Vernon County censor. [volume] (Viroqua, Wis.) 1865-1955, 1903-01-21

| partment and. following procedure, was
! referred to the court Of claims to ascer
/ tain and report on the indebtedness OF the
/ United States to the state While TINS
! claim was pending. the comptroller OF the
| treasury determined similar claim OF an
| other state upon new rules and principles
| of law more favorable to the state than
| those laid down by the court OF claims.
steps were hFoPiiy ,sEen c,. ~ s sat
| by the accounting officers Of the treasury
| on the basis adopted by the comptroller
| searching old records and collecting the
| proof necessary TO establish the state S
claim. 1t Is due TO Mr. Comstock 70 ma Re
| acknowledgment Of the diligence and abil-
| ity with which he has conducted the states
| case. | am I'm receipt Of his report In
| which he states that he confidently expects
| early date aud that the state VIII recover
| approximately 100000 In adjustment or
| thfs Just Claim, which, except as before
| stated, has been practically neglected Tor
nearly third OF century.
Taxation.
The Legislature of 1901 came from the
| people commissioned to enact such legisla-
| tion az would require each individual and
| every corporation traRsactlng business
within tue, state to pay a Just and equal
| discharge of this duty to their constituents
| they had been provided with tax commits
sion composed Of able gentlemen. skilled
| In the subject OF taxation. who had given
| IL much study and who had been authorized
| 10 employ at public expense whatever as
sistance should be necessary In furtherancc
| of the work.
This commission placed In the hands of
| the members of the Legislature bills for
INFLATED for the better equaliz II of the
| burdens OF taxation, and sup I'd those
| bills with an exhaustive report /, ~ setting
| forth the reasons why they should be en-
| acted into law.
With a unanlmIty not usual IN any legs-
| iative body, the bills designed to secure
uniform and more complete assessment OF
| the property Of individuals and private cor
porations were passed through both branch
/ es OF the Legislature. although the bills
| designed to insure the payment of a more
| justly proportionate share Of the taxes from
| railroad and other public-serylce corpora
! lions were defeated In the Assembly late
| In the session, and We're never reported for
| action from the committee TO which they
| were referred in the Senate.
The laws to secure a more uniform ana
complete assessment of the property OF In
| dividuals and private corporations, and pro-
vide for better administration of all the
tax laws through the agency OF the tax
| commission, were enacted as Chapters 220.
| $40 379 and AIS of the laws of 1901. The
| last named law created the office of super
| visor of assessment TO be filled by appoint
| ment through the county board, In each
county In the state Under these excellent
| laws, which have been well administered.
great progress has been made in securing
uniformity of assessment of property al
| cash market value throughout the state,
| and much has been accomplished toward
| more complete assessment of all taxable
property.
Uniformity Of valuation lies at the founda.
| tlon of equal taxation as between indiyld
| uals and localities, and a complete listing
| Of all taxable property Is not less essential.
To the well directed administration of the
| law creating the Office of supervisor of as
| sessment and the diligence of these county
officials In the field, may lie largely at
| tribnted the marked advance made both
| In the uniformity and in the more complete
assessment of the property Of individuals
and private corporations taxable under the
law. Since the public interest was first
aroused upon this subject and through the
effective direction OF assessors by the tax
commission and by supervisors OF assess
ment. there has been added TO the tax roll
more than $50.0G0000 Of Intangible property
In the form Of notes, bonds. mortgages, and
other credits Whatever difference OF opin'
ion may prevail with respect to the posi-
billty Of placing all intangible property
upon the assessment roll and of continuing
1t upon the roll To be taxed against the in
divldual owner, 1t cannot he disputed that
much at least has been accomplished for
the Time heing
With the rapid accumulation Of wealth,
the increase in tie. amount and value oil IN
tangible property but strengthens year by
year the reason and justice of its taxation
In some form. That vast denominations of
wealth may be invested In interest bearing
securities, insuring large incomes to the
holders who throw their share of the ex-
pense of maintaining streets and schools
| and public institutions, and all the burdens
Of municipal and state government upon the
| owners OF factories and shops and stores
and farms and homes, violates every prin-
| clple Of equal rights and equal responsible
| ties guaranteed to each American citizen.
Assessment of Mortgages.
| No student of the subject, however, is IN
| mindful of the difficulties encountered in
! the administration of laws to secure the
direct taxation OF all intangible property.
While the subject Is not new one,
| thorough going. scientific investigation of II
conjoined with practical test has still Il
wide field to explore.
with respect TO mortgage taxation. which
| II Is to be remembered represents only a
| part of the vast amount of Intangible prop
| crty subject 10 taxation, 1t Is not 50 littt-
| cult 10 discover and secure the assessment
of the property interest represented by the
/ mortgage This may easily be done by as
seSstng the mortgage as an interest IN
realty, and providing that IL the tax levied
| thereon Ice not paid by the owner OF the
| mortgage Interest, 1t may be paid by the
| owner of the mortgaged property and de
Quoted from the amount of the mortgage
! debt As no piece Of taxable property
| should he taxed twice, wherever this plan Is
proposed II - agreed that the owner or tne
moFtgaged real estate should have the val
untion Of the assessment upon his mort
gagged premises reduced ut the time Of the
| assessment, by dedut ling from the value
| thereof the amount OF the mortgage there
on.
This would seem 10 make certain the
| payment OF the tax upon the money repre-
scented by the mortgage. as a part Of the
| interest in the land, and to make equally
certain Of its payment by the owner aud
| holder Of the mortgage, Up to this point
| there appears 10 be no difficulty. But II is
contcnded that by agreement or under
| standing between the maker Of the mort
| gage and the holder this plan of mortgage
| taxation Is subject to evasion and nullitcn
| tion by the borrower agreeing to pay the
| tax assessed against the mortgage owners
! interest In the same. Or If such agree
mSat be not made 1t Is asserted that the
I Interest rate is raised by an amount equal
| To az leas' enough TO Offset the taxes as
| sessed against the mortgage owner and
| that In the end the money lender escapes
| taxation upon his property and makes the
borrower bear the whole burden
Objection is Untenable.
The frst objection is not tenabie 1t has
| been held by the supp enc court Of talifor-
mia that a constitutional provision Of that
state providing for q taxation Of The mort
gage to the mortgngee as an interest In
realty, and prohibiting the making of
contract between the mortgagor and mort
gagee as Il part OF the mortgage contract
| binding the mortgagor to pay the tax there
| on, is controlling, and thar any contract
made in that state contrary to Its pro
divisions Is .vld, In later decision the
| same eou't held that under the same pro
| vision of the constitution such contract
might be made subsequent 20 the time of
| the execution Of the mortgage and indie
pendent Of ". because not prohibited by
| The words OF the constitution. This later
| decision. IL will he observed, turns upon the
construction of the constitutional provision
| itself II the power exists to prohibit the
| making Of such contract as part or
| the mortgage contract II certainly can for
| bid and make invalid such a contract made
| az any time under any circumstances. II
the power exists to render Invalid the
making OF contract directly. the same
| ,,D,va~ can hn % prgiSC1 "a forbid itN being