The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1869-07-31
TAXATION Of RELIGIOUS SOCIETIES.
Decision Of the Commissioner of Internal
Revenue,
Washington duly 20 correspondence OF tile Phila.
delphia Press

washington duly 20 correspondence OF tile Phila-
The commissioner f't " Internal Revenue has de-
clded that the Shaker community ut New Lebanon,
MONTGOMERY county. Onto, is such person" as Ii
required To pay q tax upon annual gains, prob Is
and incomes and that It Is enu led to only ex-
caption of $1,000 This, so lar a. the exemption Is
concerned, Is reversal OF the previous ruling OF
each each ana every covcnanting male mem
Der OF the society; and so far as the rest is
concerned It Is reversal OF the ruling ,hat
the word "persou," used In section 1t6 Of the In
terna Revenue laws. apples to nature, natural persons
artificial ones. The decision OF Commissioner De-
lan0 ID one affecting not only the interests OF the
throughout the United states whose income Is indi-
visible according to tue objects OF their organIza
the Commlssloner covers twenty i've pages Of letter
paper, closely written. IL Is an exhaustive review
OF the whole question. and viii undoubtedly take
many by surprise since II is subject that has
never been discussed. The previous rulings Of
the department were supposed to be nnal,
decided against the very claim or the Shaker COM
munity. aud upon which the opinion OF the C0mns-
sioner Is based. According 10 the laws OF ONO
whenever majority Of persons residing III county
desire the construction OF turnpike the c9unty
commissioned Is authorized to do the work IL ap-
pears that certain residents OF New Lebanon peti-
iione6 for the construction OF q road through the
grounds OF the SHAKER settlement, ana 10 uelcat
the petition each Of the mempers o. sne community
then raised whether the Individual members
had a rgnt to sign the remonstrance. rs tney were
NOT freehOlders, and could not claim any share In
Inc property OF the community, everything being
held in common. The state supreme Court OF ONO
decided that the community was clearly witnin the
meaning OF nat IL known az al artiic'al person.
and therefore. entitled to but one representative.
La making annual returns they have been repre-
sented by one Peter Boyd, who reported Their in
come for 1868 at SIS, 296 ~ and the amount OF
their exemption OF sso,oo3 81. This included
$4,000, the exemption claimed by the forty-six
coyenanling male members OF the society.
According to section forty-Iour OF the Internal
Revenue laws IL provides 'And any word or words
In any and oil parts OF IN act and OF all acts to
which TINS act IL additional indicating or referring
10 person or persons SHAH be taken to include part
nclships Arms, associations, bodies corporate or
poliic or any other party whatsoever, when not
otherwise designated, or manifestly Incompatible
With the intent thereof" The Commissioner MAIN
lsns that the shaker Society Is In tins sense art
ncial person, and the only one who can claim ex-
emption Ia the representative of tho socicty The
same ruling will also apply, It Is presumed, 10 all
communities holding property IN common Is weh
"a to all corporate bodies whose ANNUAL income ex-
cceds the amount exempted 10y law. These are o
large number ana prominent among those men
toned are the lrniiy Church corporation IN New
York aud the Board OF Trustees Of Harvard college,