12 U.S.C. § 2098 — Taxation

Page 1309 TITLE 12—BANKS AND BANKING § 2121 § 2097. Liens on stock Each Federal land bank association shall have a first lien on the stock and participation cer- tificates it issues, except on stock or participa- tion certificates held by other Farm Credit Sys- tem institutions, for the payment of any liabil- ity of the stockholder to the association or to the bank, or to both of them. (Pub. L. 92–181, title II, § 2.15, formerly § 2.16, as added Pub. L. 100–233, title IV, § 401, Jan. 6, 1988, 101 Stat. 1637; renumbered § 2.15, Pub. L. 100–399, title IV, § 401(w), Aug. 17, 1988, 102 Stat. 999.) Editorial Notes PRIOR PROVISIONS A prior section 2097, Pub. L. 92–181, title II, § 2.16, Dec. 10, 1971, 85 Stat. 602; Pub. L. 96–592, title II, § 211, Dec. 24, 1980, 94 Stat. 3443, related to other services, prior to the general amendment of this subchapter by Pub. L. 100–233, § 401. A prior section 2.15 of Pub. L. 92–181 was renumbered section 2.14 and is classified to section 2096 of this title. Statutory Notes and Related Subsidiaries EFFECTIVE DATE Pub. L. 100–233, title IV, § 401, Jan. 6, 1988, 101 Stat. 1622, provided that this section is effective 6 months after Jan. 6, 1988. § 2098. Taxation Each Federal land bank association and the capital, reserves, and surplus thereof, and the income derived therefrom, shall be exempt from Federal, State, municipal, and local taxation, except taxes on real estate held by a Federal land bank association to the same extent, ac- cording to its value, as other similar property held by other persons is taxed. The mortgages held by the Federal land bank associations and the notes, bonds, debentures, and other obliga- tions issued by the associations shall be consid- ered and held to be instrumentalities of the United States and, as such, they and the income therefrom shall be exempt from all Federal, State, municipal, and local taxation, other than Federal income tax liability of the holder there- of under the Public Debt Act of 1941 (31 U.S.C. 3124). (Pub. L. 92–181, title II, § 2.16, formerly § 2.17, as added Pub. L. 100–233, title IV, § 401, Jan. 6, 1988, 101 Stat. 1637; renumbered § 2.16 and amended Pub. L. 100–399, title IV, § 401(w), (x), Aug. 17, 1988, 102 Stat. 999.) Editorial Notes PRIOR PROVISIONS A prior section 2098, Pub. L. 92–181, title II, § 2.17, Dec. 10, 1971, 85 Stat. 602; Pub. L. 99–205, title II, § 205(e)(16), Dec. 23, 1985, 99 Stat. 1705; Pub. L. 100–233, title VIII, § 805(j), Jan. 6, 1988, 101 Stat. 1715, related to taxation, prior to the general amendment of this subchapter by Pub. L. 100–233, § 401. A prior section 2.16 of Pub. L. 92–181 was renumbered section 2.15 and is classified to section 2097 of this title. AMENDMENTS 1988—Pub. L. 100–399, § 401(x), substituted ‘‘derived therefrom, shall’’ for ‘‘derived therefrom shall’’, ‘‘by the associations’’ for ‘‘by the banks’’, and ‘‘3124’’ for ‘‘742(a)’’. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100–399 effective immediately after amendment made by section 401 of Pub. L. 100–233, which was effective 6 months after Jan. 6, 1988, see sec- tion 1001(b) of Pub. L. 100–399, set out as a note under section 2002 of this title. EFFECTIVE DATE Pub. L. 100–233, title IV, § 401, Jan. 6, 1988, 101 Stat. 1622, provided that this section is effective 6 months after Jan. 6, 1988. SUBCHAPTER III—BANKS FOR COOPERATIVES PART A—BANKS FOR COOPERATIVES Editorial Notes CODIFICATION Pub. L. 100–233, title IV, § 415(1), Jan. 6, 1988, 101 Stat. 1642, inserted part A heading. § 2121. Establishment; titles; branches The banks for cooperatives established pursu- ant to sections 2 and 30 of the Farm Credit Act of 1933, as amended, shall continue as federally chartered instrumentalities of the United States. The Farm Credit Administration shall approve amendments consistent with this chap- ter to charters and organizational certificates of banks for cooperatives. Unless an existing bank for cooperatives is merged with another bank, there shall be a bank for cooperatives in each farm credit district. A bank for cooperatives may include in its title the name of the city in which it is located or other geographical des- ignation. When authorized by the Farm Credit Administration each bank for cooperatives may establish such branches or other offices as may be appropriate for the effective operation of its business. (Pub. L. 92–181, title III, § 3.0, Dec. 10, 1971, 85 Stat. 602; Pub. L. 100–233, title IV, § 414(b), title VIII, § 802(m), Jan. 6, 1988, 101 Stat. 1641, 1711; Pub. L. 100–399, title IV, § 406(b), title IX, § 901(c), Aug. 17, 1988, 102 Stat. 1000, 1007; Pub. L. 115–334, title V, § 5411(4), Dec. 20, 2018, 132 Stat. 4679.) Editorial Notes REFERENCES IN TEXT Sections 2 and 30 of the Farm Credit Act of 1933, as amended, referred to in text, were classified to sections 1134 and 1134f, respectively, of this title prior to their repeal by section 5.26 of Pub. L. 92–181, which enacted this chapter. AMENDMENTS 2018—Subsec. (a). Pub. L. 115–334 struck out ‘‘and a Central Bank for Cooperatives’’ after ‘‘each farm credit district’’ and ‘‘The Central Bank for Cooperatives may be located in such place as its board of directors may determine with the approval of the Farm Credit Ad- ministration.’’ after ‘‘other geographical designation.’’ 1988—Pub. L. 100–399, § 901(c), substituted ‘‘merged with another bank’’ for ‘‘merged with one or more other such banks under section 2181 of this title’’. Pub. L. 100–233, § 802(m), substituted ‘‘The Farm Cred- it Administration shall approve amendments con-