The farmer and mechanic. [volume] (Raleigh, N.C.) 18??-19??, 1901-01-15

er action in this case. II is now pend
ing undetermined
In July. 1889. the Corporation Commits
sion increa ga the assessment for taxa |
ton of the .-airoad properties in North |
Carolina. 81 800 600. and the property OF
the Western Union Telegraph Company
from $3.50 900 to s1.0VoO0.
Eight railroad companies and the
Western Union Telegraph Company at
once secured injunctions from the
United States Circuit Court. restraining
the collection of taxes upon the in
crease Again In 1900 the same assess
ment was made. and the railroad and
telegraph companies again obtained
similar iniunctionS. These cases in
volved no: only State. county and
municipal taxes. amounting for the two
wears to nearly $4,000. but the right
to collect such taxes for the future
years. 1t was necessary to employ spe-
cial counsel to represent the interest
of the State and the counties and cities
concerned. The work involved in the
preparation and argument OF these
cases has been very great. No less
than twenty eight hundred afiidaNlts
were secured to he read on the motion
to continue the iniunctions till the
VI
hearings in these cases in Charleston
and in Richmond, and an immense
amount of testimony has been taken
from every county in the State. which
will be exceedingly valuable to the
Legislature IN dealing with the problem
Of taxation IN the future. Testimony
in the Western Union case hes been
also taken in New York city. The la
bors Of the States counsel in these
cases has been exceedingly onerOus. In
considera ton of which. and of the inn
| mense interests involved, it is deemed
| that the amount paid to them up to this
time has been very reasonable.
The preparation of these cases and
the securing of testimony through
out the State has also been attended
with considerable expense outside Of
the fees of the counsel But this has
been necessary. and the expenses,
though largo. have been reasonable. The
States counsel are confident as to the
final outcome of the cases
A history of this litigation will be
found in tn. report Of the North Caro-
lima Corporation Commission for 1899.
at pages al to 21S. inclusive. and also
in the repo". of the SAND Commission
for the year 1900.
In 1899 the General Assembly passed
an act authorizing the North Carolina
Corpora ton Commission to assess rail-
road property which had escaped taxa
ton Counsel was employed to appear
before the Commission and bring to its
attention large amount of rolling
stock leased by the several railroads
constituting the Seaboard Air Line from
the Mercantile Trust and Deposit Com
panE of Baltimore. Several hearings
were had before the board which re-
suited in the collection of $e.l13 rs taxes
thereon. and the placing of this prop
erty upon :he taxation lists for future
years.
The compensation paid counsel fol
this service is deemed reasonable.
! There is merit in the contention o
the railroads that they shall not b,
singled out for taxation at th"ir true
value while the bulk Of the other prop
erty of the State. real and personal. i!
assessed largely below it's actual value
= I The testimony in these cases. while
r it does not show that the railroads arr
; assessed beyond their value and while
it does not prove any general and com
mon design among the ASSESSOR
throughout the State to assess indi
vdual property at less than it's value
does seem to indicate that vas
amount of taxable property is assessed
much below even the selling price.
$ NEED OF MONEY AND RESOURCE:
f OF REVENUE.
= How to establish a system which
e will put Oh the tax books all prOpert.
G al about its actual value-a system tina
f shall prevent unfair discrimination am
= increase the revenues is a problem TO
f the serious study Of lawmakers.
n The revenues Of the State are no
= sufficient to meet the demands of tn
time. The receipts from substantial
8 all sources for 1899 were S1.54o. ia s.
h and the disbursements were 81 600. 033 81
- showing a deficit for 1899 Of s54 81 o.6l
e The receipts for 1900 were 1910 .003.9l
n The. disbursements for 1900 were 81.
647, S24.99. showing deficit of $2a.S21 o
4 for the year 1900. But there is include
4 in the rec eipts for 1900 the proceeds O
- sale of certain four per cent. Stat
8 bonds. which were held by the Treas
q urer. who was authorized by law 10 Sc
+ them to meet payments Of coupons o
& the Four Per Cent. Debt. Thi
9 amounts to about s14S.0Oo. SO that tn
;. regular or ordinary income of tn
V treasury for 1900 was about 81 .6lS. 00'
q less this $4,000 which makes the de
q felt for 1900 $4,000 plus $4,000
v which is Sit. COO.
= and enlarged to meet manifest want
= and to relieve the sufferings of the ul
l. fortunates and abolish existing horrors
= such as the confinement of lunatics j
- common jails and in privat" houses wit
3 families unable to care fC,' them an
s. without means of proper treatment:
10 rcfOrmatOrieS are to be csta blished. en-
V if the legitimate wants of the UniVeI
/ Sity are to be met. end if the cOmmO
n schools are to be enlarged. the Gener;
l., Assembly must find additional source
A. of income.
Us The prospects of the railroad litiga
l. ton arc such as to give reaSOnab
ground for the hope that some add
10 tiOnal income will be derived from tn
= source.
10 1t goes without saying that anotht
Is way to augment the revenues will l
90 to increase Inc tax rate. or to prescrv
s. the present tax rate. but increase til