The Wilmington daily Republican. (Wilmington, Del.) 1890-1902, 1893-04-24

Avery had Law.
II can trathfuIly DO said that nearly
every law passed by the present legis-
lsture relating to Wilmington has
been to increase the burthens OF the
taxpayers, but nothing that has yet
come before that body--a bill which
has passed the House with the almost
unanimous concurrence OF the mem
beers OF the two lower counties-whi
do more to oppress and harrass the
working and poorer classes oil Whining
ton than the bill that 10 innocentiy
called: San act to equalize taxation"
moro commonly known as the tax IN
vestment bill. The bill requires the
taxation OF all bonds and mortgages,
which Ia In itself right and proper In
principle, but the result will be wrong
in theory and practice.
II the bill would only affect those at
whom 1t aimed there would not be so
much objection to 1.-THE investors oil
capital themselves, there would be but
little objection to 1t. They could well
stand the additional tax levied on their
Investments, but the result would lie
that they would be no sufferers at all
and the whole burthen would fall up
on the poorer class who borrow money.
Capital unless invested In real ee-
tate Ii transient source OF wealth.
II can fee from one State to another
and invest Itself wherever the best
terms are offered. Not so with rea,
estate. Even earthquakes cannot en-
tirely obliterare it. 1t must remain u
prominent target for the taxgatherers'
aim. and every shot tells.
This bill II enacted into law, would
compel the saving institutions OF the
State to pay tax on the bonds and
mortgages they hold and secured by
the real estate and small homes of the
working people. Is there any body so
credalous as to believe that these In
stitutions would not foreelose their
mortgages and invest their money in
other states and territories where 1t is
free from investment taxes. and where
even larger percentages are offered?
The man who owns a house worth
say $4,000, and has a mortgage of 1880
entered up against it, for which he ia
paying per cent. interest, when that
mortgage is burthened with an addi-
tional tax, 1t will be readily seen he will
be compelled to pay that tax, or the
mortgage against his property will
be foreclosed, and under the Sheriff's
hammer the savings Of years will
be swept away. A large number OF
the working people OF Wilmington
have been putting their surplus earn
ings into the savings banks at @
certain rate per cent, not large, 1t il
true. but much larger than it would
bs II this bill becomes law, as the
banks would most undoubtedly de
crease the rate OF int rest they are
paying.
Building and loan associations
would also be Affected by this new law
rs all mortgages held by them would
be subject to this tax. These assocla.
lions already securing the highest rate
Of interest allowed by law could moi
increase the percentage neither might
they foreclose their mortgages. but nav
ing heavy investment tax they would
be compelled to run along few year:
more before running out, and during
these additional years the borrowe
would be compelled to keep paying
In his monthly dues and interest TO
the money borrowed.
There Is not the least doubt thu
the borrower under the newly propos
ed law would have to pay all the in
creased expenses OF the lender. II h
did not do this he would be entirei,
ut the mercy OF the lender, who II the
additional expenses, were not paid
would feel at liberty to call In hi
money md Invest it whore these add
tional expenses were not improved
1t Is difficult to know where or ho'
the bill could operate fdvorably /
Wilmington without bringing with
great oppression to the working pee
pie and widespread disaster to til
prosperity and business interests c
the city OF Wilmington.
Nor would large class OF farmer
and hard working people throug
other parts of the State escape the d!i
hster. WheI ever moneys loaned or DO
sowed the effect will DO tile sam,
The borrower will be driven to I'll
wall by driving money out OF 4
State, and the land sharks and spec,
lators Will reap the advantage. II
bill Is bad one, and would lie MOI
properly denominated, AN net I
drive money out OF the state and o
press the poor
A=
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