The Jersey City news. (Jersey City [N.J.]) 1889-1906, 1896-12-14

1890
brief, prepared for the Equal Taxation
Commission. Below will be found the
part referring to personal property, and
his general conclusions:-
The personal property in possession Of
the Pennsylvania Railroad is all assessed
ct its cost.
On page 2Ss of the report of 1885. the
character of the assessment of the per-
sonal property is shown by the entries,
as follows;-
Tools in shops 500, 1873
| Materials in shops :. 593, 465
Tools, maintenance of way....... 26,93l
Materials, maintenance of way. 2Sl,I $50
once furniture ---.. SS,z4V
Every dollar of his tax is collected.
| now call your attention to assessment
of other property in Jersey City by the
l local assessors.
The real estate, as we have seen. is
assessed from 60 to 70 per cent. of what
the local assessors admit its value to be.
The improvements upon it are not sep
arately assessed, and are not added to
the assessed value of the land unless the
building in the judgment of the local
assessors adds to the assessed value of
the land.
The personal property substantially es-
1 capes taxation.
The assessed valuation of personality in
Jersey City as compared with real is
only eight per cent
In Newark the personal property
amounts to Sc. 100000 or "a per cent.
In Trenton q per cent. In New York
City % per cent, although the value of
the real estate there is immense.
Upon looking at Exhibit ? presented
to this Commission by Mr.. Edwards, you
will see that in 1876 the real estate in
Jersey. City was assessed at $50. 0o0, 900 and
the personal property at a little over
In 1896 the same real estate is assessed
at over $S1,oo0,00o, and the personally at
$1,000 900.
real estate has increased 5000 900 since
Is, but the personality has only increased
81, 0o0,00
There is far more personal property in
Jersey City subject to taxation h the
81 ,000,0 900.
1 call the attention of the Commission
to some of the personal property which
the local assessors do not assess.
ID In the last few years a very large
amount of personal property has been
brought within the city in this way.
Corporations have been formed for vari-
Gus purposes to carry on business OUT
sid of this State. These corporations
district, which is for the purposes Of
taxation, their residence.
Jersey City offers to them apparently
q convenient place. OF residence. and a
large number of them have selected it
as their residence.
I have examined and have here a coll
lection of such corporations. Their capt.
tai stock, as ] have figured it, is over
one billion dollars.
This capitalization of course represents
some tangible property which may be
taxed where it is found. but a vast
amount of the property represented by
such stock is of an intangible character.
This property escapes taxation unless
it is taxed in Jersey City. because the
only place at which such property can be
legally assessed for the purposes of tax
alton is the municipal district which such
corporations have selected for their resi-
dence.
TIL courts nave frequently declared
that the place in this State where the
property Of corporations of this char
acter can alone be taxed Is the taxing dis
trict which they have so chosen for their
residence.
This vast property being therefore in
Jersey City for taxing purposes, 1t is the
duty of the local assessors to assess it.
If they fail in this duty. it becomes the
duty of the municipality to cause this
property to be assessed.
No attempt, I think l can say. is made
to assess this vast property.
For instance, take the United States
Leather Company. 1t has a capital of
$120, DOC, 600. Its residence is in Jersey City.
$64, 100000 is preferred entitled to dividends
at s per cent. cumulative. Its net re-
ceipts last year was over nine millions of
dollars, as 1t asserts.
How much of that 1920, 900. 600 represents
property thai escapes taxation? Certainly
a part of this vast property should be
assessed in Jersey City, Not one dollar
is assessed for taxes here.
TIL result Of this failure to asses is that
these ratables escape taxation.
1t is no answer to say that If the local
assessors do their duty 1t win drive these
corporations to some other home.
In the first place, that is an assertion
that the taxable burden which this prop
erty should bear, is to be thrown upon
others who canno escape assessment by
moving their residences, this, too. with
out giving such others a chance to be
heard.
IN tba eecond n1ooa 49,
are not to determine what the policy of
the State shall be; the Legislature is the
tribunal TO settle that, and it has de-
termined by its laws that the assessors
assessors are not to pass upon the policy
Of 50 doing.
Prior to 1892 these corporations all
paid to the State a license. fee or tax Of
one-tenth OF one per cent.
IN ls9l. T., p. $50, an amendment was
duces this LICENSE fee by providing that
Of one per cent; over So, 100000 and up to
s5,VV0.V0. l-20 of one per cent, and over
100000, $50 for each million of dollars.
thing for the Legislature to repeal that
law. so that corporations should again
pay a license fee Of lilo Of one per cent.
on their whole capftal stock. and such re-
peal to provide that the amount collected
by tho State from these corporations as
a license fee, over the amount which is
municipality IN which they reside. and
that such. payment would relieve them
from local assessment for Intangible as
sets. Such a law would result in q pay
ment to Jersey City of about $4,000 from
the State.
The stock Of corporations of 100000 or
over residing ia Jersey City, amounts to
The number Of corporations in Jersey
City whose capital stock amounts TO
between three and FIVE millions greatly