# Petition for a Writ of Certiorari — United States v. Seattle-First National Bank > Briefs, arguments, decisions, and more. URL: https://www.frixlaw.com/law-library/documents/brief%3Amicro_IA40386403_0278%3A2 ## Record - **Collection:** Supreme Court brief - **Document type:** Petition for a Writ of Certiorari - **Published:** January 1, 1944 - **Citation:** 321 U.S. 583 ## Text woanwnunwe & ‘ P Opinions below... . ar oe Jurisdiction - - - - - acs ; i . Question presented iat " [en cemecsus is Statute and ere involved oe ee coe Statement. ia Specification of « errors to be urged care rats yi Z Reason for granting the writ. : re bodying material findings of fact (R- 12-15), and - . the introduction of documentary’ exhibits, upon - whied the case was tried. The district court made further findings which are a repetition of '. the first ten paragraphs of the complaint. It en- tered judgment for respondent for the tax of $1,631.48 (R. 82),° which was affirmed by the eir- _ cuit court of appeals. seaciroactoi OF ERRORS TO BE. URGED “The circuit court of appealserred: ° 1. In failing to hold that the transactions. in volved deliveries or transfers by the_State Bank to respondent of the real estate and. securities, _ owned outright, as wel as those to which it, held mere legal title in fiduciat ‘y capacities, within the ~ stamp tax provisions of the Revenue Act of 1926, as amended. < - ? The $1,631.48 tax compr ised $500 paid with respect to the ; transferred realty (R. 5, 19-20), $457.60, with respect to © securities formerly owned by the State Bank in its own right (R. 5, 21-22), and M73. SS with respect to sec ‘urities held in - trust (R. 5). | o 2. In holding’ that the ica involved were not-subject to the stamp-tax provisions of the Revenue Act of 1926, as amended. Emirs 3. In affirming the judgment of the ‘district “-_ eourt. REASON FOR GRANTING THE WRIT re The devision below is in conflict with City Bank Farmers’ Trust Co. v. Hoey, 125 F. 2d 577 (¢C. C.? A. 2), and State Street Trust Co. v. Hassett, 134 ' F: 2d 156 (C. C: A. 1), in each of which it was held that a taxable transfer occurred where a. bank ‘or trust company, which had legal title to various . securities, combined with another bank or trust company and the title to those securities’ passed to the new corporation.* The court below ad- ° _ hered to its earlier decision in. United States v.. Merchants Nat. Trust & Savings Bank, 101 F. 2d 399, which the First and Second Circuits, in turn, had’ refused to follow in the foregoing cases, and ‘the court recognized the conflict, saying (R. 94): * * * The Court of Appeals of the Second Circuit in City Bank Farmers ‘Trust Co. v. Hocy, 125 F. 2d 577, has reached a different conclusion and apparently the . First Circuit has also, State Street Trust — Co. W. Hassett, 134 F.-2d 156, so that if we * Similar results hs ave been reached in W «ily. United States - + 15 F. 2d 999 (C. C. A. 2). certiorari denied, 313 U.S. 57h: Niagara Hudson Power Corp... Hoey, 117 F.3d 414 (CC: A. 2); Hoppers Coal & eee arcentte C ov. United States, 107 F. 2d 706 (C. Cv &. 3). + ae spd are wrong the government is in a favorable - position to ask that we be set right. ~ .° Although Section 506 of the Revenue Act of’ “1942, ¢. 619, 56 Stat. 957, goes’ far toward clari- - “fying” the issue for the fufure, the question is nevertheless one: of present importance since sub- . stantial amounts of taxes have been collected for 1941 and prior yedrs: which probably will be the: subject of further litigation - until the matter is. authoritatively settled.” 7 Wherefore, it is respectfully submitted that this petition for a writ of certiorari should be granted. . CHARLES Fany, ~ . taid | ponieitor Generel. Avaust 1943. af -* Although the square conflict which exists as to the securi-_ ties probably ‘does not extend to the real estate, the questions _ are so closely related that if certiorari is granted the writ ” should cover the entire éase. Ag to the real estate, compare. Carpenter V. White, 80 F. 2d 145, 146 = C. A. mM certiorari. — denied, 297 U.S. 720. APPENDIX Revenue Act of 1926, ¢. 27, 44 Stat. 9: Src. 800. On and after the expiration of. thirty days after the enactment of this d, for and in respect of the several nds, debentures, or certificates ‘of stock and of indebtedness, and other documents, instruments, matters, and things mentioned and.described in Schedule A of this title, or for or in zespect of the vellum, parch- _ ment, or paper upon which such instru- ments, matters, or things, or any of them, are written or printed, by any person who - makes, signs, issues, sells, removes, con - sizns, or ships the same, or for whose use or benefit the same are made, signed, issued, ‘sold, removed, consigned, or shipped, the several taxes specified in ‘such sched- _ amare 8 A be SCHEDULE A.—STAMP TAXES ~ . . 3. [as amended by. Section 723 (a) of the Revenue Act of 1932; vt. 209, 47 Stat. 169] Capital stock (and similar interest), Act ‘there shall be levied, collected, and. - sales or transfers: On all sales, or agree-. _ “ments to sell, or memoranda of sales or ° deliveries of, or transfers of legal title to any of the shares or certificates mentioned or described in: subdivision 2,or to rights to subscribe for or to receive such shares or certificates, whether made upon or shown by the books of the corporation or other organization, or by any: assignment in blank, or by any delivery, or by any 48) 9 be 7 paper or agreement or memorandum or other evidence of transfer or sale (whether — ' - erititling the holder in any manner to the. benefit of. such share, certificate, interest, or rights, or not) * * 8. [as added by Section 725 of the Rev-- enue Act of 1932] Conveyances: Deed, in- strument, or writing, delivered on or after the 15th day after the date of the enact- ‘ment of the Revenue Act of 1932 and before July 1, 1934 (unless deposited in escrow before ‘April 1, 1932), whereby any lands, tenements, or other_realty sold shall be granted, assigned, transferred, or otherwise conveyed to, or vested in, the purchaser or purchasers, or any other person or persons, by his, her, or their direction, when the con- _ sideration or value.of the iriterest or prop- erty conveyed, exclusive of the: value of any ‘lien or encumbrance remaining thereon at the time of sale, exceeds $100: * * *. 9. [as added by Seetion 724 (a) of the Revenue Act of 1932] Bonds, ete., sales or transfers: On all sales, or agreements to sell, or memoranda of sales or deliveries of, or transfers of legal title to any of the: in- . struments mentioned or described in sub- _ division 1 and of a kind the issue of which is taxable thereunder, whether made by any assignment in blank or by any delivery, or by any paper-or agreement or memor seen or other evidence of transfer or sale (whether entitling the holder in any man- ner to the benefit of such instrument or not), on each $100 of face value or fraction thereof, 4 cents * * *. Schedule A-9 was extended by Section 212 of the National . Industrial Recovery Act, ¢. 90,°48 - Stat. 195, and’ by Pub. mes. No. 36, ¢. 333, 49 Stat. 31, °10 Treasury Regulations 71: (1932 ed.) : Art. 34. Sales or transfers subject to -taxr—The following are examples of trans: actions subject to the tax: * * * * * (b) he ‘transfer: of stock to or by trus- tees. | * + * “ss * (r) Upon a merger, the transfer of ual owned by a corporation which is merged. into another corporation from the name of _the first to the name of the.second corpora- tion, such a transfer being effected by the act of the parties and not wholly by opera- tion of law. * ; ae . # * (t) The transfer of legal: title to stock irrespective of whether or not the trans- feree receives any beneficial interest therein, except as provided in article 35 (k). (u) Transfer of stoek from -old firm to | new firm succeeding to its business where personnel is different. : * + o ee . Arr. 120: Basis of taz.—The tax acerues at the time of making the sale or agreement to sell or memorandum of Sale; or delivery of, or transfer of the legal title to, the bonds, regardless of the time or manner of the delivery of the bonds or agreement or memorandum of sale. The -provisions ot . articles 34 to 39, both inclusive, of these -regulations, relating to sales or transfers of stock, are controlling also im respe¢t ‘of sales or transfers of bonds, in so far-as-con- sistent with the provisions of Schedule A-9 and in so far as not inapplicable to the mat- ter of sales or transfers of bonds. * * * U S GOVERNMENT PRINTING OFFICE: 1945 --- Source: Frix Law Library, https://www.frixlaw.com/law-library/documents/brief%3Amicro_IA40386403_0278%3A2. Public record. Not legal advice.