Owen J. Roberts

“ Taxation of a bank's branch is taxation of the bank itself. [8] The system of national banks was intended to be coextensive with the territorial limits of the United States, and, while the consent to taxation given by section 5219 refers in terms only to the states, it extends also to territorial governments and sets the limits of their exercise of the power. [9] The form of taxation here imposed is not permitted by the section. [10] The organization of a national bank in Puerto Rico is within the contemplation of the National Banking Act ”

“ Puerto Rico, an island possession, like a territory, is an agency of the federal government, having no independent sovereignty comparable to that of a state in virtue of which taxes may be levied. Authority to tax must be derived from the United States. ”

“ St. § 5219, as amended, U.S.C. Supp. tit. 12, § 548 (12 USCA § 548) , so far as material, is:↑ 'The assessment of every corporation, joint stock and limited liability company not incorporated in Porto Rico but engaged in the transaction of business therein, other than banks and banking institutions having a share capital, shall be made in the manner. ”