The state rights democrat. [volume] (Albany, Linn County, Oregon) 1865-1900, 1891-01-09
rnr MORTGAGES rAxLAw.

The hue and cry Is heard shrouehoutthc
state that The mortgage tax law shall be
repealed. Those who arc calling loudly
TOR the repeal are making known through
the press the reason for this demsnd. The
lirst ls that the law is Of no benefit TO the
borrower for the reason that the mortgagee
always sllpalates In the mortgage tl.at the
borrower shall pay the taxes. Herein is
mach weakness In the case presented by
those who demand the repeal Of the law.
The mortgage tax law was not cHacsed
for the purpose si promoting the interest
Of the borrower or any other particular
elass Of people. After some years OF cx-
pcrIenee In the state, Il was found that az.
riculsural communities whose greatest
wealth Is In their farming lands, are the
greatest borrowers, and that capitalists who
loan money on these lands do not, as rule
live In the communities where the lands
are located, but live In the money eenters
Now, under our system Of deductlng In
debledness In making aassessments,a very
great injustice was done under the old law
to large portion otthe tax payers Of these
agricultural counties. 1t happened In this
way. Assessors for years have been as
sesslng lands at from one fourth to ons
half their value. This In the face Of a Law
that requires that lands shalt be assessed al
their true cash value. a man having .
farm worth IS. 900 borrows On mortgag
s. go from some capitalist outside OF hi'
county. Shortly after the assessor ap
pears and assesses this land, placing th'
value at $1,000, where upon the owne'
claims deduction OF $1,000 on account o
the mortgage on the place. This beini
allowed Il leaves the owner with no take
to pay on this land. The mortgage, !
owned by nan ln some other country
would. Cf the mortgage tax law wer'
repeatedly be taxed In that county
and thus whatever taxable value Their
was In the fam was transferred 4
another county to the greet iniur,
of the tax payers Of the county wher
the land Il located, for, to that extent, |
would Increase the burdens Of the tax pay
ers of the county IN which the land wa
situated. This Is the principal reason VIII.
the passage of the mortgage tax law wa
demanded. 1.-THE mortgage tax Law shal
be repealed Il Will leave all mortgages 4
be taxed In the. jurisdiction. where th'
owner of the mortgage lives,fo being per
soma. property they would follow the per
son Of the owner. Then all parties living
out OF the state, but loaning money In tn
staie. would escape all taxation on 'hei
mortgages In the state, thus putting oui
own money lenders to great disadvantage
as they would have to compete with ihos
who pay no taxes, when they themselve
would have TO bear the burden OF state
county an5 municipal taxation. II Is
fundamental priaeiple Of the govermen
Of the state that all taxation shall be equa
and uniform. This applies with as much
force to communities and counties as to "a
dividuals. Any law by which the taxabI
values OF one cousty are transferred 4
another Is violative OF this fundamen,i
principle. This was the principle object
ion to the law as Il stood before the pas
sage of the mortgage tax Law. Unit
something better than the old law or III
mortgage tar law Is offered the mortgag
tax law should not be repeal d.