The Detroit times., 1909-03-27
SPECIFIC TAX BILL
WOULD Be AN
INJUSTICE
-ATTY.-GEN. BIRD.
TELEGRAPH AND TELEPHONE
COMPANIES HAVE DoDGED PAY
ING TAXES FOR SOME TIME, or.
FiciAL SAYS.
(From a Stan Correspondent

LANSING, Mich. March 26.-There
were lively sessions in the house and
senate yesterday over the bills to tax
telephone and telegraph companies
on the adj valorem system. In the
senate the Fairbanks-Anhu. ad val
orem bill went through the committee
OF the whole by vote OF % 10 ana
then an attempt To make II the special
order for next Tuesday failed.
The house judiciary committee hac
warm session over the Fouch az
valorem bill 10 tax the telegraph ana
telephone companies. II had nearly
concluded its report for SPECIFIC tax
as strong pressure was brought 10
bear against the al valorem system
The debate became too hot for pub
licity and representatives OF the press
were ordered out OF the room.
After learning that the specific tax
plan might be reported out. Attorney
General Bird was visited aud gave out
the following statement.
If the committee reports out the
measure with that recommendation,
they will report IL ont just as the teie-
phone and telegraph companies want
IL reported. To report out the al
valorem measure will be in the In
terest OF every other taxpayer In the
state. I report il out on the basis
OF gross earnings viii be in the in-
terest OF those companies only. The
telegraph and telephone companies
have had soft snap with reference
for L
not suppose they can be blamed IA
they fight to retain IL. IL they do re-
tain II. the legislature is more easy
than | think il is. To illustrate how
II is to the companies advantage TO
pay taxes upon the present basis, We
will take the taxes for 1907. The
average rate of taxation which every
other corporation, farmer. business
man. working man aud widow paid In
1907 was $l7.s2 per thousand. The
same year the Western Union Telc-
graph Co. paid sl.96 per thousand on
& million and a half OF physical prop
critics The Postal Telegraph Co. paid
$1.07 on four hundred thousand ply
steal properties, and the American
Telephone & Telegraph Co. paid ~
cents per thousand Oh $2O0,0OO o.
physical properties. The Bell Tele'
phone Co. paid about $3.50 per thous-
and on approximately ten millions OF
physical properties.
Had the Western Union paid tho
same rate of taxation as the working
ment did 1t would have paid S26.43O.OU
instead of $2,940.50 Had the Postal
Telegraph Co. paid the same rate OF
taxation as the industrial corporations
IL would have paid $4,000 rather than
S62S.59. Had the American Tele'
graph & Telephone Co. paid the same
rate as the man who works In the
shop or mill IL would have paid So
ESQ instead of s7S.S1. Had the Bell
Telephone Co. paid the same rate OF
taxation as did the farmer with a
mortgage on his farm 1t would have
paid $4,000 rather than $S7 900.
IF the ad valorem bill Is passed by
the legislature IL will be justice TO ev-
cry other taxpayers in the state and
will compel the telephone, telegraph
and express companies to pay into the
treasury for the benefit OF the school
children $4,000 year more than
they are now)paying and when they
pay than sum they Will be on an equal
ity with every other taxpayer"
This information was given the COM
mittec and instead of reaching con-
clusion. the members postponed the
matter until next week.