Henry v. McKay

• Decision Date: 24 September 1931
• Docket Number: 23366.
• Citation: 164 Wash. 526,3 P.2d 145
• Court: Washington Supreme Court
• Parties: HENRY v. McKAY, County Treasurer.

3 P.2d 145

164 Wash. 526

HENRY v. McKAY, County Treasurer.

No. 23366.

Supreme Court of Washington

September 24, 1931

Department 2.

Appeal from Superior Court, Snohomish County; Ralph C. Bell, Judge.

Proceedings by Verne C. Henry, executor of the estate of Mercy B. Ford deceased, against John R. McKay, for a writ of mandate to compel defendant, as treasurer of Snohomish County, to accept money tendered as full payment of certain taxes and interest thereon. The writ was granted, and defendant appeals.

Affirmed.

Charles R. Denney, of Everett, for appellant.

John H Dunbar and John A. Homer, both of Olympia, for respondent.

MILLARD J.

The General Tax Code (chapter 130, pp. 227-324, Laws Ex. Sess 1925) passed by the Legislature in 1925 was a complete re-enactment and revision of the laws regulating the assessment, levy, and collection of taxes. Section 83 of that Code provided that all taxes upon real property became due and payable on or Before May 31st in each year; that after that date the taxes were delinquent, and interest at the rate of 12 per cent. per annum upon such unpaid taxes from the date of delinquency until paid was required of the delinquent property owner. The section further provided that if payment were made of one-half of the tax on or Before May 31st, the time for payment of the remainder of the tax would be extended and would not become delinquent if paid on or Before the 30th of the following November. Section 83 reads as follows: 'The county treasurer shall be the receiver and collector of all taxes extended upon the tax rolls of the county, whether levied for state, county, school, bridge, road, municipal or other purposes, and also of all fines, forfeitures or penalties received by any person or officer for the use of his county. All taxes upon real property made payable by the provisions of this act shall be due and payable to the treasurer as aforesaid on or Before the thirty-first day of May in each year, after which date they shall become delinquent, and interest at the rate of twelve per cent per annum shall be charged upon such unpaid taxes from the date of delinquency until paid: Provided, however, When the total amount of tax payable by one person is two dollars or more, then if one-half of such taxes be paid on or Before said thirty-first day of May, then the time of payment of the remainder thereof shall be extended and said remainder shall be due and payable on or Before the thirtieth day of November following; but if the remaining one-half of such taxes be not paid on or Before the thirtieth day of November, then such remaining one-half shall be delinquent, and interest at the rate of twelve per cent per annum shall be charged thereon from the first day of June preceding until paid: Provided, further, There shall be an allowance of three per cent rebate to all payers of taxes who shall pay the taxes on real property in one payment and in full on or Before the fifteenth day of March next prior to the date of delinquency. All rebates allowed under this section shall be charged to the county current expense fund and all collections from penalties and interest on delinquent taxes shall be credited to the current expense fund.'

The foregoing section was amended by chapter 113, page 341, Laws 1931, as follows:

'Section 1. That section 83 of chapter 130 of the Laws of the Extraordinary Session of 1925 (section 11097-83 of Remington's Compiled Statutes, 1927 Supplement) be amended to read as follows:

'Section 83. The county treasurer shall be the receiver and collector of all taxes extended upon the tax rolls of the county, whether levied for state, county, school, bridge, road, municipal or other purposes, and also of all fines, forfeitures or penalties received by any person or officer for the use of his county. One-half of all taxes upon real property made payable by the provisions of this act shall be due and payable to the treasurer as aforesaid on or Before the thirty-first day of May in each year, after which date such one-half shall become delinquent, and interest at the rate of ten per cent per annum shall be charged upon such unpaid taxes from the date of delinquency until paid; the other one-half of such taxes shall be due and payable to the treasurer as aforesaid on or Before the thirtieth day of November in each year, after which date such remaining one-half shall become delinquent, and interest at the rate of ten per cent per annum shall be charged upon such unpaid taxes from the date of delinquency until paid: Provided, however, When the total amount of tax payable by one person is two dollars or less, then all of such taxes shall be due and payable to the treasurer as aforesaid on or Before the thirty-first day of May in each year, after which they shall become delinquent, and interest at the rate of ten per cent per annum shall be charged upon such unpaid taxes from the date of delinquency until paid: Provided, further, There shall be an allowance of three per cent rebate to all payers of taxes who shall pay the taxes on real property in one payment and in full on or Before the fifteenth day of March next prior to the date of delinquency. All rebates allowed under this section shall be charged to the county current expense fund and all collections from penalties and interest on delinquent taxes shall be credited to the current expense fund.'

The 1931 amendment, which went into effect at midnight June 10, 1931, provides that only one-half of all taxes upon real property shall be due and payable on or Before the 31st day of May in each year. After that date one-half becomes delinquent and interest at the rate of 10 per cent. per anum shall be charged upon such unpaid taxes from date of delinquency (June 1st) until paid. The other one-half of such taxes becomes due and payable on or Before the 30th day of November in each year, after which date such remaining one-half becomes delinquent and interest at the rate of 10 per cent. per annum shall be charged on such unpaid taxes from date of delinquency (December 1st) until paid.

On July 10, 1931, one month subsequent to the date the 1931 amendment became effective, the plaintiff executor tendered to the treasurer of Snohomish county the full amount of the real property tax levied against the estate of Mercy B. Ford, deceased, for the year 1928, plus interest thereon to date of tender at the rate of 10 per cent. per annum on one-half from June 1, 1929, and on the other one-half from December 1, 1929; and tendered in payment on the 1930 tax one-half of the full amount of that tax plus interest to the date of the tender at the rate of 10 per cent. from June 1, 1931.

The treasurer rejected the tender on the ground that the amount of interest tendered on the 1928 tax did not include interest at the rate of 12 per cent. per annum on the entire tax from June 1, 1929, to June 11, 1931, and at the rate of 10 per cent. from June 11, 1931, to date of tender. The tender of the 1930 tax was refused by the treasurer for the reason that the tender did not include interest from June 1, 1931, to June 11, 1931, at 12 per cent. instead of at 10 per cent.; and on the further ground that he was not authorized to accept payment of one-half of the 1930 tax at the time the tender was made.

Plaintiff instituted proceedings in the superior court for Snohomish county for a writ of mandate requiring the county treasurer to accept the money tendered in full payment for taxes levied for the year 1928 and as payment for the first half of the taxes levied for the year 1930. The demurrer to the complaint was overruled. Defendant refused to plead further, whereupon an order was entered directing the issuance of a writ of mandate requiring the treasurer to receive in full payment of the taxes and interest the amounts tendered by the plaintiff. The defendant has appealed.

Appellant contends that the 1928 delinquent taxes should bear interest at the rate of 12 per cent. from June 1, 1929, until June 11, 1931 (the date the 1931 amendment went into effect), and should bear 10 per cent. interest after that date; that the entire amount of the 1930 taxes should bear interest at the rate of 12 per cent. from June 1, 1931, to June 11, 1931 (the date the amendment became effective), and that from and after June 11, 1931, one-half of the 1930 taxes should bear interest at the rate of 10 per cent. per annum. It is argued that statutes are not retroactive unless they expressly so provide; that there is nothing in the amendatory statute providing that it shall operate retrospectively; and that to sustain the trial court's interpretation of chapter 113, Laws 1931, is to make the statute retroactive in its effect. 'It is true that to interpret the law as the trial court has done is to merely make the provisions of the present law applicable to all taxes; but surely the rate of interest of twelve per cent. which was the law until June 11, 1931, attached to those taxes and is payable even after the new law went into effect. Appellant does not contend that the Legislature does not have the power to reduce the interest upon back taxes but it is appellant's contention that the Legislature has not done so by Chapter 113 of the laws of 1931.'

Section 83 of the 1925 Tax Code provided that all taxes upon real property should become due and payable on or Before May 31st in each year; that after such date the taxes became delinquent and interest at the rate of 12 per cent. per annum was to be charged upon such unpaid taxes from the date of delinquency until paid; that when the tax was in excess of $2 if one-half of the tax were paid on or Before the 31st day of May, the time for payment of the remainder would be extended and would not become delinquent if paid on or...