Deseret evening news. [volume] (Great Salt Lake City [Utah]) 1867-1920, 1894-02-01
BILL TO TAX DEBTS.
Interesting Debate on a Financial Sub
j,CI in the House.
porrlSEBusISEssIS rnEcOUSclL
RI. pl,eu.,lon Of yarlan's Blll TO Tax
p,bts Secured by Mortgages, Con'
tipued IN the House To-Day.

y,,.ent law relating u the plating aud
i.y,ur out OF towns, came up on third |
,s,dlng. It's object Is to allow plals
made In boom timer, out IN she farm
IN, districts, to be relegaiod to agri-
cultural uses, n the owners 10 desire.
Consideration Of this bill WINS inter
u.lcd by the arrival OF the hour fixed
fof conalieration Of the mortgage tax
Nm Scare asked that the latter bill be
made special order for next Wednea'
DAY, Ho had written to San Fran
eIlco for data and desired timv to pre-.
psfo to discuss the bill.
yarian, author q this bill, opposed
delay. Ho said this was not bill 10
lax mortgages, but to tax debts secured
by MORTGAGES. The bill was n propo.
sitiuu 10 enact what had been, W 10
tvo yoars ago, the law OF the Territory
lar twenty years. suars said tho bill
Nan regarded by burirttH men aud
au.nciufa as a dangerous m asutt, anu
urged delay.
Allen saii this bill Involved tho
question. shall certain Kind VI
rfoperty IN this Territory bear iia share
ID the burdens OF government He
IA .utht the House wac aH well pre-
rafri 90 discuss this question nov as u
sould DO Ia a week hence. InB House
voted against delay
Tue Ill 10 as iollowt;
section I. All notes, bonds and other
Indebtedness, secured by ttus. decd or
mortgage hereafter given, shall ub as-
tess1d and taxed ~ o.hcr personal
uflforty, nt It, cash value To tho owner
iupfHul and any agreement or promises
40 any limo made 10y tho debtor % I'D.
tugly or Indirectly pay or discharge tho
taxes uu any loan pruCIrci by or cX-
tended tI such doctor, shall DO null AMI
void, and shall not DO enforced in auy
rluu ln this Icrrtoyi provided, tho
ufuysluus ul this Hut shall not apply 90
Nonresident creditors or murtgasuof.
Soc .. During January OF each year
county recorders of Tho several counties
Shall furnish tho respective assessors with
certified abstract %, all mlrigagus ami
trust docls remaining unsuti-uDI oi acc.
ul, iOr which the recorder shall receive
iou cents Tor zach mortgage ur trus. dlod
AIstfAstUd, hall ul the amuuu. TO boo paid
By roo cOduty and half out OF tho lurrl-
tiual treasury. Tho auditor " public
lcr0unig shall draw his warrant iu favor
uIfhe recorder Tor tln Iurrtury'a pro.
affidavit OF tho service aud amount. All
indebtedness secured by tho mortgages
aud trust deeds Hu returned HhAl DO
are,scd as in the hrH' section OF this act
provided.
amend section 1000 NJ the Compiled Laws
ufi,sSi relating 20 tho exemption ifum
AVIATION gf mortgages aud trust doDd,,
uui repeating chapter ~ OF the session
laws 1890 % approved March 10, 1902, ~
hereby repeated, and this act shall lako
elect upon approval.
Vatian opened the debate by say Ing
he could not complete his argument la
ten minutes, anu no deaircI uuAni.
nous coueont 10 take more time. lie
said this bill had been crfoneously
confounded In the public mind with
another which proposed 10 tax foreign
capital, whereas tho present one
aimed at nothing OF tho kind. Thi.
bil regarded solvent debt, and credits,
owned by rrsiioots Of tho Territory
Ra properly which ought 20 bp taxed,
The proper standpoint from which Ia
view the question was that ot tho state,
not of the borrower nor VI the lender.
'fhe state must have revenue or 10 can
rot exist, and revenue laws arc nucrs
sally nRnh and arbitrary. They
NnkhAfNNAMNNNNH 70 my ANtNN NANANh
on ali property with a. great a drgtct
VI equity M possible. Not moro thar
~ per cont Of the property VI thl
country Is In Tangible form, % pol
cent OF It beiLg Ia the form Of noies
bonds, etc. IL was held by some thai
when debt was created mo- new
property was brought into existence
hut the speaker denied tho proposition
Credit was the reputation OF being gb,
10 pay, aud was valuable TO ma
Up ~ two yeare ago the Legislature o
thla Territory had held that
credit was taxable property
Under the present law mai
who holds u $4,000 mote whichiis un
secured, muut Jay ajax ON ~, Tut TIA,
man who owns $4,000 note secure,
ny mortgage ON real estate, pays n,
tax on II. The speaker dwelt on tn
iuJuslico OF this discrimination. Ill
declared that taxing solvent deb
secured by n mortgage was not doubl,
taxation. The question had been con
sldered by nearly every constitutions
convention ever held IN this country
aud by the courts Of most Of the states
anu there was only one dissent from
the rule that credits, secured or un
secured, were taxable. Inc supIem
ANAAk VI AaAltAhAhAA ANA ANAAAAA wa
taxing mortgages was double taxation
but the people reversed that decision
when the constitution Of 1879 wa
adopted, for they incorporated ia II
clause TO the contrary. The cOmmo
law for ages had spoken Ut both cot
poreal anu iucorporoal property. tn
speaker READ from decisions OF court
Ia Alabama anu Louisiana supporting
bis position. He said the LegialatuT
must DO One Of the two things II
would DO fair with the Fe0piei
must tax all credits or II must tax mont
regardless Of thrlF being secured b
mortgage. The threat was madeif IA
bill passed, money Lenders would nc
lend. lie denied that q ere wasnuythin
Ia this threat. II security were oneroC
money could be borrowed, anu que
tons VI taxation a. Interest were eel
adjusting. This Territory was about
nasume the unttisd burdens VI stat
hood, aud It's legislature would have
determine whore 10 place the burden
OF taxation. This Assembly wOul
have to confront the question nj 1
present session, not OF bjrtowingi bt
Vi how much To borrow. The speak'
deprecated having such legislation
This blll disposed OF by stock broke
and commission ageniH, ana closed /
asserting that the DILL was not one