City of Amarillo v. Carter

• Decision Date: 18 May 1964
• Docket Number: No. 7358,7358
• Citation: 380 S.W.2d 177
• Parties: CITY OF AMARILLO et al., Appellants, v. Sid CARTER, d/b/a Carter Trucking, Appellee.
• Court: Texas Court of Appeals

Page 177

380 S.W.2d 177

CITY OF AMARILLO et al., Appellants, v. Sid CARTER, d/b/a Carter Trucking, Appellee.

No. 7358.

Court of Civil Appeals of Texas, Amarillo.

May 18, 1964.

Knneth W. Gentry, Amarillo, for appellants.

Neal, Hazlewood & Wolfram, Amarillo, for appellee.

CHAPMAN, Justice.

This is an appeal from a take-nothing judgment for Sid Carter d/b/a Carter Trucking rendered by the trial court against four taxing units; City of Amarillo, Amarillo Independent School District, Amarillo College District, and Amarillo Hospital District in a suit tried to the court for collection of alleged delinquent ad valorem taxes on trucks and trailers used by Carter in hauling cattle.

During the years involved Carter lived in Randall County within the Canyon Independent School District and outside of all the appellant taxing districts. During the three years involved, 1958, 1959, and 1960, Randall County and Canyon Independent School District assessed the equipment for taxes and Carter paid the taxes due on the assessment. The hauling equipment was utilized over fifteen states and was kept moving in so far as he could keep it in use on hauls. No effort was made by the taxing authorities to show the equipment was located within the boundaries of their districts on January 1 of any of the various years.

Before 1958, Mr. Carter was engaged in the feedlot business at Western Stockyards in Amarillo, Potter County, Texas, and within the territory of the three taxing units. He owned no real estate in connection with the operation and the feedlot business was a completely separate business to his hauling. Also, before 1958 he operated a service station on the Stockyards property, which he leased from Western Stockyards Company. Before 1958 he sold his interest in that project.

While operating the service station, he owned a small building built on skids called the 'Dog House' which was used as a shelter for truck drivers employed by many truck operators to get them out of the weather and out of the way of the service station attendants. Also, in connection with the service station operation it was necessary to provide considerable parking space for transient trucks, which area was located behind the service station on Western Stockyards property. Those trucks operated by individuals and companies in other counties and states were parked in the area just as were Carter's trucks. The 'Dog House' was sold when he disposed of his interest in the service station.

The basic constitutional authority in Texas for levying and collecting taxes such as here involved is contained in Article 8, Section 11 of the Constitution of Texas, Vernon's Ann.St., providing in part as follows: 'All property, whether owned by persons or corporations shall be assessed for taxation, and the taxes paid in the county where situated.'

The Constitutional provision with respect to taxation was implemented in August of 1876 by the first legislature which met after our Constitution was adopted by the people on February 15, 1876. In the first codification of 1879 Article 4676 provided: 'All property, real and personal, except such as is required to be listed and assessed otherwise, shall be listed and assessed in the county where it is situated,' thus using language very similar in meaning to that used in the Constitution.

The next codification in 1895 carried in Article 5068 the exact language as that just quoted in Article 4676 of the 1879 codification. Then in the codification of 1911 those articles just named were carried over into Article 7510 and enlarge to provide for listing and assessment of personal property temporarily and removed from the state or county.

In the codification of 1925, our present statute, Article 7153, the successor statute to 7510 of the 1911 codification carries the same language as Article 7510 of the 1911 codification.

The one point of error raised by the taxing units is that the trial court erred in rendering judgment for appellee because the evidence shows as a matter of law that the taxable situs of the trucks and trailers in question was within appellant's taxing districts for the years 1958, 1959, and 1960. To justify such contention appellants contend the common law rule of 'mobilia sequuntur personam' ¹ has been abrogated, arguing that because the trucks and trailers were located at the Western Stockyards part of the time that constituted the situs for the purpose of taxation under Article 8, Section 11 of the Constitution above quoted.

'The Constitution is not to be given a technical construction, but must be construed in an equitable manner, so as to carry out the great principles of the government.' Great Southern Life Ins. Co. v. City of Austin, 112 Tex. 1, 243 N.W. 778; Nolan v. San Antonio Ranch Co., 81 Tex. 315, 317, 16 S.W. 1064.

The first case just cited also holds that state constitutions shall be construed in the light of the common law.

Article 8, Section 11 of our Constitution states the taxes shall be paid where the property is situated. 'Since it had reference to the taxing power, it evidently meant property where situated for the purposes of taxation under the general principles of law as then understood,' ² the common law. Under such law 'mobilia sequuntur personam' was a well-established maxim and such personal property was taxable at the domicile of the owner regardless of its location. Great Southern Life Ins. Co. v. City of Austin, supra.

The City of Fort Worth attempted to collect taxes on part of the rolling stock of Southland Greyhound Lines, a corporation domiciled in San Antonio but with division headquarters in Fort Worth...