The Fargo forum and daily republican. [volume] (Fargo, N.D.) 1894-1957, 1910-09-08

would probably deter their usa and
fail to meet the needs OF revenue as
Wen as working to the discouragement
| OF the agricultural industry. The sin
gle-taxers have insisted that the tax.
alton OF land hastens its use. that n
forces the owner to develop II and
this Is just the thing that is needed
IN the special instances of agricul-
tural lands and of town lots. but the
same principle could not be applied 70
the other resources of the nation.
1t is possible for the owners of tim
Der lands by following the principles of
forestry to modify the product and 70
keep the land in producing condition
indefinitely. Taxation of such land
therefore should have in view the
maintenance of this condition. II
must be clearly understood, however.
that the fear of fire, interest charges
on investment, and the cost of man
agement will act quite as surely
toward the rapid destruction OF for
ests as will taxation. These condi-
tions must also be recognized by the
state in the establishment of a Are
warden system and the encourage
plan of bonuses.
IL Serious Problem
Where forestration is not practiced
the taxation Of timber products nm
der present conditions, whether on
stumpage or in transit to the sawmiIIs
Is serious problem. Serious to the
local governments, because under ex-
listing laws logs in transit are taxa
bic where they are owned, and SER
ious to the owners of the timber lands,
because the fixed charges on their
property increase each day without
increase from them. AS near as can
be ascertained, the annual taxes on
timber vary from one cent per thou
sand feet to fifty cents per thousand
feet with an average tax of some
where in the neighborhood of fifteen
cents per thousand feet. Interest
charges are probably about twenty
three cents, making a total annual
cost of something like thirty eight
cents per thousand feet. In ten years
time the tax on each thousand feet
of standing timber will amount to
$3.50, which compounded with inter-
est makes a total Of $2.S7. When add
ed to the other charges 1t is probably
true that the owner Of timber under
modem conditions must have at least
1892 per thousand feet on his logs
delivered at the mill If he is to come
out even at the end of ten years with
q profit of six per cent.
Separate Values
The suggestions which have been
made from time to time regarding the
taxation of timber have as their funda-
mental principle the separation of the
alue of the land from the
value of the timber. This plan meets
the criticism of the local assessing Of
ficers by providing basis OF taxing
annually part OF the valuation and
of producing some income for the To-
cal government. If 1t Is understood
then that the land may be taxed an
nually and the timber product when
4: Is cut, we have under this plan a
simple scheme OF taxation which viii
unquestionably meet the difficulty that
Is now urged against the general prop
erty assessment OF timber lands. I'm
der the old plan OF valuing annually
the property, 1t was difficult to secure
an aDpraIsenent satisfactory to
anybody. and what was more, as the
years went by the local governments
found their assessed valuations de-
creasing and the burden of govern
ment materially increasing with the
decline in amount of standing timber.
The annual taxation of the land M
on which the timber stands meets