7 U.S.C. § 1984: Taxation

Summary

States, territories, the District, and local governments may tax property that the United States has a lien on or that the Secretary holds under this chapter, the same as other property. Property used for administrative purposes is excluded. But no tax may be charged on instruments (like notes, mortgages, or lien papers) when the tax is based on the value of notes or liens held by or transferred to the Secretary; on notes or lien instruments handled under this chapter that were made, assigned, or held by someone already liable for the tax; or on the value of property transferred to the Secretary. If such a tax is unpaid, that cannot be used to refuse to record or file the papers, to withhold notice, or to prevent enforcement in state or federal court.

Title 7, §1984

Agriculture, Source: USLM XML via OLRC

All property subject to a lien held by the United States or the title to which is acquired or held by the Secretary under this chapter other than property used for administrative purposes shall be subject to taxation by State, territory, district, and local political subdivisions in the same manner and to the same extent as other property is taxed: Provided, however, That no tax shall be imposed or collected on or with respect to any instrument if the tax is based on—

(1)the value of any notes or mortgages or other lien instruments held by or transferred to the Secretary;

(2)any notes or lien instruments administered under this chapter which are made, assigned, or held by a person otherwise liable for such tax; or

(3)the value of any property conveyed or transferred to the Secretary,

whether as a tax on the instrument, the privilege of conveying or transferring or the recordation thereof; nor shall the failure to pay or collect any such tax be a ground for refusal to record or file such instruments, or for failure to impart notice, or prevent the enforcement of its provisions in any State or Federal court.

Notes & Related Subsidiaries

Editorial Notes

References in Text

This chapter, referred to in text, was in the original “this title”, meaning title III of Pub. L. 87–128, Aug. 8, 1961, 75 Stat. 307, known as the Consolidated Farm and Rural Development Act, which is classified principally to this chapter. For complete classification of title III to the Code, see

Short Title

note set out under section 1921 of this title and Tables.

§1984 Taxation