The Twin Falls times. [volume] (Twin Falls, Idaho) 1905-1916, 1912-02-02
AANlY VfIK MVHllK GILL
CONTINUED from Page ~


world, and the high rate that goes with
low valuations frightens away intend
Ing investors. It 10 predicted that the
actual valuations Of Idaho, a. will be
shown BY the census figures. will be
$500 900 900, As compared with approx
imAtely $3.50 900 900 as shown by the
assessment figures. However, to as
se0e on cash valuation basis requires
an organized tax department to COM
pei all counties to live mp to the cash
valuation basis in good faith"
Question Of Fixed LeyIes,
Had 1t been provided in this bill that
the cash value Of the property should
be extended upon the assessment roll
some Of the objections raised might
have been obviated, but even then the
change In our present law would not
have been beneficial or desirable In
my judgment. called the attention
OF the senate last week in q special
message to this important matter, but
my suggestions were not favorably
acted upon.
1t will be urged as a reason for de-
parting from the long established law
of this state that by so doing there will
be no need Of disturbing the fixed lev
les provided by statute. Such levies,
SO far as they relate to the state, are
not mandatory, and so far as they re-
late to the counties, can be easily rem
edied by amendatory acts.
To take this backward step when
we should be going forward and plac-
ing ourselves in line with the advanced
h0v Oh NJ {,k1
states in matters pertaining to taxa
ton, Is So abhorrent to me, so utterly
at variance with my firmly established
conviction Of right, that even my high
regard for the legislative assembly
would not preclude me from vetoing
the bill for this reason alone.
Assessment of Bank Stock.
do not believe the method of as
sessing bank stock provided for in
this bill Is proper or the best that can
be devised. Section amends section
1877 OF the revised codes and provides
In substance that the full value of such
shares on the second Monday in jan
uary shall be determined and the sur
plus and undivided profits added there
to, and after deducting the assessed
value of any real estate resulting from
the investment therein of part of the
capital stock, the remainder shall be
proportionately assessed to the stock
holders of the bank. This to me seems
an improper method of procedure up
ON this important subject l suggest
that the par value of the stock, plus
the undivided profits and surplus and
less the amount Of the capital stock
actually invested in the real estate,
should be the basis of the assessment,
How Banks Might Escape.
To permit the assessed value of the
real estate to be deducted would. in
cases where there had been grea- in,
crease in tn value of realty, exempt
the shares of stock from any taxation
whatever. For instance, if bank
with 100000 paid up capital should
invest $4,000 of such capital in real
estate for the purpose of having a
proper business location no one could
reasonably complain II the capital
stock for assessment purposes was re-
duced In such amount, but IL through
the increase in value characteristic of
many western cities, the value OF this
realty after the investment should be
Increased to 100000, in such, event UNI
der this bill the stockholders would be
exempt from paying any taxes upon
the capital stock This would be
wrong In principle, nor can it in my
judgment be successfully urged that to
otherwise provide would be double
assessment. Under the provisions of
sections 1872 and 1858 of the revised
codes shareholders in banks can af-
feet the value of their stock by de-
Quoting therefrom debts owed by the
stockholders. Under these provisions
many of the banks of the state pay a
very small proportion of the taxes
rightfully due. Opportunity for fraud
and evasion Of taxes is readily given,
by virtue of which those inclined to
evade their just proportion of taxa
ton burdens can easily do so. The
members of the state board of equali-
cation have long been familiar with
the fact that In some counties the
stockholders in banks pay but small
proportion of what they should, while
In other places such exemption is not
claimed. I would most earnestly urge
upon you that debts due should not be
made an offset, and the necessity of
amending our revenue laws In this
particular. This change in connection
with the exemption of moneys and
credits would in my opinion work
great benefit to the state without in
jury to the banks and similar fnstitu-
tons affected.
Method of Collection.
Time for collection of taxes should
be changed and taxes paid semi-annu-
ally. as provided for In section %,
which was taken from the bill origin
ally submitted by the revenue COM
mission.
Title to Delinquent Property.
The statutes should be so amended
as to give relief to the owner when
his property has been sold for delin-
quent taxes. Great hardship has been
worked In many cases by reason OF
the law as 1t now exists permitting
deed to delinquent property being CIV
en- without notice to the owner. The
bill returned attempts to correct the
evils by providing in section Is for a
publication OF the delinquent list on
or before the fourth Monday In August
of the succeeding year. This fails to
grant any adequate relief or cure the
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