Vernon County censor. [volume] (Viroqua, Wis.) 1865-1955, 1904-03-16

vision Of the constitution such contract
might be made subsequent TO the time OF the
execution OF the mortgage ana lnaspehaetgtt oa
constitution. This later decision, II VIII De
observed, turns upon tae construction OF IN.
constitutional provision Itself Itthe power
exists TO prohibit the making Of such con-
tract as a part OF the mortgage contract. II
certainly can forbid and make invalid such
contract made at any time under any clr-
cumstances. IL the power exists % render IN
valid the making Of contract directly the
same power can be exercised TO forbid It's pc
ing Indirectly made, or can prevent any sub
terfuge or evasion in reference to the subject
acted upon. A provision OF the constitution
can be so framed as 10 prohibit the making on
any such contract at any time, either oitectly
or Indirectly. 1t would seem that the Legs
lature itself, in the absence OF any constltu
tional provision to the contrary could laW-
fully enact statute so framed as 70 prohloH
the making of a contract for the payment OF a
tax on a mortgage ~ the mortgagoF, MADE a.
any time, and prohibit his making II INDIRECT
ly, or In evasion OF the law. ] am not aware
OF any constitutional provision prohibiting
the enactment Of such a statute.
Concerning the second objection, IL It De
true that the interest rate Is increased
which Is disputed'1lt Is mater s between ro',ni
Of increase which can be exacted, II any, VIII
De regulated by the law Of supply ana de-
mand.
COUNTRY CAYNsT EXIST HALE TAXED AND
sHkLF FREE.h
One thing is beyond dispute. The business
Of loaning money is not entitled TO be made
more profitable by imposing an added tax
burden upon other classes Of property ana
other kinds OF business To deal fairly De
tween all classes is a question OF morals In
legislation. The princfples Of justice should
not be abandoned to consider questions OF
expedisncy. That there are difficulties ana
poor argument in ADJ ocacy OF wrong-doing.,
/ commend to youf consideration tine pam
precspts laid down by the late PRESIDENT
Harrison on this important SUBJECT.
1.-THE practical question, the one our people
must solve and solve speedily Is the euIorce-
ment OF the personal property tax, ana the
equalization OF real estate assessments.
II want to emphasize X / can the tnought
that the preservation of this principle OF
pFoportionate contribution, according to the
true value OF what each man mas 70 the pno-
lie expenditures is essential TO the main
tenance Of our free institutions, OF peace and
good order IN our comb mites.
Mr.. Ltncoln's startling declaration that
this country could not continue u exist hali
slaves and half free.
THE STALWARTS FAVOR EXEMPTING
MoRTG ACES AND CREDITS FROM TAXA
TION.
Ignoring the message of the governor,
quoted above, the senate very early in
the session, adopted the recommends
ton made by the Tax Commission for
the total exemption of mortgages, bonds,
notes and all other credits from taxa
ton. This recommendation TO allow
money lenders aud bondholders to go
untaxed was warmly supported by the
Stalwart members Of both branches of
the legislature The bill 10 exempt
mort. ages, notes, bonds, AMI all other
forms of credits, in accordance with the
recommendation of the Tax Commits
sion was introduced in the Senate as
Bill No. 342, S. 1t is reported from the
Senate committee on Taxation by Sem
tuI Whitehead, and passed the Senate
by the following vote: Ayes, II; Noes,
10 Every Stalwart in the Senate vot-
ing for the bill This bill was defeated
in the Assembly by the regular republi-
cans upon a vote Of, Ayes, 81: Noes "a.
Had this bill become law, not only
mortgages, but every form Of credits
including notes, bonds, and all other
securities would have been wholly ex-
empt from taxation. 1t would have
placed creditors, the owners and hold
ers of mortga ges, bonds, notes and other
securities in a favored class by them
selves, freeing them from contributing
a dollar, on all of their rich holdings in
support Of schools, and streets, and
and all of the expenses which
go to make up the total cost Of govern
ment.
THE REPUBLICANS FAVOP TANNING
MOaTG AGES AND ABoLIsHINa DOUBLE
TAXATION.
Following the recommendation of
Governor La Toilette, the Assembly
passed Bill No. 662, A. by the votes of
the regular republicans, the vote being
80 to % The bill provides for assessing
the mortgage to the owner and holder
thereto, as part interest in the mort
gagged premises, and for reducing as
sessment Of the owner of the mortgage
premises by the amount of the mort
gage. The recommendation of the gov
srnor, that there be a. proyision in the
law prohibiting the making of any con-
tract between the mortgagor and mort
gagee binding the mortgagor to pay
not only the taxes upon his interest, but
the taxes on the mortgages interest as
well, was not adopted by the assembly
for two reasons First, because it was
that the Senate MID never
concur in such bill. and, second, that
there arose a division of opinion among
lawyers as to the power to enact such
egislation witho NJ constitutional
A BILL FINALLY PAASED AT CLOSE OF
SESSION.
Tais bill the senate refused to pass,
and passed instead a substitute therefor,
W hich especially sanctioned the making
Of a contract betweet the mortgagor
and MORTGAGE, by the terms of ,hich
the mortgagor should pay the taxes mp
on the interests % both in the mortgag-
ed premises Here. again, the Stalwarts
went on record against relieving the
owner Of the mOrtgaged premises from
carrying the burden of double taxation.
The Assembly refused TO concur in
the Senate substitute, and q committee
If conference was appointed. The Sem
ate conferees were Senators Whitehead.
and O'Neill the Assembly con-
ferees being Messrs Smalley, Henry
Of the session the conference committee
agreed upon the bill in its
present form, and in that form it PASS
ed BOTH HOUSES BY UNANIMOUS VOTE.
If the owner Of the mortgaged prem
ises cannot protect his own interests and
will not exercise the option in his own
behalf, and that, as borrower and APP
plicant for favor. he is in such a posi-
ton as not to assert his own rights, it
then simply comes to this. THAT THE
REC COMBINATIONS MADE BY COVER
NOR LA TOILETTE FOR \ PROVISION
or LAW PROHIBITING THE MAKING or
AGREEMENTS UNDER WHICH THE