Appeal of Carolina Quality Block Co., 694

• Decision Date: 20 June 1967
• Docket Number: No. 694,694
• Citation: 270 N.C. 765,155 S.E.2d 263
• Parties: Appeal of CAROLINA QUALITY BLOCK COMPANY from the Valuation Placed on Property by Guilford County.
• Court: North Carolina Supreme Court

Page 263

155 S.E.2d 263

270 N.C. 765

Appeal of CAROLINA QUALITY BLOCK COMPANY from the Valuation

Placed on Property by Guilford County.

No. 694.

Supreme Court of North Carolina.

June 20, 1967.

Ralph A. Walker, Greensboro, for Guilford County, respondent-appellee.

PLESS, Justice.

Although no reference is made to it in the briefs, we find that there has been in existence since 1931 the following statute:

G.S. ' § 105--428. Basis of tax valuation.--All motor vehicles shall be valued or appraised for purposes of taxation upon the rule or standard of valuation established by 'The Automobile Blue Book,' or any other standard of value which may be reasonable, equitable and just.'

The succeeding statute provides that it shall apply to many counties, including Guilford. Apparently this statute was not known to the Tax Department of Guilford County since in the testimony of Mr. C. R. Brooks, Tax Supervisor of Guilford County, he stated 'The statute neither authorizes any blue book or red book or anything as set out in any blue book or red book, neither does it prohibit the use of any blue book or red book.'

Throughout the record and the evidence, the articles in question are described as 'White trucks' which were to be used as components of transit-mix concrete trucks. The 'all motor vehicles' referred to in the statute includes trucks.

Ervin, J., speaking for the Court, in Jernigan v. Hanover Fire Insurance Co., 235 N.C. 334, 69 S.E.2d 847, stated:

'Common usage has made the words motor vehicle a generic term for all classes of self-propelled vehicles not operating on stationary rails or tracks. As a result, all automobiles are motor vehicles. Bethlehem Motors Corp. v. Flynt, 178 N.C. 399, 100 S.E. 693. But the contrary proposition is not true. The term motor vehicle is much broader than the word automobile, and includes various vehicles which cannot be classified as automobiles. 60 C.J.S., Motor Vehicles, § 1.'

And when the statute provides that they shall be valued 'upon the rule or standard of valuation established by 'The Automobile Blue Book,' Or any other standard of value which may be reasonable, equitable and just,' it would follow, at least by analogy, that the use of the 'Truck Blue Book' would be permissible--either upon the theory that the term 'Automobile Blue Book' is sufficiently broad to include the Truck Blue Book or that the Truck Blue Book is 'a standard of value' which may be reasonable, equitable and just.

The evidence of Mr. Brooks was that the Truck Blue Book gave three figures as to each model and type of truck. The first was the cost, the second was the retail value, and the third was the finance value. The retail value was just a few percentage points less than the cost, but the finance value was approximately two-thirds of the cost.

He further said that 'When a person lists his taxes (for cars), the appraised value is the average retail price published in National Market Report's red book for cars. The blue book is for trucks. We do not then set a ratio at 70%. We use the average finance value from the book, which is 66 2/3% Of...