---
kind: "section"
citation: "12 U.S.C. § 1846"
title: "12"
title_heading: "Banks and Banking"
number: "1846"
heading: "Reservation of rights to States"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/12/1846"
units:
  - "Chapter 17 — Bank Holding Companies"
---

# §1846. Reservation of rights to States

- (a) **In general—** No provision of this chapter shall be construed as preventing any [State](/usc/12/1707.md?p=d) from exercising such powers and jurisdiction which it now has or may hereafter have with respect to [companies](/usc/12/1841.md?p=b), [banks](/usc/12/1841.md?p=c-1), [bank](/usc/12/1841.md?p=c-1) holding [companies](/usc/12/1841.md?p=b), and subsidiaries thereof.
- (b) **State taxation authority not affected—** No provision of this chapter shall be construed as affecting the authority of any [State](/usc/12/1707.md?p=d) or political subdivision of any [State](/usc/12/1707.md?p=d) to adopt, apply, or administer any tax or method of taxation to any [bank](/usc/12/1841.md?p=c-1), [bank](/usc/12/1841.md?p=c-1) holding [company](/usc/12/1841.md?p=b), or foreign [bank](/usc/12/1841.md?p=c-1), or any [affiliate](/usc/12/1841.md?p=k) of any [bank](/usc/12/1841.md?p=c-1), [bank](/usc/12/1841.md?p=c-1) holding [company](/usc/12/1841.md?p=b), or foreign [bank](/usc/12/1841.md?p=c-1), to the extent that such tax or tax method is otherwise permissible by or under the Constitution of the United States or other Federal law.

## Source credit

(May 9, 1956, ch. 240, § 7, 70 Stat. 138; Pub. L. 100–86, title I, § 101(f), Aug. 10, 1987, 101 Stat. 563; Pub. L. 103–328, title I, § 101(b), Sept. 29, 1994, 108 Stat. 2341.)

## Notes

### Editorial Notes

### Amendments

1994—Pub. L. 103–328 designated existing provisions as subsec. (a), inserted heading, and added subsec. (b).

1987—Pub. L. 100–86 substituted “No provision of this chapter shall” for “The enactment by the Congress of this chapter shall not” and inserted “companies,” before “banks,”.

### Statutory Notes and Related Subsidiaries

### Effective Date of 1994 Amendment

Amendment by Pub. L. 103–328 effective at end of 1-year period beginning on Sept. 29, 1994, see section 101(e) of Pub. L. 103–328, set out as a note under section 1828 of this title.