Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1914-10-06

In San Miguel county the total as
sessed valuation on stocks of mer-
chandise Is s5i9,iSt. The merchants
pay upon one-third of that sum.
AS to mortgages, | have but very
little TO say. The state board made
this order:
Inspection of the tax roll shows
that there has been a general omission
of any assessment of mortgages OF
credits for money loaned. and the at
tcntion Of the various assessors is
called to this subject, and they are
directed To ascertain in their respect
i've counties the existence and amount
Of this class of property, the most Of
which can be found by reference To-
the county records, and to put tre
same upon the tax rolls as omit ad
property in accordance with the au-
thority and requirements of section
Is of chapter "a of the Laws of lOl 3.
In this matter all we have done Is
to follow the law. and now the asses
sors can do as they see fit. That
mortgages are personal property ana
are subject To taxation under the laws
of the state seems TO me to be fact
so well established that really there
is no excuse for any newspaper not to
know it.
The question having been passed
upon by our supreme court, in August,
1900, ! will quote from that decision
as follows:
zee Mortgages held as secur-
tiles for loans by private individuals
and corporations generally are un
doubleday personal property and SUB
iect to taxation under the laws of this
territory, and If building and loan as
sociations in this territory are sub
icct to the same laws as to taxation
that other corporations are, these Sc
curities were taxable TO the appellee
corporation. Section LOIS, Compiled
Laws Of 1897. provides that All
property in this territory not exempt
by law shall be subject TO taxation.
Subdivision third of section 4,0l9,
Compiled Laws of 1897, defines the
term personal property as follows.
The term personal property includes
everything which Is subject TO own
efship, not included within the term,
real estate From these provisions
OF the statute, mortgages and other
Instruments given as security Tor
money loaned are clearly embraced
within the term personal properly,
and If so, section 4,01S above referred
TO. specifically declares that all prop
erty in this territory not exempt by
law shall be subject to taxation. rms
matter has been before the courts OF
the country very frequently and tn-
less there Is a specific exemption OF
such securities from tax under the
law, the courts uniformly hold that
such securities as notes, MORTGAGES
and deeds Of trust are subjects OF tax
alton A mortgage is n security for a
loan of money II Is an instrument OF
value. II may be foreclOsed ana the
value expressed upon its face recoV-
cred by decree of the court. and the
real estate may be sold under sucll
decree and the title of the real estate
secured by the mortgage fecome me
property of tn mortgage, or the cash
value of the judgment may be OBJ
tained in lieu of the property 1t Is a
source Of income, and in every view
which may reasonably be taken OF
such securities, they are property
This decision is found in the TO New
Mexico. pages 33S to 347, inclusive,
and was written by Judge MeFie ana
concurred in by Judges Parker ana
Mills.
ii being clearly established by our
supreme court that a mortgage is per-
sonal property, and, therefore subject
to taxation, | fail to see how anybody
will dare to charge that the direction
of the state board to the assessors TO
assess mortgages is merely scheme
apparently" as stated by the Optle,
TOR putting in operation a system OF
double taxation
The opinion of our supreme coufl
upon the subject of mortgages above
referred to is to the effect. in sun
stance, THAT mortgages to secure
loans of corporations or individuals
are the personal property thereof, ana
subject to taxation under sections
4,019, Compiled Laws 1871.
If the supreme court erred IN ny
opinion the Judges which composed
that tribunal in 1900 should be cruz
cised, If criticism is due and not the
board Of equalization which is endeaV-
orng to follow the law in all It's WORN
as board Of equalization
That our tax system is far from PEE
ing perfect. | think we all readlly ao
NIT That changes are needed IN our
tax laws to conform to present re-
is also true. But these
things cannot De Drought apou.
fear. unless there is united EFFORT
on the part of all good citizens 70 ac-
the desired end First Of all !
whatever is done. in this respect must
no free of political entanglements II
We would expect to achieve satisfac-
tory results. The newspapers can
make themselves strong factors for
good results in the movement we nave
started to improve our tax system ana |
/ sincerely hope that we may nave /
1:,,;tad .o-oneratiOu