New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1899-02-18
TAXING FRANCHISES.

The tax burden is growing so great In this
city that strong demand Is made for n read
justment Of the load. No doubt the demand IS
a proper one. Taxes here are OutragcOusly I'M
equal and are bound 10 be so under the present
laws. no matter how honestly and intci gently
the taX-gatherers may do their work. The sys-
tenn Is wrong. PlatS of ground and buildings
are heavily taxed. and few specific personal
investments of n few people are levied on, while
the mass Of the property Of thousands utterly
escapes This injustice leads TO impractlcable
schemes for more stringent laws for smoking
OUT rich men who cannot he smoked out. for
they can move away or change the nature Of
their investments. The smoking process would
only result in smothcring many owners Of small
personal properties who are already gasping for
breath. 4 wiser measure Of relief is sought in
the taxation Of public franchises.
Our cities and towns have been wonderfully
dull for many years on this subject. The people
who complained lOudest about high taxes were
ready 10 give away with prodigal hand public
property Of the greatest value. Legislators have
been gradually coming TO n dim conception Of
the folly Of gathering with the spoon of taxa
ton to throw away with the franchise shovel,
and have begun TO ask small rental for the
public property. Comparatively few of the hold
ers of franchises pay anything. however. az
most Of them obtained their privileges in the
worst days of legislative mprovidence. and few
others pay anything like fair rental on the
value Of their holdings To reach them all and
compel them to contribute reasonably to the
government by whose favor they make their
money, it is proposed to levy tax on these
a.
property.
There Is no reason why this should not be
done The owner Of city lot has nothing OF
more real and tangible value than the corpora
ton with legally enforceable claim to occupy
the public street. Municipal enterprise, in fact,
benefits him less The city does little for the
average citizen that It should tax the piece Of
ground he occupies compared with what It does
for corporations. 10 whom it gives exclusive pos
session Of rights in streets constructed at great
expense. Yet it taxes the lot which public
improvement has been made and lets the fran
chse holder 90 untaxed in the enjoyment OF
what the public pays for. If the street railway
or gas company laid their apparatus on land Of
their own purchase they would he taxed for it.
Much more ought they to be taxed on the value
Of street properties surrendered 70 them Their
profit comes from the previous public expendi-
ture for the construction Of ways which they
appropriate TO their own use. If they took the
streets simply as n convenient route. 10 avoid
the purchase Of private property as perhaps a
Gas company may in n measure be said to do,
they would still be justly subject TO taxation.
When. as in most cases. they take the street
because the occupation Of It and access to lis
traffic are the necessary features ~ their bust
ness. the claim on them Is still stronger.
4 public franchise is n valuable asset The
corporations themselves have been most strenu-
GUS to combat the idea that il is not. They will
not consent to regard II as mere permission TO
do something. but insist that it IS capital. They
issue stock against II. They buy and sell it.
They ought 10 pay taxes on II.