The morning news. [volume] (Savannah, Ga.) 1887-1900, 1889-09-30
THB RAmsoAD TAX BILL
The Act to Tax the Roads by Coun-
ties

The Act to Tax the Roads by Coun-
ties.
The bin to tax railroads in the counties in
Georgia has passed both houses of the legis-
lature, and is now before the governor for
his signature. An eff ri was made to amend
tie bill so as to exempt new railroads from
taxation for five years from the TINS built,
but this was voted down.
The act is new railroad legislation in this
state. The railroads have heretofore been
taxed according to the revenue hey derive
from their service, and the innovation has
crept IL. a! IL were, udbeknown to most Of
the railroads.
A MORNING NEWS reporter asked General
Manager III. s. Bslknap of the Central
yesterday what is tine meaning Of the bill
Maj Belknap replied that lie he is not
thoroughly familiar With the text of the
bill, IL is pretty safe to say that it is another
stroke at the railroads. 1t is another
burden, as he put it, imp 'sed. that consoires
to incapactate the railroads from giving the
most satisfactory service Notwi h ,tand-
9, he said, the Dads are hampered AMI
held down by the commits ion, which is sup-
posed TO adjust all railroad IN tiers, legis-
iatlon continues to be put forward binding
and tying the roads and always cr1ppling
the service.
In the various states, Maj. Belk ap said,
the manner of railr ad ta ration is different.
For instance, IN Alabama the counties have
control of the taxation, and in Mississippi
the taxation is based upon the mileage Of
each road. The tax is collected by the state,
and IS afterward divided amo & the coun-
ties, each receiving It's pro rata Of the tax.
LIE tax lslmposed in proportion as the diff
feren5 railroads 9 equipped. Those roads
That are Well equipped, doing large bust
ness ana are prosperous, are re-
quired to pay, say, $50 per mile,
Will a short line, not so well
equipped and doing less amount of traffic,
Is req iirel to pay bat about half that, or
$40 Maj. Bslknap thought that this
system OF taxing roads is a very wise one.
The taxation of each road is fixed by the
state and there is scarcely complaint, and
rarely il ever coufliction of tle sta and
the railroads. The rate of tax is deter
niue aud the IA lroads are compelled to
ma IT, No differences ever exist between
the railroads and the state on acc Iunt Of a
dissatisfaction arising from belief that the
railroi ads may have returned their property
for less than it should have been returned.
The board Of assessors is required to go out
over the road to Ak the taxation, as the
state wishes it, whe ever the comptroller
believes that the railroads have not made a
fair return
By the system of railroad taxation in
Mississippi, the tax rate is definitely fixed
upon TIE mileage asis and upon the capaci y
and equipment of thu rOai. The road is
then a solved from all other taxa
ii IN. Drifting into the comparison of
railroad taxation, Maj Bslknap said
that duri lg his lasj trip north he w s dis
cussiIg the matter with some railroad me b,
and he was told That one Of the most pros
porous and probably the most extensive
lines north owed its prosperity to the low
taxation which was applied to it during its
early existence. The system of tax APP
peared to be so ad justed as to allow the road
to declare a certain dividend, and when
ever the road cleared more, the amount
over should be tax, and should
accrue to the state. Tho result of the ar
rangeme t was that there was never IA
larger dividend declared than that allowed
By the state, Notwithstanding the road
may have been, perhap., able to decl ire
nearly twice as mucl. The stipulated div
idend was annually declared and the sur
Plus amount was appropriated to the build
ilg up and Improvement of the road. The
road grew rich and the surplus amount fn-
creased in proportion, enabling he com
pa y to lavish money upon the equipment
of the line.