New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1875-01-11
THE CONTROVERSY OVER THE TAX
III affidavit of Rufus Hatch was made unde


Tho affidavit of Rufus Hatch was made under
tho forowinr circumstances: The Commissioners OF
roves and Assessments notified to the Paclnc MAI
Steamship Company last year that their Company was
assessed AT the par value OF their stock SoOOoOO' Dut
after listening to Mr. Hatchs statement IN Dehal oi Vo
Company reduced the assessment OF the property SUD
oct 70 taxation 10 s5745ls The Company objected that
tins was too much, and obtained in July f'i'
writ OF certorari directed TO the Tax Commissioners LOT
review OF their action by the Supreme Court General
Torn TIL Saturday the Tax Commissioners had maze
no return and aH iavit OF that 1act ana tha' o
Company intended good faith TO prosecute the sul
Tudce Donobue granted order staying all proceed
incs to collect the tax until the final determination OF
the suit and five DAYS after Later in the day the re-
turn Of the Commissioners served IL embodies an
affidavit made by Rufus Hatch before them last April
from which it will be seen that he claimed that 'ne
Company had only 81 100000 of taxable properly In TINS
state the tax on which would be only about SOOU IN
stead Of about 100000 the basis proposed by the Tax
Commissioners The following is the at1daV(;
AFFIDAVIT OF RUFUS HATCH.
Rufus Hatch OF SAID city being duly sworn SAYS tha
he is and Jan /, 1874, the wee Iresl1gnt anu
panv which was incorporated under the laws OF the
state of NewYOrk and has place OF business III Tue
cornoraicd for the purpose OF building, eqmpplng,
furnishing fitting, purchasing, chartering. and owning
steam or other expansive fluid motor power, and to
be run and propelled in navigating the Paclnc Ocpa anu
sailing vessels may be necessary TO provide uel or
other necessares. Aud deponeDt further says that Dy
far the greater portion OF the operations OF sad COM
pany are necessarily transacted and always nave Deen
outside Of the state New and ON the Pacic coast
where has an agency and its principal place OF DuslhcHs
and that nearly all the real and personal property
ing to the Company IS necessarily ana AWAY "as u
beyond the limits OF this state that the place OF Du'
ness of the Company III the City OF New-IOrK Is ntutu
and used only for the purpose OF me genera AKA
Inent of its affairs the meetings OF It's STOCKHOLDERS d
Board OF Directors, and the keeping OF lts eener@
accounts and records, and that only very SINAI
thprn
Company is required or used at any !he, OF Is
further saws tnat full and accurate knowledge OF
he general accounts of said Company which are KEPT
in said CITY of New-York and of the nature and value
Of The entire assets property Of every description
which the said company S%is and c."
hereto annexed contain correct statements Oh ana
show all the property. real and personal OF every knH
the said Company owned on Jan. !. 1874
That schedule A" shows all the real estate OF sara
Company aud the actual prices when nave Oeeh pau
That schedule b" shows the amount Of stock OF said
Pacific Mail steamship Company owned P S Oh une
day aud the par value thereof ana aso Ihe m
Of stock OF the Caornia D[y oEH m ib Said Say and
the par thereof the certificates OF when
toned stock the said day and always are ST
uated IN Francisco aud held bY the agents OF the
Thai sched9le c. contains true and accurate state
mcnt OF all the personal property DelOnglu% 10 sdIu
Company exclusive OF the Pacnc Mali steamship Com
pany stock described IN Schedule -, which on the SAID
day within the state OF New YORK anu tne rtsPect
i've values thereof and that the aggregate value OF ucn
personal property did exceed the sum OF sl3jOOO
as stated in said schedule
And deponent further says that all the rest and re-
mander of the property Of every kind and de-
srrnton which belonged TO the SAID company on the
Sad d 9f the %s State e Of that large portion
OF such property consists OF steamships ana otner YES
sells described in schedule 3D." hereto annexed, all Of
which on and prior TO the said day were permanently
located on Pacific coast aud were and are used by
the said Company exclusively in its Pacific trade aud
not one Of which touches at any port OF TINS
State in either OF the other Atlantic States; ihat
deponent is well acquainted with the respective values
Of said steamships and vessels ana that the same are
correctly stated IN schedule tah 5 i'o t
alton the business the said vessels are DONG Ou mat II
sold under the hammer for cash. without reference TO
their being used In any particular business t1sy wond
not in the Judgment Of deponent reaz' IN the aggre'
! gate over S25D0U0.
That another large portion OF such personal property
STATE of coal for tn, use said vessels the cost price
Of which correctly stated in schedule e. hereto
That another large portion Of such personal prOpsrty
OF steamships in process OF construction an OF
OF the state OF New-YOrk under contracts with the
builders thereof by which is stipulated that the title
to said vessels and the ownership O lhe same sna vest
In the said Pacific Mail Steamship Company as last as
nat schedule F. contains d description OF said steam
ships and shows the actual sums OF money which had
been paid the said Company GU account OF tue same
That schedule G" contains another large portion Of
such personal property, which consists OF moneys
amounting S3755O 6S collected by and IN the hands
of agents Of the said Company In cities and places out
side of the State Of York. which held and Will
be wholly dobursed by said agents outside OF SAID state
Also another portion of such personal property,
which consists OF what in the accounts OF the said Pa
cifc Mail Steamship Company, Is designated under the
name Of outfits and supplies, amounting IN value to
S0S SGD g. which are required for the Of said steam
ships necessarily located outside or and never
have been within, the state of NewYork Also, another
large portion Of such personal property consisting OF
moneys in the hands Of bankers IN England and
says that the 1atng liabilities Of said Com
| pany, all accounts, on the said day so
far ascertained amounted TO not less than $4,000.
aud that they probably exceeded that amount there
| are always heavy expenses incurred in the extensive
business operations Of said Company which cannot be
| atptV eat mai
nent further says that the said Company has not earned
or paid any dividend on It's capital Tor several years
And depOnentfurth SAYS that schedule H." hereto
annexed, shows the apparent total value OF all the
property real and personal OF SAID PacInc Mail steam
ship Company on the said day.
And dcpOient further says that the business and
the usual risks aud contingencies which attend the
erations OF all commercial enterprises; that 1t
OF the said Company to insure ITS steam
ships or any other property belonging 10 1t against
stanty subjected by pels OF the aud by causes In
cdenta TO their use, 10 damage, which render neces
sary continual repairs the extent and cost OF which
ali 6css circnnstances should be taken into consider.
alton in fixing actual value Of the capital OF said
Company at the period above mentioned And de-
e d SS wa sO i the
during the first TWO weeks OF January 1874, did not eX
eSl ha tbe sad Company is advised by Competent
legal counsel and claims and insists that all the
above mentioned was situated beyond the limits OF the
State NewYork, and which is described in Schedules
d. f. f. ana q, hereto anne xed exempt from taxation
by OF the State OF New York. and that the said
Company is not liable TO pay any tax thereon for the
said year 1874 Aud that SAID Company Is also advised
by said counsel and claims and insists that cannot bo
legally taxed for any OF the property described IN
Schedule Is, hereto annexed, and that The only pOr-
uon OF the personal property Of said Company herein
above described which IL Is liable under the laws Of
the be taxed for the said year 1874 That which
Is described in Schedule {, hereto Xed the aggre
gate value OF which Is $5SOOOO aforesaid. And de-
ponent further says that the said Company has been
aud Is ana has pad for the year 1874