Evening star. [volume] (Washington, D.C.) 1854-1972, 1898-02-05
RAIL WAY TAXATION
Hearing on the Subject aethe Capitol
Today
Assessor FRIMMEs STATEMENTS
The Present Method Of Assessment
Explained. II
SOME QUESTIONS ASKED

The subcommittee on railways of the
sideration this morning OF Representative
Odell's bill relating to taxation of street
railways which was published in The Star
yesterday. -
Mr.. Trimble, the assessor Of taxes of the
District, appeared before the committee by
request Of Chairman Babcock.
Mr.. OdeIPs Explanation. -
Mr.. Odell explained the probable effect
of the bill.
. The first proposition in the bill, he said.
is to tax the franchises of street RAILWAYS
( on the basis Of the value of the stock. It
Is assumed that a stock which pays per
cent dividends is supposed to be at par in
va value ,; and stocks PAYING less are held to
be below par That Is the plan In operation
under the New York law, of which his bill
Is q copy. The tax is TO be levied on the
value of the stock at'gthe time Ii is an
praised for taxation. The bill provides for
the taxation Of common stock and pre-
ferred stock in case two kinds are issued
by the railroad.
Mr.. Odell said he had found one railway
here. Incorporated under the laws of an.
other state, which has paid no tax to the
District. His bill would correct this dis
elimination.
Real and Personal Property.
Proceeding to the second section of the
bill, which requires the real and personal
property of the street railways to be as
sessed upon the same basis as all CITY
property, in addition to the franchise tax
mentioned above, Mr.. Oden said this would
increase the taxation of the Metropolitan
and Columbia lines, which pay a sum equal
only to Per cent OF the years receipts
while the Capital Traction Company pays
the per cent and the realty tax also.
Mr. Nathaniel Wilson. representing the
Columbia railway. made a computation for
the committee of the probable effect of the
Odell bill upon that road. The result was
that the company would pay 3d. 47 under
the Odell bill. while 1t pays $500 under
the present law.
The differer &c, he said was accounted for
by the fact that the Columbia stock is now
up to 20, owing to unusual circumstances
If normal conditions are restored and the
stock goes down. the taxation under the
Odell bill would fall. Substantially, there
would be no great difference between the
two results.
Present Method of Taxation.
Assessor Trimble then testified to the
method of railway taxation. He said the
roads operating under the new law pay 4
per cent on their gross receipts. Those
roads governed by the old law were taxed
on their capital stock. The assessor had
no means Of arriving at the value of the
stock, and so he had computed 1t on a
basis which would be equivalent to per
Don't you ' think s,"'a ssked" Mr. Curtis
that the same plan of taxation should ap-
ply to all roads?" 1J....Jss
Yes" replied Mr. TrimbIe, II think the
tax should be at the rate Of 4 per cent on
the gross earnings of ali roads,
At this point the discussion drifted away
to the subject of general taxation in the
District Cd of
MIR. King Expresses Surprise.
Mr.. King expressed surprise that the per-
sonal property returned for taxation in the
District had fallen in recent years from
$16,0O0,0OO to 81 100000. rssq=.q
MI. Trimble said it was probably due to
the fact that the tax Office has to rely to q
large extent on voluntary returns. as it
curate assessments.
Mr.: King said he thought there ought to
be $5O,UO0,OOO worth of assessable personal
property In the District of Columbia.
do you think the present me.Lod Of as
asked Mr.. Odell.
Trimble. =
rs 1t not true that kissing goes by IA
vor' in this District with regard to taxa
tion?"
+ Ia. II am not aware that such is the case"
We'll, if more money were raised by tho
CITY," said Mr.. King, would not the gov
eminent have to pay less7'
ON, no: the government only pays one
nalf the expenses, and never makes up Q
deficiency"
The AnacOstin Road.
Mr.. Griswold of the Anacostia road gave
the committee some facts in connection
with the taxation of that road.
1t was decided to hold meeting of the
District committee next Tuesday at 10
o'clock to give a hearing on the proposed
extensions of the Capital Traction and Met.
t!opolitan lines.