Iowa County democrat. [volume] (Mineral Point, Wis.) 1877-1938, 1905-01-19

joint session yesterday Gov. La
Toilette devoted great space to
taxation and railway rates, but opened
with a discussion of state finances.
Upon the LIST day of January, 1905,
the balance in the general fund was
1899, 753. The general fund should be
credited with $4,000, transferred, to
meet deficiency in the university ap'
preparation. Against this balance
warrants to the amount of 1920
were outstanding. Thus there was
in the general fund at the beginning
of the calendar year $407 800 This
sum is more than ample to meet the
current and legislative expenses, un.
til such time as the taxes due from
the railroads and other accruing
revenues, are received. The balances
now in the general fund the governor
says is extremely gratifying. This is
the first time in the history of Wiscon-
sin, he adds, that the condition of the
general fund has been such as to war
rant the complete remission of all
taxes for administrative purposes.
This was possible because of the in.
creased revenues Of the state, result
ing from a rigid enforcement of
statutes requiring payment of certain
fees to the state; by collection from
the federal government of civil war
claims amounting to $460,436 and by
the increase of taxes upon the rail.
road property in the state.
The amount of taxes paid under
the inheritance law to county treas
uries from July l, 1904, to January !
1905, as reported to the secretary of
state is, $2G ,40S. Five per cent Of this
amount or $500, is retained by the
county treasurers, making the net re-
celptS paid into the state treasury
S25,0S3. The total receipts Of the
state for the fiscal year ending June
80, 1904, were $4,319. The governor
thinks this too low and that estates
are escaping payment of the tax to a
large extent
The governor demands that electric
railway companies be taxed on the
ad valorum basis and adds: The
western Union Telegraph company
paid to the state for 1904 a license fee
OF Sll,SS2. 1t is the only telegram
company doing business in the state
which pays any considerable sum into
the treasury as such fee. If this
property were assessed on its stock
and bond valuation, and applying the
railway rate of taxation, the sum pro
duced thereby to the state would be
approximately $4,000. This company
ought to pay much larger sum as
taxes than the present law provides.
Next the governor urges that the
life insurance companies should nav
TO the state at least $500, 900 a wear
instead of $27S,000 as now. The only
TAX, he says, that appeals to orr
sense OF justice is a tax based upon
the cash value of the polcies-that il
the equity of the policies in the assetA
OF the company This includes both
reserve and surplus. 1t would be
equivalent to taxing the policies on
their investment value in the hands of
the owner. But, to make the admins
tratlon OF the tax economical and eff.
receive, it should be levied upon the
company.
The governor admits that the
mortgage taxation law of 1909 has
proved a disappointment. While no
statistics can be produced at present
70 snow It's exact effect, it is a matter
OF common knowledge that the rate of
interest in Wisconsin upon mortgages
as wei as upon other credits has mon
been reduced since its enactment n
is his opinion that in the present
situation in this state, mortgages
should be restored to the taxable cIase
or property by the re-enactrnent ~
the law as it stood before 1902. unit,
such time as the legislature can pas.
law for the taxation Of incomes tn
take the place not only OF the taxation
OF credits, but also Of the t2vation ~
most, If not all, other personal proD.
erty. The owners of credits shouIa
not be made a favored class BY re.
lieYing them from the first duties NJ
citizenship, says the governor.
Railroad Taxation.
The tax commission, acting as
board Of assessment under the new
al Falorem law for the taxation OF
railroads, gave full hearings 70 the
representatives Of the companies with
respect to all matters pertaining To
the execution of the law, saws the
governor. After counsel for the rain.
roads had been heard, the comm! ssion
proceeded with its important work
The commission caused to be made an
appraisal of all the physical properly
Of each railroad company of the state.
ms involved considerable expense
"nieh seemed necessary, however. in
order to lay foundation for present
ana future work. The assessment
was completed and the tax roll filed
with The state treasurer, as prescribed
by law. on the 18th day OF october,
1904, and each company was notified
or the amount or taxes assessed