The Rutland daily globe. [volume] (Rutland, Vt.) 1873-1877, 1874-04-01
WEDNESDAY APRIL /, 1874.
EXEMPTION OF MANUFACTURE
ING ESTABLISH

EXEMPTION OF MANUEACEGh"
ING ESTABLISHMENTS
The discussions at the convention of lis
tiers, Monday, illustrates how loosely our
laws are worded, and how carelessly they
are suffered TO pass through the different
stages of legislation The necessity having
been long felt that manufactures, OF din
erent kinds. should be established in Ner-
mont, the legislature, in 1869, passed law
for their encouragement The next year,
1870. the law was amended aud construed.
so that the act of tins year contains the
law in reference to the taxation, or exemp-
ton from taxation, of manufacturing es-
Adjustments. 1t provides. in substance,
that all manufacturing establishments
erected after or in the process of construc-
ton, On the sixteenth day Of November,
1859, together with the machinery aud
capital used for operating the same, 10
gether with all such machinery put into
buildings heretofore erected but not now
occupied, or not now in condition foroccu-
patton, and all the capital used for operat-
ing the same shall be exempt from taxa
ton for five years "lrom the time OF COM
mpuciug TO operate the same" bat this eX-
cmption moi to apply only in cases "where
he amount Of capital actually invested y
shall be one thousand dollars or more. The
listers arc required, however. to appraise
this properly every year, and state upon
the grand list its valuation, land the cX-
emption from taxation, and the time when
such exemption will terminate" Prior to
this time there vas Il statute in force all
tuorzng the several towns Of the stale, at
their pleasure To exempt manufacturing
establishments from taxation In many
towns the power was exercised in others
II was not. For this reason it WAS felt
tina, taxation was unequal-oue town pay
ing taxes 10 the state upon all property,
others on only part thcrcof-and this law
WAS enacted 60 remedy the difficulty, place
all town upon an equality, aud to make
taxation, or uon-taxation, compulsory, not
Il matter of discretion or favor. Tic listers
have absolutely nothing 10 do IN the mat
ter, different from their duties rs 10 other
property, save to ascertain whether IN not
one thousand dollars OF capital is actually
invested" when business was commenced
and what day will I've five years from the
day OF commencing business.
We have said the law WAS loosely word
I'd, and is it not D.? Its object was ''to en-
courage manufactures. 1t sought to do
this by holding out to foreign capitalists
exemption from taxation, tor five years, as
an inducement for them to come into the
state, introduce new branches of industries
that is manufactures. That this Was tie |
object and intent of the law, and its only
object and intent IL not. perhaps, evident |
from its reading, but it fully appeared from |
the discussions attendant upon lie passage. |
Unless there has been some judicial con
s.ruction Of its meaning, II is q sweeping |
exemption from taxation, for five years, OF |
all kinds of manufactures, etc, established |
since November 1869, IN which cai2ital of |
one thousand dollars is used Webster de. |
fines mandatory" to be "a place where
something is made" and that manufacture"
means " the operation Of making cares Of |
any KIND; the process of reducing raw ma
terials to form suitable for use, Gy the
hands, by art, or machinery" An 'ostab-
lishment," according to the same standard |
authority is ''thc place in which one is per- |
mancntly fixed for residence or business
also, any office or place of business" TAX |
Ing these definitions and applying them to |
The law in question, how much property is |
exempted from taxation? II man comes |
10 Rutland, hires a building, aud with
twelve hundred dollars worth Of stock,
goes to making boots and shoes, is the cap
!tal so INVESTED and the building occupied
by him exempt from taxation? Take the
cases mentioned by the listers, the saving
of lumber and the burning of charcoal. Is
II not manufacturing They have place
OF business, that is an establishment, and,
If using the requisite amount Of capital, are
they liable to taxation? How is II with a
marble quarry? The ''raw material" Is
taken thereirom aud ''reduccd" 10 80 form
suitable for use So with the making Of
butter aud cheese, the grinding of corn or
wheat into meal or flour, or even, and 1t is
not forced construction, the buvlng of
COWS and swine and converting or 're-
duciug" them into beef or pork packing
them in barrels, and sending the meat so
packed to market. We do not suppose, for
n moment, that the legislature contemplate
ri any such eXemption-but the law so
reads aud the listers or courts must decide,
until the law-making power takes another
turn mt ''construng."