Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1906-10-11

Of villages, and also recommend that
consideration be given as to the extent
steps may be taken to bring existing
charters within such general provision.
CORPORATION TAX LAW.
In 1852 Vermonts began taxing corpora
tons under what was termed the cor
poration tax law, which provided for
tax upon various corporations based up
on their earnings but made no provision
for any appraisal of their properties
This law was declared by the supreme
court unconstitutional so far as 1t at
! tempted to tax interstate business. To
overcome this difficulty, in 1880 the Leg
islature passed a law providing for an
optional basis of taxatioD that Is, in the
case of railroads, it provided that they
should be appraised and taxed at the
rate of seven-tenths of one per cent.
on such an appraisal, but that they
might in lieu of this tax pay tax of
two and one-haif per cent. or their en-
tire gross earnings If such railroads are
situated wholly within the State, or If
situated partly within and partly with
out the State then of two and one-half
per cent CIR such proportion OF the en-
tire gross earnings of such railroads as
! the rllledBe VI trains run III tiIS oldle
bears to the mileage OF all trains run on
the entire main line OF such roads for
gve,, period Since this optional provi-
sion was Incorporated in the law all of
the steam railroads of the State, with
two or three minor exceptions, have
paid upon their gross earnings.
1t IS difficult to ascertain for the pur-
poses Of taxation the true value of Il
railroad. Many things must be taket,
iato account in making m appraisal: The
value of the railroads franchise, its
bonded and other indebtedness. its cap
ital stock the general condition of it's
property. terminals, connections, expense
Of operative It's opportunities for bust
ness. both through and local, and many
other things naturally entering into such
an appraisll which make it very diff
cult t. reach result entirely satsfac-
tory either to the State or to the railroad
Temperatures y State tax levied solely
upon such an appraisal is not likely to
be as Just or satisfactory as the present
optional method. A tax. therefore. based
upon the earning power OF railroad in
. operation is the fairest basis and has
met with general favor. Nor is it sat
sfactory method to permit each town to
appraise and tax railroad property local
~. A railroad receives its franchise from
the state, It is to quite an extent a ub-
lie corporation and even its local prop
erty IS not used locally in the ordinary
se,,se but for it's general business extend
ing beyond the limits Of any one or any
lew t0""9' ''"N !, "a
levied upon It should be paid into the
treasury Of the State.
ne 'iu' VI t''9 Va , w. p
AT N'oA '''''' app ASA 10 80,
IN 1'of 40 QUE per re"'' A' '''o i'l''' o'''
c'r' "'''V' "'"' ,,''''U' .,..
-oi' ''''ueu ~ pay "po" ,'' 49,,
less than one per. cent. on an appraisal
Of their property. While railroads, there
'o.e'' e'' r', 49, ...f.., - t,s,,. WOW
49,. ~. 49,. .., ,..., ,t,ro,,,,hout tho
.' . ai.. tr,.t,s ,,or
-. .,.s,o-o,,a, 4,,,., w. e,,ts
,,,.fa,... - ,i,ho,,,,h .hara
',,ceo.a,oo =, w. eliza o,d
,..9. a.,.1, 80 notI-a,as =. .Lo d,ffor-
- ,,.,o, a,i. t. sta,tooa,t
.te. a,..'.r, - 49, ronor. ~ ,ha w.
800 . o,.,,,as.o. oo,,,r,Iss,o,, for +be
.,aa. 500, ~ a,.o.ooo ,,, nov Milo r.id
1i,", O.. .hs ,,aa o,,,ia 49,
.: ,o,, $780,. l., ,ro.eoob,,.o,+s g, An, T.,
S,'-.,.. =, ~ t., Dbl Te,a.,'1 coco
= -. I5at,, 600, T., ,t,,.o GOO 49,,
~ 11.A. ,.. s,Ie 7. 80. haar go
..,,,, ~ ne yor,,oot 40 +roat
,,yn eair,,' ,,a ,,.i.h
-. aa,,St, ,,>'..s... W. ehn,,id to,,o tn
80 1900. 49, ro+rraI oarditiors win
,.,,,at ,hn,, 49, - r,,+ora, &, tbis et.te
o.d +ho foc+ +h,. ,,ov arc co,tributino
.,o. a., ,,..,caro o,d ,,rh,,i,d,,,, 11or-
a,.o,. t,,o,, sto,.l1 bcan tbair rotr rro,or.
&c.,, - 49, h,.5o,, ~ .av,+io, o,d in
o,,,,,, ,rstioa - -, t....rosts +, .ho S.,te
49,, 49, ,...--s ,o.
; - -
yS,-1-c
Some national BAN IN the state run
In effect savings bank department and
pay interest on certain time deposits.
To the extent this Is lone the state re-
f.aiN Il = =