The Daily clarion. [volume] (Jackson, Miss.) 1866-1888, 1876-02-22

trty of all corporations Tor Pec''hi',5
81. nritiis shall be subject to taxation .Ie
5. tame as chat OF. individuals. Iono'hins
t,em in one section and supposlng them 10
lave logical sequence, our cohclnsI1n
,ould he the same as to the design Oh tue
trainers of the Constitution. Ihere Is notn-
in0 in the two thus combined Which alioIus
any warrant for the proposition that the
snan,arS of the Constitution intended TO
nlace il beyond the power OF the Leg
iSIatnre on considerations deemed SUM-
ciept by iG to exempt the property
of corporations from taxation, or coinpa-
MES or associations OF persons, whether
corporations or not, from taxation on capt.
raj EN- Moved in enterprises which the Leg
| lsIature may see fit TO foster as puollc pen
eft.
contains provision stronger ana more pos
tive than sections Is and 20 combined
/ ..The General Assembly shall provide for le-
/ wing a tax by valuation so that every per-
| SON and corporation shall pay tax In pro-
norton to the value OF his or her property.
/ This is peremptOry language, ana YET 1t mas
not been construed so as TO deprive the
| Legislature of its right to select the SUBJECTS
of taxation and while the Courts of that
State have held that the Legislature could
not exempt the inhabitants of a city, part OF
a taxing district, from a tax TO repair ROADS
| in the district, but outside the city, yet
they have held that it was competent TO
alton moving to the public from taxation or
! to commute the tax.
/ | think that the power exists In the Leg
! islature to exempt particular property from
| taxation, whether owned by individuals or
corporations for pecuniary profits. provided
the privilege or ptiOu is open to the
| acceptance of all persons alike. The re-
naming question to be determined Is
whether the particular instance of eXemp-
ton here is irrepealable, and that depends
upon the construction given by the Su.
preme Court of the United States, the hnal
Judge of that construction to the provision
of the Constitution of the United States de-
claring that no State shall pass any
law impairing the obligation of contracts.
1t is the settled doctrine OF that court
that clause in TIE charter of a corporation
eXempting it from taxation is n contract
| in those cases where the corporation is or
ganiZed and stock subscribed or capital adj
vanced on the faith OF the charter. The
doctrine of that court extends to all grants
by the Legislature the purpose of which is
to invite persons to combine to advance
money to carry on an enterprise deemed OF
public Importance, and plainly embraces the
case OF an existing corporation or association
induced to extend or enlarge its operation
as in the case of a railroad com pany, to eX-
tend its liens of railways, or IA manufacture
ing company, to erect buildings and intro
duce machinery for particular kinds of man
ufacture.
The act of 1872, page 65. entitled. San act
to encourage the Introduction of machin-
cry, and the establishment of factories in
, the State of Mississippi" is a proposal tC
: confer a bounty or to exempt from taxa
: tiOn-and it matters not which-and as &c
: all companies or associations, whether in
corporated or not, which accept the propO-
sal and on its faith introduce he machinery
and establish the factories, it becomes ire
t vocable by the Legislature.
= NAV rpDeal the 81 that no Othe
t com pany or com pdnies. hereafter formed
: may avail it or Ch, mselves of the act, bat il
/ cannot be repealed to those which hav,
+ accepted and acted upon it. This act wa
by an amendment of the charter of THE
= Mississippi Mills,' passed in 1873, (ActS
page 2l2) made part of the charter OF tina
company, under these circumstances: The
factories of the company were accidentally
= destroyed by fire; to induce the compan
: to rebuild and to introduce new machinery
! the benefits proposed by the act of 1S7:
= were offered and accepted by the Wessor
Mills, and acted on, and the company are a.
clearly entitled to the protection of the Con
, stitutional provision as if it had organized
1 and acted on the acs oflS72.
} The Legislature is the Judge of the sniff
cheney of the consideration moving to the
State. The act of 1872 recites the induce
ments which Influenced the Legislature
and they are sufficient. The inducements
5 which the construction Of railways offer t(
| LHc oLdl6 are HOI greater. BEFORE the war The
5 business OF manufacturing had begun Il
make progress; foundries, cotton factories
machine shops for manufacturing farming
implements. began to appear. One of The
f great needs ofthe State was felt to be the null
2 tiplying and diversifying of the industries O
the State. Unfortunately these enterprises
l were stified by the civil war. The Fedora
forces invariably destroyed the workshops
r and factories. In the impoverished condi-
f ton of the people of the State the LegisIa-
ture deemed it wise to invite capital tc
come into the State. in the form of ma.
chlnery and in the establishment of factorie.
4 and workshops; and the invitation having
been accepted, it would be plain breach o
faith to revoke it after having secured the
factories.
4 Any act of repeal therefore would come
under the 1nf1nence of the Constitution ol
the y nlted States, and could be successfully
resisted by the companies which have .ac.
copied the provisions of the act of 1872
w. p. HARRIS,
jackson. ,TaDuarv he 1919