The Columbia herald. [volume] (Columbia, Tenn.) 18??-1935, 1900-07-06
A MT. PLEASANT CORRESPONDENT
Upholds the Tax Assessors in Assess
ing Phosphate Farms at their
True Value.
Editor HERALD:

INK \ AAOoPhhbC A "a LIZ az hAACAA
True Value.
Editor HERALD:
Mt. PLEASANT, Tenn, July 2.-There
is considerable dissatisfaction in Mt.
Pleasant and vicinity in regard to un-
equal assessments by the Board of
Equalization, The Chronicle voices
phase of this discomfort when it says:
Real estate should be taxed according
to the amount of revenue derived from
IL each year by it's owner. Because
farm happens to be located next to a
phosphate mine is no reason to tax it as
Il phosphate mine"
The Chronicle will readily note the
flaws in its chain Of reasoning. If Real
estate should be taxed according to the
amount of revenue derived from it each
year by its owner" the lots upon which
the new block on Main street have been
erected, would, in case the ownels had
decided not to rebuild, yield no taxes
whatever. The sentiment expressed by
the Chronicle is perniclous in the eX-
IRENE, as it would, if generally adhered
to, act as fine on industry while offer
ing premium to forestaling, speculation
and thriftlessness.
Take case analogous to the Chron-
icle's second observation-disclosures a
farm happens to be located next to
phosphate mine is no reason to tax it as
II phosphate mine Suppose that the
owner of the block of land at the cor
ner Of Wall street and Fifth Avenue,
valued at S16,000,000 an acre, should
decide latter a fire for instance) to SOW
the block down in wheat, making it
miniature farm. Would it be Just to the
community of New York to assess the
block as agricultural land at $50 per
acreY Would there be any injustice in
assessing it at its true value-S16,000 600
per acre? IL the farm, in the Chrou-
icle's supposed case, is more valuable as
phosphate land than as farming land,
justice to the community demands that
it be assessed as phosphate land
Would the Chronicle tax the indus
trieus farmer, who owns 90 acres, and
on the improvement of which he has
spent the best years of bis life, 'accord-
ing to the amount of revenue he derived
from his farm each year." while entire
ly exempting the absentee millionaire's
adjoining 10000 acre tract of vacant
land? Is that the way to build up a
community? Why should the merchant,
who buys lot, erects a store house,
puts in stock of goods and gives to all
of it his personal attention, be taxed
more than the owner of the adjoining
vacant lot, which he is holding for the
inevitable rise which will follow his
neighbours thrift? Is the forestaler,
who retards progress, acting the dog-in
the-manger, of more benefit to the COM
munity than the enterprising merchant,
that he should be so favored? Yet the
merchants taxed on his lot, on his house
and on his ock of goods, and in addi-
ton he pays tax for the privilege of ac-
commodating his neighbors by bringing
the necessities and conveniences of life to
their doors, and also tax for the privilege
of wearing head on his shoulders (with
out hich he could scarcely do bust
ness.)
|, Why should the mine owner pay taxes
on his phosphate land, on bis improve
ments and machinery, on his stock on
; hand, on his output, etc., while the adj
joining Spectator holds equally vaua.
BILE phosphate land idle and renders il
for assessment as farm land? Who does
, most for the communicable mine own
er, who furnishes employment for 1000
men and creates market for the farmer
and brings customers to the merchant
or the forestaller, who induced his
gre at-great-grandfathe to locate on the
rich phosphate beds of future Maury
: County and spends his years keeping
the land from running away, receiving
his reward in the otherwise unearneC
tribute he wrings from industry before
permitting labor and capital access to a
natural bounty which a Just God placed
there for his especial exploitation?
All wealth produced is distributed
among the three factors of production
: rent to land, interest to capital anC
wages to labor. Say phosphate yields
100. Ii the land owner exacts %, there
is left 20 to divide betwee capital and
labor. If the land owner has the powe
to appropriate 90, there is only 30 lei
!, to be divided between capital and labor
> This means lower interest rate anC
: : lower wages. Thus it will be seen thai
: high priced land means low interest anC
!, wages. light tax on phosphate lane
means high price to the forestale
the idle partner in production while I
high tax-rate would mean higher inter
. est to capital and larger wages to labo
the active factors in production)
! Which will attract capital-high or low
interest? Which will bring labor ers-
high or low wages? Which is the com
munity most interested in--heavy trib
ute to the land Spectators or good re
turns to labor and capital? Which i
8 most entitled to the lions share in pro
duction capitalist who furnishes
F.. the capital STORED up labor and the la
! borer who does the work, or the LANDLORD
: who furnishes-the free gifts of God