Case Information

*1 OFFICE OF THE ATTORNEY GENERAL OF TEXAS

AUSTIN

&notable Owe

CGaptxoller of

AUS tia , Ter.w

Wm awrd 18 held Thurude7 night at up- lr prox&ute b;EO, 8rW, 8140 t-8 adtrrtlsed on our oordr YE buin(: hefd butweon 8 and 0 Uue to thn tlmei of plcturer, *iah will vary S or 10 iainutor. ht the tlaa ths award lr held theatre rtnpa oyerotlon~ p4opla an 8110~4 to corn in thr theatrb lobby and peoglr It&J k, thrlr aare) other p8oglo who have rigned a qualifloatfon oerd l N repro- sozkd br t:dr rlgneturas on CLT&~~ a11 theue people acntforu:d hare not ,-eld aar kind ot ad- mlasloa. Feople who deeire to see the plotura l ntertslnmanf an the osly onea who hare pal& an7 kind or cd..p”Lim~~.

When the erard U held, tho index qud- .~locrtlon ocrds ore ahook6d to 018 tr winner fr the *lnnw la ln the fro. RAE ueilrled. 4 16 mouaca sd they QUSL ricdtfm list, it

hate until 10 Y.3. elnlm the w-d. 9h.y by telephom or other ruah mall- :g,+z;ed xr then IS uo wlaaor in the uolltloaticn oarda, aarii r t?ko winmu f I oa Lied & thr thectn, thu obby, ~4 in I

rroat or t!mnttrI lf thr aersoa ia la uiy or thorn place8 ba ham S nitmat to alain: tba award, acd 18 allouod to O&O in theatrm dmm tho alrla itad, mh8rm ?ka aui “,~~l$h~ award fmo without any gaysant of

nRu nwabsr pooylb, who pay admirslon

*3 Eoaorable ao. B. Sho.pard, psfp S - aupab on tlm typa of plctw,

gt?mtmttz "I rould lib o&8 to you thlr dtk, fatmary 4, 1040, mmdb7 nlghta On our frw qu~llslmtion book w bBd mv frma qualifb ottlonu, 55 lx+ lobby W in oura this total caf 885 people ptrtfolpatod frm. In the proper ua bud SST paid dml~aloam~ tbatn than 6Oj purtlofpntlne is-am. ?hL botfor ahoak uw rlmo nmdo at How JWaunfalr Look- bart, 1~84 Ommlor sad bettor than d$ pea- thO80 ditr0rw l wttif3is. tioipatd *80 in lW8 mm ratlo prevrlls at mr other thaatrbr who mm hold- oaah nlahtr.

,A parrm doea aot clga the i4ontlSioa- tion reglrttr but one**

‘But lw east purltfy and alp thr quail- Oatiolb aardr one0 t wsok lu order to b0 llgibla for the arced. qe ret arid8 $rS.OO par reek ior adror- tie138 ma payment of dlvldend nQ allow all of our altlnenr Mm c~ro to prrtlolpate, tab part. If a pcrroa II* 39t ~wirira or prtrent, Is sarrlod mer tsr mxt mh. ext.& &nd addttloml $Xi.OO is added to the award .”

You further edrise that dtlrlng the WrIOd of of suoh theatres hate beon Sol- tisa thst tt* cperWm loubg turn plaa, thr~hate ?tld crut a total ef W prize@ of u3lah nut&bet 47 were %os by parilonn ubo bad paid a&ah&on, EL! by pr8os@ who had est paid r&ah- rlonr and lb by perBoa@ w?ma th opmmas 0~~14 not drflnitrly detomlne troxt!smlr maor wbthar they bad hod not pal& m tdzlstlon tot.

Art?alo 7C4Tt, Tarnoa.8 Cl~il Statutes, road8 la part da toUmra ItTory portm¶, firm, or OO~J'O?St~~ om-

“(t) *4 auouin~ I theatre, plr0. OS aamraaent, or any buehre l ntar p rln la oonaootioa with th e oQ.r rtfoa of elioh a Qriu in th e fo rm OS 8caoy or 8aaothlag of valu8 N offan or g1r.n to am m mm ~atrorir of ueh hxc8 8boving anouat of mmoy no glron ln p&8*, en4 tlm *ahO ot al). prlaw in oorarotlon with ash bru- award8 l o &an lnmr duria& the mtt prcroa&l~ aath.

“(b) There 1s hwaby Istir 8 tcr qml to tnmtr per oont (40%) or the +alu* of all 8uoh may, pritre, mm48 glru,.in ocmneotlan with thm operrtloa of soh an4 rll of foreg3ine budn~rs .nterprlus, 8nU ct that time or cakiy the report the ot Fublio itccourita, t&o cunor Caiptroller operator of any cue& budnor@ r!W.l pat to Mate Trossurer such tax tlpan total 0r money, grime, and mmlrrdr 80 tiltan amount during the next preceding ncinth 8 l l Tat nguert our opinion a.6 dsother 6uoh 605 rim tax ~KJB aclttarad upon tbr msrdng of theu prlur & y the crifilth Thontml. h0 OSUr.fl&l raOt& khiOh XiU&t,dSk t0 mAaeT taot *ituatloa are4 oQeratlv* on * trx rtatute

thlr (1) 8 rlu 8tut bo 0rw0a 4 toa may in oommo- Y tion vi th tb opwetloa d 8 theafro, plaeo oi asme- P aeat of buoinmry (8) tha prim mrtot be offw.4 or given to one or pax-0 patroae thereof sad not &.lrm to 811 p*tron# rho ha+0 sib eia mxis ohargo ror t&o oa- tartaiA8ont.

¶%a first l eseatl8.l i# 8etirSl*& p$;rg~~~ In hOtO 01 gi?OA# II~IZV~~, 8 prize 18 Ofr8T.8 *5 Iionor*bl6 Cao. E. Sheppard, pqr 6

oonnrotloa with the oparatlan of l thortn.

m0 noand b8~0ntiai 10 iilnni6~ 6fdi6ri0a in that then Iahcror la tbu f8Ot8, 06 prrnnte4 to us, tbo preunoe of thorr In tba thoatn at tLiu the prlu I6 ofmnu aa4 ~ivon, who bwe pia on ad- aidon abar@, rho l n3 8dmltt~ai~ pm066 of tb 0rr6rea and ~67 06 ~lr0n the th6atr6, 66d rho 6n prize vbloh, rhea given, will not hata bcea &i+ea atroar r* hate pal6 th e l m charge r0r tka to ali atorta P Q8OAt.

maer suoh fa8t.6, aoosrmrllj prize is or- iered to oam or mm patron8 and aa or oanee, k t0 On0 at then. Thio bclng a #sot, the add&l &WA tact that other CBJ be eligible ror priz.6 ma a7 at tlnsr rscolra it, who arr7 acay not be pntronr within tbo pwvloo 0r the 6tatut0, rhloh quostloa it 18 not neootsctry tbot be pat6 upon, do66 not olbainak the foot that the prlu 18 affsrr~d ~7 be &ten to patron8 In6140 the theatro.

It 16 obvlm?i tket it tin mr* oHwin& tka prlu those outslda the thaotra vesa suiflaiant to rmndmr the statute lnop*rutlr8, aotalU:atan& th8 gvlre is ~i&wl~,ofrcmd and mty bs &ten to t!.oao ubo al.0 cbaitta6l7 petront, a A6txid ai evading rtatuto would thmeby be CrO&tOa. ktoh a mthsd nay A& be &MO- tloned nhere them 1s no lrnguage la tba 6tatut.e lcaloat- 1.~6 a 1aglrlr;tlte fafsnt that the tax rould mture oalf ii tba price mm efrered or slron to euoh vatren6. To the ooatrar7 hovvvor~ th6 l&n- s6g:*7w s21aste6 lrgiriatl.. latent that tha tax 18 satwad If the thoatrm oiler6 cLve6 a grlcn to 6 patron, lrrcapeotlva or thv ract <hat oth=rr, MO mny w ns7 not be putroaa, may bs 61lglbl8 thersfor.

hcoordlngl7, 70~ 81% reepootru?ly sdvlsod thst it Is the o~lnlaa of tr.18 department that tko tax 1~164 b7 llrtioI6 9049i, Vert~on'6 Clrll Statute6, ha6 metu.ma under tha rc0tc cat cut ?a ycur latter.

Meg we etnta that UC ham xa&wd our opin- ion fro. O-1239, and otbora rolrting tkls nrbject, *6 en4 ~8 40 not ballwa thir opinion 18 ia oodllct with The rt8tutr under ocm816eratioll, ot ooumo, prr- thm. 8BAt8 BWtJ duriOUiti@8 Or COA8tTUOtlOA.

r[a 8180 point out that via are not ,7aeaing up00 que8tloA Or whether the oprctlon Of tho plnn (18 th8 A-MI. Code dO8aribOd OOa8titUt88 8 1OttWr UlldW or TexB8. Trusting thst WI hn1a fNIe+pust.ely ali8-sw'ed

your Inquiry, me roauln

TOUrB vary tnl1p A ROVEDMAR 30, 1940 t!!LAAd-

ATTClRNEY GENERA; O? Tl;IAS