The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1902-09-21

the Secretary of State; this prevents
conflicts, allows Investigations, etc. Until
1901 there was no record office for cor
porations and it was impossible to obtain
information as to the character of the
charter, the nature of business and the
number and names of corporations doing
business in North Carolina.
The Secretary of State annually fur
nishes the county commissioners Ofreach
county list of the corporations whose
principal office is located in their county,
with the amount of capital stock issued,
which returns made by the corporations
themselves, is the basis for franchise tax
alton.
A franchise tax on corporations is paid
in the county where the corporation has
its principal office according to the fol-
lowing graduated scale:
On $4,000 or less. $500.
Over $4,000 and not exceeding $4,000,
$1,000.
Over $4,000 and not exceeding 100000,
Over 100000 and not exceeding $25O,OOO,
$4,000.
Over $25O,OOO and not exceeding $780,
900. $4,000.
SOVVJVVV
900. $4,000.
Over $1,0OO,O 900, $4,000.
The companies themselves estimate and
appraise their own capital stock at it's
cash value (due allowance being made
for impairment of capital when neces-
sary) and deduct therefrom the assessed
value of all real and personal estate
upon which the corporation pays tax
thereby preventing double taxation. The
State tax on this excess is twenty-one
cents for general purposes and four cents
for pensions on the one hundred ($10000)
dollars valuation which is paid direct to
the State Treasurer: in addition to this
there is a tax of eighteen cents on the
one hundred ($10000) dollars valuation
for public schools which is paid in the
county where the principal office of the
company is located. This report and
appraisal is madeato the Auditor and is
| kept by him as private. All real and
personal property of every corporation is
taxed the same as the real and personal
property of an individual and is assessed
and tax levied in the county where such
property is found. The present law pre-
vents the holding of stock Except certain
construction companies) by one corpora
ton in another.
This prevents mergers and the absorb
tion of weak companies by the stronger
ones, thereby preventing the creation of
trusts in this State.
Under the revised. law the powers of,
corporations have been largely extended.
Our organization taxes are graduated,
meaning largely increased and increasing
revenue to the State. Greater protection
in given to individual stockholders and
at the same time the rights of the cor
porations are guarded. Dissolution of,
and settlement of the affairs of the cor
porations (Which was not provided for
under the old law) is simplified and
facilitated. The organization of COM
panies with foreign capital is encouraged,
all stockholders but one may be non
residents; the meetings of directors may
be held outside the State; and all the
books Except stock and transfer Dooks)
may be kept outside the State.
Under our laws now, railroads. bank
ing, insurance, street railway companies
and building and loan associations can
| be chartered without waiting for legis-
lative enactment.
The business men of the State recog-
nize the liberality of our laws and know
that the Democratic party will protect
| legitimate interests in the State without
prejudice or favor. AS a proof that con-
| fdence was restored with the restoration
of the Democratic party to power, offer
the following comparison of the number
of corporations chartered during the four
years that the Fusonists had control OF
the legislation of the State and the fol-
/ lowing four years under Democratic
/ legislation:
January /, 1895, to January 1, 1896. 14O
January L. 1896, to January ], 1897. 145
/ January 1897, to January /, 1898. 141
January /, 1898, to January /, $780,. 164
500
| January l, 1899, to January l, 1900. 222
January /, 1900, to January 1, 1901. BOG
/ January /, 1901, to January /, 1902. 327
| January /, 1902, to July /, 1902, 224
| ESTIMATED to January, 1909 44S
3O3
Corporations formed during four
| years of Republican rule.......... $50
! Corporations formed under four
years Of Democratic rule 1903
The above comparison speaks for itself
This cannot be attributed to national
political conditions, for the Republican
party has been in control of the National
government during this entire period.
North Carolinians are a fair minded
people and equal and exact justice to all,
and special privileges to none is the basic
principle of the peoples demand: this
is the fundamental principle of the DEM
ocratic party; actuates its every pur-
pose, and is the chief source of its
strength.
We propose to tax corporations fairly