New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1915-04-12
SENATOR MILLS
ANSWERS CRITICS
Defends Bill to Amend Tax
Law - Believes Realty
Should Bear Burden.

In answer to attacks made on the
bill introduced by Senator Ogden L.
Mills. entitled. "An act to amend the
tax law in relation to taxation on Sc
cured debts" Mr. Mills issued a state
ment last night giving brief analysis
Of the measures purpose. The bill
provides. the statement says:
81. That the holder, including cor
poration. joint stock company. assoca-
ton, trustee, guardian or executor Of a
bond. note, dcbenturc, certificate or
other evidence of Indebtedness which
is payable one year or more from its
date of issue may paw to the state a
registration tax OF Onc-half Of ! per
centum, provided however. that on Sc
curities having less than FIVE years to
run the said registration tax shall be
two-tcnths Of a mill on each dollar
for each year il has 10 run.
90. That the holder OF any securities
so registered shall pay an annual tan
of one and one-half mills on each dol
lar Of the par value of said securities,
except that where interest has not been
paid the tax shall be based on the mar
ket value OF said securities.
%. That the holder of all so-called
secured debts. as defined IN the bill.
which have not been registered as
above described. shall pay an annual
tax OF two cents on each dollar OF the
par value of the securities.
a. That there shall be certain eX-
omptious: Oal Securities held as col
lateral TO secure the payment Of bonds.
notes Or other obligations taxable I'M
Ger This article; lbl securities held by
AN agent of nonresident; ,c) Securl-
ties h'ld by charitable, educational,
IeuevolCrt e'c.. organizations.
-. That banks. banking associations.
corporations, joint stock companies and
associations liable TO an annual tax un-
Ger Section - of Article X of the
tax law shall be entitled to deduct
from the annual tax of one and one
half mills The amount Of taxes paid by
them pursuant to Section "a of Lr-
ticle *.
sc. The bond fde dealers in bonds,
notes or other obligations heid by
them for sale and not for invest
ment shall be allowed 10 deduct from
the value of such bonds. notes or
other obligations. the amount Of money
actually borrowed by them for pur-
CndSlnE OF carrying SuCn secured ucDl~'
and shall only be taxed on the balance.
-. That secured debts as defined in
this article shall be free from all other
taxation.
-. That all secured debts registered
prior to May ], 1915, shall continue
to be exempt from taxation, not only
under this act. but from all taxation
in the state as provided in the original
secured debts law.
"9. That every person. corporation
and association subject to this tax
shall make an annual verified report
TO the comptroller specifying; "a the
aggregate amount of secured debts
which have been registered as pro-
vided; Oh the aggregate amount Of
secured debts which have not been reg
istered; tc) such exemptions as are
allowed"
Senator Mills says the imposition Of
q tax which amounts TO less than one
sixth of ! per cent year cannot be
considered great hardship. and that,
m view Of the financial condition of the
state, which will make d direct tax in
eyitable, he feels that the entire bur
den should not be borne by real estate.
A hearing on the bill will be held
tomorrow in Albany.