New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1880-03-18
TAXING INSURANCE COMPANIES.


A TAX OF TWO PER CENT on PREMIUMS PROPOSED
STRICT RULES TO ENFORCE RETURNS.
frRoM THE REGULAR CORRESPONDENT OF THE TRIBUNEl
ALBANY, March 1.-THE special JOINT COM
mittee OF The two houses appointed to revise the TAX
Laws OF the State reported two more bills today Inc
committee has resolved TO attack the evils OF the
present system Of taxation in detail In former
years committees appointed to suggest reforms Ia the
laws OF taxation and assessment have punched all the
sngeestons in one bill The result of this policy has
been 10 concentrate upon this bill all the opposition
OF the powerful pcrsOnages and corporation affected
BY such measures. The committee hope by dividing
,heir his They nave already introduced two bills OF
considerable interest One Of these Ds authorizes inc
leyyinc of q tax Of One-fourth Of one per cent on
the deposits IN the savings banks; the other
repeats law exempng the properly OF clergFmeh,
10 certain amount, from taxation and only exempts
CHURCH property less than $4,000 value from taxa
To-day the chief Dill introduced Dy the
IS provide for the taxation OF life insurance
SECTION l. Every life insurance company incorporate
under laws of TINS state, ana every me INSURANCE
company created under the laws OF any other etae W
county and doing business N TINS sa ar Fbrn
airy, pay the Treasurer OF the state. as TAX YAK
state a sum equal to per centum upon the gross
amount of premiums, interest and other income receiver
The preceding 3st day of December whether such pre-
nums received In money notes. credits, OF anS
other substitute for money ana IRON whatever eoUi0
such income may be derived - ,ou an
@.
return to the Treasurer and Controller OF the state
siGned and sworn to by ne president ana Sy sr
Company this State during the year ending the pre-
ceding 31st day of December. ..,,o,,,, ,oo,oo.,,,
SIC g. Every such insurance company negiectlng
10 make returns required by this act shall forfeit
500 for each gay 3n suJ Sa he Sy Wy false state
mens shall be liable to pay ana IorIe Tue SUN y,
&c Collected for the use of the other
eoected All sums forfeited and all taxes unpaid when
due BY such company under this act may be collected
by action brought the supreme Court IN
the name Of the people of the State, by
CONTROLLER and in such action the court may issue
an Injunction restraining the furtAer prosecution o he
business of the CORPORATION named therein until such
susforeited as aforesaid and such taxes due and IN
paid together with interest ana he COSTS OF tne aeo
are paid, and until the return required Oy ths act 10
made. ....,-..o. oo,,.
NAMES snail continue to be assessed and taxed where
situated FOR city, town. county village school or other
NAMES aud shares OF stock therein shall hereafter be
emit from TAXATION except as In TINS act
sHc. s. This act shall take effect Immediately.
The second bin re @ 6y 9e t6e
tax laws. 1t is made 10 include even railway bridges
The bill seemed generally to surprise. the
companies of this city President F. s Winston, OF
the Mutual Life Insurance Company. said TO a
TRIBUNE reporter: "In no other country would
sucn project be thought Of Taxing life Insurance Is
taxing the economy of the poor and 1t ought not to be
done 1t is a measure against the interests OF
the policy holders. In company like ours the cor
roration is IN reality composed OF widows and orphans
q fact which the committee apparently wholly over
looked But ms I have not the bill am not pre-
pared to give any decided opinion upon IL Our policies
nre already liable taxation personal property
william H. Beers vice president Of the New-YOrk Life
Insurance Company. said 1t would be taxing the
thrift of the community. But no company could pay
such tax it is preposterous. The Government now
requires hold at four and one-haf per
and this would obge six and onehaf per
cent IN order get the might say Why IL
a. plain that company couldn't i've under such tax
alton Besides such a would not be eduitaolei for
besides taxing the clerk abOring man who Is etrug
gng keep up his policy 1t also taxes the pohcyhoder
who nays his share Of the tax OF the com
Inuniiy besides. 1t ia measure wrong in principle,
anu has evidently not been gotten up In the interest
OF the public. To stock life insurance company, where
the income TO the stockholders should be taxed the
principle might apply. but TO mutual com,
pauy At is all wrong. why does England
never tax her life insurance companies and
sayings banks Because they the savings OF the
poor people, upon whom a tax should not be imposed
INSURANCE Company, said =" II Is great sur
prise 20 u.s. The rate of taxation, two per cent l.
Enormous II the bill should become law the effect
would be n large additional expense 10 the companies
which would have 10 be paid in reality by the policy
hold