Untitled Texas Attorney General Opinion

R-949 E ATTORNEY GENERAL Q,F TEXAS Overrules opinion dated 5/24/37 to Cecil Ii.Bird Au~~IN~~.-I~xAs Comptroller'sDept. PRICE DANIEL ATTORNEY GENERAL December 3, 1947 Hon. Geo. R. Sheppard Comptroller of Public Accounts A uatin, Texaa Opinion Ro. V-440 Re: Whether half sister Is included in the classifioatlonof sister for inherit- ance tax purposes Dear Sir: By your letter of Rovember 21, 1947, we are advised of the following facts: "This department has fixed and assess- ed an Inheritancetax against the eatate of Leo T. Cone, late a resident of ffonxales County. The estate, under the terms of the will of the deceased, was devised to two sisters, 8 brother and a half sister, and when applying the exemptionsallowed under the statutes, this departmentallowed a full exemptlon of $10,000 each to the sisters of the full-blood,but only allowed an exemption of $5,000 to the slater of the half-blood. "The exemption allowed the sister of the half-blood Fs now In controversywith the At- torney of Record, Mr. Ii.1. Miller of Gonzales, Texas. . . ." We are further advised that the value of the property passing to the half sister was less than $25,000 and that the tax was computed at the rate of 3$ of the value In excess of $5,000. You state that your ruling was based on an Opinion of this Department rendered in 1937 and request that we reconsider the holding of that Opinion. Article 7117, Ch. 5, Title 122, V.C.S., imposes an inheritancetax "In accordancewith the following clas- sifications". The Articles which follow establish differ- Hon. Geo. Ii.Sheppard - Page 2 (v-448) erent classes, define those within each class, state the exemption to which the members of the partfeularclass are entitled,and impose a tax upon the amount in excess of the applicable exemption in fixed percentagesfor va- rious value brackets. These brackets and percentages vary for each class. Article 7120 provides that "if passing to or for . . . the use of a brother or sister or a direct llneal desoendant of a brother or slater, of the decedent, the tax shall be three per cent of any value In exoess of ten thousand dollars and not exceed- ing twenty-fivethousand dollars; . a ." The ascending rate of tax on other value brackets follows. If brothers and sisters of the half blood do not come within thls class, they are relegated to the category of "any other person" and embraoed by the terms of Article 7122. #em- bers of the class establishedby Article 7122 receive an exemption of $500 and are taxed at 5s on any value in excess of $500 and not exceeding $lO,OOO, wtth stated ln- creases in the peroentage of the tax as the value braoket rises. The DepartmentalOpinion on whiah your ruling was based states that "our Inheritancetax law operates In dipect relation to the laws of descent and distrlbu- *" and In holding that a tion Fn effect in Texas . . .) brother of the half blood was entitled to half the ex- emption accorded a brother of the whole blood, the writer undoubtedlyhad in mind the provisions of Article 2573, V.C.S., whloh states that "where the fnherltance is directed to pass to collateral kIndred of the intes- tate, if part of s.uchcollateralbe of the whole blood, and the other part of the half blood only of the intes- tate, those of the half blood shall InherLt only half SO much as those of the whole blood; e o *" However, it Is obvious that an allowance to 8 half slsl;~3~ of only one- half'the Exemption allotted to a'brother or a sister of whole blood, but a computation of the tax at the rates stated for the latter class, as was done in this case, gives a hybrid result for which there can be no posstble justificationunder any theory- Moreover, we think It is apparent that the creation of a different exemption with or without a different tax rate is, in effect, the creation of a different class and an act which lies only in the power of the Legislature. A half sister is either within the class created by Article 7120 or out of it; and if out of It, must, as aforesaId, be relegated to "any other person" and the class created by Article 7122. Hon. Oeo. H. Sheppard - Page 3 ,(~-448) Various authoritieshave defined the ‘terms “brother’and “sister” as Including "hslf brother" and “half sister”. ColrpusJuris, Vol. 9; pp. 679, 680, and Vol. 58, PP. 739, ebster*s BlewIntbrtitibtilMb.- ;:,“zioiei ~&&dth~&WSupreme Court of Texas in 16% terms are general, and those of the half as well as those of the whole blood come striotly within their scope and slgniflcatioti.”Marlow v. fin&, v& 177. See also Watkins et al v’.Blount 94 S Y . . Although no Texas case has construed ihe te&s as used In the lnherltame tax statutes; we see a’o reason why the same constrwtlon would not be applied. This Is the view of’the Supreme Court of Colorado, and the opip- ion contains an excellent summary and analysis of the authorities. People V. Elllff, 219 P. 225. The result of Including “half brothers” and “half sisters” within~ the classlficatlonof “brothers”and “sisters” Is more- over in line with the Texas decisions whioh adhere to the establishedrule requiring that words in common we when found in a statute must be given the sense ih which they are ordlnarlly used, T. k P’.Ry Co. v. Railroad’ Commission of Texas, 105 Tex. 393 l;O S.W. 878 Qd with the pronouncements.of our co&s to the efiett that inheritancetaxes are special taxes and that the statutes Imposing same will be construed strictly against the tax- 1% power. Lewis, Assesaor.et&v. O’Halr, 130 S.W. (2) 379. You are therefore advised that a half sister properly falls within the olasaifioatlonof Artlole 7120 and Is entitled to the same exemptionand same tax ratea as a sister of whole blood. The Opinion of this Offioe dated May 24, 1937 addressed to the Hon. Ceoll H. Bird of the Comptroller’s Department is overruled. SUNMARY In computing Inheritance taxes due by virtue of Ch. 5, Title 122, V.C.S., a half sister should be ~placedin the sa.meclas- slficatlonas a sister. Harlov v. King 17 T. 177; People v. Elllff, 219 P. 225,‘and authoritiescited therein. The Opinion of. Hon. Geo. H. Sheppard - Page 4 ,,(V-448) this Offlae dated May 24,,,1937addresaed to the Bon; Cecil H. Bird of the ~ComptPoller~s Department Is overruled. Youra very truly ATTORREYGERFlRALOFTKXAS Bra-Mrs. MariettaaCreel MC/erc/lh Assistant APPROVED: