The Richmond Virginian. (Richmond, Va.) 1910-1920, 1918-02-05
BANKERS ASK RELIEF
IN TAX ASSESSMENT
Urge Finance Committees Of General
Assembly To Approve Bin He
classifying Stocks.
PRESENT LAW AssALED
Pats Virginia Institutions At Dtsad-
vantage In Competition With
Others In Furnishing Capital and
Credits.

A largely attended hAartus was
held before the joint finance commit
, tee OF the general assembly in the
hall or the house OF delegates last
nlRht on the senate bill classifying
bank stock as intangible personal
property for purposes OF taxation. At
present bank stock pays a special tax
Of $3.50 per 500 par value. SEN
ntors Gum and Thornton are the
authors OF the proposed hw.
The bankers advocated the pas
sage OF the bill. They claimed that
criminate as between bank stock and
personal property. the bankers Of
Virginia we're at a disadva ntage in
competing with Chicago, New York,
Pennsylvania and Southern states in
the matter of furnishing capital or
attracting industry to this state. II
was argued that this retarded the
Industrial development OF the state.
The bankers claimed that they
were entitled to the relief afforded by
the pending bill, as matter OF jus
tice. They made no claim. they said,
70 emptfon from thsir share OF the
tax burden. and asked only that they
pay the same rate Ra paid by other
! personal property.
! And finally. from legal stand
/ point. II WAS claimed that the present
/ law was unconstitutional in its dis
/ elimination against bank stock, be-
/ inr contrary to a section OF the re-
y,sed statutes Of the United States
which snys that the taxation OF bank
stock shall not be at greater rats
/ than Is assessed upon other moneyed
CAPITAL" The decision of the hust
! inss court OF Richmond in line with
the statute quoted was referred TO-
and the statement made thAt the
bankers were prepared TO go 10 the
supreme court OF the United STATES
/ II this decision was reversed
Mr.. George Bryan presented the
! legal points for the bankers. ana the
following bank officers spoke Ia favor
Of the bill:
/ oliver J. Sands, American Nation
nj bank; Colonel Thomas y. Nc
Adams, Merchants National bank:
/ John NJ Miller. First National bank.
| George e. sipe. president OF IN"
| First National Bank, OF Harrison
| burg. and Colonel J. ". Holloway,
| Of arnithneid. also spoke for the Dill
( Inc m eaAuES WhF pPR"S"TN ~
sistant city Attorney Anderson ana
| city Auditor Crenshaw. of Richmond
and Colonel w. FL sargent. OF Nor
! folk, representing the League OF Mu-
| ntcipa iitiea Of Virginia
/ The city auditor quoted figures 70
show that the proposed law would
mean a reduction of $3.50 70 the
/ taxable revenue OF Richmond. ana
ssO.sOo II provision was made Tor
the dollar rate TO Re divided equally
between the state and cfsv as In pro-
| posed in compa nloS legislation now
pending
Mr.. Trsnsfaw cited figures TO show
! that Richmond was really yeceivins
| less In taxes, proportionasely' enan
before segregation.
! II was argued by Mr.. Crensna"s
that the bank as an institution paio
the tax on bank shares, ana thse II
was, therefore, deducted from the
| expenses before the stockholders OF
the bank received his dividend
While Mr.. BRYAN. representing tna
bankers. maintained that the present
law would be held as unconstitution l.
AL Colonel Anderson. representing the
| c,tx- told the committee he believed
tb@re was no violation of the constt'
[ IVA faw now stands,