The comet. (Johnson City, Tenn.) 1884-1916, 1907-09-19
STANDARD OIL WILL PAY BACK TAXES
ElaetsSettlement Of East Tennessee Claims
eYer $4,000 Involved in
Whole State.

Nv
Settlement was effected here recently
between the state and the STANDARD
Oil Company, whereby the latter
has agreed to settle without contest
the ad valorem taxes on its invest
ments in east Tennessee for the past
four years. Under the settlement the
state and counties of the eastern divi-
sion will receive in taxes sum approx
mating $4,000. In addition, the COM
pany will pay the revenue agents com
missions of Is per cent and also inter
est on the several years taxes from the
date that they became due until the
present.
This settlement was made here a
few days ego by S. M. Chambliss, of
Chattanooga, representing the revenue
agent for east Tennessee, and General
Agent Shoulder of Memphis, repre-
senting the Standard Oil Company.
1t is the result of proceedings recently
instituted in the counties of east Ten
nessee to compel the company to pay
ad valorem taxes for this and the three
years preceding. OF the thirty-four
counties in the eastern division the
company has tanks and storage depots
in about twenty.
The company submitted sworn state
ments to the effect that the average
amount of its product carried in the
counties of east Tennessee was approx
imately $40, 900 per annum. The aver
age state and county tax upon this sum
is II, so per $780, For four years the
total amount of the stock would be
$3.50, 900, making the tax about So, 400.
The company has recently effected set
Element in west Tennessee for similar
taxes, and proceedings are pending in
the middle division for the collection
of these taxes.
It is probable that for the entire state
taxes will be collected from the COM
pany on the basis of $50, 900 per an
nun settlement. For four years The
company must therefore pay on 5000, 900
of property. AT an average tax assess
ment for the state and counties of 81. so
this would yield to the state and the
} counties $4,000. In addition, the COM
pany has to pay 10 per cent. revenue
agents commissions and interest on
| the delinquent amounts.
The state also has claims against the
company for privilege taxes in certain
3 localities, and it is expected that these
: will be adiudicated at an early date.
These claims will probably yield some.
q thing IN addition to the ad valorem
taxes. Under the settlement lately
made it is expected that the taxes
admitted to be due will be paid within
/: few days.
The Standard Oil Company has beer
paying a privilege tax in the counties
/; in which it has done business, but un
q til this year no effort has been made
: to collect from the company an &C
: valorem tax, although the company
: has stored in its several tanks through
= out the state thousands of gallons O.
!; oil annually. However, the state rev
: enue agents decided to force the pay
Z ment of this tax, and the company hal
agreed not to contest.
This is one of the biggest collections
s of taxes from one corporation that hal
: been made in Tennessee in some time
Q Not only is large amount of revenue
Q collected, but by the agreement of tht
companyabout $3.50, 900 of property viii
{ annually be added to the tax ROLL
of the state and counties. Nashville
q Tennessean.