The Democratic advocate. [volume] (Westminster, Md.) 1865-1972, 1880-01-31


This is a subject Of general interest in
Maryland at present, pending its cOnsid-
Grafton bcfoFe the Legislature. It IS an
undcniablc fact tbat much Of The wealth
Of this State contributes nothing to the
support ofthe State government--that men
living in case, comfort aud even luxury,
90 untaxed, whilst the farmer aud me-
chanic Of small means isrequired to contrib
ute Of his scanty income. "The blessings
Of government, ike the dews Of heaven,
should descend alike upon the rich aud the
poor, is a Democratic doctrine, aud SO
also is the principle that the burdens of
taxation should be borne alike by the rich
and tho poor, according to actual worth in
land personal property. This, however,
Is not done, though our Bill Of Rights sets
forth the principle 1t is estimated that
100000, 900, nearly one.third of the
wealth of the State, is invested in mort
cages. The owners Of this class Of prop
erty receive all tie protection Of the law,
and contribute nothing to sustaining the
government, and if it should be deemed
advisable not to tax mortgages, they should
be reached by an income tax or some other
mode. 1t will not drive capital out of the
State, as some claim, and il it docs it will
be taxed just the same, To escape taxa
ton the capitalist himself will have to
leave.
As the law now stands it bears very
heavily upon the borrower. If \ has q
farm worth $4,000 and b has n mort
gage upon it for $4,000, the legal title is
invested in B. A does now own the land,
yet the State regards him as the possessor
and requires him to pay the tax thereon,
whilst b, the capitalist and real owner, goes
free IfB had his money in United States
bonds, he would get but four per cent. in
terest, which is considerably less than six
per cent, tax included, If he had it in
houses and lots, after taxes, insurance and
repairs were paid, not over FIVE per cent
would be realized on bis Investment
Should the Legislature impose tax on
mortgages the taxable bases would be iu-
creased from si66, $40 ,995 to $685., 49,
9g5, and the tax levy could be reduced
from 49, cents on the 500 to 10 cents,
aud the State would derive about the
same amount Of revenue as now, 10 no
county in the State would county aud State
taxes amount to more than so cents on
the hundred dollars, after paying which
the mortgage would realize more than
five per cent.
The Baltimore San Is among the papers
of the State that opposes taxing mortgages
In discussing the subject on Tuesday it
says the taxing Of mortgages would impose
double tax; that the borrower, whose
property is worth $4,000, which is mort
gagged for IS 900, is only worth $4,000,
yet be would have to pay tax on sl5, 600.
Just SO, if the mortgage required him to
pay the tax; aud the law now requires him
to pay tax on $4,000 when he is only
worth 5000. lie might Us well pay on
$4,000 as $40, 0O0,- principle is the
same. In the Que ease he pays on twice
as much as he is worth, aud in the other
three times the amount OF his possessions
If mortgages are taxed, the Legislature
should so arrange the law as to preclude
the mortgage from exacting 10 any man
ner, under heavy penalty, the amount OF
the tax so levied. He should be required
to make oath that the rnortgagor has not
reimbursed him for it under any guise.