The Sumpter miner. [volume] (Sumpter, Or.) 1899-1905, 1902-08-06
TAXATION OF MINES.
Test Case Now 10 the Courts Over Ia
WsshinStoo.


Mining interests in the state of Wash.
ington are just now at war with asses
sors. Mining men insist that mining
property be assessed as other real estate,
but assessors decline to do no, and have
sent in their reports assessing mining
properties at the full rate the stock 10
selling for on the market. Judge Neal,
of Ferry county, has rendered u decision
uphold,ng the assessor, and now the case
is in the supreme court. Several com.
panies joined issue and made a test, re.
shifting as above. and will continue the
case in the higher courts.
The plaintiffs contended that the ~.
sessment for the purpose Of taxation was
illegal on account Of the methods EN-.
ployed by Assessor Andrew Casey in fix.
ing the valuation Of the property owned
by the respective compenies. Instead
Of basing this valuation upon true and
fair estimate Of real value, as required
by law, they claim the valuation was
actually based upon the selling price Of
the stock Of the various mines, and that
as a result an excessive valuation was
placed upon their property.
Evidence WAS introduced for the pur.
pose Of showing that in listing town lots
and other real estate not held for min.
ing purposes the valuation was placed at
one.half the selling price. The selling
price is made the test Of fair and true
valuation by statute in the case OF all
real estate.
The constitutional provision requiring
uniformity and equality OF taxation is
claimed to have been violated by the as
sessment Of one class Of real estate ut
half the market price while another
class is assessed ut the full market
price.
The defense produced testimony to
show that the assessor went upon each
piece OF property and used his judgment
in making his valuation. The selling
price Of stock was but one element in
arriving at II conclusion, and it was con.
tended the assessor has the right to take
all matters within his knowledge into
consideration in arriving at valuation.
The defense also claimed the valuation
OF the property Of the various corpora.
tiOns was not excessive.
1t il certainly difficult to arrive ut a
fair value Of u prospect or mine, either,
for that matter, and unless the state
makes some equitable adjustment OF the
laws governing mining interests, conten.
tions will certainly arise, causing con.
siderable litigation.
Similar laws to those existing in the
state OF Montana should be passed by
each state legislature. In that state no
litigation is possible, and every mining
man or company seems pleased, or rather
no objections are offered as to taxation.
Montana levies an assessment OF two
per cent on the net output Of every
mine. In addition the surface IL assess.
ed at the rate OF five dollars per acre.
Surface improvements are valued and
taxed as in other cases. This system
equalixes the burden OF taxation and
causes il to be levied where it belongs.
Mining must be encouraged. as it means
the expenditure of large amounts OF
money in an endeavor to make values
where none would exist otherwise. The
governments system of exempting from
taxation unpatented property is wise
one, and each state should pass such
laws "a will tend to promote an industry
of 80 great an Importance as mining, in
stead of surrounding it with obstacles
almost insurmOuntable Western Min
ing World.
Rates Again Reduced From All Points East