The Democratic advocate. [volume] (Westminster, Md.) 1865-1972, 1896-04-04
senator Herring ON the Assessment Bill.

senator Herring on the Assessment Bill.
Senator Herring arrived home on Tuesday
night, after addressing a large Democratic
meeting at Annapolis, following the conven-
ton which nominated candidates for clerk of
the circuit court and two judges of the orphans
court TO be voted for at n special election to
be held on the DIST He bore no evidences
of the hard labor performed the past ninety
days, of the exciting events incident TO the
passage of the assessment bills and of the all
night conferences. He went through it all
Just as he went through his mid-winter cam
paign, calmly and coolly, and emerged sue
cesslully. Nearly every measure he supported
became law. His ability his sound judg-
ment and his breadth of mind was early recog-
nized by his associates, and he at once became
leader. During his ninety days service he
earned a high reputation as trusty and care
fnl representative, and he made a reputation
throughout the state alike creditable 10 him
self and his county.
In an interview with a representative of the
ADVOCATE, on the assessment law, Senator
Herring said
~ think Maryland has now better assess
ment law than it has ever had. Its effect will
not be felt until the levy for 1897 is made, and
its full effect not until 1898 or 1899, when a
considerable reduction can be made in the
state tax. The law will be revenue pro-
Queer, and the hond stock and mortgage tax
will, it is believed, more than make up for
shrinkage in the assessable value of farming
lan(k and real estate generally.
1.-The principal changes from the law of
1876 are not many but very important. Bonds
and stocks were taxable under that law, but
practically none were taxed. They were as
sessed the first year under that law, but they
soon disappeared from the tax books and
there was no means of reaching them. The
new law has listing feature, and every two
years every holder will have to render an ac-
count of his securities under oath.
''Under the new law bonds and stocks are
taxed upon sliding scale, six per cent
bond, for instance, being assessed at fifty per
cent of It's face value, and others scaled ac-
cording to the rate of interest they pay. The
supplemental bill, which takes the place of
the bond feature in the main bill, assesses
bonds and stocks at their market value and
taxes them at Ia cents on the 500 for state
purposes and a uniform rate of 80 cents for
city and county purposes. If the supple
mental bill, about the constitutionalty of
which there is a question, should fail to stand
the constitutional test, if contested in the
courts, the bond scaling feature in the main
bill would stand,
"Should the supplemental bill stand, a
large revenue would be derived from its oper-
atoms. Most of the bonds are held in Balti-
more, but their amount is not known. Sup
pose, however. there are S200, 200, 900, the
state would derive revenue of $3.50, 600 from
them, whereas under the former lsw scarcely
anything was realized.
at has been said that there are 5000, 000,-
600 of mortgages in the state. Under the
new law the income from them is taxed eight
per cent. For instance, the interest at six
per cent. on a $1,000 mortgage is $4,000.
Eight per cent. of $50. 90 is 81 so, leaving the
mortgagee a little more than 81 per cent. in.
terest. Practically all mortgages in Carroll
bear six per cent. interest. If there are 81
900, 900 in mortgages held in Carroll, the in
come from them will be $120 000 and per
cent of this will amount to 50, 600.
''Bonds and stocks yielding no income are
not assessed at all.
s.Shares Of stock Of local building and loan
associations are exempt from taxation to the
extent such shares represent investments on
mortgages on real or leasehold estate executed
BY members of such associations.
sitnder the former law the rolling stock of
railroads was assessed and taxed where the
principal Offices Of the road we're located.
The railroads of this state have their prinei-
pal offices in Baltimore, and their rolling
stock was assessed there. Under one of the
supplemental bills the counties are to share
part of this revenue, receiving their proper
ton of the whole assessment according TO the
mileage within their borders. For instance
if the Western MARYLAND Railroad Company
has one hundred miles Of track in this state
and thirty miles Of it are in Carroll, and il the
rolling stock Is assessed at $500, 900, Carroll
would be entitled to nearly one-ihird of this