Charles Evans Hughes

“ The notes were all payable to banks, at their banking houses, respectively, outside of South Carolina; none of them being located or doing any business within that state. The custom and practice between the plaintiff and each of the banks was that in each instance, at the office of the bank, a line of credit was first established; that is, an agreement was made that the plaintiff's borrowing from the bank should never exceed a certain amount, each specific loan to be made thereafter being subject to acceptance by the bank. ”

“ It is only as to the latter class of notes which were signed in South Carolina that the District Court upheld the tax. The tax as thus sustained is an excise tax, of a familiar sort, levied with respect to the creation of instruments within the state. So laid, the tax was not imposed upon property, or upon the transfer of property, situated beyond the jurisdiction of the state as was found to be the case in Union Refrigerator Transit Co. ”

“ Cas. 493; Frick v. Pennsylvania. 268 U.S. 473, 45 S.C.t. 603, 69 L. Ed. 1058, 42 A. L. R. 316; Farmers Loan & Trust Co. v. Minnesota, 280 U.S. 204, 50 S.C.t. 98, 74 L. Ed. 371, 65 A. L. R. 1000; Baldwin v. ”