Lewiston teller. [volume] (Lewiston, North Idaho) 1878-1900, 1898-07-29
MINES AND MINING ITEMS
REVENUE LAW IS NOT LIKED
Denver Thinks the War Tariff on
-Asses-able stock coming A"'"
Fashiom-DtHerent Views Of the
South HuIi-Strikes in Idaho Mines

The maiirr Oh Tue Wal NH-N VA "'N
Transaction i, being very earnestly as
cursed among the mining tock brokers OF
Denver
II i. now toerably well settled that 1t
il the intention of the law to tax every
sale or agreement to sell on memoranda
Of sal, whether or not an actual trans
fer OF ,tocl. is made on the books OF the
stock companies, and the directors oil the
mining stock exchange OF that cty are
now dcvi,ing plan whereby the brokers
NAV have the proof OF the compliance
with the law. 1t j. probable that sys-
TEN of memorandum slip, will be adopt
ed the stamps to be affixed to these
slips.
The most -eriou, feature OF the law as
affecting the mining stock business in
that state i, the fact that it requires the
payment of tax OF cents upon eacl
500 OF par value OF stock. The result IS
that a stock which is actual ~ worth Sloo
in the market pay, no more than one that
is worth but $40. The stock exchanges
of the state are taking steps TO BRING
this discrepancy before the proper au'
thoritie, at Washington. 1t is doubtful,
however, if anything can be- done without
congressional action.
Calvin Bullock, president OF the Denver
mining stock exchange, in speaking OF
this matter, said: The brokers do not
complain OF the $50 license fee. They are
perfectly willing to pay that, but 1t does
not seem fair that the basis should be
fixed on the par value rather than on the
market value of stock. The result of
this is that stock that is worth only l
cent OH the dollar is taxed as heavily as
one that is worth 100 cents on the dollar.
There are oil stocks in Pennsylvania and
elsewhere with par value OF $2o per
share that are actually worth from 500
to $500 per share. In such cases the stocks
that are worth $500 per share would pay
but cents on every $500 worth Of stock.
while mining stocks that are worth but
/ cent share would pay = cents on each
dollars worth of stock.
ITO show how this thing affects the
local market AS We understand it at pres
ent, let us take all the stocks as based
on a 81, 600 transaction. This would only
mean l0-share lot ii dealing in railroad
or industrial shares, but it will do for
illustration as well as a larger amount,
and the tax Of 2 cents per 500 par value
would be 20 cents on the sale, or equal
to one-fifth of l per cent on the money
involved. This tax would he exactly the
same as our own high priced stocks sell.
ing at or close tn par, like Elkton, for
instance. But when it comes to stocks
which sell for less than their par value
the result would b. wider discrepancy
and there would be great increase in
the amount Of tax paid on 800 of actual
value. On JOcent stocks the amount paid
on 81 900 OF value would be 40 cents ;on
25rcent stocks, 80 cents; on lO-ccnt stocks
So; on 5-cent stocks, ~; on l-cent stocks
$50; on stocks selling at S. per lOO
shares. $40; on stocks selling at $3.50 PEI
1000 shares, $50.
III the tax WAS scaled on the amour,
Of money involved there would be NJ
objection to paying the one-tiftieth of
per cent on transaction, but since thu
bulk Of the trading is done in the cheap
er class OF stocks, the tax as it stands \
present amounts to penalty sever,
enough to wipe out virtually all trad
ing in the cheaper stocks"
Prefer Assessable stock.
Asscssable companies promise to TAX
the place OF treasury stock corporation
in mining affairs in the northwest. Al
ready there is evidence Of the fact tina
the assessment principle is growing il
favor. 1t is becoming plain to minin,
men that asses~able stock Is the sor
that assures the development Of prop
erty. Several companies are in prospec
to operate reservation claims and mum
Der of them will adopt the plan Of max
ing stock asscssable.
A Dream Of Gold.
There was excitement in North Reput
lie, WASH, last week, caused by the resul
OF an assay made by H. F.. Ellsworth.
was so fabulous that the populace Of tn
camp caught the news and the infectio
in a brief space Of time. The alleged fact
in the case were gathered and the figure
are given by the assayer, 81 Hill an
Eugene Sullivan returned from the sout
half in the morning and began shown
some nice looking ore. They crushed ali
PANIED portion of it. They had 5
much gold that, they became suspicion
that it was not the true stuff. II. "
lane suggested that they blow in do
lar and have it assayed, so that the
would be positive about it. Here are Il
figures furnished by Mr.. Ellsworth: Col
$l0,35l.53; silver. $sl.3l; total valu
value. $40. 432 sft'; The claim from while
this ore is taken is called the Florida al
is situated six miles east OF the invent
four mile post.
south Half Does Not Please.
o. +. Parmcter. a well known Montar
mining man. who has spent the past tN
years in Washington and British Coluu
hia, came into Republic from the sou,
half last week. Asked for his opinion
that section as a whole, he said:
II do not like a large portion of
There seems to be an almost entire a
senee of float rock. The granite is, so +,
as l could see, barren. There are in