The Hawaiian star. [volume] (Honolulu [Oahu]) 1893-1912, 1905-04-22
TAX BILL
IN THE SENATE
LBVIES A TAX ON ALL REQUESTS
TO THOSE NOT OF KIN TO
DECEDANT.

At the opening of the session of the
Senate this morning, there was the
usual batch of communications from
the House among them the bill fixing
the flash test for fuel oil at 100 degrees
The House bills sent up passed first
reading by title, taking the ordinary
course.
From the special committee on the
liquor bill, Dowsett presented a report
amending the bill so as to provide that
in order to secure a license, the appli-
cant must secure the written consent
of two-thirds of the property owners
within $50 feet i'm all directions from
the premises where it is desired to sell
liquors There were some minor amend
ments. The report was laid on the
table to be considered with the bill.
Hayselden y introduced a concurrent
resolution calling upon the Attorney
General to secure a true valuation of
the Honolulu Tramways property ac-
quired by the Rapid Transit, and as
certain whether the Rapid Transit has
forfeited it's franchise, taking steps to
secure the rights of the Territory.
Achi moved to amend by instructing
the Attorney General to find out whe-
ther the actual capitalization of the
Rapid Transit covered the cost of the
property, and 25 per cent more. This
he said, was i'm order to comply with
the law.
The amendment was beaten and then
the vote came on the adoption of the
resolution, Bishop asking for the call
of the ayes and noes. Only two votes,
those of Dickey and Bishop were cast
against adoption.
Senate bill LOG, to repeal a section
of the Revised Laws, passed second
reading. The bill repealed is that
prescribing punishment for the viola
tion of market ordinances.
Senate bill 1870, the inheritance tax
bill, was read for the third time.
Achi moved to amend by fixing an
exemption from taxation amounting
to $4,000 and Dickey moved an amend
ment making the tax that woulr fall
directly upon the next of kin one per
cent. Dowsett argued that two per
cent would be fairer
The vote came first on the Achi
amendment and this carried. Then
the vote came on the Dowsett amend
ment fixing the tax rate at per cent
on inheritances, and it carried.
Bishop moved an amendment cutting
the inheritance tax from ten to five per
cent for legatees not of kin to decen-
dents, saying that it amounted almost
to confiscation.
Dowsett argued that the higher rate
should be kept for the reason that the
tax would fall on the rich and the
richer the man was the less he would
feel the tax. The Territory needed re-
venue, and this law would levy a just
tax the Treasury was being cheated
out of now The law covered both be-
quests and gifts made before death.
Bishop once more protested against
the high rate and Achi said that the
law was right, but could not be en-
forced A rich man could put his es-
tate into a corporation, and give his
family the stock before he died, and Sc
the law could be evaded. The only
way to reach this would be to put a
stamp duty on deeds to estates. Other
wise, no law could put a stop 10 the
practice of deciding estates before
death.
The vote came on the Bishop amend
ment and it was lost.
Dickey moved to amend by a graded
tax of per cent on legacies or gifts
below $4,000 and ne per cent on higher
amounts, but It was lost.
Dowsett moved an amendment Of the
title making the act more sweeping il
its provisions, so as to reach all classei
of gifts and requests.
This met with a great deal of dis
Jcussion, al the midst of which BishoI
lmOved to adjourn. This was amended
ITO motion to take a recess until 2 p
m. which carried.
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