New-York tribune., 1902-01-15
HEARING ON MORTGAGE TAX.
LISTEN TO PLEAS FOR EX-
EMPTIONS.

Albany Jan. II (SpeciaD.-Several amendments
which were suggested to-day TO the Stranahan
Mortgage Tax bill, at a joint hearing on that
measure given before the Senate and Assembly
Committee on Taxation and Retrenchment at the
Capitol, viii probably be adopted, according TO
statements made by committeeman, and in its new
form. members Of the committees believe, the
bill will be passed.
The Stranahan bill as introduced provides that
five mill tax be imposed all mortgages at the
time they are recorded. AS the bill is likely TO be
amended. the owners Of all existing mortgages will
be permitted to record them under the new tax law
and thus exempt them from local taxation, which
varies in different parts of the State from to 25O
cents the dollar.
Another amendment, which. although not brought
out at the hearing. will be made, according TO good
authority is 70 the effect that when mortgage is
assigned the assignee shall pay the tax just as on
a mortgage Old and new mortgages alike
will thus be permitted to be recorded. If their
owners pay the tax.
A plea was made before the committee by Frank
c. Leubuscher TO exempt the mortgages Of local
building and loan associations. 1t is unlikely that
any such exemption will meet the approval Of the
committee many members Of which believe that II
one class of interests IS exempted others will
clamor for the same exemption.
Senator Stranahan said in regard to the subject
Of xemptons:
This tax is so small that all classes and lines OF
business ought to pay it If the building and loan
10 MS for exemption If we begin TO favor this
that interest the bill will be curtailed that it
would he worthless.
Lawson Purdy, who is the secretary of the New
York Tax Reform Association and who also repre-
sented the West Side Association, proposed amend
ments which he said would permit the owners OF
old mortgages record them again under the new
law. The amendment is to the effect that a mort
gage offered for record within year of the date
OF the first record of satisfied mortgage covering
the same property shall be exempt up TO an amount
equal the amount of the satisfied mortgage
Frank c. Leubuscher. representing hirty-eight
building and loan associations, asked the committee
that such associations be exempted from the tax
William A Gaus representing number of char
table and benevolent associations. said that these
societies ought TO be exempted.
Assembyrnan Newcomb, of the XXIIId Assembly
District, said that he was in favor Of the prin-
cples OF the bill. but that it ought TO be amended
to prevent building loans being taxed more than
once ..,- - 49,. .,-,oa
Senator Slater made an attack @ on on the PRINCIPLES
of an entire exemption of mortgages, that the tax
alton of mortgages was a double taxation, ana
thought the bill Of this year was better than any
measure of its kind that had been introduced
nAssembyman, Seymour. Of the XIxth Assembly
had favored his his bill OF last year whG9 ne bir had "a
senator GRADY spoke in favor Of the - MEASURE e sure
in reality the spectators and lenders of money
irving TO pay them off The senator took occasion
to defend Tammany's method Of taxing city prop
administration, by saying: "Of course, the fusion
ton"
Senator Grady came into conflict with Assembly
man Seymour at the hearing, when the latter said
that New York had been groaning under the bur
dens of taxation under Tammany.
from his seat. las member OF this committee
can't let remark like that pass unheeded. Let
me tell you that the taxes were increased more
under Mayor Strong than under the Tammany
Mayor who followed him. tell you 81 per cent
Of the taxes Of New York are made right here IN
this Capitol"
THAT is the old cry" said Mr.. Seymour.
'I in favor OF tightening the taxation down
there by eXempting all mortgages"
Then you foundering in the ditch
last year said the Senator.
But notice you are following me-" was the re-
4 am am always after you reformers; you
are the fellows who afraid to be taxed and
always dodge It. have seen men who took the
stump for the fusion off their taxes
by investing their money in untaxable securities"
''3ut the fusionist are going TO cut down New
York's taxes nevertheless.' said Ny. Seymour,
sion movement will result in the abolition OF all
taxes"
The Senator continued TO talk for half hour
more and made attacks Senator Slater and.
several other members Of the Legislature who Were
present. When he had finished a member Of the
committee said: Senator, are you for or against
the bill"
'I don't know" was the answer.