The log cabin Democrat. [volume] (Conway, Ark.) 1908-current, 1913-05-28
SEEK TO ASSESS
INTANGIBLE VALUES
SPECIAL EFFORT TO BE MADE
FOR BETTER VALUATION
CORPORATE PROPERTY.

Little Rock, May 28.-The Arkan-
sas Tax Commission has revised its
forms for the return of the tangible
and intangible values of corporate
property, and will make determined
effort to get more of this on the lists
than has been the case heretofore.
! In letter of instruction to the
county assessors, Chairman David A.
Gates of the commission says
Many corporations have no intan-
! glble values; in fact, it is often true
that the assessment of the real and
personal property of the corporation
will be more than so per cent of the
value of the stocks and bonds of the
corporation. This will be the case
with merchandising and manufacture
ing corporations carrying average
stocks of value in excess of their CAP
ital stock. The law requires that ev-
cry corporation in the state must
make return and it must under the
law be made, whether an intangible
value is shown or not.
AN illustration: A lumber milling
corporation is capitalized at $500, 900.
The actual value of the capital stock
is five to one; the aggregate value of
the capital stock is therefore $3,OOO,-
900. The corporations property is
bonded for 100000. These bonds are
worth 100000; total value of stocks
and bonds $3,5OO,OOO. The property,
tangible and intangible, of the cor
poration as a going thing is therefore
worth $3,5OO,OOO.
'The tangible personal property of
the corporation is assessed at $780,
900, and its realty at $500, OOO-total
100000. The full value of it's tan
gible property if the assessment is
correct, is therefore two times $780,
900, or $1,4O0,OOO. Deduct the full
value of the tangible property-s1,-
400, 000-from the value of the cor
poration's property as shown by its
stocks and bonds-$3, 500 900, and
there is left $4,000 900 intangible
value. Fifty per cent of this is ST.
$50, 900"
Chairman Gates announces that ''it
is the purpose of the Tax Commission
to make a special effort to see that
these provisions of the law are strict
ly and uniformly enforced throughout
the state"
Very full instructions are given the
assessors in the use of the forms for
the assessment of tangible and intan-
gible property, and in this way it is
hoped that very little of it will escape.
To better facilitate the work of Sc
curing the necessary data, the Tax
Commission has divided the counties
of the state among the three commits |
sioners for supervision. They are now
engaged in making comparisons be- !
tween the y. S. census reports and !
the county tax books, to arrive at a
basis of assessment, showing how far |
short they are of the so per cent |
which is again being urged as the uni
form basis for this year The asses
sors are also instructed to make a
special effort to get 50 per cent as
sessment of goods, merchandise, mon
eys, credits and notes. On this point !
the commission says
"Of course you understand that in
assessing credits, consisting of notes
and accounts, that you are to assess
only the excess of credits over what
the taxpayer himself owes, bat never
makes any deduction on actual prop
erty for what is owed thereon"