, 1902-02-22
FOR MORE EQUAL TAXATION.

h older states OF the east fire.
quently have more advanced and bet
ter systems generally than those Of the
new west. where everything is neces-
sarlly undergoing formation. Recent
advancement has been made by the
states of Ohio and Indiana and the
latter state has a tax law that seems
to be working admirably. A descrip-
ton of its operation is contained
in the following special from Indian
apolis to the New York Tribune:
Under recent decisions of the In
diana supreme court. declaring that
county commissioners may legally
contract with expert accountants, 9TH
erwlse known as tax ferrets." to
search for seQuestered property. and
that such contracts may be enforced at
law. the business of the ferret has in
creased wonderfully in the last year,
n there is hardly a county in the
state in which contracts have not been
made for Investigations of the records.
The business has been reduced to a
science by the Indiana 'ferrets' and
a already brought such results to
the state and excited such a whole
some fear among those who have been
sequestering their property that the of,
hcials believe the day Of tax lodging
Is practically over. Another good re-
suit is the correction Of many titles
and the Strengthening out of official
records in many counties. thus reduc.
ing the possible litigation which might
be instituted in the future by the heirs
of the parties to the transaction in
which the errors occur.
In order to explain the situation II
should be said that a mans legal resi-,
dence is the county in which he votes,
and it is there that he is assessed upon
his personal property. no matter in
what county he may have taken a
mortgage. The ferret begins by tab
ulating a list of voters, and opposite
each name is placed the property he
owns, mortgages given or taken by
him, the amount he returns for taxa,
ton. transfers Of property made by
him or to him. and all other trans
actions which necessarily appear OF
record. AS the tax year begins April |
all of the 'ferret's' Investigations cen.
tire at that date. II. now. a man sells
a piece OF property just before tina,
date his tax return is looked up to see
If he has accounted for it either in
cash on hand or by giving the amount
of the mortgage for taxation. II
neither appears he is called upon tC
explain the discrepancy. and unless
the explanation is satisfactory the
amount. goes upon the taxation dupli
cate. II the transaction occurs soon
after April l the buyer is called upon
to show where the money vas on that
day. provided his tax return does not
account for it. II he says he got II
from Jones. then Jones lax return is
looked up, and if it does not show thai
he returned it for taxation he is call
ed upon to explain. Thus one after
another is run down till the money is
found, and then it is placed upon the
duplicate against the man who had II
on April l and failed to report its pos
session.
AS a rule, there is no publicity in
such cases. for the persons who are
confronted with a false return are gen.
orally willing to settle without going
into court, for the law provides heavy
penalties, and, unless the suspect is
sure of his ground, he is not willing
to risk an exposure in the courts. Some
of the transactions come out. howev-
er, and these not only illustrate the
ways Of the tax dodger, but bring into
prominence the means that are en-
ployed for his detection. A sample
case occurred a few days ago. A cap,
italist had lent a large sum on some
farm land in an adjoining county, and
the man who executed the mortgage
claimed exemption under the law of q
part of the mortgage. In order to do
this he was compelled to give the name
OF the lender and the full amount Of
the mortgage, together with the num-
Der Of the book and page where It was
recorded. The ferret found the mort
gage. and looked up the tax return Of