Knoxville daily chronicle. [volume] (Knoxville, Tenn.) 1870-1882, 1882-03-24

GREENHv1LLE, TENN, March %, 1882.
Mr.. EDITOR 1t is assumed in the col
umns of the CHRONICLE that the Legislature,
at its coming extra session, will reduce the
tax for State purposes, and fix it at about
ten cents on the one hundred dollars worth
of taxable property. This assumption is
based on the fact that the Supreme Court,
having declared the act to compromise the
State debt unconstitutional, it will not be
necessary to collect the tax assessed to pay
the interest on the compromise bonds, as
provided in same bill.
The Governor, in his proclamation con-
vening the extra session of the Legislature,
has, in the second item of business, given
the Legislature the power to reduce the
State tax, but we need not infer that he ia
vors such reduction. 1, for one, think it
would not only be bad policy, but wrong in
principle to make such a reduction.
By referring to the rate of State taxation
in other States, it will be seen that in one
Southern State, Delaware, no tax is collect
ed off property, but the entire revenue is
collected from privileges. Of the other
Southern States, only one (Maryland,) has
lower rate of State tax than
Tennessee, and only one 9th
er West Virginia having as low
| a rate The rate of State taxation in the
other Southern States varies from 1925 cents
! in North Carolina, to 70 cents in Florida
1t cannot be forgot that although the COM
promise bill is declared unconstitutional,
this did not pay the State debt. However
much this debt may be scaled in any future
compromise, the interest now accruing will
be taken in consideration in making the
compromise. There are a few men In the
State who are politically SO dishonest as to
favor total reputation, but the man
who believes that Tennessee will ever be SO
dishonest, does not stndy well the signs of
the times. Why then should we allow the
debt toincrease, and not prepare, while we
can, fund with which some portion of il
may in the future be paid?
The taxes for the years 1880 and 1881
were in some portions of the State OPP
pressive, but were paid more promptly thar
any taxes ever before collected. We entel
on the year 1882 with tax, as before
shown, which is not oppressive. The PEG
pie of the State are financially in better
condition than ever before The indica
tons are that we will have bountifu
harvest, and that the peopl
Will po nuaucldlly prosperous uutA'l
the year. These to my mind are suficien
reasons why the taxes as now due, shoul
be collected, and although they cannot b
applied as intended, they can in the futur
: be applied in payment on such comprc
mise as may hereafter be made.
, But the question is asked what shall b
g done with the money? We do not fave
locking the same up in vaults or loaning
without interest to banks but this would
!. better THAI not having it at the propt
time If the comptroller and treasure
could be so authorized, 1 would favor the
going on the market and buying at tt
best terms possible, State bonds with tt
surplus tax of 1882. By SO doing,
l present ruling prices, he could buy two al
r one half million dollars in bonds, and
~ this way reduce the State debt from twent.
y seven to twenty-four and one-half millie
# dollars A. B. WILSON.