child, adopted child or adoptive parent of the deceased, the tax shall be at the following rates: On its value not exceeding twenty-five thousand dollars, at one per cent; On the excess of its value over twenty-five thousand dollars, and not exceeding fifty thousand dollars, at two per cent; On the excess of its value over fifty thousand dollars, and not exceeding two hundred and fifty thousand dollars, at four per cent; On the excess of its value over two hundred and fifty thousand dollars, and not exceeding one million dollars, at five per cent; and On the excess of its value over one million dollars, at six per cent. Class B. In case such property or interest therein shall Class B. so pass or any beneficial interest therein shall so accrue to or for the benefit of a lineal ancestor or descendant other than those included in Class A, a wife or widow of a son, the husband of a daughter, or a lineal descendant of an adopted child, or a lineal ancestor of an adoptive parent of the deceased, the tax shall be at the following rates: On its value not exceeding ten thousand dollars, at one per cent; On the excess of its value over ten thousand dollars, and not exceeding twenty-five thousand dollars, at two per cent; On the excess of its value over twenty-five thousand dollars, and not exceeding fifty thousand dollars, at four per cent; On the excess of its value over fifty thousand dollars, and not exceeding two hundred and fifty thousand dollars, at five per cent; On the excess of its value over two hundred and fifty thousand dollars, and not exceeding one million dollars, at six per cent; and On the excess of its value over one million dollars, at seven per cent. Class C. In case such property or interest therein shall Class C. so pass or any beneficial interest therein shall so accrue to or for the benefit of a brother, sister, step-child, step-parent, half brother, half sister, nephew or niece of the deceased, the tax shall be at the following rates: On its value not exceeding ten thousand dollars, at three per cent; Taxation of legacies and successions, etc. Class D. Liability for taxes. On the excess of its value over ten thousand dollars, and not exceeding twenty-five thousand dollars, at five per cent; On the excess of its value over twenty-five thousand dollars, and not exceeding fifty thousand dollars, at seven per cent; On the excess of its value over fifty thousand dollars, and not exceeding two hundred and fifty thousand dollars, at eight per cent; On the excess of its value over two hundred and fifty thousand dollars, and not exceeding one million dollars, at nine per cent; and On the excess of its value over one million dollars, at ten per cent. Class D. In case such property or interest therein shall so pass or any beneficial interest therein shall so accrue to or for the benefit of any person not included in any of the foregoing classes, the tax shall be at the following rates:On its value not exceeding ten thousand dollars, at five per cent; On the excess of its value over ten thousand dollars, and not exceeding twenty-five thousand dollars, at six per cent; On the excess of its value over twenty-five thousand dollars, and not exceeding fifty thousand dollars, at seven per cent; On the excess of its value over fifty thousand dollars, and not exceeding two hundred and fifty thousand dollars, at eight per cent; On the excess of its value over two hundred and fifty thousand dollars, and not exceeding one million dollars, at nine per cent; and On the excess of its value over one million dollars, at ten per cent. Administrators, executors and trustees, grantees or donees under conveyances or gifts made during the life of the grantor or donor, and persons to whom beneficial interests shall accrue by survivorship, shall be liable for such taxes, with interest, until the same have been paid; but no property or interest therein, which shall pass or accrue to or for the use of a husband, wife, father, mother, child, adopted child or adoptive parent of the deceased, unless its value exceeds ten thousand dollars, and no other property or interest therein, unless its value exceeds one thousand dollars, shall be subject to the tax imposed by this act, and no tax shall be exacted upon property or interests so passing or paid out of accruing which shall reduce the value of such property or interest below the amount of the above exemptions. All Taxes to be taxes under this act shall be paid out of and chargeable to capital, etc. capital and not income, unless otherwise provided in a will or codicil, or deed or other instrument creating the grant or gift, but nothing herein contained shall affect any right of the commonwealth to collect such tax or lien therefor. etc., amended. when payable. SECTION 2. Section four of chapter five hundred and 1907, 563, § 4, sixty-three of the acts of the year nineteen hundred and seven, codified as section four of Part IV of chapter four hundred and ninety of the acts of the year nineteen hundred and nine, as amended by section two of chapter five hundred and twenty-seven of the acts of the year nineteen hundred and nine, and by section one of chapter one hundred and fifty-two of the General Acts of the year nineteen hundred and fifteen, is hereby further amended by striking out the said section and inserting in place thereof the following: -Section 4. Except as hereinafter provided, taxes im- Certain taxes, posed by the provisions of this act upon property or interests therein, passing by will or by the laws regulating intestate succession, shall be payable to the treasurer and receiver general by the executors, administrators or trustees at the expiration of one year after the date of the giving of bond by the executors, administrators or trustees first appointed. If the probate court, acting under the provisions of section Tax payment, thirteen of chapter one hundred and forty-one of the Revised Laws, has ordered the executor or administrator to retain funds to satisfy a claim of a creditor, the payment of the tax may be suspended by the court to await the disposition of such claim. suspension. property, etc., passing by when payable. deed, etc., Except as hereinafter provided, taxes imposed by the Taxes on provisions of this act upon property or interests therein, passing by deed, grant or gift to take effect in possession or enjoyment after the death of the grantor or donor, or upon beneficial interests arising or accruing by survivorship in any form of joint ownership shall be payable by the grantee, donee or survivor at the expiration of one year after the date when his right of possession or enjoyment accrues. In all cases where there shall be a grant, gift, devise, descent, or bequest to take effect in possession or come into actual enjoyment after the expiration of one or more life estates or a term of years, the taxes thereon shall be payable by the executors, administrators or trustees in office when such right of possession accrues, or, if there is no such executor, Remainders, liens, etc. Repeal. Time of taking effect. administrator or trustee, by the person or persons so entitled thereto, at the expiration of one year after the date when the right of possession accrues to the person or persons so entitled. If the taxes are not paid when due, interest shall be charged and collected from the time the same became payable. Property of which a decedent dies seized or possessed, subject to taxes as aforesaid, in whatever form of investment it may happen to be, and all property acquired in substitution therefor, shall be charged with a lien for all taxes and interest thereon which are or may become due on such property; but said lien shall not affect any personal property after the same has been sold or disposed of for value by the executors, administrators or trustees. The lien charged by this act upon any real estate or separate parcel thereof may be discharged by the payment of all taxes due and to become due upon said real estate or separate parcel, or by an order or decree of the probate court discharging said lien and securing the payment to the commonwealth of the tax due or to become due by bond or deposit as hereinafter provided, or by transferring such lien to other real estate owned by the owner or owners of said real estate or separate parcel thereof. SECTION 3. So much of section three of chapter five hundred and sixty-three of the acts of the year nineteen hundred and seven, codified as section three of Part IV of chapter four hundred and ninety of the acts of the year nineteen hundred and nine, and amended by chapter five hundred and two of the acts of the year nineteen hundred and eleven, as was not repealed by section two of chapter six hundred and seventy-eight of the acts of the year nineteen hundred and twelve, is hereby repealed. SECTION 4. This act shall take effect upon its passage, but it shall apply only to property or interests therein passing or accruing upon the death of persons who die subsequently to the passage hereof. Property or interests therein passing or accruing upon the death of persons dying prior to the passage hereof shall remain subject to the laws then in force. Approved May 26, 1916. AN ACT TO IMPOSE A TAX UPON THE INCOME RECEIVED FROM Be it enacted, etc., as follows: Chap.269 incomes to be SECTION 1. There shall be levied in the year nineteen Tax upon hundred and seventeen, and in each year thereafter, a tax levied. upon incomes as hereinafter set forth. TAXATION OF INCOME DERIVED FROM CERTAIN INTANGIBLES. income derived SECTION 2. Income of the following classes received by Taxation of any inhabitant of this commonwealth during the calendar from certain year prior to the assessment of the tax shall be taxed at the rate of six per cent per annum: intangibles. (a) Interest from bonds, notes, money at interest and all Interest from debts due the person to be taxed, except from: First: Deposits in any savings bank chartered by this commonwealth or in the Massachusetts Hospital Life Insurance Company, or such of the deposits in the savings department of any trust company so chartered as do not exceed in amount the limits imposed upon deposits in savings banks by section forty-six of chapter five hundred and ninety of the acts of the year nineteen hundred and eight, and acts in amendment thereof and in addition thereto. Second: Bonds of the United States and such bonds, notes and certificates of indebtedness of the commonwealth and of political subdivisions thereof as are exempt from taxation under the provisions of clause fifteen of section five of Part I of chapter four hundred and ninety of the acts of the year nineteen hundred and nine, and acts in amendment thereof and in addition thereto. Third: Loans secured exclusively by mortgages of real estate, taxable as real estate, situated within the commonwealth, to an amount not exceeding the assessed value of the mortgaged real estate. bonds, etc., except, etc. on shares tions, etc., (b) Dividends on shares in all corporations and joint Dividends stock companies organized under the laws of any state or in corporanation other than this commonwealth, except national banks except, etc. and except such foreign corporations as are subject to a tax upon their franchises payable to this commonwealth under the provisions of sections forty-three and fifty-two of Part III of chapter four hundred and ninety of the acts of |