Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1919-08-10
ARIZONA MINING
FAR RICHER THAN
IN NEW MEXICO
Unfair to Compare Properties
on Taxation Basis Because
Nature Has Not Made Them
At All Similar
10y MORNING ,ouspAL SPECIAL LEASED WHEEL


Santa Fe, Aug. 9.-Comment pub
lished in Santa Fe, stating that New
Mexico collects less revenue from
mines than does Arizona, calls atten-
ton to the fact that revival of min
ing promises to increase the number
Of taxpaying enterprises, as wei as
to add to the general prosperity of !
all interests.
The few mines Of Importance in this
state, compared with scores in Ari-
iona, yield in state taxes about one
fifth of the amount paid for many
scores of first-class metal producers
in Arizona, where, in each of several
counties dozens of gold and silver
properties have valuations running
into several millions each. Single |
counties have more rich mines pro-
ducing precious metals than are in all
of New Mexico. And some counties
not only have high grade copper pro-
ducers carrying silver and gold val |
ues, not found in the owgrade por-
phyry ores Of the larger mines of this
state, but also have more established
copper mines than all of New Mex
leo.
There are many good mines in Ari-
IONA, actually in operation, more orl
less all of the time, and of such quail
ity that, the state assesses them in
the aggregate, at nearly $500, 100000,
inclusive OF the costly plants for re-
ducton, though some owners are APP
pealing to the courts against such
| assessments.
The most unreasoning corporation
| batter would scarcely appraise the
| New Mexico mines at one-fifth of that
| amount now, even including the only
| two copper mines that are extensive.
In fact of these two but one has
of late been producing, its operations
| being upon a so per cent capacity ba-
sis and entailing a large deficiency
all of this year because copper has
! been selling slowly and at less than
the cost of production.
However, the suspension and slow
Il ing down do not cause loss of taxation
to the state this year, nor will it in
1920, under existing law The tom
mage tax will yield in each of the twt
| years, even under total suspension of
! production, as much as the average
of three years when the output was
magnified for war uses and brought
higher prices
1t may be by the time the legisla-
ture meets in 1920 there will be many
more large copper and other metal
mines in operation and some other
taxation methods be deemed best. The
tonnage and profits tax system pre-
walls in a number of states, though
in Arizona the mines were of high
class and intrinsic value, creating
! /. aa11 ta,,N
The high cost of government of a
small state with but half the popula-
ton of New Mexico made it necessary
to tax the mines for all the revenue
thew could bear and yet continue to
operatg Arizona had, outside of
railways and mines, comparatively lit
tie taxable property upon which to
distribute the burden of taxation, as
the cultivated areas OF the state are
very limited
All copper mines now being worked
will. IL operated at capacity, be ex-
hausted within a limited number OF
years, the Inspiration of Arizona, for
instance. in nine years engineers say
when its two million dollar plant will
be junked. And the Tyrone ore re-
serves In Grant county by intensive
d production could be stripped In sever
years, It is asserted.
The stable gold mines and silver
areas cannot be worked so rapid,
and cay continue to be sources Of
wealth when copper mining by the
companies now working has beer
X transferred to other districts.
All mine ORGANIZATIONS. no matter
what their dividends or commercial
profits during any year. know thai
depreciation from exhaustion Is pro
gressive and the seeming profit is no
all actual until earnings have paid tht
cost of the area, of the plants. of OBJ
Grafton and interest On the invest
= ment.
? Obviously the taxation efnan In