Montgomery County sentinel. [volume] (Rockville, Md.) 1855-1974, 1881-07-08
Exemption from Taxation.


Mr.. Editor 1t may be stated as self
evident proposition that the exemption from
taxation of any property that is not strictly
within the class of charitable institutions,
such as absolutely free hospitals, free asy-
lums and free institutions of education, is
the unreasonable and unjust cause of great
additional burden of taxation upon the Or
binary tax payer. For as there is no logical
reason for the exemption of such property
from taxation there is likewise no reason
why sum of money for public use should
not accrue from this source that would go
very considerably towards lowering the gem
eral rate of taxes. Taxation is a painful
necessity in the system Of social government,
but it is made the more burdensome and un-
happy in its contemplation ana reality from
the fact that instead of being borne mutual
ly by all and supported by all property that
is under the protection of the social organ-
cation certain classes of property embracing
very large amount is exempted from a
perfectly reasonable public burden, and its
just share placed upon others who are not
as well able to bear it and who are no more
benefited by the uses to which the public
money is appropriated than those who are
favored with exemption. No property what
ever should beexempt from its proportionate
share in the public burden, except such insti-
tutioEs as are supported by the public ex-
pressly for the advantage of the public and
which are absolutely devoid of pecuniary
income either to corporations or individuals.
All property that is an active source Of
social position, pride and luxury, and pecu-
MARY profit and advantage is just and
reasonable subject of taxation, quite as much
as the specific articles tea, coffee and tobacco,
which may be regarded as necessities with
Aha 1aI, o1o ii, 1ls
fees and other property should be taxed,
except rooms used as chapels in private
| families, for churches cannot in any sense
be regarded as of a public nature or as purely
agents for the relief and mitigation of the
sufferings of humanity, for outside of this
/ limited sphere they are fruitful source OF
the same luxury and pride, and social posi-
7 Ton that is secured through money spent in
other ways to the members of the associa-
| ton as well as being q means of actual pecu-
mary emolument to the preachers, exactly
as a warehouse is to merchant or a tract
Of land to farmer. Churches, warehouses,
tenements, farms, corporations and all inter-
est bearing securities are exactly the same
in their vital principle. Pecuniary profit
and advantage sustains the ministry in their
labors just as it does the legal fraternity
medicine and the money-lender, and all OF
them should justly contribute to the public
support some proportion from the source of
their emolument as far as that emolument is
the fruit of the actual Investment of capital.
The church would not be open on Sunday
| il the preacher were not sustained in his
labors by emolument, exactly as the mer-
chant is sustained by the profit on his sales
and the capitalist by the interest drawn
| by his mortgages and all other kinds of
| securities which represent active capital
invested for profit. Money invested IN "a
warehouse, factory, church or mortgage is
justly common source from which to raise
money for public use by taxation, for it is
in each case invested for advantage and
profit. The entire reasonableness and pro-
priety of universal taxation becomes the
more apparent when we contemplate the
immense loss to the public revenue from its
absence, and the vast relief it would afford
to the general taxpayer by this extended
! basis Of taxation
Mortgages alone taxed at the insignificant
rate of 2 per cent on the hundred dollars
would yield to the revenue of the State OF
Maryland the sum of three million dollars,
and as this would accrue TO the counties
where the securities are recorded il would
/ increase the revenue of Montgomery county
to the amount of nearly or perhaps fully
one-twentieth of two-thirds of the whole
amount, there being twenty-three counties
in the State, and allowing the city and Bal
timore county nearly one third of the secur-
tiles, thus adding TO our county the sum OF
| fifty thousand dollars from this one new
source of revenue.
But, in connection with the subject of tax
ing mortgages, it is objected that it would be
an oppression on the borrower, as he would
be compelled to pay the tax on the security
in addition TO the interest on the loan II
this were true we would assume that where
the general welfare of the public was adj
vanced il would be totally Irrelevant ID, and
Incompatible with, the subject to take into
consideration the small private interests OF
individuals But the fact is that tax of a
minimum character placed upon securities
would not add feathers weight to the Dor
rover as burden, while it would go con-
siderably TO the relief of the general tax
payer. In illustration, we will suppose the
borrower TO have u loan of one thousand
dollars at 6 per cent, which is equivalent to
sixty dollars year. Now add the tax on
the security and he has an increase oftwenty
cents, making tax of 5000 for the use of
one thousand dollars in money, for which
he has carefully calculated beforehand that
he has profitable object of investment
Now the general taxpayer has no such sat
isiaction as this when he pays his twenty or
thirty dollars to the Collector. He gets no
direct, palpabe return, but is really, in many
cases, paying the taxes on a farm that he can
scarcely support his family upon, and which
he would gladly dispose Of if he had the OPP
portunity. Every relief should be afforded
the general taxpayer, for he is the strength
of the country and the most important factor
in civilization
Eautlarnan ocprinm m tba ariola f,trn
should be required 10 give their pledge TO
bring to this subject their honest and grave
consideration, and not to relapse into the
more attractive excitements of legislative
relaxation until they have come to "A rational
conclusion, after mature reflection, upon the
profound magnitude Of the question.
POIONIus