Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1903-03-14
Bon
Ami
Is used in the form of a thin
1ather and will not scratch.


Under the provisions of this bill men
| put a thousand dollars or a million
dollars in money and loan it on real
| estate and whistle at the assessors,
and say to them; we are absolutely
exempt from taxation.
l desire to place myself squarely
| against this proposition. on account of
the people that have the honor have
to represent, and also of the people of
| this State, that l am opposed abso-
lutely to exempting money lenders
/ from taxation. 1t may be suggested
that money loaned on mortgages al
ready eVadeS taxation. Surprising that
may be true, it is not the fault of the
| law that taxation is not evaded. 1t
| is the fault of the assessors and the
| persons whose duties it is to assess
that property for purposes of taxation.
1t is not double taxation. The mort
gage is simply an incident to the note.
The note is not an incident to the
| security. The note represents the
money. The security may be de-
stroyed by fire but the note remains.
| The mortgage is simply an incident.
| 1t takes the place of an indorser; and
| the question of double taxation can
not follow logically in this connec-
| ton. A man might have 25 shares in
bank stock on which he would be
obliged to pay taxes, and it is a very
common thing in Maine for a business
man to take certain bank stocks and
hire money on it, pledging the bank
stock as collateral. This certainly
] NJ in ha
| 1 simply want to put myself right on
| the question and to say that l am OPP
posed to it.
Mr.. GARDNER of Penobscot: Mr.
President. as chairman of the board as
committee on taxation it becomes my
duty. in d feeble way to defend and
| support the report of this committee:
and if l were opposing my personal
opinions to those of the distinguished
Senator of Androscoggin 1 should con-
slider it presumption; but in view of
J the fact that this is the unanimous re-
port of the Committee on Taxation
the careful judgment of ten men from
the various walks of life relative to this
matter. 1 cannot but feel that the rea-
sons which led to our conclusions still
obtain.
I feel that it is due to the Senate
| that / give a brief explanation to the
| reasons which led the committee to the
conclusions which they reached. The
| subject matter came over from the last
Legislature in a different form. The
| committee gave the matter public
| hearing, and appointed a sub-com-
| mittee which committee went into the
matter thoroughly but gave no public
! hearing, and reported in new DART so
| that | feel that the committee has
| shown due diligence and all interest in
the matter The report of the special
| tax commissioner of 1890 had great
weight with us.
| / dispute the assertion of the gentle
man from Androscoggin that this does
not result in double taxation. We feel
that in the small county towns and
sections removed from financial insti-
tutions that the present system works
! an extreme hardship.
We feel that the laws of trade, that
the supplies and demand will regulate
| this matter to the relief of the small
borrower, giving him in fact the same
opportunity to borrow money as it
gives the parties who have access to
the saving banks.
I trust that with this explanation
| with the reasons that led to our con-
| illusions. this being unanimous re-
port of the committee on taXations
after as careful consideration and hear
| ing as we could give, that the Senate
will accept our committee report and
enact this legislation.
| Mr.. GUERNSEY of Piscataquis: Mr..
President, l believe that the report of
| the committee on taxation should be
accepted. The savings banks of this
State are annually able to borrow mil
lions of dollars from their depositors,
why? Because their depositors are SIM
| ply money lenders, and as money lend
| ers to savings banks they are not I'M
der obligations to pay dollar of the
| tax.
| A farmer undertakes to borrow
money and he has to pay high rate OF
| interest The lender of money to the
farmer never pays a dollar of tax. We
are exempting large interests, as in the
case of the timberlands. and placing
burdens where they do not belong. If
this measure will give relief to the
farming community and enable them
| to borrow money cheaper L am GER
| tainly in favor of it.
The pending question being upon the
first reading, the bill was read once
and assigned.
On motion by Mr.. Manley of Kenne-
| bee, bill, An Act to incorporate the
Peakes Island and Light Company was
| taken from the table; and on motion
by the same senator the bill was refer
red to the committee on judiciary in
| concurrence.
Special assignment, the considera-