REVENUE AND TAXES 3027

The fact that capital stock of a corporation is principally invested in patent rights
granted by United States, does not exempt such stock from taxation; nor is value of
such patent rights to be deducted in assessing the stock. Crown Cork and Seal Co. v.
State, 87 Md. 696.

A bridge over Potomac river and other property of bridge company within limits
of Maryland, are taxable under act of 1852, ch. 337, in the county in which they are
situated, principal office of corporation not being in Maryland. O'Neill v. Virginia,
etc., Bridge Co., 18 Md. 23.

Sec. 4 (1924 ed.) exempts personal property of corporations having shares of stock
subject to taxation, because the stock of domestic corporations is valued and assessed
under this section and provision is also made for payment of taxes on stock of domestic
corporations owned by non-residents. Even where personal property of corporations
is taxed instead of its stock, such personal property is valued and assessed by state
tax commission. It has always been policy of state not to tax stock of domestic
corporations, and at same time property that contributes to value of such stock. Where
state tax commission has assessed stock of a telephone co. for taxation, a municipality
may not tax the personal property of telephone company located therein. The general
tax law of the state held to prevail over a municipal charter. Hyattsville v. C. & P.
Tel. Co., 131 Md. 592.

Stock held under a voting trust is taxable to the substantial owners rather than
to voting trustees. Meaning of word "owners" as used in this section; that word is
applicable to non-resident holders as well as to resident holders, the stock in former
case being taxed where corporation is situated. State Tax Com. v. Baltimore County,
138 Md. 678.

As to taxation of rolling stock of a railroad company prior to act of 1896, ch. 120,
see Appeal Tax Court v. Northern Central Ry. Co., 50 Md. 420; Philadelphia, etc.,
R. R. Co. v. Appeal Tax Court, 50 Md. 398; Appeal Tax Court v. Western Maryland
R. R. Co., 50 Md. 298; Appeal Tax Court v. Pullman Co., 50 Md. 456.

Taxation of personal property.

Under this section, mortgage bonds secured by property in this state and owned by
residents of Maryland, are taxable to owners thereof, and not to corporation itself.
Consolidated Gas Co. v. Baltimore, 101 Md. 555; Consolidated Gas Co. v. Baltimore,
105 Md. 50.

This state has power to tax stocks, bonds and certificates of debt of other states
and of corporations created by them, when held by residents of Maryland, although
such stocks, etc., are exempted from taxation by state issuing them or creating corpora-
tion. Appeal Tax Court v. Gill, 50 Md. 396; Appeal Tax Court v. Patterson, 50 Md. 354.

Personal property of a ward in the hands of his guardian appointed and residing
in another state, is not taxable here, the situs of such property for taxation being
where guardian was appointed. The domicile of a testator when living, determines
the situs for taxation of his personal property of an intangible nature not permanently
located elsewhere. The application of the portion of this section relative to personal
property being taxed to equitable owner, limited. Kinehart v. Howard, 90 Md. '4;
Baltimore v. Allegany County, 99 Md. 9; Baldwin v. Washington County, 85 Md. 156;
Bonaparte v. State, 63 Md. 472 (affirmed in 104 U. S. 592).

A seat on Baltimore stock exchange is not taxable. Baltimore v. Johnson, 96 Md.
741. And see Baltimore v. Machen, 132 Md. 622.

The interest of a citizen of Maryland and resident of Baltimore in a vessel engaged
in foreign commerce registered as a vessel of United States, Baltimore being home
port of vessel and domicile of its acting and managing owner, is taxable by municipality.
Such tax is not in conflict with Federal Constitution. Gunther v. Baltimore, 55 Md.
458. And see Howell v. State, 3 Gill, 16. Cf. Hooper v. Baltimore, 12 Md. 471.

Where, according to usual course of business, cattle arrive at a stock yard on
Wednesday and rarely remain longer than one day when they are exported, none
being sold in Baltimore unless there are more on hand than are wanted for shipment,
such stock is taxable. Myers v. Baltimore County, 83 Md. 387.

The office of proviso at end of this section relating to distilled spirits, was to
preserve the antecedently established method of valuing such spirits; it has no relation
to appeals from valuations of distilled spirits. Fowble v. Kemp, 92 Md. 634. And
see Hannis Distilling Co. v. Baltimore, 114 Md. 678. (See also Hannis Distilling Co. v.
Baltimore, 216 U. S. 285).

As to the taxation of bonds and certificates of debt bearing interest secured by
mortgage of property wholly within this state, see also sec. 98.

As to taxation of bonds, certificates of indebtedness, etc., in which a resident of
any county of this state has an equitable interest, the legal title being in a resident
of some other county or of city of Baltimore.

Taxation of real estate.

Real estate may be assessed at its real value without regard to mortgage liens or
other incumbrances thereon. Allen v. Harford County, 74 Md. 295; Tax Cases,
12 G. & J. 117.

Where land belonging to the United States government and exempt from taxation,
was conveyed to a dry dock company upon condition that a dry dock be constructed
and that United States have a perpetual right to the use of same, and providing for