fore such forfeiture, no affirmative relief may be granted to such defendant corporation, unless its right to do business is revived as provided in Article 5243j of this act. All transportation companies now paying an annual income tax on their gross receipts in this State shall be exempted from the franchise tax above imposed." 386

A license tax is imposed upon mercantile corporations, graded as follows, according to the amount of annual purchases: 387

There is no franchise tax properly so-called. The Constitution provides for the taxation of all real and personal property of corporations.388

Franchises are assessed as part of the property of the corporation. "All property and franchises owned by railroad, street railway, car, depot, telegraph and telephone companies in this State must be assessed by the State Board of Equalization as hereinafter provided. Other franchises if granted by the authorities of a county or city must be assessed in the county or city within which they were granted; if granted by any other authority they must be assessed in the county in 386 Tex. Rev. Stat. Art. 5243 j. 387 Tex. 1897, Spec. ch. 18, § 1. 388 Ut. Const. Art. 13, § 10.

which the corporation, firms or persons owning or holding them have their principal place of business." 389

§ 559. Vermont.

Corporations are taxed in Vermont both locally and by the State, by a property and a franchise tax.

The town or other local taxing district in which real and personal property, whether of a domestic or foreign corporation, is situated taxes it.390 For this purpose personal property includes credits as well as chattels; leaving "to be taxed in such corporations to the stockholders only the value of untaxed personal estate owned by the corporation, and located in other jurisdictions, and the value of the good will it has gained, which gives the stock a money value greater than the money value of the personal and real estate owned by the corporation."

"' 391

State taxation consists of a tax upon the property or business of certain corporations, and of a license tax upon all corporations.

"A state tax for the payment of state expenses is hereby assessed upon the property, business or corporate franchises of railroad, insurance, guaranty, express, telegraph, telephone, steamboat, car, transportation and sleeping car companies, mortgage, loan or investment companies, and other corporations, persons, associations, societies or firms, as provided in this act; and shall be payable in money to the state treasurer for the use of the state. 11 392

For the purpose of assessing and collecting this tax a "Commissioner of State Taxes" is appointed,393 to whom returns are to be made and taxes paid.394

The taxation of public service and insurance companies is

389 Ut. Rev. Stat. § 2513, amended by 1899, ch. 68.

391 Waite v. Hyde Park Lumber Co., 65 Vt. 103, 25 Atl. 1089.

392 Vt. Stat. 1902, Act 20, § 1.

303 Ibid. § 2.

394 Ibid. §§ 4, 6.

separately treated. Other companies specially taxed are as follows:

"Every savings bank and savings institution incorporated by this State and doing business herein, shall pay a tax to the State which is hereby assessed at the rate of seven-tenths of one per cent. annually upon the average amount of its deposits. and accumulations, after deducting therefrom the average amount not exceeding ten per cent. of its assets invested in United States government bonds, and the average amount of the assessed valuation of the real estate owned by such corporation, and also the amount, if any, of individual deposits in excess of two thousand dollars each, listed to the depositors in towns of this state wherein such depositors reside.

"Every trust company or savings bank and trust company incorporated by this State and doing business herein, shall pay a tax to the State which is hereby assessed at the rate of seventenths of one per cent. annually, upon the average amount of its deposits including money or securities received as trustee. under order of court or otherwise, after deducting therefrom the average amount not exceeding ten per cent. of its assets invested in United States government bonds, and also the amount, if any, of individual deposits in excess of two thousand dollars each, listed to the depositors in towns of this State wherein such depositors reside." 395

"A tax of one per cent. upon the aggregate amount of all moneys so received to be loaned without the State, and upon the aggregate amount of bonds, mortgages, choses in action and securities of any kind negotiated as aforesaid, is hereby assessed against the person, investment company, or corporation receiving such money, or transacting said business. Such tax shall be paid to the state treasurer within thirty days from the time of making said returns and shall be in lieu of all other taxation thereon for the period of one year only.

"A person, agent, investment company or corporation may

895 Ibid. 88 39, 40.

omit payment of the tax provided in the preceding section by giving the name and post-office address of the person or corporation from whom such money has been received, or to whom such bonds, mortgages, choses in action or securities. were sold and the amount received from each such person or corporation, and informing the commissioner that the taxes are to be paid by the purchaser. When advantage is taken of this provision, the commissioner shall assess thereon a tax of one per cent. against the person or corporation of whom such agent, person, investment company or corporation received such money, or to whom said bonds, mortgages, choses in action or other securities were sold. The payment of said tax shall exempt such agent, person, investment company or corporation from all other taxes thereon, for the period of one year only."

11 396

The license tax is assessed as follows:

"Every corporation organized under the laws of any State or government other than the State of Vermont, and doing business in this State; every corporation organized under the laws of this State; and every association or joint stock company issuing shares of stock or that divides its corporate rights or property into shares, whether organized in this State or elsewhere, shall, except as hereinafter provided, pay an annual license tax to the State. Corporations organized solely for charitable, religious or educational purposes, cemetery associations, and all corporations having no capital stock or deposit as hereinafter defined, shall be exempt from the payment of the annual license tax.

"The word 'deposit' whenever used in this act touching any provision hereof relating to the annual license tax, is hereby declared to include all moneys or securities deposited with or held by savings banks, trust companies, savings bank and trust companies, savings institutions, building and loan associations, and all mutual or co-operative institutions for savings;

398 Ibid. §§ 44, 45.

all assets held by any corporation or association engaged in any commercial, manufacturing or other business, carried on in whole or in part upon the mutual or co-operative plan; and all assets held by insurance, surety, or guaranty companies or associations as surplus, or as necessary reserve under any contract of insurance, suretyship or guarantyship.

"Every corporation subject to the payment of the annual license tax and having capital stock or a deposit of fifty thousand dollars or less, is hereby assessed an annual license tax of ten dollars; and for each fifty thousand dollars or fractional part thereof of capital stock or deposit in excess of fifty thousand dollars, five dollars. But no annual license tax, except as herein otherwise provided, shall exceed fifty dollars.

"Such annual license tax shall cover the period of one year beginning with the first day of February, and shall be paid to the state treasurer on or before the first day of March in such year. If said annual license tax shall not have been paid on or before the first day of March the amount of such annual license tax shall be increased twenty-five per cent., providing such tax shall be paid within one month after becoming due; and fifty per cent., providing the same shall not have been paid within one month after becoming due. The commissioner of State taxes may in his discretion waive the penalties mentioned in this section, if he is satisfied that the default was on account of failure to receive blanks or for any other justifiable cause; and he may extend the time for filing returns or paying such tax not to exceed one month.3 397

"Every corporation existing under the laws of this State and subject to the annual license tax, shall within ten days after the date of its organization file its annual license tax returns with the state treasurer and commissioner of State taxes in the manner hereinafter set forth to cover the unexpired portion of the fiscal year commencing on the first day of February next preceding; and also shall pay to the state

397 Ibid. §§ 47, 48, 49, 50.