Montgomery County sentinel., 1888-03-23
Debate on Taxation of Mortgages.

On Thursday of last week the following
debate took place in the Maryland Senate
on the taxation Of mortgages in this State
in which Senator Peter, of this county, ably
represented his constituents;
President Peter said: 81 feel reluctance
in approaching this subject, because have
had To do with 1t before and because OF its
weighty and grave character l know oil
nothing more likely to create discomfort and
trouble among the people. Unjust taxation
| led to the revolt of the colonies against the
mother country Can deal unfairly with
my neighbor and keep his respect and conf
dence? Can State deal unjustly with her
citizens and keep their love and fealty Is it
| right, is it just that should be taxed and
you go scot free because your property is Of
different kind from mine? There is nc
good sense, no good reason for this. 1t will
not do to answer that it is not polite to tax
mortgages Under our bill Of rights we
ought TO tax every species of property, and
l hold the exemption of mortgages to be
wholly unconstitutional. He here read le-
gal authorities in support Of this position
The Senator from Anne Arundel yesterday
read from the reports Of the tax commission
and the advice they give. Are VIC to take
the advice of these against the positive COM
mand OF our bill OF rights? | will not
touch the question Of double taxation, for
it does not rise to the dignity of an argu-
ment. We should by all means tax mort,
cages. l don't believe it will result in the
foreclosures that have been prephesied. 1t
is claimed that the mortgagor will have to
pay the tax. Can't we protect him by ap-
propriate legislation? Let us tax mortga-
| ges, and say TO you that not one dollar of
| capital will 20 out of the State"
Mr. Wentz III We tax mortgages, won't
the mortgagors have to pay the tax where
the mortgage provides that he shall do SO W
President Peter-"He certainly will, but
the mortgage is not eternal. am glad to
say we have very few such mortgages in my
county. Money is plentiful to day, and the
meney Lender is going about offering to lend
his money. The exemption OF mortgages
Is unjust, unwise, and ought to be swept
away. Policy is no argument The bill of
rights imperatively commands US to tax all
property, and shall never for policy vote
for anything l believe to be in defiance OF
the constitution and bill of rights"
| Mr. Goodwin-"How would you collect
the tax where the mortgage is non resi-
dent?"
President Peter.-"By having the mortga-
gor pay the taxes and deduct them from the
interes,. appeal to the county Senators to
SOhC W suc ISSCuc vi Tue ldTtneTS dud 10 the
city Senator To come TO the aid of the small
house seowner and vote to tax mortgages, and
thereby relieve these classes of our people
from the present unjust and unequal taxa
ton
Mr.. Edelen said 81 represent exclusively
an agricultural constituency, and oppose
the taxation of mortgages in their interests,
The exemption of mortgages does not fly in
the face Of the constitution. No man in this
Senate feels more keenly than l do the oath
OF Senator to support the constitution, and
if did not feel sure that there is nothing in
the constitution against the exemption OF
mortgages should vote TO tax them. The
provision of the constitution quoted by the
Senator from Montgomery hold to be sim
ply advisory, not mandatory. He quoted
the case of the State vs.. Cumberland and
Pennsylvania Railroad, 40 Nd, and from 90
Md, 5l6, and from 40 Md, 81, ENJOY. VS..
State, Thk case, Mr.. Edelen claimed, SASar-