| Show Mining Delegates Visit Several Properties Delegates to the American Mining congress metal mining convention re relaxed re- re relaxed relaxed Saturday after four full days of 01 business sessions and entertainment and Inspected some of the states state's most Important mining and smelting opera opera- Two groups spent the day In looking over the properties of the Silver King Kini Coalition Mines company one of the th states state's largest silver sUver and lead workings the Park City Consolidated and the Park Utah Consolidated Mines company Visit Silver King Kill One party of 38 men and women un un- under under un- un under der the guidance of Superintendent M. M id G. G Heltzman Heitzman of the Silver SU King Coalition lion tion mine entered through the Alliance tunnel visited the Silver SUver Hill station and the A. A K section of the mine and emerged through the main Silver SUver King shaft Before entering the visitors were equipped with mine regalia alln and then whisked some two miles underground In powered electrically cars Another group of about 20 persons spent the forenoon looking over the geo geo- geological geological geological logical structure of the district under the direction of Paul H H. Hunt mine manager of the Park Utah company and then visited the Park City Consolidated properties under the supervision of Sup Sup- Superintendent Superintendent Gloyd Wiles The Tho old On On- Ontario Ontario tario Lane mine where ore was first discover discover- discovered I er ed d In the district was visited as well ashe as ns the he Daly West Vest shaft I Inspect Ct Shaft After lunch the two groups Joined to Inspect aspect the new shaft In Thay- Thay maynes nes canyon and the Silver King mill The guide for this latter part of the In Inspection In- In Inspection tour was John A. A Tallon super super- superintendent of the mill mm Another party spent the forenoon In Inspecting In- In B American Smelting and Refining company's huge lead smelter at Murray Murrar and nd the Utah Ore Sampling plant In Inthe Inthe the he same city In the thc afternoon they I visited the flotation mill mm and smelter of 01 the tho United States Smelting Refining and I Mining company at Midvale following the he ore through the complete process carried on there I IA A small group spent the day visiting 0 the he International Smelting and Refining company's plant at Tooele looking over I both the copper and lead departments and md the Salt mill Salt Lake Tribune I At the last session of the convention W. W Mont Perry Ferry vice Ice president and man man- managing man I aging director of the Silver King Coalition I ion tion Mines company addressed the dele dele- delegates delegates I gates rates on the subject of Mine Taxation which we publish In part I While willingly bearing the burden which lt iq equity must be borne by all alii Industry and all alt citizens miners Insist I and nd demand that the burden of taxa taxa- taxation ion tion be fairly distributed that reason reason- reasonable reason reason-I able ible stability be established and main main- maintained maintaIned and that the truth about this I great reat Industry be recognized by our law law- lawmakers makers as a basis for tax laws law law-I The Increase In number and severity of f mine tax laws especially In the sev sev- several several eral ral states Is largely due to Ignorance of f the problems to an ever Insisting demand for easy money and to 0 the selfishness of organized minorities and organized tax spenders Citing Bureau of Internal Revenue fi figures fi- fi figures gures ures the speaker showed that unprofitable able ible mines outnumber profitable mines by five to one that 63 per cent of the total otal gross production was profitable and 37 17 per cent was produced d at a great loss that the net profits before corporate federal income taxes and personal fed fed- federal federal fedral eral ral and state income taxes were deduct deduct- deducted ed d represented 46 40 per cent of the gross value of the product and that after de deducting de- de deducting ducting federal corporate taxes only the thenet thenet net tet profit on total gross production was 36 16 per cent Should an Inquiry be be made rondo as to per percent percent cent of the gross mine dollar he said saidU It U it Is found that Is spent for labor I material supplies and In the payment of tho the numerous taxes other than the i straight federal corporate tax Material and supplies have been called canned Scanned labor hence by far the greatest part of of the gross mine dollar Is spent for labor Legislators and tax gatherers he lie ad ad- added added I ded do not know this or If J they do I they utterly fall to properly use that knowledge In formulating mining tax laws Attacking the Federal deral F Undistributed Profits Tax he declared Consider for a moment the Federal Undistributed 1 Pro Pro Pro- t fits Its Tax It adds to treasury receipts it puts a good deal of money In circulation circulation tion and It may tend to restrict stock manipulation In tho realms of high fin fin- ance But Dut Its Ita application to our operations opera opera- operations operations Is discouraging destructive and un un- necessary Surplus earnings must be con 1 con con- conserved served to meet adverse economic l condl-l condi- condi The chaos from which It Is said wo are now emerging furnishes a striking I example of how metal miners use their reserves to maintain employment when men were desperately but vainly seeking I Isome some work which would furnish food I Ifor for their families These reserves kept many payrolls alive when production was wasa a losing game The non-ferrous non metal mining Industry as a whole reduced sur sun surplus surI I plus more than 50 per cent Individual mines s completely exhausted money re reserves re- re reserves reserves serves and actually depleted capital In itt order to keep men at work Under this undistributed profits tax law these emer emer- emergency emergency emergency gency reserves cannot be restored except by the payment of a heavy tax tax tax-a a pen pen- penalty I I If J please for funds runds to meet the necessity ne of f our workers i NeV Ne mining ventures the ventures the development of new mineral area are heavily handicapped l handl-l I handl-I capped by this law Thus the perpetua perpetua- perpetuation tion of or the Industry Is threatened by this unnecessary and unjust addition to the natural risks of mining The application application cation of this law sacrifices future re 1 re- re returns turns turna to the federal treasury for present and temporary revenue I Mr Perry Ferry charged state legislatures l with raiding the mining Industry as a source of easy e sy money without sufficient understanding of the mining problems nor effect e t of such auch raids upon the indus Indus- IndUS IndUS-I try I I Unleashing an attack upon the tax on mine gross Income enacted by a number of state legislatures he be said the tax taxI taxis I Is a vicious and destructive tax The I principle Is uneconomic especially as I applied to UY tomines mines and since the rates are aro subject to change chango by any session of the legislature stability has hIlS gone with I the wind It l La is bad enough when wh n ap- ap applied plied to profitable mines but when I I applied to mines producing substantial j tonnages of ore but without one thin 1 I dime clime of or profit this law la is destructive Ii I to tho the last degree It la is a red nd light to all capital warning It to keep out It effects i adversely ad mining and marketing mar mAr- marginal ginal sinal ore It curtails development d it discourages dis dia- prospecting It definitely re re- re duces employment and la is destructive to the tho welfare of 01 the states' states population so 50 many man of whom are arc directly dependent on this thU Industry for their livelihood es especially es- es In these mining areas arens Concluding hr be- stated The whole matter of Justice or injustice of any an given mine tax law 14 revolves re around the answer to the question Does It fit tit the singular and unusual nature nature- of th the non ferrous metal mining Industry Moreover knowledge knowle of or what becomes ol ot o the gross mine dollar ana anc what a II small percentage of 01 that dollar doUar represents represent pro pro- profit profit fit to the miner will simplify and clarify many perplexing phases of mine taxa taxa- taxation tion |
