The Monitor-register., 1896-03-06
They Bear Their Share Now,

Nobody who has studied the subject
doubts that the railroads of New Jersey
bear full and fair share of the burdens
of taxation under the present system.
Such is the opinion of Mr.. Charles G..
Black, of the State Board of Taxation, as
competent an authority on questions of
taxation as there is in the State.
In published letter he said II think
1t is fact, as shown from the reports of
the State Board of Assessors, that the
railroad property, both real and personal,
including their franchises, is assessed by
that board at substantially its true or
cash value, which, of course, is In excess
in valuation of the realty and personally
of individuals. The tax rate, particularly
in the cities, is larger or higher than that
of the railroads, but the increased value
plus the assessment of all the personality
of the railroads would, in my Judgment
and observation, substantially counter
balance the great amount Of personally
of individuals that escapes taxes and the
low percentage of value of the realty, in
most OF the counties, of individuals;
therefore have thought that, so far as
equality is concerned. the practical effect
is not SO unequal"
The State Board of Assessors report
for 1894, page z. says
"It can be proven by facts and figures,
beyond any question, that the railroad
corportions are paying to-day more taxes
In proportion to their ownings than are
the individual taxpayers of the State"
Railroad property is taxed at It's full
value. And nothing escapes. Everything
is assessed, from the great station down
to the shanties of the fagmen and the
tools of the trackmen.
Nothing eludes the assessor. The
stations, the main stem, the real estate
and buildings apart from the main stem ;
the tangible personal property. including
rolling stock, tools, etc., all are compelled
to toe the mark and pay their tribute in
the way Of taxes.
In assessing the main stem, as the road
bed 100 feet in width and all its appurten-
ances is called, the railroad companies
are actually compelled to pay taxes on
their own improvements.
For example, deep cut through hill,
or the expensive filling up of swamp, is
assessed for taxation on the cost per
square yard of the work done. All
bridges, culverts, trestles, etc., are also
assessed at their cost. So that the more
difficult and expensive the construction
of the road, the more it has to pay.
This is visible, tangible, actual pro-
perty. 1t is taxed both for State and for
local purposes. There are no deductions
to be sworn off, and no abatement from
true values is allowed.
After being thus taxed at the rates
fixed by law upon their actual property,
the companies are assessed and taxed on
invisible, intangible property, known as
franchises. This invisible property, on
which the railroads of New Jersey are
assessed, is understood to be fixed at
between fifty and sixty millions of dollars.
This comprises about ope-fourth OF the
total assessed property of the companies
| in this State. So that the railroad pro-
perty of New Jersey is actually assessed
| for about one-fourth more than its real
value, for purpose of State taxation.
It pays tax rate of one-h OF ono pei
cent. on all its property Of every eharac-
ter, including the franchise, for State
purposes. 1t also pays one per cent. on
sll property outside Of the main stem,
franchise and tangible personal, for local
purposes.
Taking into consideration hefacts that
other than railroad property g not asses
ed at more than two thirds It's values that
railroad property is assessed ct its full
value; that included in the raiIroadIassess.
ment is the intangible franchise [estimat.
ed at one-fourth. and that the average
tax ratein New Jersey a 1,60. it is very
plain that the railroads are noe bearing
their full average and just shess Of the
burdens q taxation. BlaIs Qalstts