New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1900-01-17
THE TAXATION COMMITTEES JOKER"

The only unexpected feature of the new tax
alton bill ought to be separated from the rest
and entitled AN act for the annual temporary
exile of capital and suspension of credits" 1t
is that section providing that all 'moneyed cap
ital," except the stocks and mortgages reserved
for State revenue, in the hands of individuals
shall be taxed for local purposes at the rate of
/ per cent without any deduction for debts. We
shall not stop 10 inquire just what ''moneyed
capital may mean used in this bill, or how
long the courts would be kept busy defining
what could be taxed and what not under it,
Neither shall attempt TO solve questions
which arise about the present taxation of stocks
OF home corporations at corporation headquar-
tiers at the local rate. Let it be assumed that
the corporations now paying local taxes on their
stocks would continue TO do so without addi-
tional taxation of the stocks in the hands of in
viduals, and that the "moneyed capital of the
committee is expected TO include stocks and
bonds of foreign corporations, all sorts Of nego-
table securities and bank balances Just what
is 10 be the effect of trying to levy per cent
this form of property?
Under the present law this ''moneyed capital
with deduction for debts, is already subject to
taxation at the local rate-24S in this city. 1t is
a well known fact that practically all but a
small fraction of ii escapes taxation 1t is, we
suppose, the hOpelessness of enforcing the pres
ent law that leads the committee 10 plan for the
local taxation Of this property at a lower rate.
II may be thought that there will be less at
tempt at evasion OF the smaller tax, and that
with deduction for debts abolished principal
door of escape for people, once called to the
notice of the assessors, will be closed. But 1t is
not easy to see how, except for the few who
now acknowledge taxable personally and Offset
IL by alleging debts, the proposed law could
reach hidden securities any better than the
present one, which is confessedly a grotesque
farce, except so far as it is a monstrous injus-
tee The committee say: I'VE have not con-
.ceived that any change in the tax laws looking
Ito the placing Of larger amount of personal
property upon the local assessment rolls would
'meet the condition complained Of, unless the
Legislature should be willing 10 adopt the so
SCALED listing system" Then, after expressly
refusing 10 recommend listing because il is in
auisitorial they turn and attempt 10 place
larger amount OF personal property upon the
local assessment rolsi Do they wish 1t to be
understood that they are proposing the impos-
sible? Do they mean 10 announce that this sec
ton Of the bill is just a useless sop thrown TO
demagogic demands for mor5 personal taxes?
If the assessors are left 10 find personal secu-
rites by chance premium will still be put on
perjury and flight of capital from the State and
the tax rolls win stlll show the same glaring
inequalities that they now exhibit Here in this
city the i per cent rate would be a relief for
those who did fall into the assessors net, but in
some communities the tax rate is much lower
even than ] per cent, and personal securities
would be taxed higher than real estate If found
at all. Indeed, we know Of towns in this State