Columbia Ry., Gas & Elec. Co. v. Query

• Decision Date: 06 April 1926
• Docket Number: 11950.
• Parties: COLUMBIA RY., GAS & ELECTRIC CO. v. QUERY et al., Constituting the South Carolina Tax Commission.
• Court: South Carolina Supreme Court

132 S.E. 611

134 S.C. 319

COLUMBIA RY., GAS & ELECTRIC CO. v. QUERY et al., Constituting the South Carolina Tax Commission.

No. 11950.

Supreme Court of South Carolina

April 6, 1926

Appeal from Common Pleas Circuit Court of Richland County; C. C Featherstone, Judge.

Action by the Columbia Railway, Gas & Electric Company against Walter G. Query and others, constituting the South Carolina Tax Commission. From a judgment for defendants, plaintiff appeals. Affirmed.

J. B S. Lyles, of Columbia, for appellant.

John M Daniel, Atty. Gen., and Cordie Page, Asst. Atty. Gen., for respondents.

WATTS J.

"This is an appeal from an order, dated March 31, 1925, dismissing the complaint brought to recover $211.20, being the amount of tax assessed against plaintiff under section II-A of the Act Approved March 26, 1923, and entitled 'An Act to Raise Revenue for the Support of the State Government.' 33 Stat. 12.

"This amount was one mill on the receipts of plaintiff corporation from the sale of gas and electricity during the months of May and June, 1923, and was assessed against plaintiff under section II-A of that statute, commonly known as 'Manufacturer's Tax Act.' The amount was paid under protest and this suit brought as provided in section 22 of the statute.

"The case was heard on the complaint and answer, together with certain exhibits filed, and the admissions made by plaintiff's attorney as stated in Judge Featherstone's order. The circuit court ruled that plaintiff was engaged in the business of manufacturing within section II-A as to both its gas and electric business, and must pay that tax on the entire receipts of both of such departments of its business."

The three exceptions present the single question whether the plaintiff is "engaged in the business of manufacturing," with reference to its gas and power business, and whether it must pay the manufacturer's tax on the gross receipts from those businesses under section II-A of the act of 1923.

The Columbia Gas Light Company was chartered by an act of the Legislature in 1852 (12 Stat. 184). Section 2 of that act provides:

"That the said corporation shall have full power and authority to manufacture, make, and sell gas, to be made of rosin, coal, oil, turpentine or other material, and to furnish such quantities of gas as may be required in or near the town of Columbia, for lighting the streets, stores, manufactories, and buildings," etc.

The Congaree Gas & Electric Company was incorporated by special act of the Legislature, December 24, 1887 (19 Stat. 1103). Section 2 of this act is as follows:

"That said corporation shall have full power and authority to manufacture, make and sell gas, to be made of rosin, coal, oil, turpentine, or other material, and to furnish such quantities of gas as may be required in or near the city of Columbia, for lighting the streets, stores, manufactories and buildings there situate, and for heating and other purposes; to lay pipes or other conductors for conducting gas through the streets, alleys, lanes and squares of the city of Columbia aforesaid, or its vicinity; and the said corporation shall have full power and authority to carry on and conduct the business of using electricity for any purpose, and of manufacturing light, heat and power, or either or all of them, by electricity or any other agent or agents whatsoever, within the said state and to the inhabitants thereof, for lighting and heating and streets, roads, lanes, alleys, avenues and public grounds of the

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