Fort Worth gazette. [volume] (Fort Worth, Tex.) 1891-1898, 1892-09-11
TAXATION.
THE METHOD IN PENNsYLvA-
NlA-AN IDEA OF


UNITED States lnvestor)
In order to grasp an idea OF the pc
culiarities Of the system Of taxation
current In Pennsylvania, few very brlei
references TO the early history oil the
state are indispensable.
The study Of the economic institu-
tiOns OF Pennsylvania is especially in
structive because 1t has not kept so
closely 10 the beaten track OF the older
states OF New England and the South.
The people OF Pennsylvania carly In
this century we're opposed TO taxation
and expected 10 the near future to de-
rive the entire income OF the state
from the appropriation Of natural mo-
uopolies.
There was time in the history Of
Pennsylvania when the Legislature SCI
riously contemplated the feasibility Of
paying the interest on its debt with
The premiums realized on new loans.
This crazy scheme, which seems 10 us
now little worse than the endow-
ment fallacies, was 50 strongly fixed in
the minds Of the people that Gov
Wolfe, in 1881, actually found it nee
cssaiy In his annual message to Sc
riOusly protest.
Speculative mania reminds us how
irrational and dishonest communities
and individuals mHy' become. During
the decade between 1880 and 1910, the
entire community OF Pennsylvania lost
its head in the widest kind Of state
spoculatiun which eliminated in pruc-
ticul reputation Of the state debt in
1874, which brought out the famous
letter from tho Rev. Sidney Smith TO
Congress, OF which tho following quo
tation gives the most vivid idea:
your petitioner lent to tho state Of
Pennsylvania a sum Of money for the
purpose of some public improvements.
The amount, though small Is to him
important, and is a saving for Il life in
come, made with difficulty and priya-
ton. II their refusal TO pay from which
q very large number OF English families
are suffering had been the result OF
war, produced by the unjust aggression
of powerful enemies; IL it had arisen
from civil discord; il 10 had proceeded
from an improyident application Of
means in the first years Of self-goyern-
ment; if it were the act Of poor state,
struggling against the barrcnness Of
nuture-cyery frioud Of America would
have been cOntontcd to wait for better
times; but the fraud is committed in
profound peace, by Pennsylvania, the
richest state in the union, after the
wise investment Of borrowed money in
roads and canals, Of which the re-
pudiatOrs are every day reaping the
advantage. 1t is an act of bad faith,
which, all It's circumstances considered,
has no parallel and no excuse"
This letter, written in 1919, produced
II profound sensation. Whether or NOT
it was the cause OF the resumption acts
is uncertain, but since lsi1 Pennsylya-
mia has paid its debts and its credit has
been beyond question,
THE COLLATERAL INHERITANCE TAX.
This tax was introduced in 1926, to
supply revenue for the internal inn
provement fund. With the exception
OF the tax on the recording OF various
legal papers, it is the Oldest state tax
In existence II was formerly collected
by the county treasurers, but, in order
to make itmOre efficient, its collection
was intrusted to the registers Of wills,
by act of April 10, lSi0 The rate is b
per cent on estates passing to collateral
heirs. The revenue from this tax was
SlS,GS6 in 1880, $3.50 in 1910, SlO2, 2N5
ia 1850, Slij, SIG in 1860. and 1892 g76 in
1856. Since 1856 revenues have been us
follows; 1887 S7G3,S7l47; 1883, S7l3,-
434.ll; 1850, Sl,37S, 4587l; 1890, $3.50
57l.l2; 1891, sl.232, 766sO; 1892, lup to
August a0O6, $50, 20; total from 1886 to
August, 1872, So, 32S. 7O6O2.
Personal taxes are, TO large extent
collected by means Of the county ma
chmery, and no account Of taxation in
Pennsylvania would have any pretence
TO completeness II it did not say some
thing about
THE COUNTY SYSTEM.
The first movement OF the machinery
Of local taxation began when William
Penn changed the local unit-when the
county swallowed the township.
The court OF each county had power
TO assess ,such taxes rs would defray
expenses. One-half was laid on lands:
une-half was raised by the poll tax, or
on males between leland 90 In 1893 q
method OF assessment and collection was
adopted, which is tho direct predeces-
son Of the present system. ANY two
momberT Of the assembly, within their
respective counties, were authorized TO
call TO their assistance three Justices OF
the peace, or other Substantial free
AANAAtN#lHs 20 stAN as de'No1NI1t anu lIltN
were to appoint receivers or collectors.
The constable was TO certify to the as
SCISSORS the names OF taNables, and the
assessors valued their real and person
al estates with duo regard TO unprohta-
bic lands The taxes We're paid TO the
receivers, who reported to the assem-
bly,, and paid the money received to
the county treasurer. A little later
the Justices were authorized to estimate
the county charges every year, and Ia
authorize the raising OF such amounts
as We're presented by the grand Jury.
Money required for the support Of the
poor was to be first paid.
by the last constitution lS73l It was
provided that three commissioners
should be elected triennially in eiph
county, beginning with the year lS75.
These commissioners are supposed tn
represent the minority, as each eieetor
votes for two commissioners. on the
issue OF the commissioners precopts To
the asscssors OF the respective town
ships wards and districts, tho latter
must make ont and return within sixty
days, list OF the names Of all the tax
able persons v'ithin their Jurisdiction.
and Of all property taxable according to
law, together with a just valuation Of
the same, wAich holds until tho next
t-ionnial assessment, tho first triennial
assessment dating from 1876. At the
time of issuing their prcoepts 10 the
D.. q