The Ely miner. [volume] (Ely, Minn.) 1895-1986, 1900-08-24
Taxation Not Equal.

WHO has been in Duluth looking Up
the matter of corporation taxation as
the agent of Gov. Lind had the fol.
lowing to say to Duluth reporter
before he left the city:
There has been considerable mis-
apprehension of the object of my
Visit here. In brief, it Is this: There
Is law providing how corporations
shall be taxed. The governor is max
Ing 1T his business to see that that
law is enforced. In the case OF the
corporations owning and controlling
iron mines he has sent me here to find
out the necessary facts, in order that
the matter may be brought before the
state board Of equalization and there
attended to. have paid no attention
to the valuations of iron properties
since | have been here. I have as
surnsd that those valuations as fixed
aud agreed upon are all right. But
that is not the end of the taxation of
these corporations.
GA II taxes to be raised in this
state shall be as nearly equal as may
oe, aud all property on which taxes
are to be levied shall have a cash
valuation, and be uniform through
out the state
THE foregoing is the fundamental
law OF this state on the subject of
taxation, and it has been in force
since the adoption of our state con-
|stitution, but never enforced against
corporations, such as mines, street
railways, gas and electric light COM
paiiies. 1t seems the more such con-
cerhs accumulate in properties the
less they seem to be amendable to the
tax laws. In the Twin Cities the
street railway companies make a pro-
fit annually of not less than 81 1000. 900
and have assets of $34 ,000, 900, and pay
taxes of only 2 mills on such assets.
whereas the average citizen in this
state pays % mills. How that is done
is puzzling to the. average man. He
is taxed on the full valuation of his
property. whereas, the street railway
makes a return of 100000 instead
of 1874, 600, 900, that is one-sevent eenth
of its assets, leaving 100000 or
siXteen-seVenteenthsaof its property
untaxed.
Another illustration in this
county: The authorities assessed a
certain mine $4,000, a alfinterest in
which was sold last month for $780,
600. That shows its value to be ST.
100000. The sale is matter Of pub
lie record, of which the local authori-
ties 10 charge of the administration
of tax laws should have taken notice.
There is loss to your county in one
instance sufficient to build tue foun-
datioh for court house.
"The law provides for a special
modeIof taxing corporations, by list
ing their stock, at the actual value or
market price, by deducting therefrom
the value of real and personal pro-
perty belonging to such corporation.
ThatSis, if the corporations stock is
worth ST. 600, 900. and it's real and per-
sonal property is assessed $500, 900, it
is liable for the difference between
these two sums to be taxed under the
head Of stocks and bonds. AT the
session Of the state board of equaliza-
tion held in. 1899, Governor Lind us
ex-otficio member of such board pro-
cured resolution taxing the property
of the Twin City Street railways in
form provided by law. That is to
serve as precedent during the com.
ing session of the state board as to
all corporations reported not assessed
according tolaw.
'pThe banks are assessed on such
basis, and the only question that ever
comes up before the state in reference
to banks is as to the percentage they
should be assessed. It seems to me
that is very practical way of as
sessing corporations. Their assets
are what the stock is worth. If thai
mode of assessment is legaland prac
tical and applied to all the banks il
the state, when the law demands it
why should not other corpora tions bt
assessed In the same manner? !.