Case Information
*1 OFFICE OF THE ATTORNEY GENERAL OF TEXAS
AUSTIN
G-O.MIww A-~m-
Bonorablo Coorgr H. Sheppard
Comptroller of Fublle Aaoountr
Au8tf.q Texa#
j
1*&&4*, 8upplrmaatod you rque8t the oplalan &wotirioam ot Subdirlrioa od by Aot8 1.951, Forty- e, Seo. 1, and of Sub- ad, Aotr 1951, Ah8 l@S*, Forty- rtion pnrentr rltaatlon rhen orotrtoolmd or tiuhrs~ to market rohandlab on the floor o? tbr plror or or rholeaaler, with the under- aerohandlrr nil1 be paid Ron rold, hln a peolfled time muoh merohndlrr to aanufeoturer. whather
You inquin my k returned not Eubdlrlrlon U, Artlolr 7047, aa amrndrb, rubjrotr such wholtre1.r or retail merchant the oooupatlon tax levied by ruoh subdltlslon on aoanmitrlon merahants. t
Sub4lrlrlon 12, artlclr 7047, R.C.E., as amended, reads as follow ;
Honorable Gaargs R. Shrppud, ?si%o 2
Y%4Mtere. - Yuohaadlrr 8~6 ohsnts. - lcrola every ~eraon, flmt, a8aool.atlon oi ,%l-klOM, Or CtO~Ol%tiOA, fo~owing thS bUSiU.~S or oaou~stlan ol qwshfmdlro broker awl/or oom- slssloa sswohsnt, dither at wholeaslo er retail., or totma 0r twuepfira thousad fi3,ooo) ia oitier or leas papulotlorr, aA snnusl tax cU Piftoon tol- lars (~lE.00)~ and in oltis8 of noto thsn twenty- rivm thousaw (8s 000) pulatbm 88 8~~81 tax or ?hAtpiiV* E&err 4rJa.ool. d OlYmraiSSiQn r mrohant fn the meanin8 of MJJ Aot 5.0 errrjr par- son, flrn, aasoolation 0r parsons, or corporation, rsoeldng oouatry prohoe, horses, mttlc, sheep, hogs, Grwin, oora, hap, l\ncber, rhln@s, ~004, ooal, goods, vssres sad cerohsndirs or anything sloe for sale, to be oooounted for to the oulns~ vhen sold.aatl c.har&ns s oas~~M~len thmetor.
The provision ot this Sootion shall not be ooa- trawling sslesczan." strued 8s tsxiolf the Tltlc 30, i3ivlwtl Civil ttatctes,~ deflnaa snd roguletes ooiwlsaial EOl'OhtUltS. Art101e 1274, q. c. 3. deilAC8 8 *~arimlssicA JaorOhMt* aa foll0msz
*Ant por6oa. fim or oorporatlon pursuJing, Ol' UhO IShUll ~lllSll9 tk bUSiae68 Ct tJ6lifIh!$ pro- duoa, qoods, wares or msrahhtirs a? aA) kind a ookDLIsslon, shall be held upon oonslgxmnt to 50 a ccexiitsslon merohMt* *
Art~ole U!81, R.C.S., dCfiEct8 a %lveotook cam- oiasion Ijeruhant* thus t who ohs11
hey person, tlr~ or corporation tile busineos or selli.ng 11~0 dook, OsttLs, pursue oorsa; oulvae, bulla, steers, hogs; ~lrepp, gOat8, mulss, horaoo, jack:s, end jotmete or eng ot them, upon acnslgnwnt for a com5lsalo~ or other ohsrges, or who shall solioit ccnnl@~~snt of 117s 8tsOk as a OaEmlssi0A ro&m.At or es8At, Or WkiO 13kAll aavcrtles or ho18 hlnistli out ia bs suoh, -11 be dawted and halh bs a llve stook oo~.~ie8ion o.erohElnt within a6iml~ oi this sutdivlsicm nti.~~bjbct to all the protlsfcns a&G pemltles h:ereln ?rosoribsU..*
Koaombfr Clogs H. 9happerd. Page S
It till br mea that ?ubdivldloa 12, nrtlalr 7017, ls breed eaOa2h to laolude both Roommlssloa aarobaats* ead "livestock 000aisriOn awchaats* aa they are esoh de&d la Title 30.
fn the oale of Stoln Doable Cuehioa %re co. v. X. T. FUlton 00.. 159 3. r. 1013, la whioh writ of emor was denied, whom the ooatmot otlpulatad thrt tire6 were to be shipped by the SteiP Campany to ths Fultoa ~ompaay, suoh nrrohandirr to be o? a 8peOltlrd quality ana be aid ior by hltoa Oowany at a lrea prior pnyusnt to made taah nc?nth Sor tire6 sol 8 that aoath, end at the ii expiration or the l qmsma at, tha Tultoa CompeAy to purohrna all unsold tirea, the court held that suoh agreemeat wee one of oonsignmeat for sale oa coumlsslon, end wee not e snle to the Fultoa Company. .The ocurt said: "These prorlslons of the ocatrsot, it oo-
ours to us, oleerly iadioatr that It wes the purpo8e aad iatentloa t&e martlee thereto to ooaetltute the Falton Cmpanp cd Texas ap- ileAt*r taotip or agent to sell the g00a8 B elirered to it oa oommiesloa: tha general prop- erty in the goods remaining in the oonnigaor.m
Them was no'prorlsicn la the co&mot es to the rrlce for which the tires were to be sold aor was there any provision a8 to an oompensatlon to tt Fultoa Compo the sale of euoh t res. I The oontreot.was entlroly sl Y eat oa these matters. Later oaaea follow.the boldlnq $A the Ranfroe v. Hell, 202 fii x. 2l81 Falla Fhlbber Etein oasa. Co. v. 7% Foa, 228 5. 7. 577. IA the latter oaee, where tires were shipped oa a oontmot by which tltla wau to re- main fn the shipper until they were sold in the re@lar ooursa or bueiaelia, to be aoaouated for to sh% per when aold et a etlpulcted prioe, Ccu1zi5eio~ of R ppeals ia L
a jud~at adopted by the Suprem Court held that the oon- tract wee au agreesion ot oonslgamnt r0r salt oa oommln- sloa, thoU;h the bolt 00mpcnsatioa reoelved by +A* C0aaii3aee ior the sale of 6uoh mwohaadise COAalSted of the diff*rCAOt between the prloe paid to the aoaolgaor and the r.rlOt re- oelvtcl by consignee on sale of the gcods.
This rule was first stated by our Cuprena Court la the c&se ci JTmiltOa P. Yillla;r, 78 ?sX. 603, 11 Z. :* w3. ;het osse has been aoaelotoatly tcllowed slaoe, and we tbl& it is deololve of your lAc\Uky. :'e, thcrefom, I
Ranonbla Oscrge 8. 8hayprrtS. Pans 4
aasuet )otwSlnt qwatlaa Ia, the a??imatlrm.
Your l oooad que4atic.n m6a5 a8 r0ihet *L. fa a member of. the flm or am mployee
of a eomlsaion aarohant, indivldunlly imb- Jaot to the Audtiower*a oocupatloa tax, a8 levied by aubdltl~lon 6 of ltrtlolr 7047, Rae- llsea Civil Statutaa, ia addition to tax bald br thr ocusia~slon’aemhant, If the Siar msEber or the snployao auotlima ll~tatoak, grain or other rsrehaadlsr at tha plaoa oi bualnaaa cf the eamtisalon marchlot oaly?* ma tlrnt paragraph of Artlole 7047, T?arl&d Clrll Sktutoa, roads as follora;
*@ibare #hall be levied and oolleotad r-rav every person, tlnn, aoarpant or aseoalation of persons, pur&alo~ any of the oowpatlons named in the rollowing numbered auMlvialona of Apia artlolc, an annual ooou~atl~a tax, whiob shall be paid anaanlly ia adianoe Qxaept wbtra hsmla othenrlae prorldd, oa every aUah ooonpa~lo~ 02 . sotubllahmat a6 follwsx
fubdlvis$oa 6, ;qtiale 7047, Mtlsed-Citll Stat utaa, aa UDSAded, aou reads: ~huotioneera. Rxmi every huctlonecr, oa
aanual tnx or. Twunty-tire Doilara (Q251).n hrtlale 121,. Foml Codr, ‘provldaa that nhoorar ehall pursue or ?ollow any oooupatian,oslling or proSea- olon or aa any aot t&ad by 18~1 without havtng flrat ob- tained a lioense thsrsiar shall be iincd aat leas tba~ the smouat of tares dua nor p~orit than doable auuch mount.
lb Word “OOOUpaflOa’~ as used in hrtlole 7047, has keen deflmd by our oourta to tieen a vooatioa, trade or b?5lacea lo which ova prinoipally engages to !nak6 a liviq or obtain ‘wealth. Johnson O. State, 138. 'hr. Cr. ap. 370, 136 US. 'c'. (2d) 8371 nobblns v, State, 57 Ter.
HOnorsr-10 George E. Shupp4Cd, Pas* s
Cr. R. 468, li?3 9. Z. 496.
In ths ebssnoe of l ls~islatlre dsfinltloa the judlol6l eomtruation of ths tern -ooougatlon* oontrols.
To be sa wauotloaaer’*, thmn, within the maa~i~ of Brttolr lq our OOurt8, alo must saga&a $A the 7047, aII ooastrurd ?OMtiOA 61 WlOtiOAWr iA Or&r t0 mmks li.*lAE Or t0 0btd.n wealth. CAuotloassrR is AOt u~ri~d by any statute AOr d0 WO find My. %SR~S OaSO dOfiAt the word. :‘lobstsr*a Xsu IatsrAational Dlotlonary (-4 Ed. dofines an auotionror Y
~~~t;~ApersoA who 80118 or auk@8 8 buslasss at ~slling at
.* ‘&at, uo think, 18 the meanink Ordinarily SSSlgA- ad to the uord. Xi the prlaalpal rooatlon by oshioh on@ ~~~ksr his llvlng or. obtain8 wealth 18 that of solll~g at auotloa, thea ws hold that he 1s pursue the OOOUpatiOA uotfoaoer, and lo SubjSs~ to the tax, under CUbdlvlsloa TUs lo true AO nattsr where hs folloss . ) .&llols 7a47. 4 suoh ocoupatloa, bs it at his -bum or an7 other Poreoats &~a. oi ttUSiA~88 and irrSSpoOtlv8 Of the p0YTSOA Or ilra {'"$,o whom.hr 18 employed. .
JO trtm. that =ha above fully saswers four Ill- qUl=.
very trialy yours