Wilmington daily gazette., 1873-04-02
Por the Gazette.
The TAX on mortgages.

Eof the 0aEett0.
The Tax on Mortgages.
1t iS to be hoped the Legislature now in session
at Dover, win repeal the law which imposes tar
on mOrtSageA There was. in the early part Of the
session, bill introduced (lf mistake not) by the
member from this hundred, which proposed to
amend the present law, 80 as to make the mort
gagOe pay the tax instead of the mortgager the
prospective effect Of such law seem to have been
properly understood BY 4 majority OF the men,
bOrs and the proposed amendment was wisely kill
ed in the House. Mr.. Clark should have known
that the passage Of such measure would have
caused every man who has money loaned in Dsl.,
to cali itin atonee. Hundreds of mortgages would
have been fOreclOsed and a. many farms sacri6c-
| cd, and the present owners ruined. The borrow
er or mortgage now pays the tax, he cannot af-
ford to pay it, especially when he pays an exhor-
bitant rate Of interest which he is compelled to do
nine cases out Of ten because Of the scarcity Of
loanable capital II the mortgage were compeIl-
i cd to pay the tax he would either charge a still
higher rate OF interest to cover tax call in the
money already loaned. We believe g majority
Of the people Of Delaware would prefer to have
Il mortgages entirely exempt from taxation The
experiences Of our neighbOring States, Pennsylva-
mia and New jersey IN reference to this matter is
Il WOASuy tue stuoy OF our LEGISLATORS. Both those
l states have entirely exempted mortgages from
taxation over large part OF their territory il not
the whole Of it.
In tue report of the commissioners appointed
by his Excellency Governor Hoffman of New
York, 10 revise the laws for the assessment and
collection Of taxes in that State we find on page
", the following in reference to the exemption OF
mortgages from taxation in Pennsylvania and
New jersey In both OF these States, it Is repre-
sented to the commissioners, that the demand
nnt L.,
the capitalists, but from the small landholdcrs
particularly those OF the working clnsses; anC
further, that, the influence Of the exemption has
been most beneficial to the districts affected by
, 1t, so much so, to use the words of one convers
ant with the question, that If il were pOssibl,
| to take in rs from au eminence, a view of tn,
whole State, the counties in which mortgage
were exempt from taxation would be as Feadil,
I distinguished from the Others as would be fell
\ of luXurient wheat, or corn from field of scru
oak, or brush-wood." In the same report, pag
q, the commissioner states, " that whatever els
h may be acceded TO in the way of reform in tn
existing system of taxation, the interests of th
State Of New York, and the discriminating legii
q latlon Of the contiguous States of New JeFse
4 and Pennsylvania imperatively require that th
= exemption In question should be granted an
" furthermore that 80 far from diminishing the tay
able property of the State, the effect OF such c.
n emption will be (at least after little timel t
: greatly to increase it." This language and doctrh
J, will apply as well to our State as the State
q New York.
I The following is copy of bill introduce
= into the Assembly of New YORK, during the Sc
e sion of 1871 -
= Section, l. "All money now and hereafter
be loaned, secured by mortgage upon lands
= the State of New York, is hereby exempted fro
taxation"
u Section .. This oct shall take effect INN
diately."
IN A similar bill should be introduced into al
ID passed by the General Assembly, of DelawaI
he now in session. Who will be the member to
n- troduce it Whoever he may be, if the bill /
IL comes law, the heavily oppressed and tax ridd
p people will owe him debt of gratitude.
ONE OF THE PEoPI Z.
" St. Georges, March 81, 1878.