Opinion ID: 2396842
Heading Depth: 1
Heading Rank: 2

Heading: The value of all the tangible personal property of each railroad.

Text: Property in Classes I and III is taxed state-wide at the uniform rate of $1.20 per $100.00 of assessed valuation, N.J.S.A. 54:29A-20(a), and the receipts therefrom are paid to and applied by the State to its uses, N.J.S.A. 54:29A-23. Class II property, on the other hand, is taxed by the Director pursuant to his assessments at the general tax rate in each taxing district where the particular property is located, N.J.S.A. 54:29A-19. The tax so computed is collected by the State but transmitted to each municipality for local and county purposes. N.J.S.A. 54:29A-24. Since local tax rates covering Class II property are ordinarily several times the $1.20 state rate applying to Classes I and III, railroads are interested in having as much of their real property as possible classified as main stem. Conversely, municipalities in which large amounts of railroad terminal, yard and pier properties are located are desirous of having such installations, or the major portion of them, designated as Class II property and are as well concerned that the Director's valuations of property so classified represent true value. These competing economic considerations are at the bottom of the controversy before us.