Daily globe. [volume] (St. Paul, Minn.) 1878-1884, 1878-08-02
EQUALIZING.

Petitions for Change of Assessmepta--How
Shall Banks be Taxed---staSe Auditor
Whitcomb Criticised,
There were present at the meeting of the
board of equalization yesterday morning the
following members: Messrs. Maynard,
Miner, Wagner, Quinn, Griggs, Grace, Davis,
Rhodes and the president, VIM. Dawson.
A letter was read from the assessor ask
ing to be excused from attending for the
day. The letter also called the attention of
the board to the assessment Of the Butter
field 100 acres. The $4,000 he did not
CONSIDER high compared TO Stimson's divis-
ion of nwA sec. &c, L. 90, r. %, contain
ing same number of acres G6O) and assessed
at S120,400.
Jonn Summers petition was presented for
reduction of 81 600 on lot assessment and
49, 900 on improvements (Windsor hoteD
making the entire assessment S27.5OO. The
petition was tabled.
A long statement was read from Samuel
Mayan comparing the assessments OF the
properties on the four corners at the inter
section of Jackson and Seventh streets. The
assessments were: International Hotel lot.
49x114, 1856 square feet, $40, 800.
The lot opposite Gold INTERNATIONALLY
containing 7,442 feet, assessed at $4,000;
Lindeke lot containing $500 feet, assessed
at $4,000; Allen corner $500 feet, assessed at
$1,000. The rents were Lindeke, 81 900;
Stees, 81, 200; Allen, $1,000; Mayall, $500,
From these figures he wished to show that
his property was assessed in excess of the
Others and beyond the real value. His state
menG was tabled.
A letter was read from Fl. Rogers, asking
permission OF the board to appear before
them to show that his real estate was greatly
over assessed. The communication was
tabled.
D. d. Merrill's petition for reduction of
assessments on his property (Block 81, Ly-
man Day ton's addition) was also laid on the
table.
The question Of the assessments OF banks,
was then taken up, MIR. Dawson explaining
the cause of the boards action on Wednes-
day. He was memGer Of the State board
of equalization last year and that BODY
ordered that banks be assessed on
oil their stock irrespective of how
the money was invested. He, Mr.. Dawson,
had done his utmost to prevent the action
OF the board, But it was no use. Mr.. Whit
comb seemct to lead or govern them as he
Pleased, Mr.. Dawson knew we'll how it will
be this year. If the Ramsey county board
uedIct the real estate, the State board, I'M
Ger direction Of Mr. Whitcomb, will instruct
auditors to restore them. Mr.. Whitcomb
gave it as his opinion that all banks should
be taxed on their full market value exclu-
slve Of real estate, and the question va
whether the board will make tho assess
unents according to this ruling, or have all
their work undone by the State board, which
bore the same relation to this board that the
supreme jnno To In ind;
course it looks reasonable that q hank with
100000 capital, with half invested in real
estate (Which is Itself taxed as such) should
only zoe assessed upon $4,000, otherwise
hait of the property IS doubly taxed.
MIR. Linaeke-That is according to the
law.
Mr., Dawson-Yes but Mr., Whitcomb
will dictate to the State board otherwise.
Mr.. Lindeke-Mr, Whitcomb nor the
State board has anything to do with Ramsey
county. He has always tried to dictate to
us. The law says deduct the real estate and
Whltccmb nor any one else can alter the
aaw' If the county board says the assess
ment shall be raised or reduced that is all
night, but if they wish to tax the real estate
OF banks twice they will find 1T all wrong.
The German American bank intend to pat
up a handsome building at cest of $4,000,
OCo IA pnC DOdiu going 10 t3tLG double tax
on 1t the bank will not build.
Mr.. Rhodes then read the law bearing on
the question, section "a, showing clearly
that the real estate must be deducted by the
assessor,
Waiter Mann, vice president eff the Second
National bank, in answer to G question from
The chair, said that the law requires national
banks to dispose of any real estate which
comes into their possession within @ stated
slme. A national bank is not permitted to
Duy real estate or deal In it. He did not
WISH to complain against the action of the
BOARD: he was only there ON invitation, but
ne must say the manner of assessing banks
was very unjust compared to assessments on
other businesses. The law requires eanal
valuation, and if he, the speaker.
refused to pay the taxes there was
no way to collect from him as
aaere are so many errors in the method of
assessing. He wanted to know why $4,000
invested in one bank should pay the sano as
Sl9,Ooo IN another. He quoted the case of
Farloault bank which was assessed at par.
exclusive of real estate. They refused pay
ment OF taxes, carried the matter to the
supreme court, and the bank got Judgment.
The arbitrary statement that the par value
OF bank stock is the real value is ridiculous
lheSe are banks whose stock is worth
nothing, while stocks of some banks are
worth 30 and 80 per cent. above par. Tax
ing banks. at par, however, is very much
above the method of taxing mercantile
houses. He knew there were very few mer-
camille houses which were taxed for more
shan one-fourth of the value of their invest
ments.
MT. Dawson knew it was so, but thought
IL policy, sor if they taxed wholesale houses
ahey would leave the city and transact their
BUSINESS from other points.
Mr. hhodes-The theory is, then, that some
are taxed for the protection of others.
Mr.. Mann--Do you find that in the law?
Mr. Rhodes-No, but in practice. If you
destroy your trade real estate is of little
value, and banks are useless, therefore, even
In violation of law, it is necessary TO protect
the merchants.
MIR. Mann-The manner in which Won
make the assessment is out of my province
TO interfere with, and we shall pay the taxes
OF otherwise. The tendency of excessive
taxation Is to drive the business out of char.
tered banks into private banks. Merchan-
disc can bear as much taxation as money.
One interest is as important as another.
ane merchant could do no business without
the bank. 1t is trieing 10 talk of letting
merchants OH without paying taxes for fear
OF their leaving. There is another class OF
persons who pay nothing, and yet has i'm
mense sums invested-the private none
lender object strongly against discrimi-
mating between trade, manufacture and
banking.
MIR. Gustav Willius, of the German Amer
lean bank, said that Mr.. Mann and Mr.,
Llndeke had SO exhausted the subject that
ne mad little to say. Bank stock was ovar-
taxed. The board seemed to be anxions To