other companies or corporations held
an investment or In any way representa-
assets, together with all other personi
property belonging or pertaining to sal
bank except such personal property as
specially exempted from taxation by III
laws Of the United States.
3. National banks shall he required
render all of their real estate as 9th,
real estate is rendered. and all the pei
sonal property Of said National hanl
herein taxed shall be valued as 9th,
personal property is valued
4, All other banks, bankers brokers
dealers in exchange or stock jobbers sha
render their list in the following manne
l, The amount OF money on hand or
transit or in the hands OF other bank
bankers, brokers or others subject
draft, whether the same be ia or out
the State.
?. The amount OF bills receivable. d
counted or purchased, and other credl
due or to become due, including accoun
receivable, interest accrued but not d,
and interest due and unpaid
s. From the aggregate amount of Il
Items named in the first and second
the last two subdivisions shall be deduc
ed the amount OF money on deposit
= The amount OF bonds and stocks
TTH,tt
and all shares OF capital stocks or joi
stocks of other companies or corporation
held as an investment or in any way re
resenting assets
5. All other property belonging to
appertaining to said bank or business. 4
Guiding both personal property and re
estate, shall be listed as other person
property and real estate.
Tho two articles above are taken fro
the acts OF 1879 with the exception of
minor change in the latter in the acts
1895. Under the act OF 1885. page 100 a
ticle $3.50, Of the Revised Statutes, It
provided:
Every banking corporation. state
National, doing business in this Sta
shall, in the city OF town In which it
located, render its real estate to the a
SCISSOR OF taxes at the time and in {
manner required Of individuals. At (
time OF making such rendition the pre-
shall file with said assessor sworn stat
ment showing the number and amour.
the shares of said bank. the name a
residence OF each shareholder a
tho number and amount OF shal
owned by him. Every shareholder OF Sc
bank shall. In the city or town where 50
bank is located render at their aetl
value TO the assessor OF taxes all shai
owned by him in such bank; and In CO
OF his failure so to do, the assessor sh
assess such unrendered shares as oti
unrendered property. Each share in su
bank shall be taxed only for the dhfferer
between its actual cash value and
proportionate amount per share at viii
its real estate Is assessed. The taxes d
upon the shares OF banking corporate
shall be lien thereon. and no bank
corporation shall pay any dividend TO q
shareholder who Is in default In the ia
ment OF taxes due on his shares: nor sh
any banking corporation permit the tran
fer upon its books OF any share, the owl
OF which is in default In the payment
his taxes upon the same. Nothing her,
shall be so construed as to tax Natlol
or State banks, or the shareholders thei
OF, at greater rate than Is assess
against other moneyed capital In
hands of individuals"
IT will be observed that no deduct
from the value OF National bank shar
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