Untitled Texas Attorney General Opinion

OFFICE OF THE AfToRNEY GENERAL OF TEXAS AUSTlN Honorable L. P. Beard County Auditor Bell oounty Belton, Texaa Dear Sir: Opinion PO. O-3702 Rer Situa of taxation of road bulldingaquf~ntbelong- 3.q to l rerldent of Beu; county Ye are la reaelpt OS your letter in whlah you re- quert the opinion of thir department on the faatr ret out am follawrc “My dtentlon bsr beea aallsd to the fast that we heve a road aontraatoror builder in Bell County, or rather thlr 18 hia hostsand plaa8 of resldenae,who haa not rendered hl8 road bulldlag equipment to Bell Oounty for Ad valorem tax purporer. ?Ilr aontention18 that the equI.pment iraa not in Bell county on the lat. 0r atwry or the 1st of the year and for that reamn lr not rubjeat to being rendered for tax purposes ln Bell oounty. %Ul ppu pleame advile me under there aonditions If this pxwpertg la aubjeet to be- lng arrerred ln Bell 3 our&y for tar purposes.” Seotion 11 of Artiole VIII of the Conetltutlanof Texas provide8 aa follow: mnorable L. P. Heard, p-e 2 "All property, *ether awed by paraag~ or aorporatlonaahall be aaaeaeed for taxation, and the taxes paid in the oounty rlberealtwit- sd, but the Leglalaturemay, by a tvo-thlrda vote, authorire the payment of taxer of aon- residents of oouatlea to be made at th4 office of the Comptrollerof Pub110 haoouata. And 611 lands and other property not rendered for tPurt1w.sby the ovn4r theraof akmll b4 la nea a - ed at lta i%lr value by the proper offlaer." Artlole 7153 or the Revised Civil Statutes pro- tides as f’ollovar aAll property, real 8nd personal, eraopt mah as la required to be listed and ara~aeed othervise, ahall be listed and 488488ed in the oountyvhepe it la eltuated~ and all per- aanal property, aubjaat to taxation and tom- porarlly removed from the State or aounty, shall be listed and la8eaaed in tha aoaaty of the residence of the ornor thereof, or la the aounty vhere the prinalp41 ofti4e of au4h ovner la altuPtsd.* The road bullbing egulmeent you refer to la alaaa- 4d as tPngible peraonal property. T h e g e wr a l rule as to th e lltw o f taxation o f tsngfblo pereunal property v48 stated the Glpra4 court of Tame in the oaae of Qreat Southern% s4 Ia4uP4n44 oam- ~~v;,City of Austin, 243 le.W.,778. The aourt raid ar “Underthe ocnmon law, 'rabllla aeauuntur p4raomm~ vaa a vell-eatablbliahed mxlm, and personal property of every d444tiptionne taxable only at ths dmlaile of its ovaer, reg~dleaa of its a4tu4l laaatian. This la atlll the baa14 priaalple upan vhl.ohthe tuta- tlon of personal property rests. . . . I) It is true that the aatu4.laitua of cer&&'alaaasa of vlalble aridtwkble Honorable L. P. Heard, page 3 personal property, as vell as intangiblepro- perty having d.mllar charaateriatlbr,as, for example, money, Rtate and munloipal bonds, circulatingbank notes, and shares of stock in private oorporatlone,may have a altua for taxation vhere they are permanentlykept, aepcrrateand apart from the domiaile of the ouner. . . ." The rule of lav applloable in Texaa.la, therefore, that tangible personal property la taxable in the oounty of the dorialle of the omer unless the property has acqalred a permanent fixed lltua of its ovn separate an8 apart from that of the aountg of the ovwr~a domialle. %ere temporary abaenae fror the oounty of the ovner~a domlalle does not give trngible personal property a taxable altw in another oouat and remwe It from taxation in awh eountf of the ovwr 7a domlalle. This vaa pointed out by the Port Worth Court of Ulvll Appeals in the wee of City of Fort Worth v. Southland ffreyhoundLines, 62 8.W. 954, In that aaae the City of Fort Worth attempted to tax the motor bwaea of tbe Southland OrayYzoundLlaea, Ino., a aorporatlm vhoae ple4e of domlolle and prinolprl pl8ee of bualneaa vaa Bexar County, Texas. The aourt held that the footi that the busses operat- ed tempomrlly through the City of Fort Worth did not render then lubjeot to ttuatlon in Tnrrant County. The fast th+t the buaaea operated temporavAly~Ln a number of oouutlea plawd them in auab a eategory that they vere taxable only in Hexar County, Texw, the aountp of the oo~poratlon~a domialle. The reason for thiu yam beoauae the busses as tangible personal property had aoqulred no t-able altua in any other aounty. Boxever, in a ease vbere tamgible personal property does roqilire a permanent situ8 in a aounty other than the ooltstyof the ovner*a domlalle in relation to the tax year in qwation such property la taxable ia the county vhero the sake is actually located. The Court of Cioil Appeals of Texas Ln the oaae of Clampitt v. Johnson, 42 S.Y. 866, atat- ed as follova: "It 18 quite certain from the testimony in this oaae that appelleea moved their oattle Honorable L. P. Heard, page 4 TV?Sterling county intending to pasture them there until the following spring. The drought ln Runnele county had 80 seriously affected the range as rendered it neceeeary for them to proaure a range elecwhere. The cattle were moved in November, and it is a matter of cram- mon knowledge that new grass does not spring up and grow to any considerableextant in this etate ln the months of November, December, Jpnuary, and February. Hence we aa that it is reasonably certain that appel9&es’ pur- p;o; ?h~ to keep the cattle in Sterling County x tL;x thcg plaacd them there until the following spring, and this purpose vaa oarrled out, as shown by the agreed facts; and vhlle live atouk may be in a partlaular county un- der such alrcumatan~eras vi11 not render them aubjeot to taxation In said county, as, for tietanae, while being driven through the oounty, or held there temporarily for the purpose of sale or trade, still we are aat- isfled that the aattle referred to in this ease were situated in Sterling c?ountyon the 1st say of January, 1894, within the meaning of the tas laws, and were therefore subject to taxation In said oounty.' The test in each case vaa eat out by the &?lveaton Court of Civil Ap eala in the oaae of City of Galveston v. Haden, 214 S.W. 7g6. The Court stated aa follower "The law seems to be well settled In Texas ttlattha proper place to tax peXYVJna1 property le the resideme of the ovner, pro- vided it has not aoqtired a altua for purpoaes of taxation elsewhere, in whloh inatanae It la to be taxed where situated. ConIltltution of Texas, wt. 8, I 11; R.3. arta. 7510 and 7514~ City of Austin v. Xnauranoe Co., 21X S.W. 482. Indeed, the oaoea oLted in the foregoing Oon- cluaione so hold, partioularlythe ouffey Case, with reference to such phyeloal property as is here involved, and both litigants appear to proceed upon the assumption that such is Eonorable L. P. Heard, page 5 the rule, differing only aa to vhether thlo property van shovn to have a tltua where lo- cated. The question, then, u9on thin feature of the aase turna in thir court, on vhether or not the evidence vaa lrufflclentto support the trial court’s fX.ndlngthat the 9ro9ertg aa to vhiah any reeorery SOF taxbe war denied had in fast acquired a rltus outside of the alty of GRlveeton, vhere it8 ovnec realded.’ By way of appliaatlonof the above authorltleeto .the situation you present, the iact that the road equlplnent VW out of Bell County on the lrt day of January, ir not a fast vhbh ln ItrelP 9reventr the property froaabeing tarablo in Bell County. If the road build- eqUlgment has been lltua- ted in another oounty on a permanent baela In relation to the taring year In question then the r~ae vould be taxable In the eouuty vhere actually rituated and not’in Bell County. Siovevor, i? ouch road equIpkent, a8 Ir the ordinary same, la wed and awed from one oounty to snothor to vork on partlouler jobs, aad rwh equl9ment never auqulrer OZIaotual ritur in any county other than the ovner’r domiaile, then uuder the lava of thir Nate it Is ow 09lnlon the same vould be taxable in Bell aounty. We trust that the foregoing fully awvers your ln- W-Y. Yours very truly Al'T~.BY OBT@i$ALof TEXAS