Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1920-03-05

taxation. the Held open to inVeSA
ugation is very broad. The differ
ent kinds of minerals are so va
ried and their commercial values
are so differentiated that one of
the questions Of first Importance
to be determined is whether the
subject can be treated most prof
itably as an all-state proposition or
rather from the standpoint of in
dividual state local interests and
accompanying institutions and an
tecedents. All kinds of minerals
are not found in any one locality,
and necessarily, financial results
from operation are greatly varied
among mining fields.
Obviously a primary subdivision
of minerals is into metallic and
metallic classes and each of
these classes is also ub-divisible
Apparently the first question to be
settled is as to what shall be the
breadth of the investigation pre-
liminary to the final report of the
committee.
Should the efforts of the com
mittee be directed solely to the as
certainment and statement of GER
tain general principles, which
should underlie the assessment of
all kinds of minerals, or, on the
other hand, should principles be
suggested to govern as to each
class of minerals? Involved in the
question is also the bearing thereon
of the modern movement toward
the classification of property for
tax purposes.
Under the general property tax
system, attention must be directed
of course to the taxation of this
kind of property in the classified
system, methods of taxation among
the classes may be widely varied
In response to requests by the
chairman for suggestions from the
members of the committee as to the
scope the investigation should take,
the following opinions were eX-
pressed and are given as presenting
the subject from more than one
viewpoint.
One member expressed himself
briefly as follows:
81 would suggest that we first
secure the opinions of the commit
tee regarding the fundamental
principles of assessing mining
property; that is, whether the
members believe in the exemption
of mining property from taxation,
as has been done in many western
states: whether they believe in the
of mining property at its
full value in the same proportion
as other real estate; whether they
believe in special methods for the
assessment of mining property
based upon tonnage, gross or net
output, or something of that ma
ture. @
Personally, | believe in the as
sessment of mining property at its
actual value and in the same pro-
portion that other real estate is
assessed in the same taxing district.
From the expression OF most of our
members on this subject, l mag
inc that the majority of the mining
committee will agree that all min
ing property should pay a fair
share of taxation in proportion to
other property. IL this is true, we
can then report an agreement upon
the basic principle, and l am in
clined to believe there will not be
much difficulty for the members
of tile committee to agree upon a
report dealing with the minor de-
tails of assessment"
Another member suggested gem
eral rules to serve as guide inl
to reach solution OF
the problem as follows:
/. Mines should be assessed the |
same as other property.
2. The one difficult factor in the
of mines is the wasting
asset; other factors with respect to
all mines are constant.
3. No just valuation can be found |
recognizing the wasting as |
setj otherwise,
(a) They cannot be equalized |
within the class.
OBJ They cannot be equalized |
with other classes.
A. No exact figure for the vast
ng asset can be found.
5. No practical valuation can be
mad without classifying and calcu-
ating the wasting asset for each |
class as a whole.
6. Reduction works and personal
should be included in |
nine valuation and physical val
nation made only. If located in diff
'erent tax districts. |
Z. At all times all factors should
De determined by some methods
Used by the industry.
s. No satisfactory results can be
obtained by other than a central
assessing body.
Another member said:
GAS / see it there are two gem
,ral methods of taxing mineral
properties: One is to tax the value
If the property and the other to
ak the output.
/. IL the former of these two
Methods is adopted. the first ques-
ion which presents itself is that OF
he valuation Of mineral property,
or which purpose there are broad
y two bases: "a, I
Ia) AID valorem assessment
method used under the general
property tax. This is open to seri-