Title 12, Banks and BankingRelease 119-110
§1846 Reservation of Rights to States
Title 12 › CHAPTER 17 — BANK HOLDING COMPANIES › § 1846
Summary
States keep their current and future authority over banks, bank holding companies, and their subsidiaries. States may tax those entities and their affiliates if the tax is allowed by the U.S. Constitution and federal law.
Full Legal Text
Title 12, §1846
Banks and Banking, Source: USLM XML via OLRC
(a)In general
No provision of this chapter shall be construed as preventing any State from exercising such powers and jurisdiction which it now has or may hereafter have with respect to companies, banks, bank holding companies, and subsidiaries thereof.
(b)State taxation authority not affected
No provision of this chapter shall be construed as affecting the authority of any State or political subdivision of any State to adopt, apply, or administer any tax or method of taxation to any bank, bank holding company, or foreign bank, or any affiliate of any bank, bank holding company, or foreign bank, to the extent that such tax or tax method is otherwise permissible by or under the Constitution of the United States or other Federal law.
Legislative History
Notes & Related Subsidiaries
Editorial Notes
Amendments
1994—Pub. L. 103–328 designated existing provisions as subsec. (a), inserted heading, and added subsec. (b). 1987—Pub. L. 100–86 substituted “No provision of this chapter shall” for “The enactment by the Congress of this chapter shall not” and inserted “companies,” before “banks,”.
Statutory Notes and Related Subsidiaries
Effective Date
of 1994 AmendmentAmendment by Pub. L. 103–328 effective at end of 1-year period beginning on Sept. 29, 1994, see section 101(e) of Pub. L. 103–328, set out as a note under section 1828 of this title.
Reference
Citations & Metadata
Citation
12 U.S.C. § 1846
Title 12, Banks and Banking
Last Updated
Sep 22, 2026
Release point: 119-110