812.512/3495: Telegram
The Consul at Nogales (Damm) to the Secretary of State
[Received May 3, 1929—6:18 a.m.]
The Federal tax office in Nogales is serving notice on all tax payers, including Americans, that they will within the next few days have to make a manifest of all Federal taxes paid by them to the revolutionary government preparatory to their payment again to the reestablished government. Americans are requesting instruction from the Consulate as to the attitude they should assume in such cases. It should be pointed out that the Consulate was successful in forestalling the payment of all forced loans or other similar measures or contributions not applied to a fixed percentage amongst all the population of the district while the revolutionists were in charge but it was not able to prevent the payment of the usual property and sales taxes. It did informally and unofficially protest to the de facto authorities in the district against the payment to them of all taxes by American citizens. The Consulate desires instruction, therefore, whether the ground has not thereby been laid for a protest to the reestablished government against the payment again of all such Federal, state and municipal taxes. It should be pointed out in connection with the latter that local newspapers carry the report that the legislature of the state of Chihuahua has decided to validate state and municipal taxes so paid to the revolutionary government.
Repeated to the Embassy.