Worcester morning daily spy., 1898-01-21
ON TAXATION,
The Hearing Before the Com
mittee Under Way.
Mr.. Durant Of the Anti Double Taxation
League Speaks on the Exemption Of
Foreign Stocks.
Especial Dispatch to the spy

Boston, Jan. 20.-The hearing before
the committee on taxation upon the
matter of the recommendation Of the
special tax commission, that present
taxes on intangible personally shall be
abolished was begun this morning at
the state house, in room 45S, at 10.15
o'clock
The committees are composed as fol-
lows: For the senate, Messrs. Har-
wood, of Medford, Crane of worceMer,
Hodgkins Of Middlesex, and Flynn of
Essex; for the house, Messrs, Wash
burn of Worcester. Bartlett of Boston.
Bosworth Of Springfield. Whidden of
Waltham. Whitcomb of Townsend, Hol-
ton of Falmouth, Richardson Of North
Adams, Goldman Of Brool1line, Brooks of
Athol, Talbot Of Holliston, and Dean OF
Wakefield.
Senator Harwood presided In opening
the hearing Chairman Harwood said
that while he desired both sides to be
heard fully, yet he was also DESTROYS OF
conducting tie hearing as expeditiously
as possible.
The first person to address the hear
ing was President Durant OF the Anti
Double Taxation League.
Il desire" he said, "to speak this
morning on the exemption of foreign
stocks, a very important question.
While advocating reforms in taxation,
I realize they should be gradual Abrupt
changes are to be deprecated. In 1890
the league began two main reforms, ex-
emption on stocks and bonds Of corpor-
atoms organized under the laws of 9TH
| er states, and of personal property
| owned by the inhabitants of Massachu-
SOD ~ LII .I1J a.
of municipal bonds. These reforms we
have advocated every year since 1890
| Now, regarding the exemption of for
eign bonds and stocks. The greatest OF
sound valuation, according to modern
thinkers, is the accuracy in collection
and justice in the distribution Of bur-
| dens. Taxation at the source is the
best of successful taxation. If you can
tax the property of the people of the
commonwealth justly and proportion
ately at its source, you make a great
gain
President Durant then explained what
intangible personally or property was.
He showed how to his mind 1t was so
unjust to tax foreign stocks and bonds.
After giving many illustrations OF its
iniquity. ne asked: ''Is 1t polite to have
such law on the statute books? WEI
| 1t conduce to the commercial prosperity
of the commonwealth? I am sure you
would soon find it would not. There is
practically no such land In those states
bordering on ours. We should not drive
people away from us. We desire laws
that will draw people to us and that
will prove advantageous to the laborer
as well as to the man of wealth.
President Durant then cited the we'll
known case OF Mr.. Hathaway of Soner-
Vile, to show the absolute absurdity OF
taxing foreign stocks and bonds
RerhlNiT1o- m rxe-J,t1
| Durant said the city council of Somer-
Vile expressed the sentiment that the
| tax sought to be imposed on Mr.. Hath
away was an expedient tax, when they
voted to pay the IS. In concluding, he
said:
Should you impose a tax on -four, Of
course, it costs me more to buy it. Now.
stocks and bonds are as much articles
of merchandise as -four and are so
recognized and traded in by all classes
OF stockholders, and these stockholders
| are largely and in the main held and
owned by poor people"
Mr., Durant then submitted a draft Of
bill for the exemption of Intangible
property. The bill is as follows:
Section 1-Sectton of chapter II Of the
Public Statutes, as amended by chapter
70 OF the acts of 1882, and by chapter 22S
OF the year 1887, and by chapter 1863 Of
the year 1888, Is hereby further amended
~ SHINING Jul Oil OL SdlQ SeCLlOn dIIeT
the first three lines and inserting the
following words: But shall not include
money at interest, nor debts due the
persons to be taxed, except as provided
in sections H. Is and 10 Of this chapter,
nor, except as provided, in chapter 10,
any public stocks or securities, stocks
in turnpikes, bridges or monied corpo-
rations, or other corporations organized
within or without the state, nor any
bonds Of any municipal railroad, street
railway or other corporations wherever
organized, nor any income derived from
any source except as provided in sec
ton g." SO as to read as follows:
Section E'PerSonal estate shall for
the purposes of taxation include goods,
chattels, money and effects wherever
they are, ships and vessels at home and
abroad, except as provided In section 8,
but shall not include money at interest,
nor debts due the person to be taxed,
except as provided in sections IA, is and
16 of this chapter, nor, except as provtd-
ed In chapter 13, amy public stocks and
securities, stocks in turnpikes, bridges
or monied corporations, or other corpo-
rations organized within or without the
state, Of any municipal, railroads, street
railway, or other corporation, wherever
organized, nor any income derived from
any source except as provided i'm section
81
Section 2-This act shall take effect on
the first day of May, in the year 1898
The third section repeats all acts in
consistent with the act proposed.
Referring to the report of the commits
sion, pages 120 and 81, Mr. Durant said
he felt the bill he submitted would dis
turb existing things less than that of the
commission. He also referred the COM
mittee to pamphlet by Mr.. Dana.
s'It is estimated in the leagues BILL"
Mr.. Durant continued, that the taxes
would not be increased in some towns
at all And in Boston 1t would not
cause an increase of over or 10 cents
on the thousand. The result would
hardly be felt. The bill Just read (the
commissioners would cause large dim
mutton in the property available for
taxes The most sweeping examples
are in our bill on such intangibles as
stocks, bonds, money at interest in
comes or other evidence Of property"
AS Mr.. Durant had no witnesses
present, owing to lack Of time, and as
those who were to argue for taxation
on foreign stocks and bonds did not
care at this stage to present their side
of the question, the hearing was adj
journed to tomorrow morning at 10
o'clock.
The committee will give hearings
three days OF each week, Tuesday.
Thursday and Friday at 10 o'clock
a. m.
THE KASAGI LAUNCHED.