New-York tribune., 1903-03-20
THE MORTGAGE TAX BILL.
MEASURE INTRODUCED.
Its Terms and Probable Effect
PAYMENTS and Exemptions.


and Retrenchment, submitted to that body to-
,amv the MortRsse Tax bill, and subsequently, in
duceS the senate to pass O resolution providing
TOR the printing OF TIVE thousand copies OF It.
since there 10 great interest felt In the measure
ali over 4ha state. It han been estimated tnaI
thla measure II passed, win put $6,OOp,OOO in
the State Treasury and $8,O000O0 In the treas"
urtes OF the localities where the tax is collected
The bill adds to Chapter S0S OF the Laws OF
1898 an article ana several sections The state
ne7t ls made in the bill that, subject to certain
exemptions, 70 regular annual tax is hereby Inn
posed on each and every debt and obligation and
upon the mortgage securing the service, de-
scrtbed in Section POI, which tax shall be equal
to four mills on each dollar OF the amount or
the principal debt obligation, as the same
shall be At 8 o'clock g. m. On the first day OF
July 1903, and each year thereafter, and shall
be due On said first day Of July and payable as
hereinafter provided"
It Ia then added: "At said hour In each year
liens for said tax shall attach and shall be
deemed by all courts. authorities ana of1cers OF
this State to have attached, upon each Of said
debts and obligations, and upon the mortgages
securing the same, and upon all interest oblga-
tions and other obligations collateral thereto
and uron all future obligations entitled to the
same security, and upon the titles to said pres
ept and future debts, obligations and securities
against the legal and equitable owners Of said
debts, obligations and securities, whoever they
may be and wherever they may reside, and
against all persons claiming, who may at any
time claim, through or under them, and against
all persons entitled. or who at any time may be"
come entitled, to the benefit Of any mortgage by
virtue of owning or holding any bond. note,
coupon or other paper writing evidencing debt
or obligation secured thereby, or who may at
any time become so entitled in any way Wnat-
ever
The annual taxes imposed by the act are 10 De
paid to the proper officer at the recording office
where the mortgage is first offered for record.
The tax is to be payable the first day OF Oc-
tober Of each year. It is said In the act that
annual taxes not paid prior to November OF
the year in which they fall due, respectively,
shall bear interest at the rae Of per cent
month from the said first day of November until
paid.
Senator Aids prepared the following summary
of the BILL which made public by Senator
Green:
4 mills per annum of all mortgages resting upon
real estate where the property Is stueed Wtn oan
mortgages, mortgages owned BY the onlted S5ates, @
ciusvely for charitable. religious or educational
ueaton 5''9s Secured ar me thereby IS by the de-
clared to be where the real estate upon which the
Where the mortgage pays the tax imposed by
this bill it is thereafter exempt from all other
IN the drafting Of the bl DarticuIar attention
which are known as building and loan mortgages,
money moSS r is tNT n in parta that
such mortEage viii only pay r4r II the anauoe and
only upon such amount OF money as mas actu-
ally been roan as fTo bsen made so that after the
HIST prepared this year has been finally Soraeo,eS; @
be many undfscbarged Of record the State wlll
not the the list list aSsfsns Is ne eWHs e
ected by the recording officer and by him paid oyer
Quarterly rte % oneshaif Of this sum; the fees Of
local officers, Is Transmitted to the State TreasureE
is held by the City chamberain Subject to the dis
position of the Board of Estimate and Apport'on-
In the counties outside the City Of NewYork It Is
apportioned annually by the boards of supervisors
to the city or town in which the mortgaged prop"
sdsd % oneehaif for School purposes and onehaIf to
assist in the payment Of the annual taxes aSsessed
Where the town Contains Within its limits an in
in proportion 20 its assessed valuation the village
also receives its just share of the money.
oeaed in t~o
and part OF peTsona the BOARD Of Tax
ers Is authorized to determine what proportion Of
erty Compared With the total amount Of prop
a Gh the Of S so 9 a9
between the counties and the different tax dis
toned between the different counties and towns.
so that, compared with the total amount OF
property secured by the mortgage the town re-
ceiVes that amount of the tax levied upon the
its limits bears to the total of the real property
upon which the mortgage rests.
Senator Aids also made the following state
ment of the committees intentions and the
probable effect Of the bill If It should become
law:
It is evident hat the committee, in drafting
this BILL has erdeavored to levy uniform tax
upon all mortgages other than those held by
charitable, religious educational institutions,
and has provided that each city and town should
from the mortgageG property Situated within their
limits This the instruction Of the party
and Ii would appear that It's instructions have
been carefully carried out. and those Republican
constituents in the last weeks vacation report
that the uniformity of the levy and the return Of
a portion of the income to each locality seems to
render the bill acceptable in their respective To-
subject confidently believe that the bill will lead
to a greatly increased amount of money for loans
upon bond and mortgage. because the tax Is def
mite. is low and is uniform. and that from these
Of interest and this will be both beneficial to the
borrower and satisfactory to the lender.
The Investigations OF the State tax commission
ers, and the reports OF the Census Bureau show
mortgages to an amount from ten to twenty times
that of mortgages now assessed. It be stated
that not than * per cent Of the personal
property now assessed is MORTGAGES. The total
numbers only SS75.00O000, against s. 100 600
real property, while there at least s. 500 00QQ
Of mortgages outstanding.