The Fairmont West Virginian. (Fairmont, W. Va.) 1904-1914, 1909-02-12
Mr. TOIgIlSElyEI
gives Figures
The STATE coMldiss oNE ':E'
sH oWs CERTAIN i 7 ! =, IL Z y Il
EsTss ARE NOT PAWN "a y, e
~ ENOUGH TAXES. 3lS

Since Tax Commission 7. E.. Town.
send made :nis mastery address on
the coal, oil and gas tax bills last
hight, the. advocates Of those meas
ures pave taken heart for It Is con-
coded by all that he met the oblec-;
tlorF that had been raised to the bill
ii a m 7terly manner. p4
The attorneys for the coal oil and
gas companies had succeeded IN IN.
creating tho impression that theat
companies were already assessed to
the limit. Mr.. Townsend's figures dis
stpated this impression to a large de-
gree, as his contention that II the pro
posed gross income tax were added
to all the taxes the three interests
were already paying they would only
be paying In the same proportion That
other property is now assessed
It still looks, however. as II the
fight will finally narrow down to an
EFFORT 10 get the gas tax through. This
Is more popular than the coal tax be-
cause II cannot be disputed that the
coal operators Of West Virginia are
anything but prosperous. Whatever
the action Of this legislature, whether
1t defeats any one or all OF these
propositions, the question will moi
down. It will be pushed IN the future
and Il necessary It will be made q
political issue.
Figures Are Plausible.
Mr.. Townsend's way Of figuring the
value OF coal. oil and gas properties
Is ingenious and plausible. AS to oil
he took the report Of the Pure OH
Connp?ny, which showed that Its gross
receipts for 1907 were $292,994, re
ceivins an average Of sl.61 per barrel
The cost Q. operation was s55,193
'alis made the average cost Of pro
ducing each barrel, 27.7 cents ora mel
profit per barrel Of sl.33. The entlrf
production Of the State was 10,120,92:
barrels. Figuring n net profit Of $l.3.
per barrel. there were total ne
profit Of sl3.5l1,44S. Capitalize TIL:
at ten per cent. and you have slS5,
114.4S0 as n fair valuation Of the Of
properties OF the, State. sf
Both Reports Coincide.
Now, these properties were assess
ed at an average rate of $1,000 PEI
barrel daily production which aver
aged 27,729 barrels. In other word:
/ the oil men paid taxes on an assessed
valuation Of s27.729.0OO as against
real worth Of $l25,O0O.00O. Taking the
reports Of the United States geologi
cal survey, Mr.. townsend found tht
same valuation as that found BY tax
ing the figures Oh the ruFe vi CON
pany. which .N;estel to the accurac,
OF MS estlmates. Inc government
figures lor lso' showe'l the l %
ing: n
Total ''lhe Of product. '.sls'z44'e''
Cost 81 operating. $500 o''O''oo'
/ ,.fi XII, 4; ~ . $
mel proli1s. '''' CONGRATULATIONS sS'
eaE'allze "hese mel proi''s VI lei
per cent AMI you nave prac''ealiy 1n'
same Us SHOWN oy tne o'ner hs"res'
treat rr0".s on eas'
Ing pfou''et'o'i VI gas ~ Yves. V'
sha' -accoru'aie 10 uie seo'os~ai sur
'ey was lSo'Voo'ooo'oooooV 'eee' lne
H'e'"se e'S' " p'oa"e''oh 10 oes"eel
TOUT anu i've Genus pe' 'no''saii'
CUBIC 'ee.' NC ieuefa' government
figures sho" On average income o
l''o ee"'s per '''ousana eup'c 'ee'' a.
M average he' pto''1 " 'Hs GEMS w
net income OIL eoe gas companies WI