In re Otto F. Lange Co.

CourtUnited States District Courts. 8th Circuit. Northern District of Iowa
Citation159 F. 586
Decision Date12 March 1908
PartiesIn re OTTO F. LANGE CO.

159 F. 586

In re OTTO F. LANGE CO.

United States District Court, N.D. Iowa, Eastern Division.

March 12, 1908


[159 F. 587]

P. J. Nelson, Co. Atty., for Dubuque County.

Mullany & Stuart, for trustee.

REED, District Judge.

The Otto F. Lange Company, an Iowa corporation having its principal place of business in the city of Dubuque, in Dubuque county, this state, was adjudged bankrupt by this court in November, 1907. It was a retail dealer in tobacco and cigars, including cigarettes, and Dubuque county has filed a claim for taxes, including a cigarette tax for $150, due from the bankrupt to the county, and asks that it be allowed as a preferred claim against the bankrupt estate. The cigarette tax is for the six months immediately preceding the bankruptcy, and is imposed upon the bankrupt under section 5007 of the Iowa Code of 1897. The trustee objects to its allowance as a preferred claim on the ground that it is not a tax within the meaning of section 64a of the bankruptcy act (Act July 1, 1898, c. 541, 30 Stat. 563 (U.S. Comp. St. 1901, p. 3447)). The referee sustained this contention, and upon request of the county certifies the question to the court for determination.

Section 64a of the bankruptcy act provides that:

'The court shall order the trustee to pay all taxes legally due and owing by the bankrupt to the United States, state county, district or municipality in advance of the payment of dividends to creditors. * * * '

That the bankrupt owed this cigarette tax, and that it was due at the time of the bankruptcy, is not disputed. Section 5006 of the Code of Iowa of 1897 provides a penalty of fine and imprisonment for selling cigarettes in violation of its provisions. Section 5007 is as follows:

'Sec. 5007: There shall be assessed a tax of three hundred dollars per annum against every person, partnership or corporation, and upon the real property, and the owner thereof, within or whereon any cigarettes, cigarette paper or cigarette wrapper, or any paper made or prepared for use in making cigarettes or for the purpose of being filled with tobacco for smoking, are sold or given away, or kept with intent to be sold, bartered, or given away, under any pretext whatever. Such tax shall be in addition to all other taxes and penalties, shall be assessed, collected and distributed in the same manner as the mulct liquor tax, and shall be a perpetual lien upon all property both personal and real used in connection with the business; and the payment of such tax shall not be a bar to prosecution under any law prohibiting the manufacturing of cigarettes or cigarette paper, or selling, bartering, or giving away the same. But the provisions of this section shall not apply to the sales by jobbers and wholesalers in doing an interstate business with customers outside the state.'
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12 practice notes
  • In re Wm. Akers, Jr., Co., No. 7411
    • United States
    • United States Courts of Appeals. United States Court of Appeals (3rd Circuit)
    • 30 Junio 1941
    ...57, 521, 60 S.Ct. 29, 84 L.Ed. 78, 442. 11 New Jersey v. Anderson, 203 U.S. 483, 27 S.Ct. 137, 51 L.Ed. 284; In re Otto F. Lange Co., D.C., 159 F. 586. 12 Missouri v. Ross, 299 U.S. 72, 57 S. Ct. 60, 81 L.Ed. 13 Bankruptcy — Priority of Tax Claims — Social Security Contribution, 40 Columbia......
  • In re Mid America Co., No. 7213.
    • United States
    • United States District Courts. 7th Circuit. Southern District of Illinois
    • 12 Diciembre 1939
    ...ultimate decision in the Federal Court. New Jersey v. Anderson, 203 U.S. 483, 27 S.Ct. 137, 51 L.Ed. 284; In re Otto F. Lange Co., D.C., 159 F. 586. Respondent in his brief contends at length that the enactment of the Illinois Unemployment Compensation Act was an exercise of the police powe......
  • In re Farrell, 5134.
    • United States
    • United States District Courts. 9th Circuit. United States District Court (Western District of Washington)
    • 23 Enero 1914
    ...of all of the taxpayers of the several states: New Jersey v. Anderson, 203 U.S. 483, 27 Sup.Ct. 137, 51 L.Ed. 284; Otto F. Lange (D.C.) 159 F. 586; In re Industrial Cold Storage Co. (D.C.) 163 F. 390; City of Chattanooga v. Hill, 139 F. 600, 71 C.C.A. 584, 3 Ann.Cas. 237, 238; Hecox v. Tell......
  • In re Berkshire Hardware Co., No. 63135.
    • United States
    • United States District Courts. 1st Circuit. United States District Courts. 1st Circuit. District of Massachusetts
    • 2 Julio 1941
    ...by it. Lane County v. Oregon, 7 Wall. 71, 19 L.Ed. 101; Meriwether v. Garrett, 102 U.S. 472, 26 L.Ed. 197; In re Otto F. Lange Co., D.C., 159 F. 586. It is apparent that in dealing with the subject the courts are not in accord respecting the nature of the contribution exacted of employers u......
  • Request a trial to view additional results
12 cases
  • In re Wm. Akers, Jr., Co., No. 7411
    • United States
    • United States Courts of Appeals. United States Court of Appeals (3rd Circuit)
    • 30 Junio 1941
    ...57, 521, 60 S.Ct. 29, 84 L.Ed. 78, 442. 11 New Jersey v. Anderson, 203 U.S. 483, 27 S.Ct. 137, 51 L.Ed. 284; In re Otto F. Lange Co., D.C., 159 F. 586. 12 Missouri v. Ross, 299 U.S. 72, 57 S. Ct. 60, 81 L.Ed. 13 Bankruptcy — Priority of Tax Claims — Social Security Contribution, 40 Columbia......
  • In re Mid America Co., No. 7213.
    • United States
    • United States District Courts. 7th Circuit. Southern District of Illinois
    • 12 Diciembre 1939
    ...ultimate decision in the Federal Court. New Jersey v. Anderson, 203 U.S. 483, 27 S.Ct. 137, 51 L.Ed. 284; In re Otto F. Lange Co., D.C., 159 F. 586. Respondent in his brief contends at length that the enactment of the Illinois Unemployment Compensation Act was an exercise of the police powe......
  • In re Farrell, 5134.
    • United States
    • United States District Courts. 9th Circuit. United States District Court (Western District of Washington)
    • 23 Enero 1914
    ...of all of the taxpayers of the several states: New Jersey v. Anderson, 203 U.S. 483, 27 Sup.Ct. 137, 51 L.Ed. 284; Otto F. Lange (D.C.) 159 F. 586; In re Industrial Cold Storage Co. (D.C.) 163 F. 390; City of Chattanooga v. Hill, 139 F. 600, 71 C.C.A. 584, 3 Ann.Cas. 237, 238; Hecox v. Tell......
  • In re Berkshire Hardware Co., No. 63135.
    • United States
    • United States District Courts. 1st Circuit. United States District Courts. 1st Circuit. District of Massachusetts
    • 2 Julio 1941
    ...by it. Lane County v. Oregon, 7 Wall. 71, 19 L.Ed. 101; Meriwether v. Garrett, 102 U.S. 472, 26 L.Ed. 197; In re Otto F. Lange Co., D.C., 159 F. 586. It is apparent that in dealing with the subject the courts are not in accord respecting the nature of the contribution exacted of employers u......
  • Request a trial to view additional results

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