The Portland daily press. [volume] (Portland, Me.) 1862-1921, 1898-08-06

All receipts given for rent for any peri
cd Of time after July i, 1898, where the
period of time is covered by q lease exc
cuted either before or after July /, 1898.
Tenants are exempt from paying the
tax. No landlord can compel tenant
to put stamp on a lease or receipt. The
landlord or his agent must provide and
cancel the stamp.
The principle is this: Agreements
must be stamped; a lease is an agree
ment, and therefore must he stamped; in
the absence of lease a receipt becomes
an agreement, and therefore must be
stamped.
Some confusion was oceasioned by the
publication of report that an Indiana
court had held that receipts for rent paid
in advance were in the nature Of lease
and must he stamped, while receipts CIV
en- for rent paid after the time had
elapsed, were not contracts. and therefore
would not be taxed as such. Collector
Rutan said that the decision of State
court has noThing to do with the applica-
| ton of the war tax law. The department
at Washington has interpreted the law
and all receipts for rent, where there is
no lease, and where the period covered is
after July l, 1898, must be stamped,
| whether the reEt is paid in advance, or
whether it is in arrears.
The law prescribes penalties for neglect
| to provide the stamps, and all documents
| not properly stamped are not binding
The law provides also that the party who
issues any document must provide the
stamp The landlord issues the lease and
| also issues the receipt for rent. Under
the law he should provide the stamp for
each lease or receipt for rent, affix it, and
cancel it. If the rent is collected by
real estate agent he must act for the land
lord. In no instance can the tenant be
compelled to pay the tax.
| Real estate men are greatly exercised
over the law. They say it does not con-
| Germ them especially, except that it will
make trouble for them. The owners of
| property must provide the stamps. One
prominent real estate agent said yester
day that about one half the properties
rented were on leases dated prior to July
1, 1898. On the other half there are no
leases. One half of the number where
there are no leases, or one-quarter of the
whole number, would probably make
leases This would be done so as to avoid
the necessity of putting twenty-five
cent stamp on the receipts for rent issued
every month. Of the remaining quarter
many would not make lease at all-they
will not be bound, and many others are
poor tenants who not only Will not make
a lease, but are totally Indifferent about
constantly in trouble with this class OF
tenants. They must be watched closely
or they will move without paying any
rent at all. Where it is possible landlord
compel them to pay in advance, and IN
many instances the payments are in dribe
let's. From this class the rents are small
perhaps onlyfor two or three rooms-and
amount to three. four or i've dollars
monthly. The law cannot be evaded by
neglect to give receipts, and twenty
five cent stamp on a receipt for a dollar
or two given in part payment of rent,
real estate men consider a pretty heavy
tax even for SO worthy Ii cause as the in
dependence of Cuba.
A reader of the Call writes:
w. have number of tenants whose
rents are $40 monthly or less, and If the
law means that we have to put a twenty.
five cent stamp on cash receipt we might
as we'll give the property away, for with
the water rents, taxes and other expenses
we get very little out Of it now except
trouble.