state, and a proportion, based upon the proportion of mileage over which such business is done, of earnings on all interstate business passing through, or into, or out of the state."

This tax is payable annually, on or before April 30th, and is all credited to the general revenue fund of the state.

The law imposing this tax construed and held valid in State vs. Cudahy Packing Company, 129 Minn. 30.

6. Telephone Companies

Telephone companies, in lieu of all other taxes and assessments, pay to the state 3 per cent of their "gross earnings derived from business within this state."

The supreme court, in State vs. Northwestern Telephone Exchange Company, 107 Minn. 390, holds that the words "gross earnings derived from business within this state," include not only business beginning and ending within the state, but also a proportionate part of the earnings of the property within this state resulting from its use in interstate business.

The tax is due and payable annually, on January 1st, and all goes to the state.

7. Trust Companies Not Doing a Banking Business

Trust companies which do not receive deposits subject to check other than trust deposits, in lieu of all other taxes and assessments upon their capital stock and personal property, pay into the county treasury of the county where located, 5 per cent of their gross earnings. Trust companies that do a banking business are assessed and taxed the same as banks.

Taxes are payable annually, between December 31st and March 1st, and are apportioned and distributed to the state, county, municipal, and local district in the same manner as the general property tax is apportioned and distributed.

8. Telegraph Companies

The tangible and intangible property of every telegraph company in this state is assessed as an entire system by the state tax commission. The property of each company is assessed in lump and not by segregated items. It is assessed at 40 per cent of its full and true value. (State ex rel vs. Minnesota Tax Commission 132, Minn, 93.) Each year the tax commission also determines the rate of tax to be levied upon the property of such companies, but the rate fixed must not exceed the average rate of taxes, general, municipal, and local, levied throughout the state.

The tax becomes due and payable on January 1st, and all goes to the state.

9. Money and Credits

"Money and credits" as the same are defined in section 1975, General Statutes 1913, in lieu of all other taxes thereon, are subjected to an annual tax of three mills on each dollar of the fair cash value thereof.

"Money" is defined in said section 1975, to mean and include "gold and silver coin, treasury notes, bank notes, and other forms of currency in common use, and every deposit which any person owning the same, or holding in trust and residing in this state, is entitled to withdraw in money on demand."

"Credits" are defined in said section to mean and include "every claim and demand for money or other valuable thing, and every annuity or sum of money receivable at stated periods, due or to become due; and all claims and demands secured by deed or mortgage, due or to become due; and all shares of stock in corporations, the property of which is not assessed or taxed in this state."

Money and credits belonging to incorporated banks situated in this state, and obligations secured by mortgages upon real estate in Minnesota on which the registry tax has been paid, are not subject to this tax.

All property subject to this tax is listed by the owner and valued and assessed by the assessors at the same time as property subject to the general property tax. No offset is allowed for indebtedness.

The tax is levied and collected in the same manner as other personal property taxes and is apportioned, one sixth to the revenue fund of the state, one sixth to the county, one-third to the city, village or town, and one-third to the school district in which the property is assessed.

The law imposing this tax was construed and held valid in State ex rel Winona Motor Company vs. Minnesota Tax Commission, 117 Minn. 159.

1.0. Mortgage Registry Tax

A tax is imposed on all mortgages upon real property situate in this state. The tax, as its name implies, is a registration tax and is imposed at the time the mortgage is filed for record and as a prerequisite to recording it. If the mortgage by its terms is due and payable not more than five years after its date, the tax imposed is fifteen cents upon each hundred dollars, or fraction thereof, of the obligation secured thereby. If the mortgage matures more than five years after its date, the tax is twenty-five cents upon each hundred dollars or fraction thereof.

The payment of the registry tax exempts the obligation secured from all other taxes. If the mortgage is not recorded the obligation secured thereby is taxable the same as any other credit.

Mortgage registry taxes are apportioned, one-sixth to the revenue fund of the state, one-sixth to the county revenue fund; and the remainder is divided equally between the school district and the city, village or town in which the real estate covered by the mortgage is situated.

The law imposing this tax, sections 2301-2315, General Statutes 1913, was held valid by the supreme court in Mutual Benefit Life Insurance Company vs. Martin County, 104 Minn., 179.

11. Tax on Grain Received In, or Handled By Elevators or Warehouses

Every person, firm, or corporation operating a grain elevator or warehouse in this state, in lieu of all other taxes on the grain received in or handled by such elevator or warehouse, is required to pay a tax of one-half of one mill per bushel upon all wheat and flax, and one-fourth of one mill per bushel upon all other grain received in or passing through such elevator or warehouse.

This tax is levied, paid and collected in the same manner as taxes on other personal property are levied, paid and collected, and when collected, is all paid into the revenue fund of the state.

12. Vessel Tonnage Tax

The owner of any steam vessel, barge, boat, or other water craft, owned within or hailing from any port of this state, and employed in the navigation of international waters, annually, on or before July 1st, may file with the state auditor, a verified statement containing the name, name of owner, port of hail, and registered tonnage of such craft, and thereupon may pay into the state treasury a sum equal to five cents per net ton of such registered tonnage, and the treasurer shall issue his receipt therefor. Such payment shall be received in lieu of other taxes on such craft, state or municipal, for the year in which such payment is made.

This tax is payable annually on or before July 1st, and is apportioned, one-half to the state and one-half to the county wherein the port of hail of such vessel is located.

Vessels not employed in the navigation of international waters, and vessels, the owners of which fail to file a report before July 1st, are assessed and taxed in accordance with the general property tax laws of the state.

13. Inheritance Taxes

An inheritance or transfer tax is imposed upon the transfer of all property in this state and upon the transfer of all property of citizens of this state, whether by will, by the intestate laws of the state, or by gift made in contemplation of death, at the rates and subject to the exemptions shown in the following table:

Table Showing Rates of Inheritance Taxes and Exemptions Therefrom.

The rates shown in the table apply only to the amounts falling within a given class, and not to the entire share or amount coming to the recipient.

Inheritance taxes take effect at the death of the person from whom the transfer is made and are due at the expiration of one year from such death.

Ninety per cent of this tax goes to the state and the remainder to the county from which the tax was received.

The law imposing this tax held constitutional in State vs. Bazille, 97 Minn., 11 and State ex rel Graff vs. Probate Court, 128 Minn., 371. 14. Insurance Companies

Insurance companies are required to pay the state annually, a tax equal to 2 per cent of their gross direct premiums, less return premiums, received on all direct business written within the state during the preceding year. Township and farmers' mutual and domestic mutual insurance companies which do not pay a salary of more than one thousand dollars a year to any one person are exempt from this tax.

In addition, every foreign fire insurance company doing business in any city of the state having a salvage corps, must pay to the treasurer of the duly authorized board of underwriters therein, exclusively for the support of such corps, a tax equal to 21/2 per cent of the gross direct premiums, less return premiums, received by it during the preceding year upon property located within the corporate limits of such city on policies covering loss or damage by fire, lightning, and loss or damage by water to goods or premises arising from the breakage or leakage of sprinklers, pumps, or other apparatus erected for extinguishing fires.

Every fire insurance company doing business in this state is required to pay in addition to all other taxes, an annual tax of threeeighths of one per cent of gross premiums, less return premiums, on all direct fire insurance business written within the state, the proceeds from which are used exclusively for the maintenance of the office of the state fire marshal.

An insurance company of another state or country which imposes a higher tax upon foreign companies than is imposed by this state, is required to pay the same tax which a Minnesota company would have to pay in such state or country.

The above taxes are all due and payable on or before April 30th, on business done during the preceding calendar year.

The two per cent tax on gross premiums goes into the general revenue fund of the state, but every municipality of the state having an organized fire department, receives from the state treasurer, an