Omaha daily bee., 1897-01-08
DEFECTS IN THE REVENUE LAWS.
FniI to Meet state Requirements and
Produce Unequal burdens.


II seems imperative that some action
should be taken by the legislature providing
for better method of levying and collecting
the revenues necessary for the proper con
duct of the governmental affairs of the state.
The imperfections and laXity of the pro-
visions Of the present law for levying and
collecting taxes to meet current expenditures
and the still greater laxity in enforcing these
imperfect provisions OF law have brought us
face to face with a condition o. affairs that
renders It impossible to conduct the business
of the state without much embarrassment.
needless cacriices and ever-increfslng foa!irg
Indebtedness. Any wise financial policy
quires, in my opinion, the collection of
revenues sufficient to promptly meet ex-
penditures necessary to be made in the con-
duct of the states business. Any other plan
ultimately works increased hard5hips and
renders excessive the expenses of state gov
ernment because of the uncertainty respect
ing the satisfaction Of the obligations created.
The very fact that property is assessed at so
much less than its true value renders 1t
very probable that great inequality exists
in distributing the burdens Of taxation. The
man of moderate means Is doubtless as
Sessed for much nearer the true value of
his property than the individual having large
interests, and, while the approximate per-
centage of the assessed valuation as COM
pared with the actual valuation of property
Is but little less than one-eighth 1t Is more
than probable that the taxpayer with small
means and whose property is easily ascer-
tained pays on much nearer one-third of its
value while other large property interests
escape with an ASSESSED valuation at nearer
one-tenth or one-twelfth of the actual value
1t appears to me there are two principal
objects to be secured in obtaining public
revenues in support of government. The first
Is that property OF every description except
that which is especially exempted by law
shall he subject to the same burden of tax
alton according to its value and this rule
should be invoked with absolute uniformity
and with ample provisions to prevent any
assessable property from escaping taxation.
Second, these burdens should only exist to
the extent necessary to support the govern
ment, administered with honesty and rigid
economy. When these two objects have been
accomplished, in whatever manner II may be
deemed best, there Is no just reason for
complaint upon the part of any
Our law provides that personal property
shall be assessed at its fair cash value and
real estate. other than leasehold estates, 'at
its fair value, estimated at the price Il
would bring at voluntary sale
one-third cash and balance secured by mort |
gage upon the property" This as every
one knows, is not done, but, on the contrary. |
the less the value placed on the property |
for assessment purposes by the officer having |
in charge this branch of the business |
seems to render him much more popular !
than II he had performed his full duty and |
assessed the property as the law provides !
remedied and what provisions If any shall |
be made locking toward a more stringent |
enforcement Of the law as now existing Is |
for you to determine. II property be as |
sessed at too low valuation tho rate of the |
tax .leyy is correspOndlnglY increased. The |
system Of low valuation and high levies |
creates an erroneous impression in the minds |
Of many regarding the property values and |
the seemingly heavy burden of taxation in |
tho state.
CONTEST OF ASSESSORS.
An assessment upon property at its fair |
valuation would render tax levies exceedingly |
small, well as give less opportunity for |
differentiation, because of the fixed and |
certain standard obtaining, the one and only |
question being whether the property has |
been assessed at a fair value. II Is doubt |
less true that a constant and continued de- |
crease In assessment values has been caused !
In order that one community or county |
might not be compelled to contribute more
than It's Just proportion 10 the states rev. |
enues. Thus constant struggle Is con-
tiuually going on among assessing officers !
to value their property as low or lower than |
the valuation placed by any others. 1t is !
also quite apparent that the low assessment
OF property is some protection to the people |
in order to prevent extravaganza In the CON
duct OF the business OF discussing the pub
lie revenues. With low assessment and |
limits as to the rate of the levy the people
have some protection against wanton eN-
the duties of managing the peoples business
in different capacities, whore the disburse-
ment of revenues forms an important part
OF their duty. In investigating this sub
ject have secured great deal of valuable
information from other states which / will
take pleasure in placing at the disposal OF
this body or any committee which you may
select to consider this important subject.
/ also, In this connection, desire TO call |
your attention to the provisions OF law re-
specting the method OF levying and equallZ-
Ing the value Of property assessed for the
purpose of raising revenues for state eX-
pendltures. The law provides that the gov
ernor state auditor Of public accounts and
treasurer "shsll constitute the state Board
OF Equalization. And II shall be
the duty OF said board 10 examine the various
county assessments. and to decide upon the
rate OF the state tax, the state school tax
the state sinking fund tax. to be levied for
the current year together with any other
general or special taxes required by law to
be levied. and &c squaiiZe and make the
levy OF such taxes throughout the state; but
such equalization shall be made by vary
ing the rate OF taxation on the different
counties In case the said Board OF .Equallza-
tion is satisfied that the scale OF yaua-
tion has not been adjusted with reasonable
uniformity by the different asseSsors."
II further provides that "the rate OF the
general state tax shall be sufficient TO realize
the amount necessary 10 meet approprla-
tIons made by the legislature, not exceeding