The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1903-02-17
is DONE RTLAST.
New Tax Bill Ready for the
Legislature.
Bale Waggener Loses in the
Final Round.
THE BAILEY MEN WIN.
Mortgages and Notes Not Ex-
empt From Taxation.
Expected That Fight Will Be
Renewed In House.
THE BAILEY MEN WIN.

The state tax bill now stands ready
to be reported back to the two houses
of the Kansas legislature. But there Is
no clause in it exempting from taxa
tion notes. mortgages and evidences OF
indebtedness" Neither is there any
thing in the new bill to make it impos-
sible to foreclose a mortgage which had
not been listed for taxation. These two
things have been true since Monday
evening. A vote of Is to 8 among the
twenty-five members of the committee
who attended last nights meeting
showed that Bale Waggener's so far
successful fight for his amendment had
turned against him.
IF you defeat this amendment" said
/ Mr.. Waggener. you will have to go to
the other extreme and insert a drastic
section in the bill providing that
mortgage can not be foreclosed unless
it is listed for. taxation. That is the
only way you can compel a mortgagor
to pay taxes on a mortgage" A vote
was taken upon this proposition and
only by the narrow margin of a single
vote was it lost: the roll call showed Il
voting for and 13 against. The vote in
the committee on both propositions
showed clearly defined divisions, and
when Waggener renews his fight upon
no feeble backing. His inroads into
| the camp of the opposition have been
too vigorous to permit the mortgage
proposition to become a pure party
measure again.
A remarkable amount of interest has
been stirred up over the state by the
! publication of the progress of the
I Smith-Waggene fight and petitions
I protests and advisory communications
are flowing into the hands of the sen
ators and representatives in a stream.
/ They were exhibited and read in last
1 nights meeting by both sides. but there
/ appeared to be a preponderance of this
sort Of support in favor of the Wag-
gener amendment. They were signed
by bankers, tradesmen and farmers.
irrespective Of politics. Some of the
letters went into the tax question to
considerable depth and were quoted
1rcn freely By the members Of the con-
nittee. It was evident that the tax
payers are watching proceedings care
fully and the fact caused Senator Smith
to remark:
Mr.. Waggener has told you that he
wanted nonpartisan consideration of
this measure. He has boasted that he
has no political ambitions, and he knows
that his vote on this proposition will not
AFFECT his future. Yet we know that in
the final analysis the Republican party
must take the responsibility for this
law. If this amendment is a good one
Mr. Waggener would get the credit If
it is not, the Republican party viii be
in this tax game with Republican chips
and of course he is care free as to the
result of things"
Bale Waggeher saw defeat looming
up against him when the meeting last
night was called to order He wanted to
postpone consideration of the mortgage
amendment and tried to divert the at
tenrion of the committee with small mo-
tions- These were quickly disposed OF.
The reading of the bill had been finish
ed and the question of whether the bill
was to be reported back with the Wag-
gener amendment in it or not was ready
to be decided. Senator Smith called for
the consideration of motion made by
him at the last meeting to strike out
4 Waggener's amendment. The clerk re
read the motion.
Question" called Smith.
4 shall be heard on this motion be-
fore it is voted upon" retorted Waggen-
er in beillcOse tone. While Smith was
preening himself preparatory to the an
Inhalation Of his opponent, Waggener
went for a glass of water. Smith led
out with a masterful argument against
the exemption of mortgages from a
share in taxation. He said the exemp-
ton of them would not make a cent Of
difference in the rates of interest nor in
the free circulation of money He said
the value of money was determined
chiefly by the worlds supply and ar
gued that nonresident money cOuld9 not
be brought here at a low rate because
there would yet remain other fields of
investment where the rate would be
kept at its present standard of equality
with the Kansas farm loan. He said
Kansas would not get cheaper money
until municipal bonds went below their
present figures of interest.
Smith called attention to a petition in
the hands of Mr.. Waggener signed by
residents of Smiths home, Kinsley. IT
urged the adoption of the Waggener
amendment. Senator Smith said:
when I first heard about that peti-
I "a n Evpo -57-
> have signed that petition And beholdl
{ When I came to look al it their names
l led all the rest. Those men are clients
+, of mine and I know all about their af-
1 fairs. Among them they have about
100000 loaned out, and only $4,000 is
listed for taxation. 1t is the tax dodgers
2 of Kansas who want Mr.. Waggener'
motion to prevail | want to esta ablish
1 free trade in money so that non-resi-
{ dent money can come into Kansas and
compete with home money and keeI
interest rates down: It is only fairness
to nonresident capital. 1t is taxed ir
the state where its owner lives and tc
assess it in Kansas would be double
taxation. The man in Kansas whose
2 money is taxed enjoys the benefits o1
: government. free schools and the pro
7 lection of the law and it is right that
5 he should pay for them. In the other
state the other mans money is taxed
[ to pay for these things which he enjoys
there. 1t is unjust and wrong that his
{ money should be taxed in both places.
/ Representative Waggener was in
I clined to accuse Smith of insincerity
Senator Smiths whole idea" replied
Mr.. Waggener in his argument s'is ir
Z favor of the nonresident mortgage
company and against the home man
If you gentlemen are honest and vote
this amendment down you will have Il
go to the other extreme and insert {
: drastic section in this bill providing
: that a mortgage cannot be be foreclose6
}, unless it is listed for taxation. That il
: the only way you can compel a mort
gaGor to pay taxes on the mortgage. I