Vernon County censor. [volume] (Viroqua, Wis.) 1865-1955, 1906-07-18
RAILROADS MUST PAY ALL BACK
TAXES.
TARRANT DECISION FILED
Milwaukee Judge Holds That Accept
ance of Reports BY Commissioner
and Taxes by Treasurer Was Not
Final to Prevent Recovery by
State.



demurrer in the railroad back tax
cases in favor of the state, was filed
yestc. Jay in the circuit court for
Dane county. The decision oyerrules
the demurrer raised by the companies
to the effect that the complaint did
not state facts sufficient to constitute
cause of action, and gives the de-
PENDANT 20 days in which to make
answer to The complaint. Costs of $40
are assessed against the defendants
AS the vital points in the case were
handled in the arguments over the
demurrer, the remaining procedure is
expected to be quite perfunctory and
judgment will be entered in favor of
the state without much delay
Chapter 1928 of the laws of 1905 is
valid and proper enactment" says
Judge Tarrant, giving to the state
in its sovereign capacity by an appro-
PIRATE proceeding, a just, substantial
and complete remedy for recovery of
privilege taxes which are claimed to
be due from the defendants. This
remedy must be held to be cumula-
| tive and additional to that remedy al
ready existing in behalf of the state to
recover such fees by appropriate &C
ton resting on the statutory rights of
the state under the railroad acls.
The order of Judge Stevens of Sep
TENDER 5, 1905, heretofore referred TO,
cannot be successfully assailed for
the reason that chapter 32S must be
construed as permitting just such a
proceeding as has Just been instituted
/ by the state for the recovery and &C
counting of such privilege taxes as
have been unlawfuily withheld by the
defendants. His order overruling the
motion to make the complaint more
definite and certain, as | view ii, was
one discretionary with the court. The
advantage claimed by the defendant
from favorable action in its behalf
was privilege to demur to each count
separately, but : denial of such re-
quest cannot be considered as an
abuse of such discretion, because the
same question can easily be raised by
motion to strike out The allegations
which are redundant of irrelevant or
if permitted TO stand prejudicial to the
same right of The defendant. 1t seems
to be a mattersof procedure entirely
in view of the constitutionality of
of chapter 1928, as l decide. AS just
stated, the action of Judge Stevens
must be viewed as entirely discreet
ionary and there is no cause for dis
turbirg the order so entered"
AS to the objection raised by the
defendants that the action was not
commenced within the time limited
by law the court says that if the
statute of limitations has run against
any of the states claim, the proper
remedy is by motion to strike out
such parts thereof upon which recov-
cry is barred"
The third ground of the demurrer,
that the action of the state treasurer
in accepting the money was final and
stopped the state from further re-
covery, the court says, sit is not ten
able in view of the decision of the
supreme court in the penalty cases"
The same application is made to
the claim of the railroads that the &C
ceptance Of the reports of gross earn
ings was final acceptance by the state
and that recovery could not after
that be sought.
New Phase of Rebates.
l. 6
discovered new phase of alleged dis
ordinations on the part of the rail
roads of the state. Instead of grant
ing rebates, commissions were award
ed. If Attorney General Sturdevant
decides that The state can get rem
edy in the courts for the offense, Gov
ernor Davidson will order prosecu-
lions on the three principal railroads
at once.
Commissioner Thomas has submit
ted his report concerning the gross
earnings of the several railroads OPP
Grating in the state to Governor
Davidson. and in it intimates that
determinations between railroads
and shippers has been carried on
under the guise of commissions. The
matter of further examination on this
phase of the problem is a question
which has been submitted to Attorney
General Sturdevant for his opinion.
If the attorney general decides that
amounts can be collected under an
incompetent report of the gross earn
ings, Governor Davidson will order
precautions against the railroads at
once
investigation Complete.
The total amount of gross earn
ings withheld, which were discovered
in previous investigations and report
ed heretofore to Governor La Toilette
was S10,S2S,43S,62.
Tbs investigation just completed
raises the total to $12,248, 142.48
which the railroads have withheld or
deducted from the reports of their
gross earnings made to the state for
taxation purposes. And The back
taxes on these amount to $489,92570.
or almost half a million.
The three principal railroads with
held o. deducted total of s1,419.-
703.86 from the grr IS earnings report
ed for The years 1894. 1895 and 1896 !
Railroad Commissioner Thomas re-
port includes an investigation of the