Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1915-01-08

still continuing in the even tenor of their
ways and our products in the main ap-
pear to be commanding lucrative prices.
Contemplating the great community of
globe in the interchanging of products
through the immense arteries of COM
merce and considering the tremendous
capital involved, it is indeed significant
simply emphasizes the fact that it's nat
ural wealth and resources is most re-
markably stable and secure 1t re-estab-
fishes the old axiom that all that is need
ed as people is faith in the country and
its institutions. to stir the innate energy
of a people who have known no barrier
or limit in its path of progress.
To hesitate is but trait or attribute
of humanity, but to the true American
it is only a period of thoughtful medita-
ton in his transition from one state Of
action to another that will best serve
himself. his State, and his country.
<TAXATIoN IMPORTANT.
Probably the most important subject
for this Legislature to consider is taxa
ton.
The Constitution Of Maine Article O..
Section s. as amended by amendment
adopted in September, 1913. is as follows:
IAN taxes upon real and personal es-
tate, assessed by authority of this State,
shall be apportioned and assessed equally
according to the just valuation thereof !;
levy a tax upon intangible personal prop
erty at such rate as it deems wise and
equitable without regard to the rate
applied to other classes Of property
The vote on this amendment was $4,000
for, and S157 against.
The tremendous scope and range of this
amendment has no doubt attracted your
attention. Also. unquestionably,. you
have sought for the motive which in
spired its promotion. OF course, there
was a motive. just or unjust, and that is
for you to determine.
Ostensibly the idea seems to be to To-
cate in volume peculiar class of prop
erty heretofore taxed to a limited ex-
by reason of the singularity OF the es-
tate; but it is possible, of course, that
there may be q hidden or underlying
motive which may have striking rela-
ton to laws in the statutes which might
cause different effect than appears
probable on the surface.
DO the words of the amendment fully
cover the original intention of It. or has
The taxation problem is vexatious at its
best. but space or time permit me no
opportunity to make the extended re-
marks the Importance OF the subject
would seem to necessitate, especially on
an amendment of such broad gauge.
Specifically, at least. the amendment
contemplates the elimination of a por-
ton of the troubles of the past in certain
directions. but to attain the desired re-
suits. even from this viewpoint, rare
tact and facultative ability must be exer-
cised. If anything further than this Is
designed. your sense of justice may be
called upon as well as your ability.
Continuing the same point of view, if a
proper conclusion and remedial language
is embodied In bills which may be enact
ed by this Legislature, 1t should inure to
The benefit of the State in revenue and
consummate what may be termed a hui
name equalization OF taxation in this
avenue.
Undoubtedly. YOU have noticed that. ap.
parently. the DIGESTION of valuation is
not raised IN the amendment. but your
preston that forms of legislation might
be enacted which would make the valua-
ton, In its application, the determining
factor of the proposition by reason of its
relation to other laws in the statutes.
| Ostensiby, therefore. the question of a
wise and equitable rate is the only con-
sideration on what already is, or is pro-
posed to be termed a specific class OF
property; but it would seem that, after
satisfying yourself as to the motive and
the relation of it to any other laws, the
next question will be to determine or
what property YOU will name rate or
in other words, what is Intangible per-
distinct from other property in classif-
cation.
The definition of the word intangible
. seems to be that cannot or may not be
here used, is applied to the property not
easily accessible for taxation purposes
as. for instance, paper securities which
are. not entirely of public record and
consequently, may be hidden from
view perhaps to an extreme extent.
No doubt you will attempt to define the
word intangible in its application tc
taxation within the meaning implied by
the amendment. by proper classification
and detailed lists which will preclude
any misnterpretation Of the word.
Should not this be accomplished. con.
fusion would seem inevitable. Without
doubt ii occurs to YOU that all property
which may be hidden would not neces.
personal property; therefore, the need
of detailed classification.
The classification would. of course
seem necessary in ascertainins the exac,
difference intended by the amendment III
the use of the words, Intangible per-
sonal property and other classes OF
property"
The old constitutional classification
provided for but two kinds of property
real and personal; the amendment seems
to provide for third class Intangible
personal property" The status Of the
real is unchanged; division of the per-
SUtldl Is apparent, out II 0OPS not ClanRe
the old principle that, whatever tax is
assessed on the intangible. it must be ap.
portioned and assessed equally according
to its class.
Therefore. we now come again to the
question, What is intangible personal
property as distinguished from tangible
personal and real?" Is it stocks anG
bonds? If so. what kind, local or foreign
or both. or bonds and stock which may
be only the paper evidence of invested
capital in property already assessed for
taxation, perhaps in some cases at its
full value and possibly more in others
and at the local rates of the municipality
wherever 1t may be found? Is it mort
cages? If SO. what nature of mortgages
foreign or local. and is it for money
loaned or merchandise delivered?
This, no doubt brings to your minds
the repeal of the tax law on such Sc.
curities, deemed by some as double taxa.
ton.
Are these two instances examples un.
der the new law of double taxation OF
an additional tax? And would any adj
vantage be gained over taxing the actual
dence, especially If no increase in reve-
nue. is intended?
If it is an additional tax, would not
its operation be an indirect method OF
raising the tax on the real and allow.
ing the tangible personal remaining
(after the intangible is separately to be
free of any increase.
Are stocks, bonds and mortgages any
thing more than the paper evidence OF
participation of ownership in actual
property already assessed for taxation?