Cable Companies’ Monopolistic Role Criticized

Re Cable Firms Lobby Board in Fight with Tax Assessor (May 10): If your article is correct and the cable companies are being taxed for their corporate good will, the assessor’s office is out of line.

According to the California Legislature publication “1989 Revenue and Taxation Reference Book,” Chapter 4, Page 172, paragraph 4: “It has been pointed out earlier in this chapter that the property tax applies only to tangible property; intangible property is not taxable. Examples of intangibles, which are not subject to the property tax included general franchises, patents, good will, etc.” The assessor assesses only the real property, the land only, not the good will and intangibles involved in the property.

I find it difficult to understand how the assessor’s office can continue to hold its line on taxing the cable firms for other than the real property owned.

Shocking it is that the assessor’s office thinks that the taxes levied on commercial property are not passed on to the consumer. The statement attributed to Deputy Assessor Ronald Cooper shows an infantile knowledge of the business process. His assumption that the numerous calls and letters were overwhelmingly “very anti-cable” is an incorrect assumption on his part. The people complaining that the tax had been passed on to the consumer does not draw a conclusion that the people are anti-cable. A more appropriate assumption would be that the people are very anti-tax.

The consumer pays all taxes levied against business, and the people had best wake up to the fact that any tax is a tax on the people.

JACK PETTY

La Palma