Nashville union and American. [volume] (Nashville, Tenn.) 1868-1875, 1873-07-02
THE AsSEssmENT LAW.

is sound and doing well. ~ - %
TAE ASSESSMENT LAW.
The ArGtGnche comes to us with de-
tense of tbs original Assessment bill pre-
pared by Hon. Mr.. Williamson, Of Shelby,
and by bin introdpced in the House of
Representatives. in the last session. The
same bill was Introduced in the Senate by
Senator McKenna, of Shelby. That these
gentlemen Intended to represent faithfully
what they Believed 40 be the interest OF
their Constituents resident in the city Of
Memphis no one can doubt. But the
country members drove them horse, foot
and dragons, from their position in favor
of greatly restricting, indeed nearly abolish
ing the tax on privileges, and thus forcing
an increase of taxation on land We are
aware that there is a strong influence in
the cities of The State which insists that
there should be no lax on privileges. Many
claim that land alone should bear the bur
den of taxation. If we lived in England,
or any other European country where
there was landed aristocracy,
we should doubtless favor that plan of tax
alton. But living in republican America
where it should be the purpose Of governs
ment, Federal and State, 70. ildncs every
citizen to becomea Isnd-holder, and when
the tendency is IS great, especially among
the rising generation, to abandon farms and
plantations and rush into cities to make an
easy living by engage 6 in this, that or the
other occupation, we have no hesitancy
in asserting that the Occupation" or priyil-
eye tax is fully in accord with the genius
of our institutions and far mere preferable
than that system which would place the
burdens aud expenses OF government alone
upon land OF other visible and tangible
property always under the Assessors eye
and subject TO the Sberiff-s execution.
The 46UdiGncke asks us if the merchants"
tax is not double tax? We might answer
tie question by asking: If that be double
tax is not every other privilege tax double
tax? But we prefer to answer fatty, NO"
Every man, who has over 5 thousand dol
lars worth Of personal property, pays a tax
on that property. That is one tax. Then
every man who follows certain specified oc-
cupations pays a tax for the privilege of
following that occupation. That is AZ other
tax, bat it lie not double tax on his proper
ty. The first is tax Oh his property. The
second is a tax on his occupation, and may
be greater or less, in tie discretion of the
Legislature, than the tax on property. If
he does not wish to pay privilege tsx or
license, be csn go into farming or such bust
ness as the law does not impose privilege
tax upon.
We relaat what we said in our former
article: aa-E ~ -
"The difference in the principle of assess
ment between the bill las introduced By
williamson and the Law, is difference
vastly in favor of the city and against The
country" The original bill proposes to
exempt from tdJGtiOR oil buildings and i'm
pr vements for the space of five years from
have been highly advantageous 10 the cities
where the "buildings and improvements"
so greatly preponderale, but we doubt
whether it would have been relished by TIE
eople of he country. Nor do we see how
this exemption could have been reeonciled
with that provision of the constitution
which emphstically delares that "dl pro-
pertu, real, personal and iniLea, shall be
4y1e,1 - rs al Fapaitod nfinpc
among which we do not find "bRildings
and improvements" Another difference
we find is that the original bill exempted
from taxation "sll bonds of the State of
Tennessee" and omitted the eleventh par
sgraph Of the seventh section of the law,
which taxes ''the amount OF income derry
ed from United s aies bonds, and all other
stocks and boz DIS not taxed al Udlorem"
In this we know that the bill of Mr.. Viii
hanson would hsve been far preferable to
the owners Of socks and bonds, but We
take it that the owners Of horses, mules,
cattle, sheep, hogs and land would prefer
The law asst is.
: In our former article we said:
"In the original bill the shares of stock
holders in banking ard other stock corpor-
atoms are not taxed, but in lieu there is
speciously proposed Ian Of taxing tie CAPT
tai stock of these corporations which, under
the exemptions they have by charter, would
amount 10 but little"
The Avalanche asks us go say exactly
what We mean by this. We mean just
what we said. We are referred to section
6, ari icle 5, snd section Is Of Mr.. Willism- |
sons bill, and requested to compare with
section 2, article 5, and section "a of the
law. BY section s, article 5, of William
sons bill, there is assessed the:
"Value of all bonds, stocks, and |
other like securities other than such as are |
exempt from taxation by laws Of the United |
States or of this State, and such as shall |
have been actually returned under article |
of this section"
By section Is of the bill:
"All the property described in articles 8,
6, Z, s, 8 and 10 of section 5 of the bill |
shall be assessed for taxation as therein
specified and declared, provided" etc.
Does the Avalanche mean that by this
'The shares of ste ckholders in banking and
other stock corporations are taxed" directly? |
II so what does it mean by saying That
"Williamson's bill proposed that if each
bank or corporation would report for taxa
.iCn its entire capital invested or represent
I'd by stock issued and profits made, the
stock in the hands of the iHdiUidUGt stock
holders should be exempt, because already
returned for taxation by the bank or cor
poration."
The difference between us is just this.
If the shares of stockholders are not taxed
IS such IN their hands, but let to be re-
turned for taxation by the bank or COrpO-
alton, much of it VIII escape taxa
Jon forever der the exemption
J, ecifed or bonus required in many
IF the charters. To illustrate: The Nash
vile and Chattanooga Railroad Company
las by its charter " The capital stock of said
Company .fOreUer exempt from taxation,
md the road with all its fixtures and APP
,urtenances exempt from taxation for
,wenty years from the completion of the
-oad," If A. owns half million dollars
worth of stock in this Company, the only
"a. !