The Portland daily press., 1885-01-21
Our Tax Laws.

To the Editor Of the Press:
Section g. article TX of the Constitution of the
State of Maine provides that
'All taxes upon real and personal estate assessed
by authority of this State, shall be apporioned and
Of"
The laws of the State of Maine by which the peo-
pie are taxed are partial, Just and oppressye in
plain violation of the spirit if not the letter of The
Constitution.
To make this apparent, let suppose the case of
two citizens, A. and B., at the age of %, having
each small fortune of SIS 900. AS assets are in
real estate. After short time decides to engage
in trade and draws from his real estate $4,000, by
hiring that amount Of B. BIS assets are in money
at interest and obligations for money and giving
mortgage on the property. then purchases
$4,000 worth of goods and begins business Soon
the assessors require him to give the amount of his
stock; he honestly reports S5O00 and tax of S125
is levied. At this time the National law for reduc-
ing the currency takes effect. A has placed the
fullest confidence in the equal justice of both ma
tonal and state laws sequently gave very little
thought as to their bearing upon his condition. but
he finds in consequence of his hiring money and
purchasing goods that els real assets are reduced
to $4,000 by the National law and that he is pay
ing $500 tsx on $40. 600 when he is really worth
but $4,000, while the purchasing power of BIS
money is increased 20 per cent. b. is paying Si25
on the mortgage that he holds on AS real estate
ana on as much personal estate he may choose to
report to the assessors We find no fault with the
National law but refer to it to show the bearing of
our TAX law upon the citizens who suffered by it.
lI may De SAID that the continuance of the same
valuation on real estate was nearly universal and
hence, would make no difference. 1t may admin
lister among the As equal iniustce but where is the
equal JUS ice between A and b, ss AS assets have
deprecated about 70 per cent and BIS assets has
increased IN value about 70 per cent, that is,
now purchase about One-half of As real estate OF
his $4,000 note, but when he received the note he
could purchase only one-third of it.
AT the end OF six years, A-who has continued in
trade-hnds that he has lost $4,000. He Informs
the assessors that he is compelled to continue his
notes in the hands of his creditors Tor $50 JO in
order to keep up his $1,000 stock and he asks the
assessors TO be satisfied with taxing his notes which
are on intetest in the hands of his creditors and
grant him an abatement on goods that he does not
oWn bhough In his possession they tax his to
his creditors, but grant him no abatement. Thus a
pays double intereston $1,000. Hoping to regain
something of that which he has lost, he continues
in trade six years longer. and then finds that he
must sell out at loss. He is able from the pro-
ceeds Of Stock bills etc., to pay for his goods losing
me Soooo which he Is owing to B-wh }. during
these twelve years, has enjoyed the
privilege of substracting every lost or
doubtful bill from his assels before they were taxed
equal justice would give the same privilege.
During the twelve years has paid the city So 900
in taxes on property which he did not own, The
interest on this sum as paid annually for IL years.
Will amount to 81 800, add this to the $50 o and
it will make $4,500 SO that the total of AS money
received by the city is $4,5OO
For twelve years more, the city continues to tax
A Tor $40 ,000 on real estate, the rate of 1916
per annum, and for So, 900 as morCgagee. During
this time pays to the city 250 per year proper
per cent compound interest, amount to $4 500. In
the twelve years the 81 500 of AS money that the
city holds, has doubled, making $4,000; adding the
longing to A.
A tinds that by this system of taxing he has run
in debt to the extent of $1,000 more making $4,000
mo- int fbraT a ft,for
est in his real estate is but $1,000. The city con-
tinues, however, to tax him Il estate for
o0O, S375 per annum, 1925 of which is on property
which A does Eot own, and on which the mortga-
gees also pay tax of $500. This taxing continues
Tor twelve years more, and the ci receives from
A, in taxes and interest, $3.50 additional to the
S13.5O0 Of which it had previously robbed him
and which latter sum has doubled during this peri
od-makng $32, $50 of AS money which the city
mas. This taxing continues A's real estate
Tor IL years more at the rate of 1876, per
annum, 1925 of which is on property
which does not own and on which the m0rtgagee
also pays tax of 5000 during this time the city re-
ceives from A, in taxes and interest $3.50 AMI the
S32,85O, which the city held of AS money, at the
commencement of the last II years. has doubled,
making 500, 700, to which add the S5a50-makiog
the total sum of 81 550 that the city holds OF AS
money; in the same time B has saved $7l $50 max
ing difference o. $l43, 100 between his estate and
that OF A. Add $4,000 for the change of values
caused by return to specie basis, and the total
difference in BIS favor is $153, 100. A and B have
now reached their three score years ana ten. A is
now undecided whether to force IL sale of his
real estate and give the remnant Spectators or
whether to let the city take it in unjust taxing.
The city has $7l $50 of his money-which ought
to give him an income of $4293 year-yet he is
fit subject for the workhouse.
represents large number of good citizens of
this State who are cruelty oppressed by this tax
law IN various degrees, according to the amount
and kind of property, and amount of losses and
system OF valuation and percentage taxed and the
time continued, yet many Of whom have perhaps
never considered the matter as it should have been
considered-with regard to the unjust discrimina-
tions provided for ia The law, and the way the
money at which they are robbed under process of
tions This is not political ISSUE though it should
be made one. if no other way remedy can be OBJ
tained Both parties have sustained the law for
about sixty years; many other points of inequality
may be referred to, but perhaps this may be sufd-
Gent to call the attention of legislators the
consequences of continuing law that works imam
ca ruin for A and wealth and prosperity to b, and
correct it..