New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1893-04-03
TAXATION REFORMS.
PROPOSED CHANGES IN STATE LAWS.
HOW CORPORATION PROPERTIES ARE TO n
vALUED-FEATUREs OF Mr. FAR
GUITARS BILL


GUITARS BILL.
IRON THE REGULAR CORRESPONDENT or TIE YRrBcxR1
Albany April 2.-None OF the various bills amending
the taxation laws has thus far been passed BY the
Legislature, but vigorous efforts making by the
special Tax Commission, Senator McCleand and As
sembyman Farquhar TO pass some bill before the
Legislature adourns. one OF the reasons for their
activity Is that the State expended considerable money
last year bring about the preparation Of measures
reforming the taxation laws. Thus Professor Charles
A. Collin and J. Newton Fero. acting
as special Tax Commission, under A.
pointment from Governor Flower received u. 900
for preparing a codihcatlon provision and amendment
Of existing laws. Then special Taxation Committee.
headed by Senator McCleland, and armed With
stenographers and two lawyers counsel, expends4
many thousands Of dollars In taking evidence regarding
the working OF the taxation laws and in preparing
six bills for til, reformation OF these laws The
value OF the work done Icy Senator McCdland's com.
mtee may be estimated by the fact that one OF the
bills submitted by 1t amending the collateral II
heritance taxation laws refers to six or seven laws
which were repealed last year.
Assemblyman Farquhar having failed In his self
assumed roll OF the champion OF downtrodden resi-
dents OF NewYork who pine for rapid transit In that
city IS now attempting TO gain some reputation
taxation rcforner. lie has had bis bill giving
counties the right OF local option, SO far personal
property taxation real estate taxation II concerned.
made especial order" three different occasions
in the Assembly, and on all three occasions has
neglected to push 1t. Now. 1t b understood, he has
abandoned this bill, and has undertaken the mighier
task OF pushing through o revision made BY him OF
the Taxation law prepared by Professor Collin and
Mr. Fero.
This Is the i'll which taxes savings bank deposits,
creates State Board to assess the property u the
telegraph and railroad companies. and makes other
Objectionable innovations upon present taxation laws.
Mr. Farquhar has Just put In his bill the rate Of taxa
ton which he proposes 10 innict upon a large body
OF corporations 1t Is the big rate Of 12 mills on
each dollar OF the property which they employ IN
this State. This section Of the bill now reads -
follows:
Section lsl. Every corporation joint-stock company
or asso'i N. exes c'mpany and trust company, OK.
cept nanks savings banks ANA institutions for say
poriions. manufacturing corporations wholly engaged
in CARRYING on manufacture within this State, mining
this STATE. agricultural and horticultural societies os
pa%es. electric or steam heating. lighting and power
companies. incorporated. organized or formed under
or pursuant 70 the laws OF this state or OF another
the state Treasurer annually franchise tax license
fee for the privilege Of exercising It's corporate fran
chse. or carrying on Its business In such organised
capacity In this State sum 10 be computed upon
the basis Of the amount Of Its property. employed
dollar OF valuation thereof.
The Farquhar bin gives the State Controller large
powers I'm asccrtainng the amount OF the tax due
nom corporations which do business not only In this
State but IN other States. The method he Is b
pursue In learning the value OF the property OF cor
porations employed In this State innovation, anl
will greatly interest the corporations who are to b
taxed under section 49, quoted above. The BIZ
says:
Section 1856. Ascertanment OF property -
poyed within the Stato.-frOm the reports, nforme
ton and other data, the controller shall make -
estimate Of the property employed within the Snn
u every corporation liable TO franchise tax une4
Section lsl Of this article follows lie shall
estimate the total market value OF the stock az
bonds OF the corporation, and the actual value OF ~
property thereof employed without the State FNo
the estimated total market value OF the stock ane
bonds shall be deducted the estimated actual vsue
u the property OF the corporation employed wthou
the state and the amount remaining may BE- deeuee
the property Of the corporation employed within ~
State. IL the controller Is unable 10 estimate IL .
market value OF the stock and bonds OF such corpora
ti0n, or, II In his judgment, the total market vsw
OF the stock and bonds does not fairly represent ~
actual value OF the property Of the corporation. q
shall directly estimate the actual value OF the properly
Of the corporation and the amount thereof employs
within the state. The controller shall estimate - 4
value OF tho bonds OF the corporation and colpeW &
what proportion Of the total estimated value OF ~
OF the bonds thereof. Of the total paid BY suca
cooperation In pursuance OF section ls1 Of this cnSZ
ter, such amount shall be dessned paid on acc0os
Of the bonds thereof as the estimated value Of ~
bonds bears 10 the total estimated value Of the rov4
erty OF the corporation.
Mr. FarQuhars bill Is q special order for consSAaS
don In the Assembly on next Wednesday. ~
win provoke . bot debate.