The age-herald., 1897-11-13
A Tax Experiment..

The Massachusetts tax commission, composed of eminent lawyers, college professors and statesmen, recommends the following changes in the tax system of that state:
 l. An inheritance tax levied with re- spsct to realty as well as to personality at the rate of per cent, with an ex- emption for estates not exceeding $10,- 900, and an abatement of $5,000 on estates between $10,009 and 1000, the revenue from this tax to be distributed from the state treasury among the several cities ard towns, one half in proportion to population, one-half in proportion to as- sessed valuation.
 ?. tax in proportion to house-rentals, only the excess over $400 of rental being taxable.
 tangibls personality such as stocks, bonds securities, loans or mortgages, in- come; the taxes recommended under and being relied on to yield at least as large revenue as is now secured by the taxes to be abolished.
 4. Assumption by the state treasury of county expenses.
 5. Appropriation by the state of the revenue from taxes on corporate excess, now distributed among the several cities and towns
 The most striking feature is the pro- posed tax on rentals. The idea is that it is in the nature of tax on incomes. The report of the commission says:
 It is based on the idea that some con- tribution in proportion to income en- joyed would be a desirable addition to the tax system of the commonwealth" !" Hence they propose tax on all persons occupying dwellings of an annual rental of more than $400 at the rate of 10 per axat hn nf a voIt an that sum. The tax is on the occupier of a dwelling and of a dwelling only. Houses or parts of houses used for busi- ness purposes are in no way affected by it. The tax is to be levied on the occu- pier whether he be owner or tenant If owner. it is a tax on his general income, additional to the direct tax which he pays as owner of the house. If tenant, it is again a tax on his general income, separate from the direct tax which the landlord pays on the house. In either case, 1t is a tax on presumed or esti- ma ted income, proportioned. in the man. ner described, to the expenditure for dwelling accommodation" The report argues at some length upon the essential justice of such a tax The tax is in operation in England and France, and works successfully.
 It is presumed that the person who can afford to live in a house whose rental amounts to over $40O has an income in proportion that should pay tax. As a matter of fact, however. thousands of persons in this country live in houses with big rentals. when their incomes are small. They want to make a show and stint themselves in many ways to live in g. fine house. As the tax is in- tended to reach incomes, why beat l around the bush? Why not adopt a straightout income tax lava graded tax, such as Thomas Jefferson advo- cated?
 There will never be just system of taxation until incomes are made to bear their due proportion of the burden. Il | Is unjust to tax a man because his prop l erty is visible. In the shape of real es. | tate, and allow his richer neighbor to escape. because his income comes to him in the shape of interest and dividends. ! A regular income tax would be in ev.