Wausau pilot. [volume] (Wausau, Wis.) 1896-1940, 1901-01-22

INAUGURAL MESSAGE BY
GOV. ROBERT M LA TOILETTE



with the accomplishment Of the duties
defined by the law as it now stands.
That the law with respect to the as
sesSment of all property can be so
amended. supervised and enforced as to
secure uniformity of assessment and
enormously increase the tax upon classes
of property which now escape wholly or
in part, there ins not the slightest reason
to doubt.
One of the questions you will have 70
determine in dealing with this subject is
whether railway companies shall be tax
ed directly by. assessment upon the value
OF their property, or whether they shall
continue to pay Under the license sys-
TEN a certain percentage upon their gross
earnings The strong objection to Ii
cense fee upon gross earnings is that it
allows the corporation 10 make its own
report of the amount Of its gross earn
ings. or, in other words, to assess itself.
1t is but just to note in this connection
that the railway companies have been
fairer than the average of individuals,
who, as to the great mass of personal
property, assess themselves; the percent
age of assessed of market value of tle
railways being 20 5-10) as against
u 9-1O0 for all other personal property
in 1890. In no case, however, should the
assessment be left to the taxpayer,
whether corporation or individual, with
out some check or safeguard for the
State.
With no other class of property is
there presented so fragrant an example
of open disregard of the law as in the
case Of bonds, mortgages, securities, and
the average amount of money in posses
sion and on deposit. A conservative es-
innate, based upon the latest accessible
data together with the census figures fer
1890, show real estate mortgages in
Wisconsin amounting to S110,0O0,000.
This takes no account of unrecorded Sc
curities, computed at $165, eco, 900. 1t
is therefore safe to say that not over )
per cent Of the taxable notes, bonds and
mortgages in the State pays any tax
whatever. The average amount of money
in possession and on deposit which the
assessor succeeded in finding and return
ing as taxed in 1898 was only S7,163, 444
On the first Monday in July. 1898 the
State and private banks alone reported
to the State Treasurer money IN de-
posit'' amounting to S40,976,312.T 70. The
report of the United States Comptroller
of the Currency shows that on the 9TH
day of May, 1898, the very month in
which assessments were made, there
was in the rational banks of Wisconsin
sac, 224, POI .43. Or IN both national,
State and private banks on these two
dates in 1898 an aggregate of $4,000,
513.50 More than SS0,000000 of this
money wholly escaped taxation that year
know well it is urged that any at
tempt to place these Sinking millions on
the assessment rolls will be wholly fu-
tile, and end in paying premium on per-
jury, increasing the interest rate. and
driving money out of the State. But if
it is driven out of the State, where will
it go? In every State in the Union to-
day public sentiment is strongly aroused
and organization everywhere moving to
make all taxable properly, Individual and
corporate, meet its assessments and pay
its taxes. On all sides laws are being
revised, and, in some States, constitution
al amendments are being adopted to Sc
cure this result. 1t is reasonably GER
tain that the day is at hand when no
State in the Union will Sffer an asylum
Of refuge for capital seeking to eyade
the payment Of taxes.
it is asserted that it will raise the in
tetest rate to make money and mort
cages pay taxes. Possibly it may increase
the interest rate somewhat to enforce
the law as to money and mortgages.
Whatever may be the exact fact as to
the effect on interest rate as between the
borrower and lender, the principle is to
be commended, because it taxes. each
man justly on the record The mort
gagor has to the extent of the mortgage
parted with an interest in the real estate.
The MORTGAGE has acquired that inter-
est, and each is taxed Only upon his pro-
portionate share There is another as
pect of the case worthy Of attention The
individual posscssor of wealth and the
corporation Of large capital engaged in
evading and violating the tax laws are
doing much to beget a disregard and
want Of respect for all law, and to eX-
cuse violation Of its letter ana spirit
with all classes But there is further
answer to be made to the objection to
taxing money, because it is Nclaimed il
will increase the interest rate. 1t is /;
manifest injustice to each taxpayer to
compel him to pay an additional tax oc-
casioned by allowing several hundred
millions Of money and securities to 60
untaxed in this State in order to main
tain a lower interest rate for the aGvan
tage of the comparatively few who bor-
row.
a Primary Election Law.
Commissioned by the sufrages Of the
citizens Of this State to represent them.
you will have neither in the session be-
fore you nor in any official responsibility
,.ni rn1 Y nss,.rlln 1ll-l. ,a-An-.t arnt