Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1915-06-01
TAXING FARM MORTGAGES.
TCedar Rapids Republican,


At the recent meeting of the Iowa
farm Mortgage Association it was de-
termined to organize a movement for
the repeal of the taxes on farm mort
cages. An educational campaign is to
be started among the farmers, to the
end that the next legislature may be
approached on the subject and may
not be afraid to do this work of JUS
tice. We are told that the farmer is
the one who pays the mortgage tax.
as we'll as the mortgage. He pays
taxes on the farm and then he pays
the taxes on the mortgage. We take
in that what is meant that if farm
mortgages were not taxed the rates OF
interest would be lower. If that is not
to be the result then the effort Is not
worth the while. But this benefit will
be more or less indirect and uncer-
tain. Interest rates on moneys loaned
on farms will not be governed wholly
by the matter Of taxes. Interest rates
are sometimes affected outside, by
world wars and world shortages OF
money, thru the expansion of credit
and the collapses that follow such pc
RODS of speculation. The better way,
If there is to be a way at all would
be to exempt the farm from taxes to
the extent that it is mortgaged. A man
who owes $4,000 on his farm does not
really own all the property that Is
listed in his name for what he owns
is subject to debt. II the farm Is
worth $4,000 he owns only one-half
of it in reality. In this way the tax
exemption might be of some practical
benefit to the farmer. But If the farm
mortgage is exempted it may simply
mean that the money lender does not
pay taxes and it is not so almighty
certain that he will reduce his inter-
est charges to correspond.
FAILURE OF SHIP SUBSIDIES.
{. [Sioux City Tribune.l
In the current number Of the Cen
fury Magazine is an article by John
Thomas, which gives the plain
facts regarding ship subsidy OPP
erations, the world over. There can be
no doubt as to the accuracy Of the
data cited. There can be no doubt
as to their furnishing conclusive proof
that subsidies nowhere have created
or sustained q successful merchant
marine.
Japan the most nearly makes out a
case for the ship subsidy advocates.
Yet it is clearly demonstrated that
while her merchant fleet is made pos
sible by an annual subsidy Of several
million dollars, the existence OF this
fleet has not benefited the commerce
Of Japan as a whole, or the Japanese
shipper as an individual. It is speci-
fically pointed out the Japanese mer-
I chant fleet, although heavily sub
/ sidized by the government, has opened
no new markets for Japanese products,
developed no new trade routes, gained
| the ascendancy in no markets al
ready open, and, what is more to the
point, has not offered the Japanese
producer and exporter the least pref
erence or advantage over their COM
petitors in other countries. Nor has
it resulted in higher wages being paid
to Japanese sailors. In short, the
millions Of money annually paid to the
owners OF the Japanese merchant
marine benefit absolutely no one but
them. 1t is what would be called
velvet in this country and it would
be velvet" to the American shipping
trust. were this country 1.c be hccus-