Ellsworth American. [volume] (Ellsworth, Me.) 1855-current, 1911-10-18
NEW TAX IDEAS.
State Assessor Thompson Proposes
Some Important Changes.
/ From the Lewiston Journal


State Assessor Thompson believes that
there are two very important changes
which ought to be made in the taxation
laws of Maine. These relate entirely to
the public service corporations in the
State. One of these is a new idea which
the assessor advances, the other is an
advocacy OF an idea promulgated some
time ago and nearly adopted by the last
legislature.
Mr. Thompson is OF the opinion that it
would be very wise to place all public
service corporations in the same category
when it comes to the levying OF taxes.
They should, he claims, be upon the
same basis as the railroad companies and
should be taxed the same. AS the tele-
graph and telephone companies, express
and Pullman car companies are now
taxed in the same manner as the rail-
roads, this leaves the light and power COM
panies to be affected by the suggestion adj
vanced by the assessor.
s.These companies" says Mr.. Thomp-
son, "should be assessed by the State, ex-
cepting, as now, on the real estate located
in the town. 1t isn't OF so great import.
ance which form OF assessment is used,
the ad valorem or the gross earnings, 80
long as the method is uniform and the
companies all taxed in the same way.
"The light and power companies have
developed 80 greatly in recent years that
something like this is necessary. To-day
they are operating not in one city or town
but in several. Their transmission lines
cross the country just as the railroads
They shoulf be in the same category, in
SO far as taxation is concerned. 1t will
have to come eventually, and there is no
reason why it should not come at once"
Asked if he would include gas light
companies, Mr.. Thompson said that they
were in little different position from the
electric light and power companies be-
cause for the most part they were con-
fined to one particular town. However,
he could see no objection to including
them, especially those which did business
in more than one municipality, such as
the local company, the Lewiston and
Auburn company, the Bangor company
and some others.
The other change 10 the repeal of the
Law whereby one per cent Of the railroad
and express and telegraph and telephone
tax is returned to the town wherein the
stock is owned. A law for this repeal was
presented to the last Legislature and
nearly went through. 1t would have been
enacted but for the activity of certain
gentlemen from the larger cities, who in
dnced the country members to vote
against it, though the cities were the only
ones which are directly benefited by the
plan which now exists.
In discussing this proposition Mr..
Thompson says that there are cases where
all the stock OF q telephone company is
owned in q different town from that in
which the company operates. If there is
to be a rebate of the States tax on the
Of this company it should be
made to the town in which it operates,
but under the present law it does not 60
there. 1t goes to the town where the
stock is owned, which he contends is
absolutely unfair.
aEach year." says Mr.. Thompson, sthe
demand upon the State to assume burdens
il increasing and each year more OF these
demands are being acceeded to. The State,
therefore, should not return any Of its tax
upon public service corporations to any
city or town direct. It should use every
dollar of it to care for these added bur
dens. This is another and valid reason
why the light and power companies
should pay direct tax to the State.
They nearly secured the passage Of law
doing away with this rebating ct the last
session and it will come, eventually. The
sooner it comes the better"