Newport Daily Independent

Ask Attorney General's Opinion. Special to Independent. Little Rock, April 30.--A delegation of foreign insurance men called on Attorney General W. L. Moose Tuesday afternoon and requested an opinion as to whether reinsurance companies, which do nothing but reinsuring for other companies, will be taxed one and a half per cent, as all licensed companies of the state, or, a tax of 5 per cent in addition. The additional tax is that which is imposed upon unlicensed companies doing business in the state. The question arose over the placing of much of the business of the reinsurance companies with "treaty companies," by which name the companies of Russia, Austria and countries of Europe which invest heavily in American business, are known. These companies are, of course, not licensed to do business in Arkansas, and as they handle Arkansas business almost direct, there was a question of them being involved for the additional tax, which would make companies of this character pay 6 1/2 per cent annually. Attorney General Moose requested time in which to look fully into the matter, on account of the importance of the question.