Bankers' Trust Co. v. Florida East Coast Ry. Co.

STRUM, District Judge.

While the court can specifically pass upon the taxability only of the contract which is now before it, an expression of the reasons for the court’s ruling may be helpful in preventing further controversy between the parties.

Certain cardinal principles, from which there has been no departure, in the construction of documentary stamp tax acts, were laid down in United States v. Isham, 17 Wall. (84 U. S.) 496, 21 L. Ed. 728, amongst which are:

1. The liability of an instrument for a stamp duty, as well as the amount of such duty, is determined by the form and face of the…