The Sun. [volume] (Price, Utah) 1915-1932, 1918-10-18
UNCLE" JESSE KNIGHT ANSWERS
HON. HARDEN BENNION

ASt saturday Co an article in defense
OF the proposed constitutional amend
ineut on mine taxation bv Secretary
Of State Harden Bennion. Secretar,
benniun' suys "Upclc" Jesse nmits
from his statement some facts with
which he. as public ofnceholder Tor
many wears and former member
81 the state board at equalization
must b' entirely familiar. lie sue.
gcsts that the mines pay only a tax
on their profits Secretary uenpion
knows. md ought a. have mentioned.
that the mines ave taxed On the
acreage Of their claims az values
considerably higher than the average
Tor agricultural acreage aud also ON
all their improvements. the total Of
thesc Items amounting to something
Ike $4,000. 600 IN addition To- their
net proceeds lie also knows that the
net proceeds tax is not tax ON
profits. as the law aud practices Of
the state board uf equalization do not
permit such deductions as would
make this "a tax on profits IL Is. In
TACT about SO pet cent more than
the actual profits.
Secretary Henniun SAYS mine. are
not taxed uu their actual value. what
" the measure Of mines value if
IL output uu which u b. now taxed.
~ not IT, value consists entirely uf
III mineral contents aud they Weld
nothing until thVN are taken rut and
the state taxes them ~ they come out.
w. oihor words. the mineuwner L.
taxed IN every part ~ his property
whose uHv be cuiu,u 10y the present
method ~ taxation. In this respect
"a mine o. unlike most either classes
OF property such as land ~ factories
whose "wucrF enjoy every year the
use 81 the entire property. To- tax
the unrealizrd. and unknown. values
~ u mine b. a. tax u man IN prom.
CITY Wh.'h b. not in his pusscssi, "a
and which. iu fact. may not exist
Even surprising u were possible to
nrreitain how much ure l. located la
u given mine. who ,an toll what IL
win hc worth when u b. trkrn cut
IN other words. SHAT b. the value to.
day "f "a pound ~ lead a. q ton Of
coal which viii Le mined twent,
years from now Lead IL worth Co.
"'y tWi'" What u ives three ~ four
Year, ugu. This b. IN account ~ the
war VIII IL bc worth as much In
twenty yeats uH u ~ now VIII
there he another war twenty Years
ngm now
'Th" answers O" bath questions
viii De- equally Nnluclcsa pf course.
nobody knows the answer a. either
aud that b. iust why Tile tsik uf Tuil
Nrlue' uf min, b. n,erciy taik Mln.
INK cnEiuccr have dropped u from
consideration entirely and haur their
valuation uf min. on the character
uf the ore. un geological Inference.
40 tu ~ continuity nd un assumption
~ a. what 10 viii D.. worth when
taken uut. The valuation h. apD.uln.
tive, ana they frankly as a. much.
Tits b. one at the inherent RISKS og
The state. however. b. not
confined a. inf,teurr nr assumption.
u gcts an exact statement 1T the prn.
duct o. mined nnd taxes u every
year. The mlnsoWuoF takes the
hanre There ate mines IN this
state that have levied assessments
one year to pay the net pruce.dH tax
NJ the previous year and meet other
operating .ApenscH
y dc not agree with se,retnr,
li"nnion'H statement that the opera
lion "t the propurod nmendmont
would require legislative action ana
b" subject o. legislative control. That
" not what IL Nnyr would attach
more weight a. his vuntcnti,n that
ih" welfare - the mines would bs
snfrr IN the hands ct the i-ard vi
equalization n I know who L. ta ap.
point an the future boards and whom
he would appoint. would nh,n nt.
tsrh more weight o. the a. I had NOT
had pcraHion tu note snm- of R.sr..
tnrN hcnnion's taxation Ideas He /.
"n record officially ~ advocating
that revenue ard ANutl1n should b.
wholly eliminated FROM the cnnstiti.
ton, also that ununty usscssDrs shouid
u" appointed and removed by IN.
state board ~ equalization. inst,n 4
"i being "l"Ct-d hy the peopi.
ana several other general character.
whi'h maker u -asy a. understand
why ne would favor the present
amendment 80 any other sch.m. Ia
'h'"' VIA" p"""fs In appointed NJ
ficeTA
think men who hold public Of
me- Tor long period of years get In
y frame 81 mind. even with the best
lht' nil"hs' which makes II difficult
f"'H W k'A iNr point ni View Uf
~" average citizens interest. They
nn'"nsniouHly get 20 thinking along
lines that would simplify their own
N"Ih WITHOUT weighing fully the ef-
lS'h on "a" public. For instance. in
lhis tax matter, " the public officials
h"h w" power Ca take all the
revenue they needed from one or a
rev industries, they would not have
To bother about seeing thnt all classes
'i property paid their proper share
ana could keep themselves popular
WIN certain elements 81 the public
AZ the expense 81 others The effect
81 ms uf rourse, would DE ultimately
I" rum those industries which were
ielnE hled. and, IL was. perhaps. with
me- Idea IN mind that the constitu-
i'hal convention adopted the present
provisions of the constitution ~ that
D" particular class 81 property could
~ taxed out of existence"
hd the controlling test is 10 he /
he A..