Erskine v. Milwaukee and St

A penalty of $1,000 is the Only liability incurred by a railroad company for failing to comply with the provisions of sect. 122 of the internal revenue act of June 30, 1864 (13 Stat. 284), as amended by the act of July 13, 1866 (14 id. 138).

Error to the Circuit Court of the United States for the Eastern District of Wisconsin. This was an action brought by the Milwaukee and St. Paul Bailway Company against Erskine, collector of internal revenue for the First Collection District of the State of Wisconsin, to recover $17,296.12 paid by the company under protest in the year 1870, and by him claimed to be due from it for taxes under the laws of the United States. There was a judgment in favor of the company for $8655.07 and costs. Each party excepted to the rulings of the court below, and sued out a writ of error. The exceptions of the company were' abandoned here. The only question submitted was, whether the company was liable for any sum beyond the penalty of $1,000 for its default in paying the tax of five per cent upon the amount paid to the holders of the coupons, which represented the interest on its bonds, and upon the dividends payable to its stockholders. The court below held that the company was not so liable.