The Montgomery advertiser., 1905-01-27
old law. The graded fees ranged from
 s25 to s25o and could never exceed tho

niu iaW. Ine SIdue0 tecs Ed1Seu run s25 to s260 and could never exceed tho latter.
 The belligerent corporations will try to prove that tho act in question was passed within fve days of adjournment of the last ses- sion of the Legislature. In this event there would be a violation of Section 70 of the Constitution which provides that revenue bills shall not be passed tluring tho last Ave days of the ses- sion. K An effort will also be made to prove that the bill did not originate in the House of Representatives, but in the Senate. The former Is made necessary by Section 70 of the Constitution also.
 May Be Without Law.
 If the act is knocked out, responsible lawyers point out that the State will be without any law at all for privilege taxing foreign corporations. This Is declared to be the statuss because the old law of graded taxes could not be resorted to Since the Constitution es- pecially provides that privilege taxes on foreign corporations shall be based on. per centage of the capital em- ployed in the State. This automatic ally puts the old law .'out of busi- ness"
 Naturally enough the small corpor- ations within a certain limit of capital stock favor taxation under the new law while the. threats of war come from the big corporations which the new law compels to pay q thousand dollars or moro annually.
 Executives Statement.
 The situation is we'll summed up in 8 statement as follows by Acting Gov- ernor Cunningham.
 Tn the matter of the one-tenth of 1 per cent. tax on property employed in this State by foreign corporations, 1t has been decided to make no compro- mise upon the possible doubt of the validity of the act. A few such com promises were made last year, but the tax. as provided by law, will he in- sisted on this year. Under the new law, that Is, one-tenth- of 1 per cent tax on the property employed in the State by foreign corporations, the large corporations have to pay a greater license than under the old law, which was graded tax upon the capital stock. 1t therefore follows that the small corporations have the less tax to pay under the new law and the big corporations the greater tax to pay. Those who have 6 less tax to pay are satisfied with the new law. but those Wnu nave IL STSdlGI tdN 10 pay may challenge its validity. If the smaller corporations pay under the new law and the greater ones are permitted to pay under the old law, by compromise or otherwise, it Is apparent that the State loses at both ends of the line.
 We have therefore decided to insist upon the full payment as provided by law. The new Constitution provides that u privilege tax on foreign cor- porations shall be according to the amount of capital employed in the State. The old law was on tho capital stock.
 If this law is held invalid. It will raise the serious question of calling the Legislature together. inasmuch as 1t Involves the States revenue. Of course, if the Legislature is called together 1t will be deternined by them as to what the equitable rate should be, vi ether sonH-tentb eT Ereatcr.
 ''Ths attack that k being made upon the general revenue bill Is by two large corporations who are opposing the mortgage tax, to wit: 15Bcents on the hundred dollars, as privilege tax for recording mortgages.
 Let We'll Enough Alone.
 Some authorities say that the big cor pcrations may have reason to regret N'ip a1'eSN Vii eHo '''"s i.AA0IiiSSN % ~ will be in the power of the Legislature in extra session to raise the tax over per cent. Looking at it in this way, 1t is said. the corporations should see that 1t would be good policy to 'let we'll enough alone"
 The attack on she revenue bill re- ferred to by tha Governor is being made by the Continental Trust Com rany of Baltimore, and Manhattan Trust Company of New York, The lat ter's case is pending in the Montgom- cry City Court, and that of the former in the United States Court for the Dis trict of Maryland.
 An extra session of the Legislature would consider re-enactment Of laws repairing the revenues coming from on the hundred