Evening bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1895-1912, 1905-02-04
TO DRAW NEW TAX law
COMMERCIAL BODIES
IN JOINT COMMITTEE
EVIDENCES OF WEALTH SHOULD
NOT BE TAXED - ONE PER
CENT. OUGHT TO BE
SUFFICIENT.

lover 10 JOlut COInTnltlee 10 De seleCl-
ed by the Association. Chamber Of
Commerce and Hawaiian Planters As.
ISOLATION. The tax committee Of the
Merchants Association will act with
those appointed by the otner bodies
mentioned. It is the general desire to
prove satisfactory to all commercial
interests.
The secretary OF the Association was
instructed to notify other commercial
bodies of the action taken at the meet
ing of yesterday.
II was the object of the meeting to
consider the report of its committee on
taxation. j. Wakefield. II. +. Wichman
land 7. J. King. The latter did not sign
the report submitted. The gathering
icf members was smaller than was de-
sired President Smith referred to the
report of the committee having been
published and having caused great
deal Of comment, favorable and crti-
loal.
a member of the committee having
lreceived q letter from Mr.. Bowen on
the subject. Secretary Trent read the
communication which is given below.
Mr. Wakefield said that In the report
no attempt had been made 10 draft q
tax law, the idea had been to furnish
suggestions.
The committees report was taken
up and discussed by sections.
Mr.. Bowen suggested that II the idea
of aggregate values" was done away
with in the tax law II might be found
that a one per cent tax would not be
ienough to run the government. Still.
one per cent should be tried for. Pres
ident Smith thought II the government
needed more than one per cent to run
on 1t should reduce its expenses.
Mr.. Bowen strcnuously maintained
that there should be no provision in
regard to the taxation Of mere EVIL
dences Of wealth, unless to exempt
them from taxation. Public stocks and
bonds should be exempted.
President Smith had found that tho
section giving Tax Assessors access "
books had met with unfavorable com
ment. lie said 1t was designed to reach
the small Asiatic element. Assessors
would not likely insist upon eXamin-
ing the books Of firm Of the stand
ing OF Castle 4 Cooke, for example.
1t was on Mr.. Bowen's motion, Sec
onded by Mr.. w. w. Harris, that tho
joint committee action, as noted above,
Was taken.
Honolulu, February 2, 1905.
Mr.. George W. Smith, President Mer-
chants Association.
Dear Sir: Referring to the report Of
your committee appointed to deal with
the Suggested Amendments to the
Present Law Providing for a Tax on
Real and Personal Property" | write
MS follows:
/. A Minor Criticism-Paragraph
No. 0 of the report should he placed as
No. 4, because the Definition" Of
personal Property" should come be-
fore any law upon the subject.
2. Definition of Personal Property
In the definition OF personal property,
there should be no reference to public
stocks and bonds" other than Of spG'
c!hc exclusion character. The Law
should clearly state that all property
must be material and tangible, and,
Us such, both real and personal, should
be taxed wherever found, always ex-
elusive, however, of notes, mortgages,
deeds. or other title papers, book ac-
counts. stocks and bonds, which, IN
the law shall be specifically regarded
as only evidences OF property aud
therefore non-taxable.
3. Doubtful Character of Paragraph
No. 10-Of course, No. 10 Is intended
as a protection to Island merchants.
Its full aim need not here be gone into.
But, no matter how desirable. or just
II may be, its place in the law comes
more under the department of income
taxation than under the property tax
provisions. But, even SO, its teasibil-
ity would certainly be tested, along
constitutional lines, such as "a dis
elimination tax law" or IA law In
restraint Of trade" am sure the agen'
cies, or semi-agencies, would at once
refer to and apply all of the rules ant
regulations of Interstate Commerce.
etc, to upset 1t.
4. Your Committees Recommends
ton ought to be looked into where, al
the close, they would retain from Sec
tons S2l to section s37, inclusive, o.
the Present Tax Law" II my impress
sion Is correct there have been som'
changes In some OF those sections, j
| understand correctly, all that pertain
ing to fire and life insurance has nov
Leen placed under the care of specia
insurance commissioner, which Is dit
ferent from the plan named In tn
sections referred to touching upon iu
surance returns. Probably the com
mittee intended, however not to inter
fere with existing laws more than up
: on the points named in their report.
a 5. One Subject Not Touched Upon
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