Untitled Texas Attorney General Opinion

OFFICE OF TNE ATTORNEY GENERAL OF TEXAS AUSTIN ,‘- ‘. FJ Ronorebls Char147 Lookhart State Trearurer Austin, Texrr I Dear Slrr Opinion Elo. O-i32 rnon(e Annotated Ci+- ua the rou rubyit to ‘~mag ae8h- n their iarm, unt that vlll be on well, isetal- an4 otherwkre e- Are thee* he State Hate fax?* graph la ddotion R oi &tWle ?04?e, Btatutrr, read8 l e tolZowr herein otherwire provided there arsrrrrd a tax of Ten (&Of) Centa drod ($100.00) Dollara or fraatlon thereof, over the first Two amarea ($200.00) Doilaro, on all noter mb ob21g4tloae 4eoucsd br ohattel mmt- gag4, area of trwt, me4h.anlo~e lien eontreot, ronaor”r lien, oonditional ml48 aontmat and all lnrtrumontr of a 8lmilar nature whioh ire film3 or recorded U the ‘-. 70 Honorable Charley Lockhart, page 2 office of the County Clerk under the Reglstratlon Laws of this State; ?irorlaen that no tax ehall be levied on Instrument0 securing an amount of Two Run- dred ($200.00) Dollars, or less. After thr effective date of this Act, except as’herelnafter provided, no such instrument ahell be fllea or recorded by any County Clerk in thle State untll there haa been af- fixad to euoh instrument stamps in aocordanoe xlth the provlalona of thlr eeotlon: providing further that !:’ should the lnatrument flied in the office of the County Clerk be eecurlty of an obligation that has prop- erty pledger? 8s aeourlty ln a state or Stater other than Texas, the tax ehall be baaed upon the reasonable cesh value of all oropertp pledged ln Texas in the proportion that sald droperty in Texsr beam to the total relue of the prorterty seourlng the obligation; end, provldlng further that, exoept as to renewals or extenslone of accrued interest, the provlalone of this seotion ahal. not apply to lnetrumente there- tofore stamped uniier the provisions of thla Aot or the one amended hereby, end rhe.11 not apply to in- etrumenta given in the refunding of existing bond8 or obllgntloas where the preoealng lnetrument of LO- ourlty was mtamDed In eooordanoe vlth this Act or the one emended hereby; provided further thst the tax levied in this Pot ehell apply to only one lnstru- Bent, the one of the greatest denomlnatlon, where sever81 Instruments are oontemporaneourly exeouted to eeoure one obligation; and provided further that when once stamped e8 prorlded herein, an lnatrument may be recorded in any number of counties in thir State vlthout ngeln being 60 stamped. This section ehell not apply to lnetrumentrr, notes, or other obligations taken by or on behalf of the United Stetee, or of the Stste of Texae, or any oorporrte agency or ln~trumentallty of the United Statee, or of the Stete of Texee in carrying out a governmental purpose am expressed In any Act of the Congreas of the United State6 or of the Legleleture of the State of Texas, nor ohall the prorislona of this aeotloa apply to obligations or lnetrumente seoured by lien6 on crone nnd ferm or agricultural ?roauots, or to liventook or farm lmplementr, or en abatraot of Judg- ment.# As you will note from 8 reading of the above, aeohanlo’a llen oontraote ere within the etetute. We presume thet the lnetrueents to which you refer are written contraota flled under Seotlon 1 of Artiole 5433, R. C. S. or in oomollance with Artlole Honorable Charley Loakhart, nage 3 5460, R. c. s. Such Instruments clearly fall within the meaning of the term lmeohenIo's lien oontract' ea used in the ete,tute quoted above. Said Aot provides that 'except es hereinafter provided no ruoh lnatrument ahall be filed or recorded . . . until there haa been afflxed to suoh Instrument stamps in aocordanoe with the QrOViEiOn8 of thle reotlon.* Reed.lng down into the Act we f’,al nothing to take these pertlouler lnstruaente out of the operation of the taxing atetute. The lrrlgatlon well oould under no olroum- atanoes be conridered a farm lmclement or a farm or agrloul- tural product. While it le altogether orobablp that the equlp- ment when installed could not be olarned es "farm lmplementr' we do not find it neceesery to tleflnltely determine that quer- tlon. In our Conference ODinIon No. 3061 we held that where the eeourlty 1s primarily of the kind whioh will not confer ex- emption the mere lnolurlon of farm implements in the mortgage would not take the lnetrument out of the taxing etatute. Llene of the Und you mention go not only to the lmprovenentn plaoed on the land but to the land ltaelf. Artloles 6452, 6488, 5459, 5460, Revised Civil Statutea. Aenoe, we enewer your queetion Sri the negative. Youre very truly ATTORBEXQEB-XRALOF TEXAS ByL&CLII: alenn B. Lewis ORL: JO Aseletent