The daily morning journal and courier., 1895-02-21
ANOTHER LIVELY SESSION
or THE LEGLSLATURE; AND IN
 TERESTING HEARINGS.

The Double Taxation of old Colony Stock
 Committee Addressed by Yice-President
 Hall-The Bars Up--No More New Busi-
 ness For the Law Makers This Year-Ac-
 ton Taken by the House on Many Re
 ports-A Street Railway Bill in the Senate
 -Building and Loan Association Conven-
 ton.
 Hartford, Feb. 2O-Before the commit
 tee on judiciary this afternoon there
 was hearing on the bill concerning the
 tax of this state on the Old Colony
 stock of the Consolidated road. The
 bill was read by Hon. Henry c. Robin son, representing the Consolidated road,
 No portion of the Old Colony railroad
 lies in Connecticut, but the property is taxed in Rhode Island and Massachu-
 setts. There have been issued 34,5O0 shares of the Consolidated road in eX-
 change for shares of the Old Colony.
 The petition sets forth that it is unjust
 that this stock should be taxed in Con necticut when it is already taxed in Rhode Island and Massachusetts, He explained that the matter is now pend- ing in the courts.
 Vice President Hall said that he was glad to address a body composed so largely of lawyers and gentlemen of well known ability He had been a member of the same committee five diff ferent times and appreciated the oner- ous duties which were before thsm as members of this important committee.
 Judge Hall, continuing, made one of the most clear and convincing speeches delivered before a, committee of the gen. eraI assembly at this session. He spoke for over three-quarters of an hour and secured the undivided attention of mem- bers of the committee and the large number of spectators present through out it's delivery. He spoke in part as follows:
 s'The subject of railroad taxation is a matter in which the lawyer in legal practice seldom has his attention call ed. Connecticut does not desire to tax the property that is fully assessed in another state. This was the case before the existence of steam railroads and is a matter of equity. Now, in case rail road lies partly in this state and partly i'll another state the law provides that only that proportion of the road that lies in this state shall be taxed here. Thus it will be seen that the plan of the state is that only the property lying in the state shall be taxed therein"
 Judge Hall showed how the tax of the Housatonic road was remitted several years ago in accord with the above prin- ciple,
 Under the statute we urge that our prayer should be granted. Several years ago we found that railroad wrecker was trying to obtain possession of the Old Colony road to the great detriment of our own company. Thereupon we leased the Old Colony in 1893. Ever since our company has paid all the tax es of the Old Colony road in Massachu- setts and Rhode Island. Previous to 1889 the Consolidated railroad obtained possession of several roads and the gen eral assembly gave permission to ex- change for the stock of these roads, cer- tain stock of the Consolidated road. Af- ter consulting the statutes of Rhode Is- land and Massachusetts it was ascer- tained that the stock should be taxed in those states and that Connecticut should abate it's tax on this stock of the Consolidated, but the board of equaliza- tion decided that they would not release us. believe that in this matter the board was mistaken. Not only the ex- act wording of the statute is to be con- sidered, but comparison with other preceding acts bearing on the same sub | jeet. Can any one doubt for a moment the equity of the act passed in 1881 re- leasing such tax as this? The United | States courts have declared that great | latitude should be given to acts of this character. We have issued this stock | for the express purpose of exchange pur- | poses. It really makes no difference | whether we have paid the contractors | who have built the Old Colony road, | for 1t is all merged in the Old Colony | stock which we have taken up The in sistance on this measure by the board of equalization will be to entail a severe injury upon an institution that is the | largest revenue producing interest the state possesses. Unless the Consolidat- ed road is released it will be compelled to pay tax on it's property outside of this state, and no fair-minded citizen would assist in perpetrating it.
 - "It is in the province and equity of tllS nOnOTdDle DOuy lO pl6NGlL oii III l justice and an unconstitutional meas l1re of double taxation, 1 understand the new board of equalization are will ing to say to this committee that our petition is a right one This great has the right to come here and petition the same as the humblest citizen of the state This railroad paid into the treasury of the state in taxes in 1893 the sum of $537 296; in 1894 $551- | l40 The company pays one-third of the state tax and soon will pay more than that proportion. Whatever min sters to one, ministers to all. If our petition is not granted we will avail ( to the utmost of lawful means to re- sist payment of a double tax. I can't ] believe you will deal so with the larg- ( est taxpayer of the state. This good $ 1ld state cannot afford to be nig- ( gardy. This stock is held by great l charitable societies, banks and by z of widows and orphans. To ' insist upon this tax would be to impair I o a certain extent the property of this I The Old Colony lease is a treat benefit to this state. It cannot c ,e possible that the state will place { thy obstacle in the way of this en- V erprise, the child of Connecticut r