Richmond daily register. (Richmond, Madison County, Ky.) 1917-1978, 1921-05-31
MAYS STARTS SUIT
FOR TAX MILLIONS
Local Revenue Agent for State
at-Large Has Two Big Ac-
tions on Hands

of w. o. Mays, of this city, rev
enue agent for the state-at-large
and will be prosecuted this week
according to Mr.. Mays who spen
Sunday at his home here.
One of the actions has beer
pending in the Jefferson count,
court for the past three years. |
will be brought uo before Judge
Krieger on Thursday OF thi'
week, Mr.. Mays says. This sui
is to compel 81 railroads Of Tho
United States to pay back take,
on rolling stock that they owl
and which was on Kentucky
tracks as of July |, assessment
date. This action has been pend
ing a long time, while data wa:
being collected and opinions oI
courts in other states and the Su'
preme Court consulted. Mr.
MAYS SAYS that the Pullman
Company pays its rolling stock
tax to the state of Kentucky reg
ularly. He says that in many
other states railroads pay this taN
and the right of the state to as
sess for taxation on such grounds
has been repeatedly upheld. He
is very confident Of winning this
suit. Basis for taxation is arriv
ed at, he points out, by strikin?
an average of each railroad fo'
given dates throughout the year
The amount il this case runs III
into the millions, and if held col
lectible in Kentucky now, viii
cover the period of the past eight
years, as the state is empowered
to collect back taxes on property
for a period OF FIVE years behino
the date an action is filed and thi
action has been on the cour;
docket awaiting a hearing 70
three years. Mr.. Mays point
out that the rolling stock OF {;
railroad is strictly tangible pro
pcrty, and has been 50 held by al
the courts in which similar case.
have come up. and therefore h:
expects TO have the Kentuck'
courts declare all that is ontrack>
in Kentucky as of July lst eacl-
year subject to taxation unde:
the Kentucky laws.
Another Bingham Tax Suit
Another suit which Mr. May
believes will yield the state treas
ury something like a million dol
lors in back taxes, is under pre-
paration by his attorneys, anc
will be filed in court as quickly a
possible, he says. This is an &C
ton to collect back taxes on the
undivided portion of the estate
Of the late Mrs. Lily Flag'el
Bingham, of Louisville. for the
past three years. Mr.. Mays eX-
poets to have about $67,OOO,OO0 o.
her estate declared subject to
payment OF taxes in Kentucky by
this action. lie says that when
demand was made by the Asses
sor of the city of Louisville for
filing of lists OF property for 10
cal taxation 1T the last assess
ment date, the Louisville trust
company which was administra-
tor of the estate, notified the as
SCISSOR that the property had been
distributed among the heirs, and
that it held nothing now taxable
in Kentucky. Later is was as
certained, Mr.. Mays says, that
there were number Of debts OF
the estate, including inheritance
taxes and other such items un-
paid. Going to the Kentucky
statutes, Mr.. Mays says, it will
be found that law provides that
no estate can be distributed eX-
cept pro rata with payment OF
the debts against it. Therefore,
he and his attorneys are estimat-
in that only about Is per cent OF
the estate should have been dis
tributed and that the balance
which would be the proper pro-
portion under the law, according
to settlement of obligations
against the estate, is still subject
to state taxes.
1t is understood that this action
will involve a new point in Ken
tucky legal decisions and ths
course Of action which will be
brought by the state tax authori-
ties through Revenue Agent
Mays and his attorneys will un-
doubtedly be watched with inter