Abilene weekly reflector. [volume] (Abilene, Kan.) 1888-1935, 1908-06-18
TAXING MORTGAGES.
II. W. Avery Answers Some In
Quiries on the Subject.

qulries on the Subject.
The following letter was written BY
q prominent farmer OF Talmage to
H. W. Avery and below is given the
reply:
In the ABILENE REFLECTOR June 4,
appears a card by one who signs his
name as H. w. Avery. This card is
Q bid for the nomination by the Re-
publican party for the Office Of senator
Of the 22nd senatorial district Of Kan
sas. In this card Mr., Avery says
that the people want to know what q
man stands for. He then sets forth
what be would favor II elected. Ar.
ticle one reads as follows:
Amendments to the tax law, particularly
as to money and real estate mortgages; the
Creech recording fee suits me.
The Creecb mortgage bill provided
for q recording tax Of one-half OF one
per cent in lieu Of all other tax.
Suppose that q loan we're made for
8 years and a recording tax of one
half Of one per cent paid, as provided
in the Creech mortgage bill, the pre-
MUM tax would amount to only one
fifth OF the recording tax or one-tenth
Of one per cent. This is mere moth.
ing. Such a law would practically
exempt all mortgage notes from taxa
tion.
Now, Mr.. Avery, will you tell us
when the man with pockets full OF
mortgage notes became an object Of
charieyP Again. Mr.. Avery, don't
you know that the man who borrows
the money always has to pay the re-
cording fees. Again, Mr.. Avery,
would you be willing to grant the
farmer the same privilege as you
would the money loaner, that Of pay
ing one-t tenth Of one per cent per
annum in lieu Of all other taxi II
not, why notP A FARMER
The above article will at least tend
to substantiate my statement, that
the people want to know what a man
stands for and that too before they
vote for his endorsement.
l am farmer myself and the first
IL years Of my active life after be-
coming Of age was spent in a pretty
earnest effort to pay off a large real
estate mortgage which drew per
cent interest and ! feel that know
something Of the under side view Of q
farm mortgage. After dozen years
Of hard work, have done what thous-
ands OF other Kansas farmers have
done, settled up with my eastern
partner, paid him his principal and
interest, and in small way am on
the other side Of the mortgage ques-
tion-and am paying taxes too.
They do not draw 8 per cent like l
paid, but 5 and 6 per cent.
Now the present law says in effect
If our levy this year should be one
per cent that these mortgages which
are owned by residents of Kansas
shall be reduced in earning capacity
from 5 and 6 per cent to 4 and per
cent. While the immense amount OF
foreign capital from the different in
surance companies, which make up
much the larger part Of Kansas farm
loans, bears no part Of the burden OF
our states taxes.
In this short reply l shall not
attempt to defend all the details OF
the Creech amendment but the prin-
ciple Of levying recordence fee tax
on home and foreign capital alike and
the collection OF IL In 30 direct and
manner as is provided for
in this amendment, with no chance Of
evading Its payment, should COM
mend it to the farmer and all fair
minded people. / feel certain that II
all Of the real estat mortgages now in
force on our records, paid taxes on
the Creech plan, the amount SO col
lected in the aggregate would greatly
exceed the amount that will now be
collected from our home capital
alone.
This unjust discrimination is
naturally driving home capital to
other fields Of investment and foreign
capital will naturally advance the
rate on their loans. Indeed it is not
difficult for the man who has had to
or renew real estate loan
IN the last few months to know who
Is paping the tax Cd bis mortgage
plus some Of the penalty Of unjust
It does not matter what the law has
been, or how it will be changed in the