171 A. 583 | Pa. | 1934
Argued January 9, 1934.
The auditorium of a public school is exempt: Northampton College v. College,
The fact that there is some revenue from the sale of refreshments or the use of the auditorium, does not destroy its charitable attributes, providing that all the proceeds thus derived go toward the maintenance of the charity itself, and no profits are received by anyone: Lancaster Co. v. Y. W. C. A.,
Theodore F. Jenkins, Solicitor for school district, with himMayne R. Longstreth, Assistant City Solicitor, and *300 David J. Smyth, City Solicitor, for appellees. — A rectory or parsonage used as a dwelling by a rector of a church is not exempt from taxation: Mullen v. Commissioners,
An exempting use to effect the exemption of real estate from taxation must be the sole and exclusive use thereof: Phila. v. Barber,
If a charity makes a charge for that which is not its charitable bounty, or work, or a necessary part thereof, then the portion of its property or work for the use of which the payment made is taxable even though these payments do not make it self-supporting. And for this purpose a single building may be partly taxed and partly exempt: Donohugh's App.,
When the general power to assess exists, the proper remedy for illegal taxation is by appeal to those to whom the appeal is required to be taken: Clinton School District's App.,
Equity has jurisdiction to restrain attempted taxation for total want of power to tax: White v. Smith,
The rectory is assessed at $9,800. The three-story building in which the school is conducted, as averred in the answer, "has been valued by the assessors and board of revision of taxes at a total valuation of $97,000, 1/2 of which, or $48,500, has been marked as taxable, representing the value placed upon that portion of the property used as an auditorium or place of public entertainment and taxable as such, and the other half of which valuation — $48,500 — has been marked exempt, representing the value of that portion of the property used and occupied exclusively by the parochial day school and conventual residence of the teachers engaged in teaching in the day school."
First, as to the school building — exemption is authorized for "institutions of learning, benevolence, or charity, with the grounds thereto annexed and necessary for the occupancy and enjoyment of the same, founded, endowed, and maintained by the public or private charity." To the extent that the school is within that provision, it *303 is entitled to exemption: White v. Smith, supra. The learned chancellor made the following decisive findings, which, being supported by evidence, we must accept.
"6. The school occupies the second and third floors of the building adjoining the rectory.
"7. An auditorium with a stage at one end and one or two small rooms comprise the ground floor.
"8. The auditorium is used (1) as a lunch room, auditorium and gymnasium for the school alone, (2) as a social center for the community in general. Young people gather there to play cards or billiards and to dance. Church organizations give entertainments to raise money for the church and for general parish purposes. Educational moving pictures are shown for the benefit of the community. Tobacco, candy and refreshments are for sale at the regular commercial prices.
"9. The only receipts from the use of the hall are voluntary contributions from those who seek recreation there and the profits from the sale of tobacco and refreshments. When the various organizations give entertainments there they pay no rental but they sometimes charge admission and turn over the proceeds to the parish. All this income goes into a general fund for parish purposes, including the support of the school.
"10. The net income from these sources is from $2,000 to $2,500 a year. The cost of maintaining the entire school building is about $13,000 a year."
The sale of "tobacco, candy and refreshments" takes place in a small "room 12 feet by 14 feet opening towards the main auditorium." Father York, the rector, testified that in 1931 the receipts from the sale of refreshments were $2,199.65, that their cost was $1,613.26, resulting in a gain of $586.89. It was a profitable business, which, under our decisions, justified taxation of at least so much of the building, in which the school is conducted, as is devoted to the purpose of this business, because it is obvious that the sale of tobacco, for example, is outside the function of the conduct of the school for the children referred *304
to in the record. The effect of the sale of food or meals to the school children (Cf. White v. Smith, supra, 229 et seq.; Donohugh's App.,
The rectory, as has been stated, adjoins the school building. It also adjoins St. Agnes's Church and is occupied by the rector, his assistants and servants. It appears to be conceded, as it must be, that the rectory would not be exempt, if dissociated from the school: Article IX, section 1, Constitution, supra; Act of March 17, 1925, P. L. 39, supra; City of Pittsburgh v. The Third Presbyterian Church,
In Phila. v. Barber, supra, we said: "Part of the building is used solely by the church, and part is rented out for school purposes. The rooms being all under the same roof makes no difference in principle. The parts rented, and producing income are liable to taxation. There is in fact no express warrant in the act for dividing the building for purposes of taxation and exempting any part of it when other parts produce income. But such division was sustained by Judge ALLISON in Association v. Donohugh, 7 W. N. 208, upon grounds of equity and the broad intent of the statute and has been received with general acquiescence." See, also, Board of Home Missions v. Phila.,
Decree affirmed without costs.