The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1903-08-18
Is Applied With Partially.
Taxes Exempted Property,
Imposes Double Taxes,
and Provides insufficient
Revenue.
STAR CHAMBER RECORDS
GENERALLY OPPOSED
Collections Fall From ST.
100000 Anticipated, to
Less Than $500, 600
Particular Objection to
Heirloom" Tax.

~-A Twin Aahs
The personal tax system, as Develop
ed from the law Of Ieo2, is open to CO.
tain inherent objections which may be
expressed in five general propositions:
First-It works inequality in assess
ment and discrimination among the
persons taxed.
Second-The assessment schedule
calls for what is not taxable in the law,
even by implication.
Third-The workings of the system
result, in some instances, in double
taxation of the same property.
Fourth-Access to the books and rec
ords of assessment by the persons taxed
IS withheld.
Fifth-The law provides only a por-
ton of the revenue for which it was de-
signed.
II the first instance. all tangible per-
sonal property is listed at a fair valua-
ton" by its owner on schedule pro-
vided for the purpose by the tax de-
partment. Each property holder is en-
titled to an exemption of $1,000, those
having an amount less than that being
free .roIn assessment.
This plan at the outset opens the way
for inequality 80 assessment between the
-eonscientfooz titizen snd the citizen
without scruples. There is no shadow
of doubt that many hide behind the
$1,000 exemption who ought to be as
sessed. Moreover. in striking the ball
ance of $1,000 by those whose posses
sions exceed that amount allowances
differ widely.
Many Returns Rejected.
In. the fiscal year recently closed the
personal tax appraisers rejected some
SEQ returns made by citizens. viewed
their property and increased their as
sessments. Several hundred others
sought to evade the law and made no
returns. These were later brought TO
book and in most cases assessed higher
than ether citizens with the same
amount OF property who made returns
This inherent fault of the system leads
to most of the inequalities in the as
sessment
The work of the Board of Equalization
and Review results in other inequalities.
These occur chiefly in cases where first
returns are rejected. the assessments
raised, and appeals taken TO the board.
Under these circumstances a number OF
taxpayers last year succeeded in lower
ing the assessment on their property.
Others for various reasons did not ap-
peal TO the board and paid the high as
sessment.
In still other cases the time OF the
assessment and that of the sittings OF
the board were such that no appeal
could be made. One case has been
brought to notice. where the first
return was revised. and the owner or
assessed on q basis OF $40. 600.
Owing to the lateness of the time when
the notice of the new assessment was
issued a penalty was attached raising
the amount to $4,000. on which a tax OF
$3.50 was paid Thus the system extorted
from this man at least $3.50 more than
from another citizen with the same
4mount of property.
Discrimination in Tenements
BY a ruling of the Tax Department
there can be only one exemption in the
same house. For example. IL the owner
or lessee of a dwelling sublets q por-
tion of his house to one or more families
who have household effects. only the
owner or lessee can claim the 81 900 ex-
emption. This feature of the system
has worked hardship in a great number
OF instances.
In one case a citizen had two sisters
who lived In a portion of his house, and
were otherwise dependent upon their
own resources for a living. The owner
was allowed the exemption. the women
were not. though they had much less
property than their more prosperous
brother.
The manifest injustice of this feature
Of the system is further illustrated by
the fact that there is an apartment
house IN the same square. in which ev-
cry family is entitled TO the exemption.
This ruling Is an extreme interpret2-
ton OF the words. owner OF a house."
which Congress never contemplated, and
which would probably not stand Ia
equity court for an instant
Schedule Transcends the Law.
In a few important particulars ths
schedule prepared for the listing OF
property goes far beyond the meaning
and intent OF the law. Among the sx-