CHAPTER 385

STATE REVENUE

TAXATION OF COOPERATIVES

AN ACT TO PROVIDE FOR THE TAXATION OF COOPERATIVES IN THE STATE OF DELAWARE.

Be it enacted by the Senate and House of Representatives of the State of Delaware in General Assembly met:

Section 1. That Chapter 6 of the Revised Code of Delaware, 1935, as amended, be and the same is hereby further amended by adding at the end of 171. Sec. 137. of Article 13 thereof a new paragraph as follows:

On and after the passage and approval of this Act, every cooperative engaged as owner or owners, or as agent or agents, in the practice, conduct, pursuit or carrying on of the business of working raw materials into products of a different character, finished or unfinished; or of effecting any combination or composition of materials, the inherent nature of which is changed; or of finishing by hand or machinery goods, wares or merchandise, or any article or material desiring to continue in said practice, conduct, pursuit or carrying on, in this State, shall be required to take out a manufacturer's license in the manner and under the conditions prescribed by Article 13 of Chapter 6 of the Revised Code of Delaware, 1935, as amended.

Section 2. That Chapter 6 of the Revised Code of Delaware, 1935, as amended, be and the same is hereby amended by adding at the end of 173. Sec. 139. of Article 14 thereof a new paragraph as follows:

On and after the passage and approval of this Act every cooperative engaged as owner, or agent, in the business of buying and selling merchandise for cash or by barter, or engaged in prosecuting, following or carrying on a retail or wholesale business by purchasing and selling produce, goods, wares, or any property of whatsoever description, desiring to continue in such business as is hereinbefore defined and in this State, shall be required to take out a merchant's license in the manner and under the conditions prescribed by Article 14 of Chapter 6 of the Revised Code of Delaware, 1935, as amended.

Section 3. All Acts or parts of Acts inconsistent with the provisions hereof are hereby repealed to the extent of such inconsistency only.

Section 4. If any clause, sentence, paragraph, section or part of this chapter shall be judged by any Court of competent jurisdiction to be invalid, such judgment shall not affect, impair or invalidate the remainder thereof, but shall be confined in its operation to the clause, sentence, paragraph, section, or part thereof directly involved in the controversy in which such judgment shall have been rendered.

Approved June 30, 1949.