New-York tribune., 1901-01-31
TAX BILLS ARE AMENDED
SENATE COMMITTEE VOTES TO REPORT
THEM FANORABLY-METHO TO
DETERMINE SURPLUS.

Albany. Jan 50 CSpeciaD.-The Committee on Tax
alton and Retrenchment Of the Senate voted this
afternoon TO report favorably the bills founded upon
the recommendations made in Governor Oders mos
sage for the taxation Of trust companies savings
banks and insurance companies. The bin for the
taxation Of trust companies kept in the sha
in Whlch IL was introduced by Senator Krum The
bill concerning the savings banks was amended so
as 10 provide beyond question that the market value
and not the value Of the securities forming mart
of the surplus Of savings banks shall be considered
ir taxing that surplus.
The biH taxing the Insurance companies was
changed in many particulars, and as result of this
action or the committee. within an hour after II
had adjourned. Senator Krum received two doze,
kilograms from the officers of insurance conpanies
requesting hearing upon the bill. The BILL SEN
ator hrum said tonight would undoubtedly be
recommltted to give the insurance companies a
hearing.
The trust companies under the bill taxing them
VIII pay an annual tax which shall be equal 10
per cent on the amount of their capital stock
surplus and undivided profits" Such a law it is
estimated, would compel the trust companies 10
pay $4,000 annually into the State Treasury The
savings banks are to pay "an annual tax which
shan be equal TO per cent the amount of their
surplus. This tax it has been estimated would
put N'lJoVD annually into the State Treasury. The
state offloers have estimated that the on the
capital and surplus of insurance companies would
net the State Treasury about $3,15OOOO
Senator hrum said tonight: The insurance tax
The taxation Of insurance companies on their capi-
fal and surplus In arriving at the surplus the la
blites are deducted from the assets. but II an
Insurance company has capital stock. that capital
stock is TO be regarded liability of the com
pany in gettinF at the surplus
The bill for the taxation Of insurance companies
amended now reads follows:
Section !. Section ls7 of Chapter sOS of the laws
o 9 fne6 "a se 81 in % TeaGn Dars 10 & taxs!on
hereby amended TO read as follows;
poratons-Every insurance. A title gnaranty and
surety CORPORATION joint stock company or asso-
by pursuant to the laws of any other country.
or association Incorporated. organized formed
under, by or pursuant 10 the law of any other
nually pay a tax into the Treasury of the State
chlse IN TINS state. al the rate OF hve-tenths OF
one per centum upon the gross amount OF premi-
SIM Wbetber such premiums were in the form Of
money. Every insurance title guaranty and surety
corporation, joint stock company association. in
corporated, organized or formed, under. by or
pursuant TO law OF this state. shall pay to the
corporate franchise carrying on its business in
tax which shal be equal TO one per ceutum on the
amount of its capital stock aud surplus. II such
capital stock, then its surplus, whether such
pos po7+ = nr Nv, an oIbr We Tb Fiu' In's of
every life insurance corporation organized under.
determined by subtracting total liabilities from
its gross assets II such life insurance corporation
has capital stock the amount of its capital stock
shall be considered a liability in the determination
of such surplus. In determining the liabilities of
such life insurance corporation its policy obiga-
tiOns shall be valued the net premium basis,
according TO the aCtuaries. combined experience
table Of mortality, with interest per cent per
Rnnum. The term insurance corporations used
IN this article, shall include all insurance, title
guaranty and surety corpora tiOns, joint stock
sociations and all persons and partnerships doing
insurance business in this State"
Sec. 2 Subdivision ) OF Section IS9 OF such chap
Ger is hereby amended TO read follows:
". Insurance Title Guaranty and Surety Cor
porations.-Every insurance, title guaranty and
surety corporation, joint stock company
Ciation liza bic 10 pay a premiums under
Section Isl Of this chapter shall, before
August ! in each year. make written report 10
the Controller of its condition the close of its
business on June 80 preceding stating the entire
amount of premiums received on business done
thereby in this State during the year ending with
such day, whether the premiums in money
IN the form OF credits other substitutes
for money. Every insurance, title guaranty and
surety corporation, joint stock company
citation liable pay a tax upon its capital stock
and surplus upon its surplus under Section 1s7
rof this chapter shall before August l in
each year. make a written report 10 the Con-
1rolIer stating its capital stock ard surplus sep
aratey the close OF its business June 30
preceding, and containing such Other data, in
formation or matter the Controller may
Quire.'
See. g. This act shall take effect Immediately.