119 P.2d 239 | Ariz. | 1941
The Town of Somerton is a municipal corporation and owns and operates its own waterworks system. During the summer of 1941 the State Tax Commission audited its books, records and accounts, as it is authorized to do under the statute (section 73-1316, Arizona Code 1939) and, upon the information *280 obtained therefrom and after a hearing, on August 12, 1941, made an additional assessment against the town on its gross income from sale of water in the sum of $403.55, for the period from May 1, 1935, to December 31, 1940, claiming the right to do so under the excise revenue act. Sections 73-1301 to 73-1334, Arizona Code 1939.
The town sued out this writ of certiorari, and the return thereto shows that the ground upon which the additional assessment is resisted is that the water system is not self-sustaining and that the cost of operating it is more than the income therefrom.
[1, 2] In City of Phoenix v. State,
The case of City of Phoenix v. Moore,
We are satisfied the tax commission had authority and jurisdiction to make the assessment, and its action is affirmed.
LOCKWOOD, C.J., and McALISTER, J., concur.