Chap. 117.—An ACT to amend and re-enact sections 8 and 9 of an act en-
titled an act to raise revenue for the support of the government and public
free schools, and to pay the interest on the public debt, and to provide a
special tax for pensions, as authorized by section 189 of the Constitution,
approved April 16, 1903, as heretofore amended, and to repeal an act en-
titled an act to amend and re-enact sections 8 and 9 of an act entitled an
act to raise revenue for the support of the government and public free
schools, and to pay the interest on the public debt, and to provide a special
tax for pensions, as authorized by section 189 of the Constitution, approved
April 16, 1903, as heretofore amended, approved February 18, 1915.

(S. B. 94)

Approved March 17, 1915.

1. Be it enacted by the general assembly of Virginia, That sections
eight and nine of an act entitled an act to raise revenue for the support
of the government and public free schools, and to pay the interest on the
public debt, and to provide a special tax for pensions, as authorized by
section one hundred and eighty.nine of the Constitution, approved April
sixteenth, nineteen hundred and three, as heretofore amended, be
amended and re-enacted so as to read as follows:

Section 8. The classification under schedule “C” shall be as follows:

First. Bonds, notes and other evidences of debt, including bonds of
other States than Virginia, bonds of counties, cities and towns located
outside of the State of Virginia, bonds of railroad and canal companies
and other corporations, bonds of individuals and all demands and claims,
however evidenced, whether secured by deed of trust, judgment or other-
wise, or not so secured.

The commissioner shall require each person, natural or artificial, re-
siding in his district, city or town, to make out and deliver to said com-
missioner a list in detail of the date, amount for which originally given,
but not the name of the debtor, the dates and amounts of the credits
thereon, the balance due, and the time of payment of all bonds, notes and
other evidences of debt owing to such person in excess of one hundred
dollars, and a statement of the aggregate amount of all bonds, notes and
other evidences of debt under one hundred dollars each. The auditor of
public accounts shall furnish the necessary blanks for such lists and state-
ments to the commissioner of the revenue.

The list and statement shall be signed and sworn to by the taxpayer
before the commissioner of the revenue or some notary public, or some
person authorized to administer oaths, who shall certify that said list
was signed and sworn to before him. The commissioner shall sign the
lists and determine the value of the bonds, notes and other evidences of
debt therein enumerated, subject to an appeal from his valuation to the
circuit, hustings or corporation court. The said list and statement shall
include bonds of railroad and canal companies, bonds of counties, cities,
towns located outside of the State of Virginia, and bonds of other States
and corporations, bonds of individuals, and all demands and claims, how-
ever evidenced, whether due or not, from debtors residing out of or within
the State, city or county, whether secured by a deed of trust or by judg-
ments or not, deducting from the aggregate amount thereof al] such
bonds, demands or claims not otherwise deducted owing to others as
such principal debtor, and not as guarantor, endorser or surety; but not
deducting any money that may be due to others on account of the pur-
chase of securities which are non-taxable; but no bond, demand or claim
constituting a part of the capital, as defined in this act, of the business
done out of this State, or any capital used by any merchant or manu-
facturer and taxed under this act shall be included in this section. No
credit shall be given for debts due nor deductions made unless such tax-
payer shall append to said list an inventory showing the persons and
address to whom said demands or debts are owing and the amount of
each.

The list and statement herein provided for shall be delivered by said
commissioner to the clerk of the circuit, hustings or corporation court of
his county or city, who shall file the same in his office, properly labeled,
keeping the list for each year separate. If any person, firm or corpora-
tion shall, with a view to evade the payment of taxes, fail or refuse to
make out and deliver under oath such list and statement as herein pro-
vided for of any such bonds, notes or other evidences of debt, then the
omitted evidences of debt shall not be recoverable by action at law or
suit in equity in any of the courts of this Commonwealth or by any legal
process, or by sale under deed of trust, or otherwise, until they shall have
been reported for assessment, and the taxes paid thereon for the years
that they should have been paid, with an addition of fifty per centum of
the amount of said unpaid taxes; and the failure to make out such list
and statement to the said commissioner shall be taken as prima facie
evidence of the intention to so evade payment of taxes.

But where in any action at law or suit in equity it is ascertained that
there are unpaid taxes and penalties on the evidence of debt sought to be
enforced, antl the suitor makes affidavit that he is unable to pay these
taxes and penalty, but is willing for the same to be paid out of the first
recovery on the evidence of debt, the court shall have authority to enter
as a part of any judgment or decretal order in said proceedings that the
amount of taxes and penalties due and owing shall be paid to the proper
officer out of the first collection on said judgment or decree.

Second: All capital of individuals, including moneys, credits or
other thing, loaned, used or employed in business out of this State.

Third: All capital of corporations, or incorporated joint stock com-
panies not otherwise taxed; and when all of such capital is taxed by this
State, the shares of such stock in the hands of individual shareholders
shall not be further taxed for State purposes; but real estate belonging
to such corporations and companies shall not be held to be capital, but
shall be listed and taxed as real estate.

Fourth: All capital of individuals invested, used or employed in
any trade or business not otherwjse taxed. Moneys and credits actively
used and employed in carrying on the trade or business, materials, goods,
wares and merchandise on hand and all solvent bonds, notes, demands or
claims made or contracted in the course of business during the preceding
year (but not including any moneys on hand received from loans made
for a period of not more than four months, which shall be owing and
shall have been actually contracted for the necessary conduct of such
business) shall be held to be capital in such trade or business, and shal]
not be taxed otherwise than as such capital; but real estate shall not be
listed as such capital, but shall be listed and taxed as real estate; pro-
vided, however, that nothing herein shall prevent cities and towns of this
Commonwealth from imposing a license tax on merchants, mercantile
firms or corporations, based on their purchases or otherwise, in pursuance
of their respective charters or general laws of the State for the govern-
ment of cities and towns.

Fifth: The value of the principal of personal estate and credits other
than money under the control of a court receiver or commissioner, in
pursuance of an order, judgment or decree of any court, or in the hands
or under the control of an executor, administrator, guardian, trustee,
agent or other fiduciary; and the principal of personal estate and credits
other than money deposited to the credit of any suit, and not in the
hands of a receiver or other fiduciary.

Sixth: All money other than money used or employed in any trade
or business not otherwise taxed on deposit with any bank or other cor-
poration or firm or persons, or in the possession or under control of the
owner, whether such money be actually in or out of this State and be-
longing to a citizen of this State, which shall include certificates of
deposit of any bank, banking associations, trust or security company, pro-
vided, that money as herein defined shall not be liable to taxation by any
of the counties, cities, towns, school districts or other local subdivisions of
this State. All money under the control of a court receiver or com-
missioner in pursuance of an order, judgment or decree of any court or
in the hands or under the control of an executor, administrator, guardian,
trustee, agent or other fiduciary; and all money deposited to the credit
of any suit, and not in the hands of a receiver or other fiduciary.

Seventh: All shares of stock of corporations or joint stock com-
panies, except such corporations and joint stock companies all of whose
capital is taxed by this State, or which pay a franchise tax in this State,
and banks, banking associations, trust and security companies, and in-
surance companies, which are otherwise taxed in this State.

Kighth: All bonds of counties, cities and towns, or other political
subdivisions of this State.

Section 9. The taxes on intangible personal property shall be as
follows: .

On all property embraced in classes one, two, three, four, five and
seven in this schedule there shall be a tax of sixty-five cents on every
hundred dollars of the assessed value thereof, which shall be paid into
the State treasury and applied to the payment of the expenses of the
government. And any city in this State may levy a tax on such property
assessed to residents therein at a rate not to exceed thirty cents on the
one hundred dollars of assessed valuation thereof ; and the board of super-
visors of any county may levy a district road tax on such property assessed
to residents in any magisterial district proposed to be taxed for district
purposes to be used exclusively for the construction and repair of public
roads and bridges located within the magisterial district in which said
levy is laid at a rate not to exceed thirty cents on the one hundred dollars
of assessed valuation thereof, but this clause shall not be considered to
authorize the board of supervisors of any county to levy such tax against
the residents of any incorporated town within such magisterial district
which maintains its own roads; and any incorporated town in this State
which is exempt by statute or by the express provisions of its charter from
the payment of district road taxes, or which maintain its own roads free
of expense to the magisterial district, may levy a tax on such property
assessed to residents therein at a rate not to exceed thirty cents on the
one hundred dollars of assessed valuation thereof.

On all property embraced in class six in this schedule the tax shall
be as provided by law. On all property embraced in class eight in this
schedule there shall be a tax of thirty-five cents on every one hundred
dollars of the assessed value thereof, which shall be paid into the treasury
of the State; provided, however, that from and out of the tax on all such
property paid to and retained by the State for the expenses of the State
government there shall be set aside ten cents on every hundred dollars
of the assessed value thereof, which shall be applied to the support of the
public free schools of this State; provided, further, however, that in the
event any taxpayer shall fail, without just cause shown, to return for
taxation any intangible personal property under the provisions of this
schedule within the time prescribed by law, and it is ascertained there-
after that any such property has not been returned for taxation, it shall
be assessed when discovered, and taxed at the full rate of taxation pro-
vided for real estate in this State, which shall include the State rate and
the local rates and levies of the county, district, town or city wherein
the owner or taxpayer has his legal residence. The provisions of this
section of this schedule shall apply with equal force to any person or
corporation representing in this State business interests that may claim
a domicile elsewhere, the intent and purpose being that no non-resident
person or corporation, either personally or through any agent, shall
transact business here without paying to the State a corresponding tax
with that exacted of its own citizens, and all bills receivable, obligations
or credits and other intangible assets arising from the business done in
this State are hereby declared assessable within this State and at the
business domicile of said non-resident person or corporation, his or its
agent or representative.

2. The provisions of this act shall apply to the assessment and col-
lection of State taxes and local levies for the year nineteen hundred and
fifteen, and thereafter until otherwise provided by law.

3. Be it further enacted by the general assembly of Virginia, That an
act entitled an act to amend and re-enact sections eight and nine of
an act entitled an act to raise revenue for the support of the government
and public free schools and to pay the interest on the public debt, and to
provide a special tax for pensions, as authorized by section one hun-
dred and eighty-nine of the Constitution, approved April sixteenth, nine-
teen hundred and three, as heretofore amended, approved February eigh-
teenth, nineteen hundred and fifteen, be, and the same is hereby repealed.

4. All acts or parts of acts inconsistent with this act are hereby
repealed. |

5. The collection of the public revenue for the current year being
affected, an emergency is hereby declared to exist, and this act shall be
in force from its passage.