The Bozeman courier. (Bozeman, Mont.) 1919-1954, 1924-07-02

provisions in the constitutions of sew
eral of the mining states of the west.
but with the development of agricul-
ture, all of these western mining
states have long zee repealed the
unfair provision except Nevada and
Idaho.
Under the present Arizona tax law,
mines are assessed at four times the
value of net proceeds, plus one-eighth
Of the total value of the gross pro
ceeds.
Michigan taxes its copper mines on
the full cash value, the same for
milling, smelling, transportation, re-
pairs or depreciation of smelters or
selling expense.
In Montana all these deductions are
made from the value of the ore.
The M express purpose of the bill
which it is now proposed to initiate
By petition and submit to the voters
Of Montana in November is not to in
crease taxation, but to equalize the
burden between agriculture, business
ard lining so that each form Of
property shall bear its same proper
tiOn-no more and no less.
During the last two Legislative ses-
siOns attempts were made to bring
about an equal distribution of the tax
burden on all forms of wealth in Mon
tana. Until that time coal mines and
oil wells were only taxed upon met
proceeds" plus surface improvements.
The coal mines of Montana during
the year 1920 produced about nine
million dollars Of wealth, which, under
the met proceeds" provision turned
into the state treasury about 800 for
that year. In 1921, the legislature
4, did pass a license tax for the coal
mines of five cents per ton, which last
year yielded to the state treasury
S163,165, which to that extent did
lift that much burden Of taxation from
the farms, homes and other business
interests Of the state.
} In 1923, after a long fought bat
tie, a license tax of 2% was levied
on the oil production Of the state.
The first years operations Of the go
gross license tax on oil yielded $780,
119 in revenue to the state, and 70
that extent lifts the burden from the
farms, livestock, homes and other
business interests in Montana.
At the legislative session. a metal
mines license tax bill of 10 gross
passed the house, but was defeated in
, the state senate through the pressure
brought to bear by the great mining
corporations.
1t is now proposed to enact the IL
gross license tax on metalliferous
mine production by direct vote of the
people themselves. Based on the 1925
production, an additional revenue o.
!. about S5OO.O 900 will be raised.
Under the terms of the bill, one
half of this will go direct to the stat'
treasury, the other half to the publ,
schools. In this way, every child 0
school age, wherever located, will re
ceive direct benefit from the enact
ment Of the law. An additional $3.50,
OCO each year will 60 to the supper
Of the public schools and to that eX
tent will life the burden Of schoo
taxation. Last year about two hun
dred public schools in Montana faile,
to open their doors on account of lac
| Of revenue to pay the teachers.
] Will Not Discourage Development
/, Under the provisions Of the propos
: ed law, all mines with a yearly gros
+ production of less than one hundre
thousand dollars are exempt. n
hardship a be worked on the pros
q pectOr or small mine owner, as it
r only when production reaches $500
900 annually that the 10 tax is levied
How Present System Works
A few weeks ago one of the smalle
mines Of Butte-the Davis Daly-wa
taken over by the Anaconda Mimi
company. The purchase price We
s. 5000, 700.
The total assessed value Of the
Davis-Daly for 1921 was S-.-$135,6e