Gachet v. City of New Orleans

Citations

• 52 La. Ann. 813

Syllabus

<p>Syllabus.</p> <p>.!• Before the State taxes for a given year became due and demandable, the lot of ground upon which the same had been assessed passel out of the hands of private ownership into tne hands of public ownership — Held : The moment public ownership attached developing liability to taxation was arrested.</p> <p>Ü. The tax law of a State applies to persons only, and not to political bodies like municipal corporations, which exercise in different degrees the sovereignty of the State.</p> <p>Hence it is, that when property upon which State taxes are assessed is subsequently acquired by a political subdivision of the State, like the city of New Orleans, to which certain powers of sovereignty and government have been delegated by the State, which property is acquired for purposes of public utility coming within the scope of the powers so delegated, and is immediately applied to such purposes of public utilty, the taxes so assessed in favor of the State upon the same cease to be exigible.</p> <p>4. It pertains' to the public policy of the State not to exact taxation on property so held and used.</p> <p>5. within the scope of the powers delegated ’to it, the city of New Orleans stands for the State, and property acquired by it in the due execution of its mandate from the State, stands in consimiK casu with property owned by the State itself, and taxes antecedently assessed in favor of the State upon such property must be held abated. It is a commingling of the qualities of debtor and creditor in such way that there arises a confusion of right extinguishing the obligation.</p>