New-York tribune., 1900-01-13

So far as yet appears the Joint Committee
on Taxation, from which so much was
hoped in the way of thoroughgoing and
scientific reform has confined it's attention to
the comparatively trifing item of State taxa
ton If this Is to be the limit Of its labors 1t is
TO be feared that the average citizen will awake
to a new and disappointed view Of its functions,
for the common understanding at the time Of its
creation was that 1t would attempt to bring
about more equitable taxation as between indi-
viduals not merely as between sections OF the
State and its different governmental organiza-
tlons Indeed, legislators themselves urged In
opposition to the Franchise Tax law to distrib
ute the local tax burdens that this subject would
properly come before the committee and its
study of the whole vast subject should not be
anticipated. Inasmuch as the committee has not
yet officially made its report much less been dis
charged from further labor. 1t may be that the
question Of local taxation will hereafter be con-
sidered Meanwhile it is worth while observing
that many OF the defects in the present method
OF State taxation which are pointed out in what
is said to be the report of the committee are
equally to be found in the method of local
taxation.
Direct State taxes are now merely percent
age of the local taxes. That is, the assessment
for both is the same, and the local tax rate is
merely increased by the trifing percentage
quired by the State. Therefore any existing in
equality or injustice in the assessment will still
remain, even If direct State taxation be en-
tirely abolished If any class of property bears
an unfair burden it will continue to do so. This
published report points out how mortgages are
now legally taxable but practically exempt, and
notes that
In the few cases in which property in mort
assessment
rates operate with great and undue severity.
Sometimes more than 80 per cent of the income
has to be turned tax
These cases of extreme hardship are usually
those where trustee or executor is taxed for
them. A body OF our citizens who least able
to support themselves depend upon their slight
income for their subsistence. The property is
usually brought TO light in the Surrogate's
Court and is easily placed the roll. That
these classes of persons should be assessed at
the rate of 90 per cent of their income. while
the great masses of mortgages escape is
glaring injustice. and one in which the appeal
for relief at the hands Of the Legislature as
shown by the correspondence Of the committee
must not be denied or delayed.
This, of course, is perfectly true. But it is
equally true OF all personal property in the form
of securities The widows per cent railroad
bond which comes TO light in the Surrogates
Court is treated as badly as her mortgage Her
income is taxed 80 per cent 1t is proposed to
do away with this inequality with regard to
mortgages by taxing them all for State purposes
and eXempting them from local assessment
But that only takes the unjust burden off a few
shoulders while leaving it with exaggerated
weight on the remaining payers of personal
taxes. The local assessor will continue to
gather trust securities into his net and make
the widows and children and persons of small
means whose invested source of income Is a
matter OF public knowledge halve that income,
while the rich men with thousands in bonds and
stocks whose active business gives them con-
venient debts and favors concealment will
escape without any levy on their personally
Everybody knows that this is the way the law
now works Washing the States hands of it and
saying 'the entire responsibility will be centred
upon the local officials is merely begging the
question of tax reform The local officials do
not make the tax laws. That is the business OF
the Legislature, and cannot be eyaded by 1t. The
State should provide tax system under which
such inequalities would hardly be possible. much
less necessary. AS 1t ls the best local officials
cannot make q fair assessment. The more they