Evening star. [volume] (Washington, D.C.) 1854-1972, 1902-04-09
PERSONAL TAX BILL
Reported to the Senate by
Senator Mcmillan.
MANY CHANGES MADE
AN INCREASED AMOUNT OF
PROPERTY EXEMPTED.
Tax on Trust and Loan Companies
Modified, Also the Tax
on Brokers.
MANY CHANGES MADE

the committee on the District of Columbia
the personal tax bill introduced by him on
April l. There are several changes in the
bill as the result of it's discussion by the
committee and suggestions made by differ
ent citizens. AS introduced the bill ex-
empted personal property to the amount of
500, this exemption being increased in the
bill as reported to $3.50 by the following
provision:
THE following personal property shall
be exempt from taxation:
First. The personal property of all IL
brary. benevolent, charitable and scientific
institutions incorporated Under the laws of
the United States or of the District of Co.
lumbia
Second Library or school books of the
value of $50; the personal wearing apparel
of every individual, and all family por-
traits.
Third. Furniture and utensils in use in
any dwelling house of the value of 500;
musical instruments not exceeding in value
$3.50, and other personal property owned
and used by any householder in connection
with his house or business of the value Of
5000.
Fourth. Personal property not in said
District and taxed elsewhere, but owned
by persons domiciled in said District
These exemptions are the same as are al
Tax on Trust Companies.
The tax on trust and loan companies is
modified by the following provision:
THAT each loan and trust company or
ganized under the act of October 1, 1890,
shall during five years succeeding the date
of Incorporation pay the taxes now provided
by law; and thereafter shall pay the taxes
provided in this act
The above provision made In view of
the presentation made to the committee in
relation to the Union Trust and Storage
two years. 1t was stated to the committee
that this company last year made S2S,0 600
profit on a total capitalization of 81 go, 600,
and that under the provisions of the bill it
would have to pay $4,000 in taxes, which
the company regarded as excessive. The
attorneys of the company represented that
during the first few years of the organiZa-
tion of such a corporation, while a large
capital is required under the law, yet
comparatively small profit is secured for
which reason it was thought conce ssion
should be made
The discussion of that question also
brought OUT the suggestion that if a trust
company were taxed during the first year
of it's business career as heavily as a COM
pany fully established in business the re-
suit would be to practically give the old
companies a monopoly of the business, as
the tax would seriously obstruct efforts to
form new companies.
Vessels and Boats
Added to the articles to be taxed in the
bill as reported are vessels, ships and
boats so that paragraph reads as fol-
lows:
"On all tangible personal property, as
sessed al a fair cash value lover and above
the exemptions provided in this acD, in
Guiding gold, silver, plated and china ware,
jewels, watches, pianos, musical instru-
ments, vessels, ships, boats, tools, imple
ments. horses and other animals carriages,
wagons and other vehicles, shall be paid
to the collector of taxes of the District of
Columbia an amount equal to fifteen dol
lars per thousand dollars on the assessed
value thereof"
Tax on Brokers.
The tax on brokers is modified to ex-
empt those who deal on the exchange, but
who do not maintain an Office. This pro-
vision, as modified, is as follows:
General brokers shall pay tax Of $500
per annum. Every person, firm, company,
or association not incorporated Except in
surance and real estate brokers acting as
SUCH that maintains an office for the trans
action of the business of soliciting from
the general public by advertisement or
otherwise and that purchases, sells or ne
gotiates for others securities, shares,
stocks, bonds, exchange. bullion, coin,
money, bank notes, promissory notes,
or who deals in futures on market quota
tions of prices or values on merchandise
shares, stocks bonds, or other securities, or
accepts margins on prices or values of said
shares, stocks, bonds, merchandise, or Sc
cUrities, shall be deemed general broker"
Report of Committee.
The report of the District committee on
the personal tax bin follows:
The estimates Of the Commissioners OF
the District Of Columbia for the fiscal year
ending June 3d. 1903, call for an expendi-
ture of SO, Al ,4S1.97 of which amount one
half would be payable from the treasury,
and one-half from the revenues Of the Dis
trict of Columbia The amount appropriate
ed for the current fiscal year was $S197,-
6CS.97, one-half of which sum, or 81, O98, S04,
Is payable from the revenues Of the Dis
trict. The revenues of the District for the
fiscal year, 1901, were 1887 ,635; and for
the current year the amount will not ex-
coed S,5O0,OOO. The deficiency in the rev.
enues for the fiscal year. 1902, is estimated
at $1,3OO,OOO which will be further In
creased, owing to payments for street ex-
tensions. by 81 1877 600, making a total OF
$2,4S1.OOO OF the amount paid for street
extensions 100000 will be returned within
five years; so that the total deficit amounts
to 81 SS7 600
while it is true that there are extraor-
binary items entering into the above ac-
count, such as payments for the compile
ton Of the sewerage disposal system and
lOI d ySteHl VI ultTdtlOH, the TACT remains
that the needs of the District of Columbia
for many years to come are of a character
to make necessary the raising Of larger
revenues. 1t Is quite within bounds to say
that the normal expenses Of the District Of
Columbia for the next five years will call
for annual appropriations Of at least So
100000, of which amount 81, 500, 600 must be
paid, under the organic law, from the rev.
enues of the District of Columbia.
Extraordinary expenses (such as the
completion of the sewerage disposal and the
filtration systems, the new bridges already
provided for, the municipal hospital, a Dis
trict building, the elimination of grade
crossings and the reclamation of the Ana
costa flats. and the payment of the pres
ent defiiciD will call for about So, 515 600
to be raised by the District.
Finances of the District.
THE finances of the District from 1889 to
1900, both years inclusive, show SURPRISES
for each year except 1892, which shows a
deficit of but $5.0Ss.O4. after paying $780,
600 for the purchase of Rock Creek Park,
and $50 900 toward the Grand ARMY en-