The Wallace miner. [volume] (Wallace, Idaho) 1907-current, 1917-01-25

generation 1t would be asserted that
mines were not being taxed. On the
contrary, they were taking what was
then the valuable property In the
state of Montana-the only property
which furnished source OF revenue,
and constructing revenue measure,
they penalized 1t to the extent of maxi
ing it primarily responsible for the
burdens of government That this is
the true view and Interpretation OF
the law, | submit has been declared
by the supreme court of this state In
the case Of Northern Pacific Railway
company versus Mjelde, 4S Montana,
pages 287 to 296. (Mr. Kelley here
read the decision).
The Correct View.
That such Is the correct view OF
the principles applicable to the taxa
ton of mines AND mining claims
under the provisions made by our law
can not be open to serious question II
the matter is given the slightest con-
Ils
with the proposition that so far as a
mine or mining claim has any known
VALUE, 1t Is taxed to-wit: with the
surface; second, that so far as any
improvements are made or money ex-
pended upon that surface, which gives
lit additional monetary value, such i'm
Iprovements and expenditures are tax
ed third that all of the property
(which may be had, used or enjoyed in
connection with a mining claim, as
mills, concentrators, smelters or other
reduction works, are taxed at full
value, as other property; fourth, that
because of the popularity of a mine,
| in that it's principal value comes from
hidden resources beneath the surface
of the claim, where neither the eye of
| the miner nor the prophesy of the ex-
pert can, in advance of actual work.
lngs, determine its value; where Sc
creted by the unseen forces of nature
in the mass formation tha constitutes
the crust of the earth, there may have
been deposited particles of substance
which, by reason of their peculiar
qualities, physical and structural the
world terms metals, and to which
commerce gives q value, general rules
applicable to totally different species
OF property were not applicable spe-
cial provision for the purpose of rails
II ing revenue was necessary, and there
fore upon the successful mining ven
ture there was levied, in addition to
the taxes which all other property
bears net proceeds taX-in other
words, a license taX--so that today,
and every day since the formation Of
the constitution Of this state the min
ing industry u.s. and has been, the only
great industry of the state which has
been upon substantial license basis.
Having given consideration to the
foregoing proposition, the inquiry
naturally arises as to whether or not
the system provided for by law is a
Just system. Whether, as a matter of
fact, it is not the only feasible sys-
TEN under which the mineral value of
mining claim can be taxed. In an
swer to these propositions l desire to
submit the following for careful con-
Isideration:
Speculative Character of Business.
First. excepting those comparative
/ ~ few cases where mines consist of
mere superficial deposits, easily
measurable from the surface, no HUI
man being can place an accurate
value upon mine In the case of a
farm, the acreage, the character of the
i SOIL the crop return, the locality in
which it exists, the market price of
surrounding property, it's proximity or
Iremoteness to transportation facilities
are all factors which are available in
PREACHING a conclusion as to its value.
In the case of real estate, the rules of
measurable value are likewise easily
lascertainable. But who Is there who
knows or can know the value OF
mine? Upon one spot on the side of
mountain shaft may be sunk ex-
penditures incurred and the hopeful
investor reaps a reward that reads
like magic. The sesame of good for
tune has opened the gateway to a YER
table Alladin's treasure: On a con-
tiguous claim, under precisely the
same general structural and geologi-
cal conditions, animated by the sue
cess of his neighbor another fortune
hunter starts mine. He spends as
much money. he consumes as much
energy, he acts as intelligently, and
yet barren wall is his only reward.
You men from other sections of the
state who have never followed the
fascinating gamble of mine operation,
who have dealt with elements of fix
ed value and calculable return, Won
der how many of you realize the mil
lions upon millions of dollars that
have been spent in this state in min
ing ventures that have never returned
to the investor one dollar in the way
OK reimbursement l wonder If you
realize that in the Butte camp there
are operating today, because of condi-
tons which create a favorable expect
ancy, single mines upon which many
millions of dollars have been expended |
that have never returned a dividend, |
I !