New-York tribune., 1901-06-03
CORPORATION TAXES.
THE STATE SOCIOLOGY LIBRARIANS
REVIEW OF THIS CLASS OF LEGIS-
LATION IN NEW-YORK NEWER
SEY, MASSACHUSETTS, AND
PENNSYLVANIA

Albany, June (SpeciaD.-RObert H. Whitten, the
Sociology Librarian of the State Library, has pre-
pared and there has just been published Bulle
tin No. 81 of the Library an interesting review IF
the legislation taxing corporations in the States of
New-York, Massachusetts Pennsylvania ard New
Jersey In his Introduction TO this compilation Mr.
Whitten says:
In New-York and Massachusetts real estate of
general business corporations is assessed by the
local assessors for State and local purposes. while
In pennsylvania and NewJersey It Is assessed Tor
local purposes only. there being no state tag OF
CORPORATIONS are also subject to taxation Tor
purposes approxima on the actual value OF cap
TO state tax at rate varying according TO I owl
ock employed in me he sa tne if Pf are
cent The State Tax Commissioner OF MaSsacnu-
% fion Throughout the ihs State St te about IL cent?
the total market value of the shares OF all Goesiy
assessed, and the Audtor-General of Pennsyi-
actual value of P the franchises @ property and entire
earning capacity of all corporations having a cap.
corporations held by residents Of the state which
is paid by the corporations and deducted from in
terest due. In New-Jersey corporations are sub
Gr same manner 2G% as ina idna in the
value OF the franchise cannot be taxed as per,
a deduction for debts have individuals. Domestic
! per cent on the par value Of capital stock on
amounts not exceeding s3OOOc10 one-twenteth of
and $50 for each 100000 in excess Of s5oSooo
PUBLIC SERVICE CORPORATIONS.
OF the four States under consideration Pennsyl-
va1ia and Massachusetts have the most consistent
Pennsylvania public service like other corporations
on their capital stock when the State Supreme
Court has held - mean tax on entire property,
including franchises and earning capacity. Bond
holders in foreign corporations pay tax of two
per G'F fro on ther ponds % ana sue
same rate on bonds held by residents of the State.
Pennsylvania. and public service corpora tions,
cept railroads in Philadelphia and Pittsburg. are
He trabcb G maka nn fr 20 mi his STTton on
from local taxation transI,ortation and trans
mission corporations OF every kind pay State
SneEs dane Whay within ff G the sae receipts from
Massachusetts taxes public service like all domes-
of shares less real estate locally assessed at the
CabcUt IL per cenu. street railways are the only
public service corporations that are required TO
sx5css OF diyid~nds paid over per cent and
cent TO per cent in proportion 10 gross receipts
There are a number ef points Of similarity. be
tween the systems Of New-Jersey and New-York
IN BON state persona. prc2trty of pubic servi'e
but the value Of the franchises cannot be included
ny Y p[ Id bib ~ 90 ms W.
special laws for the taxation OF corporations eXer
places The New-York law, passed in ls9s' pro
M The Sal ' erI ~ TT ., C'7 I3 fr its $50
manner rs real estate The New-Jersey law. passed
gross receipts Of such corporations.
In NcW-fork street and elevated railroads pay
State tax OF cent receipts and Of
per cent on dividends paid in excess Of per
cent. and water. Hight. ,tnd heat companies
Iay one-half OF Per cent on gross receipts and
per cent on dividends In excess of per cent.
All other transportation and transmission corpora
tiuus pay state tax of une-half Of per cent on
gross receipts from business done wholly within the
state. and like corporations generally they are
subject 20 "a state tax at rate varying according
20 dividends. being ~ mills the par value ~
capital stock employed I'm the State. II dividends
equal per cent.
New-JeTsey has a special system for the taxation
Of steam railroads ard canals Real and personal
property is taxed for State purposes at the rate
OF nne-half ~ cent It's actual value aS
determined by the State Board Of Assessors. The
court has heiu that the valuation may be based
on the aggregate Velue OF shares and bonds less
debts due creditors within the State. The State
board also leVes FOR local purposes at the
local rate but not exceeding per cent. on branch
Toadbcds or waterways and all other property
cept Oh the main stem OF each railroad canal.
including the Toldbed exceeding ioN feet wide.
with tracks and passenger stations. and t2l rolling
stock, canal boats and an tangible ana intangible
personality.