City of Pierre v. Stout

Plaintiff, City of Pierre, a municipal corporation, is the holder of a class “C” license for the sale of intoxicating liquors. Chapter 146, Laws 1937, imposed upon all stocks of liquor and high point beer in the possesion of or under control of all retail liquor dealers, including holders of class “C” licenses, on July 1, 1937, a tax of 10 per cent of the wholesale price. Plaintiff city has not paid this tax and has instituted this action to enjoin the defendants from -enforcing or attempting to enforce payment of the tax, asserting that the city is exempt from payment by reason of the…