Supplement 



HARDWOOD RECORD 



October 10, 1919 



for speculation and they, can not use the land until it Is cleared. One 

 thing offsets the other. 



One lumherman veriflcd Mr. Von Platen's contention, saying his com- 

 pany is now handling a large tract of land, figuring on forming a land 

 company, and one ot the arguments is it will not be compelled to pay 

 taxes on those lands. 



Mr Goodman again introduced the question of classifying and valuing 

 cedar products, pulpwood and things of that character. This class of 

 wood is growing, he maintained. That is, the second-growth is, although 

 the original growth is not. 



Mr. Goodman again pointed out the bearing of the sale ot small lots 

 of scrubby timber after the land has been cleared ot merchantable stuff, 

 saying that thev frequently have sales of from ¥500 to $1,000 of small 

 scrubby growth remaining on the land, which necessarily must be con- 

 sidered as clear profit and on which it would be stretching a point too 

 far to try to claim any depletion. On the other hand, though, he said that 

 on the question of cordwood and pulpwood they have always been lax. He 

 said that in buying timber they always loolc carefully over the mer- 

 chantable stuff, and then find there is an accumulation of small items 

 which the seller puts great store on. but which the lumber company does 

 not want to take much into consideration because it cannot figure just 

 how it is going to come out on it. He said some lumbermen carry an 

 inventory of poles, posts, cordwood and similar stuff similar to the inven- 

 tory of estimates ot timber. 



Mr. Planner said that his company carries such an inventory on all the 



land covering posts, poles, ties, pulpwood and similar material, but does 

 not Include or carry an inventory of cordwood, because it is considered 

 of no value. 



In a further discussion it was brought out there was great lack of 

 uniformity in details considering these matters. 



One man brought up the question of capital stock tax, saying that some 

 of the lumbermen might put in tlieir readjusted values as at the present 

 time, but as there is no basis on which to report readjusted values this 

 would necessarily bring about aniended returns in the future. He asked 

 Mr. Mason whether they should leave out readjusted values until a satis- 

 factory basis is arrived at or incorporate their opinion of those values 

 and then make amended returns, which will necessarily entail a great 

 deal of trouble later on. 



He mentioned that his company does not put in readjusted values, 

 because it has no established basis and would rather pay the taxes in 

 arrears when such a basis was ultimately worked out than to file a lot of 

 amended reports. 



Major Mason replied, saying that the capital stock work is another part 

 of the revenue department's jurisdiction, as is also the inheritance tax 

 work. He said that his department expects it may be called upon for a 

 list of values, in which case it will give the best it has. However, he 

 said, that his department does not know enough of the work of handling 

 the capital stock and therefore would not want to give an opinion. 



Mr. Goodman then closed the meeting by a brief compliment to the 

 fairness and honesty of purpose shown in the attitude of Major Ma£OD 

 and those working with him. 



