Circulation

As used -in statutes providing for taxes on the circulation of banks, this term includes all currency or circulating notes or bills or certificates or bills intended to circulate as money. U. S. v. White (C. C.) 19 Fed. 723; U S. v. Wilson, 106 U. S. 620, 2 Sup. Ct. 85, 27 In Ed. 310.

— Circulating medium. This term is more comprehensive than the term "money," as it is the medium of exchanges, or purchases and sales, whether it be gold or silver coin or any other article.

Whatever passes from person to person, as, money, currency; also, the fact and the extent of a thing's being circulated. Certificates of indebtedness issued by a person or a corporation are not taxable as "circulation," under Rev. St., § 3108, imless calculated or intended to cu-culate or to be used as money.' > 3 HI. Com. S7-58; 4 id. 432, 434; 1 Steph. Hist. Cr. L. Eng. 100. > 18 Ct. CI. 457; 15 M. & W. 208. s Act 3 March, 1879: 20 St. L. 330, 1 Sup. R. S. 460. 4 United States v. Noelke. 17 Blatoh. 557 (1880); Com- The act of February 8, 1875, c. 35, sec. 19 (18 St. L. 311), provides " that every, person, flrm, association other than national banking associations, and every corporation, State bank, or State banking association, shall pay a tax of ten per centum on the amount of their own notes used for circulation and paid out by them. " This act is tp be construed in connection with the internal revenue law; is designed to provide a currency for the country, and to restrain the circulation of notes not issued by authority of Congress. An order by A in favor of B, or bearer, upon C for " five dollars in merchandise at retail," paid out by A and used as circulation, is not a note within the meaning of the act. Only such notes as are in law negotiable, so as to carry title in their general circulation from hand to h^nd, are the subjects of taxation under the act.' A certificate by a national bank that a person napied has deposited in it a certain sum, payable to the order of himself on return of the certificate properly indorsed, and understood not to be payable until a day agreed upon, is not forbidden. ' See Bank, 2 (2); Tax, 2.