The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1895-04-18
over men who lend money. But they
are not criminals.
Governed By demand

UOFernc0 BY DemaUO.
Chidester said that the rate of inter
est is governed by demand for 1t
When times are flush and money Is in
great demand the interest is high. The
question is not governed by the rate
of taxation. More than that the whole
question should be left to the legisla.
ture. That body has been endeavor.
ing to settle it for many years, but
1t has not yet settled it to the salts.
faction of the people. Why then
Should the convention, in its limited
time, endeavor to settle it? Under the
present law men in this county who
charge per cent per month are abso-
lutely free from taxation.
Pierce said he favored striking out
The argument of WINS was absolutely
unanswerable. The legislature Should
have full power. At one time it might
be desirable to exempt mortgages and
at another to tax them.
For Evnding Taxation.
Evans, of Weber, said he was a
member of the legislature which
passed the law of 1892 At that time,
under the law, foreign mortgages were
FOUND TO be exempt, while domestic
mortgages were taxed. In view of this
BOARD of equalization he voted
to exempt mortgages The con-
vention was confronted by a diff
ferent proposition. 1t was 10
be provided in the organic law
that mortgages should never be taxed.
II once made a part of the organic law
the money power would see that il
was never repealed. The section would
provide a means for evading taxation.
Mortgages Would Never Be Taxed.
Under it mortgages will never be
taxed, but the whole burden will fall
on the property The desire would be
10 convert everything into money and
the man who could accumulate money
would stand aloof from the people and
pay no taxes. though the courts pro-
tect his money. The money power
uses the specious argument that il
mortgages are taxed the people must
pay higher interest. He denied This
Snylocks We're not patriots. They lend
money selfishly. They ask as much al
they can get. The interest is governed
by the law of supply and demand. He
lowered by the exemption of mort
cages in 1892. Every man who had
endeavored to have the provision in
the constitution was a handler of
money. VI
insfdfous and Dangerous.
AS 10 double taxation, he said notes
are taxed. Money in bank vaults is
faxed. Why should money living idle
be taxed, when money earning interest
and fully secured is exempt? He wa,
glad the question had not been made
partisan. The mistake. if made, would
not De a party mistake. But to make
the section part of the Fundamental
law would be serious blunder. If Is
insidious. 1t is dangerous.
MaI<ipD
He said that in the arrogance of the
money power these men were claiming
that they could control the chamber of
commerce as well as all the news
papers in Salt Lake, because of obi
cations held by them. This was being
openly asserted on the street.
Goodwin-There is one paper in Salt
Lake which cannot be controlled by
the money power. If it could it would
be whole lot richer
According to Itself.
Evans-Yes; the Tribune is all right.
1t has always been free and indepen-
to its own editorial
columns. But the fact remains that it
is advocating what the money power
desires.
Eldredge said that taxation of the
and of the full value of the
property given as security would mean
double taxation. The full demands of
Justice would be satisfied if the
amount of the mortgage should be
deducted from the property. That
would be only single taxation.
ShyIocks Not So Bad.
James said there is good in every
thing. Shylocks are not as bad as had
been represented. He knew personally
hat the bankers are often fair to
those who need money. He denied that
IN record in order that taxation might |
De avoided. Everything finds its |
evel If mortgages are exempt, capt.
al will hunt mortgages. Therefore, |
interest on good security will go down.
He had made an overdraft for sew |
raj months. Neither he nor the bank |
S compelled to pay interest on that |
)verdraft. The practice of overdraw- |
ng is very common among business
nen who have credit. There is a dis
therefore, between these |
redits and mortgages, where there is
violence of debt. There are many |
,ther methods of avoiding the law.
'he repeal of the law in 1892 had done |
much good. He had felt it in his
business.
Old Law Unjust.
Cannon closed the debate. He wan
ed the matter looked at fairly, He
vas astonished at the personal attack
made on him and at the claim that |
he money power is behind the Sec
ion. Full hearings had been given by
he committee, which desired only
,erfect fairness. He admitted the pro-
'ision placed a premium on the money
ender and was sorry conditions were
lot propitious for the full taxation of
mortgages. The old law was unjust
n Washington county credits were de-
ucted from the value of the property.
n Salt Lake both were assessed.
He said such full taxation was
ouble taxation. He made examples
f this in many different ways. He
efied any one to bring an illustration
7here it was not double taxation.
Whenever a mortgage is placed on
roperty the value of the property is
just the amount of it. The
revision was designed simply to pre-
ent any double taxation. 1t is no
redit at the bank than the farmer
Tho owes $4,000 on mortgage.
Not a Political Question.
He admitted he had stumped the
ounty and criticised the Democratic
legislature, but this is not p0lltlcal
uestion; it is one of business. He
ad contended that mortgages should
e taxed but that homes should be ex-
mpted to the amount of them. He
ad changed his mind On the Califor-
ia. provision, because the legislature
ad passed an amendment to the con-
tuition doing away with 1t, and ex-
npting mortgages, and that amend
lent is to come before the {
eople After a trial of nine
zen years in that state, two