New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1901-03-13
PORTO RICof TAX LAW.
THE ''+''' '21 53: CONVINCED OF

HENRY GEoFEE's THEORIES SAID TO BE
APPLIED IN THE ACT AGAINST WHICH
\ PROTEST Is MADE
rsE TELEGRAPH TO TIE IRIBUSE.I
Washington, March 12-They do not say So but
the logic Of their contention shows that the Porto
Rican delegates who have been in Washington for
more than a week protesting against the new
ing system devised by their insUar legislature are
entirely satisfied with the present Foraker law.
which imposes Is per cent of the Dingley tariff
duties on all imports and exports to and from the
island They the President again to-day but
received from him satisfaction than he
was able TO give them their first visit The
Porto Ricans Will return home soon without hav-
ing convinced the President either of the injustice
OF the Hollander revenue act or of his duty or
power 10 nullify that legislation. As the act does
not take effect until July l. it is practical i'm
possibility for anybody to say what its effect will
be- II IL is as harmful the protesting Porto
Ricens predict 1t will be- then. pointed out by
the President, the insuar legislature repeal it
in extra session. The advocates of the law, how
ever. convinced that it will soon result rails
ing more equitaby than has been customary in
Porto Rico under any previous system all the rev.
enue necessary for the support Of the nsular gov
eminent supplemented Of course. by revenues from
other ordinary sources.
The law takes its name from its author Profess
scr Hollander, formerly a lecturer on economic
questions in Johns Hopkins University Baltimore.
and Treasurer Of Porto Rico. Professor Hol-
lander has a high standing among economic
students and writer's. and in the law which bears
his name he has sought TO put into practice some
Of the theories Of the most advanced school of
American economists. It IS held that the system lie
has devised for Porto Rico is tinctured somewhat
with the Henry George doctrines IN that it aims
to put the principal burden OF taxation for the
support of the government the potential value
Of land instead Of on the actual improvements, as
under the established system both in this country
and in Europe
The second section Of the Hollander law de-
scribes follows the character of property 10 he
taxed at the of one-half Of l per cent Of the
assessed value:
Al property. not expressly exempted. shall Ihan he be
purpose Of taxation real property shall include
all lands and all buildings and fixtures ana ma
chinery thereon. and appurtenances thereto, IN
Guiding timber growing upon the land. and mines
sonai properly Shall include live stock. money.
credits bonds, stocks, dues. franchises cQqcesss
private ownership and not included within the
meaning of the term real property.
The exemptions prescribed by the law include
public and church buildings and appurtenances.
cemeteries tonhs. etc, fish in the possession OF
the fisherman by whom caught, frowing crops and
products OF the land actually owned by and stlII
in the hands of the producer, working tools or
mechanics or artisans household furniture. wear
ing apparel. provisions, fuel etc; educational and
professional books and private libraries non-nter-
est bearing mortgage bonds and other obligations
used exclusively guarantees or securities Tor
the proper performance Of Official duties: all prop
ery Of persons whose total assessments do not eN-
coed 800.
LAND TAXED AT ACTUAL VALUE.
Section OF the law emphasizes in direct and
practical way tho intent Of its author 10 apply the
Henry George theories. It provides that all tax
able property shall be valued is actual market
value without looking TO a forced sale and I'm the
manner specified in the assessment schedules
The Porto Rican delegates now here represent the
large land owners Of tho island. and do not at
tempt 10 disguise their understanding OF what the
operations OF the law VIII bs. Those whom
they represent have not been accustomed to bear
ing so large . proportion OF the burdens Of govern
ment viii be imposed by the Hollander system.
The greater part OF the taxes heretofore has fallen
the working people and small tradesmen. In
consequence Of the impending change the big land
owners are roundy denouncing Professor Holarder
a wild theorist and doctrinaire. although. 81
course. II Governor Allen had not favored the now
system OF taxation. II would not have been enacted
into law
Just how much revenue the law Will produce cam
not be known until the assessment schedules have
been completed. II II produces enough for the ISL
and's needs the present tariff duties Of per
Of the DingIey rates will be abolished. This be
done by Executive order from Washington.
provided in the Foraker law. which says on this
point:
Whenever the legislative Assembly Of Porto Rico
shall have enacted and PUT into operation system
Of local taxation 70 meet the necessities Of the gov
eminent Of Porto Rico and snail. by resolution duly
passed notify the President ne shall make
proclama ton thereof and thereupon all tariff duties
on merchandise and articles going into Porto Rico
from the United States. or coming into the United
States from Porto Rico. shall cease, and from and
after such date all such merchandise and articles
shall be entered the several ports entry free
Of duty, and IN event shall any duties be col
lected after the first day OF March 1892 on mer-
chandise and articles going into Porto Rico from
the United States or coming into the United States
from Porto Rico
viii be necessary for the insuar legislature give
formal notice to the President OF the operations OF
the local taxing system in order get the tariff
duties removed before March next.