Santa Fe new Mexican. [volume] (Santa Fe, N.M.) 1898-1951, 1899-06-23
BANK AND MORTGAGE TAXES,
Private Banks Must Pay-Double Taxation
Not Demanded.

The following letter addressed to Hon.
Thomas Brannigan, assessor of Dona
Ana county, contains official information
of interest in all counties of New Mex
leo:
''Your favor of the Goth inst, asking
my official opinion as to whether mort
cages are taxable, and at what rate on
the dollar: also in regard to taxing a
banking house which has never made
any return as they are not an incor-
porated company under the laws of New
Mexico, and are therefore not subject to
TAXATION is received; and in reply would
say that this question should properly
be addressed to your district attorney,
but as it is a matter affecting the entire
territory, and of vital Importance in OBJ
tanning a uniform system of taxation in
the different counties, l will answer the
same direct. In regard to the taxation
of mortgages, it is an open question in
this territory as to whether mortgages
ON property, real or personal, which Is
already assessed. and upon which the
owner has already paid taxes can again
be assessed in the hands of the mort
SdSct. III WllClHtl SuSu LNStSSllclU
would not be open to the objection of
double taxation. Our law provides that
in case the mortgagor fails to pay the
taxes upon the %mortgaged property, the
MORTGAGE may do so and charge it up
against the mortgagor, which shall tie
an additional lien against the m%ortgaged
property; if the mortgagee were taxed
upon his mortgage, and also had to pay
the taxes or the m%ortgaged property, it
would look very much like double taxa
ton. which is not permitted except when
expressly provided for by law, which is
not the case in this territory; and in the
absence of such a statute, | would say
that mortgages as such were not taxable
in the hands of the mortgages; but, the
promiSsory notes to secure which, the
mortgage may be given is undoubtedly
taxable in the hands of the owner as a
credit.--Section 4O19, Compiled Laws,
1897.
SIN answer to the extraordinary claim
of the banking house to which you refer,
that because for a number of years they
have been violating the law, they are
not therefor subject to pay any of the
burden which l%aw-abiding citizens are
compelled to bear, l would say that there
is absolutely no ground therefor. Sec
ton 1925, Compiled Laws, 1897, says:
The property of every firm and corpora
ton must be assessed, y y X such a
firm and corporation shall pay taxes
"Section 4035: ANY person liable for
taxation who shall fail to render a true
list of his property X X y the asses
sor shall make out a list and its value
y y \ and a penalty of 25 per cent
shall be assessed and collected as a part
of the taxes of such person.
Section 4O55 makes it the duty of the
assessor when any property has been
omitted in any year or series of years,
and not put upon the assessors books,
when discovered. to be listed by the
assessor and placed upon the rolls, be-
| fore the same are returned to the board
of county commissioners, with all arrear-
| age of taxes which should have been as
sessed and paid in former J ears charged
thereon. These provisions of the law
are mandatory on the assessor, and a
| failure by him to perform these duties
| will subject him to all the penalties pro.
vided for other failures or neglect OF
duty. AS a matter of fact, the territor-
ial board of equalization, at its session
September 20, 1897, fixed the assessment
Of this particular bank, among others.
at GO per cent of the par value of the
shares of the capital stock and surplus,
| in order to make the assessment of such
| property equal and uniform throughout
the territory. The fact that this bank
was not Incorporated as it ought to have
been under the laws of the territory, and
had no technical shares of capital stock,
makes no difference; it is the monied
capital, under whatever name it may be
called, that is taxed; and this class Of
property more than any other should
bear It's proper share of the public bur.
den. Very truly yours,
edward l.. BARTLETT,
"Solicitor General of New Mexico