Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1909-03-10

In regard to Wild lands for the pur-
pose of taxation. 81
Resolve, in favor Of aid in building
q highway bridge across the east
branch Of the Penobscot river in the
town of Midway.
Resolve. in favor of a highway bridge
over st. John river between Van Buren,
and st. Leonard's, N. B. fs
Orders Of the Day.
Unfinished business: Resolve maxi
ing an appropriation for the Passama-
quoddy tribe Of Indians.
Mr.. MERCER of Princeton offered
House Amendment by inserting an
emergency clause before the word Re
solve" in hne /.
The amendment was adopted.
House Amendment A was then
adopted. rs
The resolve then received its second
reading and was passed to be en-
crossed as amended
Special assignment: An Act relating
to the choice of assessors in towns.
On motion Of Mr.. Montgomery Of
Camden the bill was indefinitely post
poned. Mr. Montgomery stating that
he made the motion at the request of
the friends of the bill.
Taxation Of Insurance Companies.
Special assignment: An Act relat-
ing to the taxation Of Insurance: COM
panies.
Mr.. COOLIDGE of Lisbon Mr..
Speaker, l wish to call attention to the
last part of this bill, provided. how
fhof no fov choH ho
account of any premium paid or as
sessment levied on policies of insur-
ance issued on farm buildings" 1t
seems to me that it is unjust that any
tax should be levied upon a mutual in
surance company in the State IF
Maine. They have no capital stock
All the assessments and all the prem
iums collected go simply to the pay
ment of losses. This does not provide
for any exemption except so far as 1t
applies to farm buildings. It seems to
me that there should be no difference
between the insurance under, these
mutual companies whether it IS farm
building or a village building, The
mutual companies desire to be sheard
further, and for that purpose move
that this bill be recommitted to the
committee on taxation.
Mr.. PATTANGALL of WaterviIle:
ME-. Speaker, 1 hesitate to antagonize
the motion made by the gentleman
from Lisbon, but would say that the
committee on taxation gave full and
complete hearing on the question of
taxation of insurance companies. At
ter going into the matter with some
care we learned that no insurance
tax under the present law. 1t seemed
to US, when we were looking for revo-
nue-and some revenue seems necess-
sary to run the State-that it would be
well for insurance companies organized
in the State to pay tax provided they
were doing similar business that
those organized out of the State We're
doing; so after good deal of consid-
Grafton and after very full hearing
indeed the committee reported that all
insurance companies regardless of
where they were organized should pay
tax excepting those carrying prem
iums on farm buildings, or, farm prop
erty. That exception was made for
two reasons First, Grange insur-
ance company is doing business
which in a sense is not for profit, aud
second, because it is, very difficult to
get farm insurance and the committee
desired to make that as easy as pos
sible. We did not include all mutual
companies in the exemption, and Meth
er 1 think would any committee do so
if it was familiar with the number OF
mutual companies doing business in
the State. Nor did we include COM
panies insuring any, other property
than farm property in the exemption.
On this ground. the committee felt IL
an insurance company was lnsur1ng
stores or mills. or what not, in COM
petition with the regular insurance
companies, that company should pay
a tax on those premiums, even though
it also insured farm property Now l
can only speak for one of the commit
tee excepting in so far as other mem
bers have consulted with me this
morning. / went over the matter care
fully, and speaking for those members
who have talked with me this morning.
they have been over it carefully we
have a great deal of important BUSH
ness before the taxation committee.
We have been trying pretty hard to
find somebody who thought that he
ought to paw taxes. We have not dis
covered LfldC IIldH YET uuI VIC nav
brought in one or two bills which i'm
pose a tax on certain business of the
State and are working on some more.
It would be unjust I think to the COM
mittee to recommit this and revive the
subject at this late day, for it has been
considered by US and considered fully,
and should very much prefer that the
House should act upon it and either
pronounce our work good or amend 1t
to suit themselves rather than to send
it back for another hearing which
would result in nothing. Everybody
representing insurance companies in
Maine who had any interest In this
thing was before us think with the
exception of one, gentleman who Is
somewhat active in the insurance busi-
ness and who has presented his case
individually to everybody in the House.
I think it will be better to take the
matter up at the present time. lhore
the motion to recommit will not pre-
vail.
Mr.. STRICKLAND OF Bangor: Mr..
4 A<.Ix.