Lewis

The question before the court on this appeal is whether- the Documentary Stamp Tax imposed upon the transfer of corporate stocks by Title VIII, Section 800, Schedule A-3 of the Revenue Act of 1926, as amended, 44 Stat. 9 , 99, 101; 47 Stat. 169 , 273; 48 Stat. 206 , § 212; 49 Stat. 431 ; 49 Stat. 2029 ; 50 Stat. 358 , 26 U.S. C.A. Int.Rev.Acts, page 289, should be computed on the basis of the par or face value of the certificates surrendered to the transfer agent by the transferor, or upon the basis of the par or face value of the new certificates issued to the transferee.

The facts are not disputed. July 2, 1937, Transamerica Corporation, taxpayer-appellant, declared a dividend to its stockholders of stock of Bank of America National Trust and Savings Association, a national banking association, on the basis of one share of the capital stock of the Bank of *403 America, N. T. & S. A., of the par value of $12.50 a share, for each ten shares of no-par stock of Transamerica Corporation outstanding, as of the close of business July 15, 1937. The resolution and payment of the dividend were approved by the stockholders of appellant on July 10, 1937, and prior to July 31, 1937, the…