Lewiston teller. [volume] (Lewiston, North Idaho) 1878-1900, 1898-07-15
M|NEStAND MINING CAMPS
REVENUE LAW AND EFFECTS.
How the New Law Touches Brokers
and New COmpa nien-MOntaa n
strike At Wildcat Minss-Reduce
Par values to save Tnx-Har p~ter
Items.

Spokane, July II. Il do not know
where the ide., originated that brokers
or others subject TO the license fee, I'M /
der the new revenue law have 80 days in
which to make the payment" said Dep
uty Collector Wilson. There is pen
atty for the violation of the law, and any
broker who refuses to pay the license
will find himself subject to the provision,
Of a paragraph near the end OF section !,
which some may have overlooked. 1T
reads thus: And every person who ear
ries on any business OF occupation for
which special taxes are imposed by this
act, without having paid the special tax
herein provided, shall, besides being liable
to the payment Of such special tax, be
deemed guilty of misdemeanor, and
upon conviction thereof shall pay n fine
Of not more than $500 or be imprisoned
not more than six months, or both, at the
discretion of the court
"rhis law regarding brokers, bankers
and others is somewhat misunderstood. 1t
applies exactly the same as the license
law applies to liquor dealers. A license
must he secured and must be posted con-
spicuously in the place of business of the
person owning same. so that revenue
officer may see it when he calls"
Pointers for Mining Companies.
Mining men are still discussing the ap.
plication of the stamp tax to issues and
transfers of stocks, and some fine points
Of law have been raised. These same
points came up in New York city to
bother the heavy dealers in stocks there.
and Collector Treat OF that city applied
for a ruling to n. h. Scott, commissioner
of internal revenue. He sent the follow
ing, which answers many of the ques-
tions that have been raised in the mining
regions Of the northwest:
On the question Of the construction of
that part of schedule 4 of the act Of June
Ii. 1898. imposing a stamp tax on each
original issue, whether on organization or
reorganim ton. of certificates OF stock, it
should be held that the meaning of the
words Original issue" as herein used is
limited and controlled by the words
whether on organization or reorganiza-
tion," and that therefore the only certifi-
Gates of stock on which the tax of ) cents
ION each 800 of value, or fraction there
Of" is imposed by this act, are those GER
titicates issued on or after July l, on the
organization or reorganization of COM
pany.
In case OF a corporation having, for in
stance an authorized capital stock of ST.
100000, of which it has issued only $780,
600 prior to July !, and after that date
finds it necessary to make one or more
additional issues under the authority
possessed by it, each additional issue thus
made is an Original issue" within the
terms and meaning Of the statute here
under consideration, and the certificates
of such issue are subject to the stamp tax.
. Where any original certificate issued is
I presented by the holder to the company
+ or corporation for the issuance of an
+ other certificate or certificates in lie,,
thereof, the result being that one certiR-
l cate would be issued for the 10 shares
sold, and also an additional certificate
e for the 80 shares still remaining in him
= the certificate for 30 shares ISSUED with
i the certificate for 10 shares sold) in lieu
: thereof does not require any stamp, and
: the certificate for the 10 shares does moi
=. require stamp representing the tax Of
) cents on each 800 of value or fraction
thereof, as it is not an original ISSUE The
i. only stamp required with reference tc
:. these certificates is stamp on the trans
4 fer OF the TO- shares sold, representing
- payment of the tax OF 2 cents on eacl
v 500 Of value or fraction thereof.
Il No Sale. No Stamps.
e. In another case (stated for illustration
n where man holds sevend certificates TO
y shares Of stock aggregating 100 shares
n and for his convenience calls upon tn,
he company to issue to him in lieu thereo
IS one certificate for 100 shares, there bein,
&c no sale nor agreement to sell, nor mem
:" orandum OF sale, or delivery or transfe
OF this new certificate, the statute, tn
l., certificate or certificates thereupon issue,
;: :. to take the place of the original certiti
No cate could not under the language an,
no limitations of the statute above cited re
ID q"ire any stamp, as long as there is n
ns sale, nor agreement to sell, nor memoran
,e dunn of sale. nor transfer of any of thes
nd certificates issued in lieu Of the origina
as In case of sale, where the evidence q
as transfer is shown only by the books q
the company, tax of cents is require
to be paid on each 800 of face value q
he fraction thereof. and the stamp represen,
N. ing this is required to be placed ,ipo
RS such books.
no Where the change of ownership is b
IN transfer certificate, that is to say, the G,
he ecuted authority to transfer is containe
ed on the back of the stock certificate whic
ny Is to he transferred. the stamp must
or placed on the transfer certificate, that
to say. upon the surrendered certifica,
containing the transfer.
u. In case of agreements to sell. or whe,
the transfer is by delivery of the certii
=. cate assigned in blank, there must be e,
-. ecuted memorandum thereof, to whic
the STAMP is required tn hp fxa.}