Gerald C. Mann
HonorableCharleyLockhart State Treasurer Austin, Texas
Bear Sir: OpinionRo. O-1787 Re: Whether certaininstrlrments must be stampedunder Arti~ole~704i'e. V.C.S. to be entitledto record.
In your letterof December19, 1939, you requestour opinion relativeto'drtiole7047e,~Vernon*s AnnotatedCivil Statutes,being Senate Bill Ro. 24, 46th Legislature,in responseto the followingquestions:
"1. If an obligationis securedprimarilybg'chattelslisted as being exempt,but also is scouredby propertyof negligiblevalue that is not listed as being exempt,shouldthe instrumentevidencingthe lien be subjeotto being stamped?
'2. 'Ifan instrumentis for a specifiedamount,and any and all future indebtedness,should the 'any and all future indebtedness' be considered when determiningthe amount of tax due9
"3. Should the term agriculturalproductsbe extendedto foodshifTs in the stage of prooessingor curingwhen not owned bythe produoer2 For instance: A bank t#es a mortgageon 20,000bushels of sweet potatoes owed by a produoe&omgeny;'potatoes being~5.n.a~ storagedehydratorplant. lfouldthe instrumentbe auljeotto being stamped?
"4. A motor oompany'eAesell8 sn automobileto "Be, the ohattelmortgage being properlytaxed. *A" 'eitherrepossessesthe automobilesor agrees to a transferof equitJI(presumably,there being no record of such repos- sessionor agreementin the CourP+Clerk*s office),and sells same to sCe. '0n the chattelmortgage~~given %y eC" to "As (whioh eB* does not sign), there-isnoted: 'Transferof equity of "An'. Should the latter chattelmortgagebe tared?
"5. Should stampesbs placedon aninstnmrent signedby a nationalbank acting in the oapaoitiof executorof an estate or as a guardian2
'6. When a line instrumentrecites&at a speoifiedportionof the mono borrowedhas been or will be used for the paymentof State, County,and/ or City taxes,should the specifiedportionbe deductedfrom the total to arrive at the amount to be tared?
"7. If so, should a transferof tsx lien be recordedwith the instrument, or would it make any differenoewhether or not the tax lien is recordedt" HonorableCharleyLockhart,page 2 (C-1787)
The applicablepart of said Article 7047e reads as fol- lows,
e(a) Except as'hereinotherwiseprovidedthere is hereby levied and assesseda tax of Ten (lo+) Cents oa each One Hundred.($lOO.OO) Dollars or fractionthereof,over the first'lkro Hundred(&DX.CC) Dollars,cn all notes and obligationssecuredby chattelmortgage,deed of trust, mechanic'slien contract,vendor'slien, conditionalsales contractand all instrumentsof a similarnaturewhich are filed or recordedin the offioe of the CountyClerk under the RegistrationLaws of this State; providedthat no tar-shallbe levied on instrumentssecuringan amount of TWO Hundred ($200.00)Dollarsor lessi After the effectivedate of this Act, exceptas hereinafterprovided,no suoh instrumentshall be filed or recordedby any County Clerk in this State until there has been affixed tc such instrumentstampsin aoocrdanoewith the provisionsof this section;providingfurther tiat shouldthe instrumentfiled in the office of the County Clerk be securityof an obligationtthat~has proper- ty pledgedas securityin a State or States other than Texas, the tax shall bs based upon the reasonablecash value of all propertypledged in Texas in the proportionthat'saidpropertyin Texas bears to the total value of the propertysecuringthe obligaticn;.and, providingfurther that, exceptas to renewalsor exb4nsionsof accruedinterest,the pro- visions of this sectionshall not apply to instruments given in renewals or extensionsof instsumentstheretoforestampedunder the provisionsof this Aot or the one amendedhereby,and shall not apply to instruments given in the retiding of existingbonds or obligationswhere the preced- ing tistrumentof securitywas stampedin aooordenoewiIh this Act or the one amendedherebgtprovided-further that the tsx levied in tile Act shall apply to