Delaware gazette and state journal. (Wilmington, Del.) 1883-1902, 1901-02-07

The Proposed Taxation OF Railroads.
Weprint elsewhere in this issue letter
from john Biggs, solicitor Tor the Ehila-
delphia, Wilmington 4 Baltimore, the
delaware and the Delaware, MARYLAND
q Virginia Railroads, addressed 70 the
members Of the House committee bav.
ing In charge the bills recently intro.
ouced 10 the Legislature, making radi.
cal increases in the taxes imposed by
tne State upon these railroad corpora.
tions. The subject is one OF great in.
terest to all citizens, and Mr.. Birps,
letter should receive close and careful
consideration.
Many people are inclined, at first
thought, to approve OF almost any
proposition to tax railroad icorpora.
tions. They look upon the AVERAGE
railroad as great money .makis., CON
Germ and as an oppressor of the PEOPLE,
ana upon these deductions they infer
tnat the only redress for the people is
through the power of taxation NOS.
sessed by the State, imposed in the
most rigorous manner. Ii reouires
DUO a minutes consideration, however.
10 snow how erroneous and unjust tbia
Impression is. The subject of taxation
Is OF equal importance to all classes
and conditions of people, and the OK.
ercise OF the power should never be in
tne direction OF either favoritism or
punishment, but towards thorough fair.
ness and equality, so far as is within
the power of the taxing agency.
Mr.. Biggs' letter makes some in.
terestine statements with which tho
general run of people are not at ali
familiar. He shows that during the
period OF the enforcement of the law
imposing tax of ten cents per capita
upon every passenger TRANSPORTED
through this State, the p, W. &B
and Delaware Railroads paid to the
State over 1857, 600, of which some
thing over 1907, 900 was on account OF
what are called interstate passengers.
tnat is, passengers who passed through
this State in journeys that iucluded
also portions of Pennsylvania or Mary.
land Then this law, by the upani.
nous decision of tho Court OF Errora
and Appeals Of this State, was declared
In conflict with the Constitution of
the United States, and therefore mil
and void. The taxes thus illegally col
iected were never refunded however, |
and the State Is therefore Justly in.
debted to the railroads to this EXTENT.
When the present Communication rates
paid by the railroads we're under con.
sideration in the Legislature, these
facts were fully stated, and Il was q |
regard for the obligation of the State
to refund the illegally collected taxes |
that induced the Legislature to agree |
10 the Communication plan Of annual |
payments OF specific sums by the rail. |
roads, instead of the various items ~ |
taxation provided by the original laws |
bearing upon the subject. The agree.
ment then reached was considered by
both sides to be fair and reasonable.
Mr.. Biggs also shows that the Della.
ware Railroad. which is particularIv
ahected by the pending bills-as its
TAX, 10 the event OF their passage,
would he increased from So, 900 per year
TO $50, 0OO-for years did not earn sufi.
clent revenue TO meet the terms OF Its
rental by the Philadelphia, Whining
ton Il Baltimore Railroad. He also
shows that the latter road has about
the same mileage in Pennsylvania as IN
delaware, but at much greater
mileage IN Maryland, while its terminal
buildings In Philadelphia aud Balti.
more are much more costly than apy Of
is Buildings in this State. And vet
me Tax paid by this railroad for 1899
70 the State of Pennsylvania was sI7.
~. 10, and to the State of MARYLAND
%, against $40, 900 paid to the
State of Delaware.
IL Is a fact that the tax imposed
'pon railroad, like any other exnense
connected with its operation, must be
'aid out OF its revenues and that the
evenues are contributed by the people.
ncreased taxation. therefore, will only
10 burden upon the public. Such an
Increase OF taxation as is proposed TO
% put upon the Delaware Railroad
'ould naturally be followed by an in {
rease In passenger and freight rates, S
nd this increase would come out of s
ne pockets of the patrons of the road. 8
ne people would be distressed, there.
IRE, instead of benefited.
Inc members of the Legislature 2
Mould consider these tax measures in a
spirit of fairness and from the view. G
omit OF sound business principles. +
either sympathy nor prejudice should
hect their judgment. And If they do
ms they will not vote to impose such q
'oicai and unjustifisble increases as )
70 provided In the pending bills. q
Inc last issue Of the Lewes Pilot an ~ :,
had |