Seattle daily post-intelligencer. [volume] (Seattle, W.T. [Wash.]) 1881-1888, 1884-07-03
DALI, POST. INTElLIGEnCER.
AvoIpISG TAXATION.

AVOIDING TAXATION.
public attention was recently redi-
rectsd TO the method by which the great
land grant railroads have been d"fraad-
inc the States and Territories in when
their grants are situate out OF 's1es
iustIy due thereon, by tbs passage OF
hill, bv the House, providing thss CON-
panies to whom land grants have been
made shall be given sixty days after toe
passage of the bill to apply for patents
70 surveyed public lands which they
claim to have earned. or in default
thereof forfeit their right thereto. luis
ia an act of justice which has beth too
long delayed.
IL has been the universal custom
amone these benefciaries of the goy,rs-
msnt not to apply for patents TO lands
until arrangements had first been made
fer selling them. BY so doing the cor
porstions not only avoided the expense
of their survey, for which. unless they
had applied, the government was com
PEELED to pay, but escaped payment OF
all taxes on lands granted and earned,
vet unpatented. On the Union, Central
and Kansas Pacific Railroads all lands
granted we're long since earned by con-
struction of the roads, yet no effort has
been made TO acquire title thereto, ex-
cept 10 cases where portions had been
bargained away. As the courts have
decided that until patent issues the legal
title remains in the United States, and
a. government lands are not taxable by
State or Territorial authority, this avoid
ance by the land grant companies has
resulted In compelling otbsr land own
ers to bear an undue proportion OF the
expenses of government.
Should the Payson bill become Law,
which is probable, although not at the
present session Of Congress, IL will COM
pei these companies 10 take out patents
for, and subject TO State and Territorial
taxation, about 5000. OOOhcres Of hith.
erto untaxed lands, which these comps-
MES have hitherto been content TO hold
by their Legislative title, without taking
out or recording patents, for the two
fold purpose of avoiding paying Of the
cost of SURVEYS and OF Sinking taxation.
This il only one of the many practices
on the part OF these corporate benehcia-
ries, for which an indignant people will
eventually hold thsm TO q strict ac-
counting.
Some weeks ago resolution was pass
cd by the Senate calling upon the Score
tary of the Interior, asking how much
Of the Northern Pacific Railroad had
been examined and accepted since July
4, 1877 To this q response was recently
made by that department, stating that
1910 miles had been examined and 40
eeptea since that date, and adding that
no patents whatever had been issued to
that company for lands located since
the date mentioned. The Northern Pa
cific Railroad Company is thus pursa-
ing In this Territory, as elsewhere, a
policy identical with that adopted by
the other land grant companies. The
only railroad constructed by that con-
pany within this Territory. belonging
either TO its main or branch line. prior
to July, 1877, was the section from Ka.
lama 10 Tacoma, in aid OF which no
grant Of lands was ever legally made.
Yet II has been engaged for masy years
la bargaining away and selling these
lands, meanwhile procuring no patents.
but merely holding them by an assumed
Legislative title, upon which the Terrific
rial authorities were unable TO levy and
collect taxes.
Since 1877 the company has construct
cd that portion of its main line from
the northeast boundary Of the Territory
10 Wallula, and twenty-five mile SEQ
tion Of the Cascade branch, from Aims
worth westward. BY 80 doing il claims
10 have earned about 100000 acres of
land within our boundaries. For none
Of this land, according 90 the Interior
Department, have locations been made
and patents issued. None of IL is tax
able until title passes by patent from
the government. Thus while constant.
ly engaged In bargaining away this
land TO incoming settlers. the company
escapes oil legal liability for taxes. We
do not believe that the Northern Pa
oifio Railroad Company has any legal
claim to these lands, because 1t has not
legally earned them. but II 10 has such
claim Il should be at once compelled TO
perfect its title.