New-York tribune., 1909-09-02
YACHTSMEN MUST PAY
LOEB SENDS OUT NOTICES.
Tariff Lac Demands ORe-third Cost
of Foreign Built Vessels.

Collector Loeb sent out letters yesterday 70 yacht
owners, asking them to pay the annual tax OF y
a ton foreign built yachts owned by them. or
duty at the rate OF 81 per cent ad valorem This
notice was in accordance with ths new tariff law
Payment Of the duty will add to the cost
OF yachting than one-third OF the cost Of
The yacht In TIE absence Of specific rTling' the
Collector is applying the tax 10 all vessels owned
by American citizens. II built purchased abroad
whether In use in American or foreign waters
Joker has been found in the new law gov
erning this tax on yachts. which probably VIII
cause CONSERVATION 70 American yachtsmen who
employ foreign officers to their vessels Presi-
dent Rafferty, OF the Association Of Custom House
Brokers. who has been looking UP the law for some
Of the vachtsmen. said yesterday:
In the event " yachtsman preferring 10 pay
the IS per cent valuation Of his vessel and thus
escape any further payment of annual tax. his
vessel will be taken out OF the foreign class and
classified an American vessel. This places the
foreign boats under the jurisdiction Of the United
States steamboat inspection and under the act
which requires that all officers OF the yachts must
be American citizens"
The letter sent out by Collector Loeb. following
a formal notice which he issued on August u.
was sent To forty-four yachtsmen In this country
and Europe. and reads follows:
on August a. 1902 copy Of section 81 Of
Win 3ba reNsf H. =, , trts ,tre 1vfcfber
yacht pleasure boat vessel equivalent 10 seven
go dollars a gross tor. or a duty thereon at
the rite Of thiriy-fve ,s5p per cent ad valorem.
Gou ere hereby notified that the sum Of =
collars, being the annual tax due September !.
s. 1852 at tho g rate Of s. gross ton upon said
this tax Is required by law. you viii please give
the matter Of its payment your immediate at
II this is not paid on or before September Is.
,En'' II VII ne nec.ssrE 10 relTl ne same 10
Mr.. Loeb said yesterday that the tax applied so
far he could ascertain to yachts and vessels in
or out Of commission whether i'm American or
foreign waters. An American citizen living abroad
ana owning foreign yacht which had never been
in American waters was equally liable, he said
for the with those entered at the custom houses
in American ports. He said he had n conference
with Assistant Secretary REYNOLDS OF the Treasury
Department over the retroactive features Of the
law. which failed 10 state whether it TO be
come operative I'm September 1910 at the present
time. and that thee alternative hut to ell
force its provisions once.
Mr.. Loeb said that the law did not specify
whether not vessels out OF commission
liable TO the tax, that il had to be construed
applying to all foreign built yachts under all
ditions.
Among the letters sent out yesterday was one
addressed 20 G. x. G. Billings the horseman.
whose yacht returned from Russia a week ago
She is the Vanadis, Of 1901 tons that the tax on
her will he 1851. George J. Gould was Informed
that the AtaIanta. which is Of 1,1oo TONS sub
iect to the tax.
Frederick ". Vanderbilt owns the Conqueror.
which has been out Of commission for two years
Collector Loeb said il subject 10 the same
duty the others. The Conqucror is 1.3S5 tons
HIS new Yacht. :he Warrior. is 1,o9l
". X. Vanderbilt = abroad with his yacht
the Valiant or I,s22 tons. which is If the
largest of pleasure yachts afoat. and notice
forwarded 10 him. The annual tax Of = would he
sl2,7el the gross tonnage. \ similar notice has
been sent 20 ". X. Vanderbilt, ir, who owns the
yacht Tarantula. English built boat, which is
also laid up and has been out OF use for some
time
James Gordon Bennett, whose yacht. the Lysis-
trsta, has always been abroad. except for trip
20 New York, vas not overlooked ny Mr.. Loeb.
Joseph Pulitzer who owns the Liberty, 15f1 tons,
informed thai his vessel subject to tax
alton.
Mr.. Loeb ssi5 there about oighty-fve
yachtsmen whose vessels were subject to the tax
in the vicinity OF New York but that all were not
registered the house. He said that those
who had been informed represented tonnage of
tax value amounting to &165co
J. p. MorEan's Corsair, oliver II. Favna's Aphro-
dite and Joseph T. Widener's Josephine all escape
the tax. it was said at the custom house, as they
are American built.