Harrisburg telegraph. [volume] (Harrisburg, Pa.) 1879-1948, 1915-10-29
ANTHRACITE TAX
DECLARED VOID
[Continucd From First Page. ]

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Justice Stewart. The principles in.
volved, it is believed here, cover the
latest act.
BY the decision the Commonwealth
will lose about $4,000, 900 and likely
any chance of getting tax under the
1915 act. The suit was based on the
tax assessed for the latter half oi
1918. The auditor general made no
assessments for 1914 or tthe portion
of 1915 prior to the approval of the
new act on June 1, 1915.
Dauphin county loses SOS, 5,00Q
which would have been its share under
the division of income plan of the act
BY this law the State would have kept
half of the proceeds of the tax and
given the balance to the anthracite
producing counties for division among
their municipal divisions. Harrisburg
loses 100000.
About $1s,500 has been paid into
the State Treasury by coal companies
and individual operators under pro.
test. The auditor general will dis
pose of this money. Some may be
credited for tax payments of other
kinds, but the rest may have to await
legislative enactment to be returned.
The attorney generals department
which defended the act, and the
auditor generals department, which
enforced the collection until stopped
by the suit, declined to make any
statements to-day.
Who Will Keep Millions?
What is of far more interest 10 the
public than what happens to the gov
ernmental agencies by reason of the
decision is what will become of the
millions of dollars paid by users OF
coal in the last two years. When the
tax became operative 1T is understood
that the operators put on enough 10
cover the tax. Wholesalers and re-
tailers are said to have paid 1t In
some cases. but in others to have
arranged for repayment If the tax
WAS knocked out. Few tons or coal
have been bought by consumers with
out the increased tax being charged
against the householder. In some
parts of the State the tax was declared
extortionate and the last Legislature
took cognizance of it and started an
investigation. ---
Attorneys said to-day that recovery
was a matter for individuals, and un-
less a man has the tax itemized on his
bills he will stand poor show of re-
covering.
Retailers said to-day that they had
bought their winter supply of coal and
had paid or arranged to pay the
equivalent of the tax required by
wholesalers and from the wholesalers
by the operators. Several men inter-
viewed said they did see how there
would be any reduction in present
prices for some months and whole
saiers frankly said that they were not
prepared to say that prices would be
cut.
The general fear was expressed
about the streets that the price would
stay up until Spring in spite of the
decision.
Great Victory for Olmsted & Stamm
The decision is regarded as 9
notable achievement for the firm OF
Olmsted & Stamm, attorneys at law
composed of William S. Snyder, G. b
Miller, John L. Olmsted and James w
Milhouse. A greater amount OF tax
is involved in these coal cases than In
any other decisions handed down fol
great many years. The firm OF
Olmsted, & Stamm represents clients
who would have been liable for about
$4,000, 900 of this tax in case the acI
had been held to be constitutional.
The cases originated in the Dauphir
County Court and Judge Kunke
handed down a decision holding the
act constitutional. The attorneys fol
the coal companies, believing that the
decision of the lower court was no
IOOh t1PpSdi w eiiO oo ~ OiiN
Court OF the State of Pennsylvania
The test case is that of the Alden Goa
Company. This particular case doel
not involve q great amount of tax, bu
the whole question of the consti
! tutionality of the act is raised in thi!
case.
Act Unconstitutional
Yesterday the Supreme Court o.
Pennsylvania, sitting at Pittsburgh
handed down it's decision in the tes
| cnse of the Alden Coal ComnanY