The Anaconda standard. [volume] (Anaconda, Mont.) 1889-1970, 1899-04-27
is SUBJECT TO TAXATION
Stocks of Merchandise Held by
Indian Post Traders.
WAS A M0OTED QUESTION
Finally Decided Upon an Appeal to the
Supreme Court - An Opinion by
Justice Hunt--Two Other
Cases Decided.
Special Dispatch to the Standard.

Special Dispatch to the Standard
Helena, April 26.-The supreme court
to-day decided that the stock of mer-
chandise owned by an Indian post
trader doing business upon an Indian
reservation is subject to taxation by
the state. The court rendered a decis-
ion to that effect in a case appealed
from the district court of Valley coun-
ty. The plaintiffs are the Indian and
military post traders upon the Fort
Peck reservation with a store at Pom
lar. The assessor of Valley county in
the year 1898, listed for taxation horses
and COWS owned by the plaintiffs for
taxation, but did not include the stock
of goods. When the county commits
sioners, sitting as board of euualiza-
ton, passed upon the acts of the as
SCISSOR, they raised the valuation of the
stock of merchandise from nothing to
$4,000, and such property by order of
the commissioners was placed upon the
assessment roll for taxation Suisse
quently w. B. Shaw as agent for the
plaintiffs, appeared before the board
and supported by a number of affida-
Wits. asked to have the merchandise
stricken from the assessment roll.
This was refused. The plaintiffs Of
fered to pay the taxes on the horses
and cattle. but the treasurer refused
to accept the same or give a recent
unless the taxes on the merchandise
were also paid. Plaintiffs then began
an action to prevent the county treas
urer from selling the property for the
taxes, application being made to the
district court. Judge Dubose for an in
junction. The lower court denied the
injunction. holding in effect that
stock of goods used by post trader is
subject to taxation. From this ruling
the plaintiffs appealed.
In an opinion by Justice Hunt the
supreme court aftirms the ruling of the
lower court and reiterates the doctrine
laid down by Judge Dubose that such
property is subject to taxation. The
decision of the court disposes of
question that has been a mooted one
for many years in this state It is of
vital Importance to the assessors of
counties adjoining Indian reservations
as it points the way for them to go
ahead and assess all personal property
upon reservations not belonging to the
government or Indians. In the course
of its decision, the court says:
Although the people of the state of
Montana agreed as a condition to the
admission of the state into the union
to disclaim any right or title to all
lands lying within tn limits of the
state owned or held by Indian tribes
and that until title thereto shall be
eXtinguished by the United States, the
same shall be and remain subject to
the disposition Of the United States
and under the absolute jurisdiction and
control of congress, still Indian reser-
vations are within the jurisdiction of
for he pf
personal property in which the Indians
are not interested. held upon such
reservations. Appellants would have
the courts exempt their property from
the operation of the taxing power of
the state because it constitutes the
stock in trade of an Indian post trader
and is used in trading with the Indians
under license obtained from the gov
eminent of the United States: or. in
other words, appellants contend that
the presence of an Indian trader with
stock of goods on an Indian reserva-
Flon is an agency of the general gov
eminent and is expressly authorized
by law. We cannot concur in this ar
gument. There was a time when the
government furnished the merchandise
traded to the Indians, and when the
person who dealt out the property so
furnished. acted as an agent of the
United States. which made the COM
"
an agency of the government. But
long ago Gn 1880 that policy was
changed, and now any loyal citizen is
authorized to trade with an Indian
tribe upon giving a bond conditioned
to faithfully observe all laws and regu-
lations made for the government of
trade and intercourse with the Indian
tribes. So that at present an Indian
post trader is licensed with authority
to trade with the Indians, required, of
course, to observe the laws and reeula-
tons appertaining to such intercourse.
a privileged trader on his own account,
responsible to no one except for the
observance of the aforesaid laws and
regulations for the violations of the
same. His real connection with the
government seems to be that he is
privileged upon conditions and under
regulations to go on to the reservation
to seek as customers the wards of the
United States living upon the Indian
reservation. permission to trade with
whom upon their reservation can only
be obtained from the guardian govern
ment, which may reserve the right to |
revoke the license or terminate the |
privileges at it's pleasure.
I'VE are unable to see how such a |
relationship between a citizen and the |
general government makes the citizen
enjoying the privilege an agent of the /
United States, or how his goods in
which neither the government nor the
Indians have any interest, are a federal |
agency or means employed by the |