, 1905-01-18

PGSE1lldI. IsIaoAfN
nv all both as a matter OF 1ustlee anu aS
constitutional requirement.
Report of State Commission.
IJpon this subject the report OF the coih-
mission to ascertain the facts Will PROV
ably soon be placed before our lesisia-
ture. With these facts in possession II
will be easy to determine what lhequall-
ties exist and to remedy the same WIN
iustice and fairness to all concerned. Il
there was one thing decided by the las.
election it was that this matter shouio De
thoroughly Investigated ana thal eiiS
important subject should not De hastily
and specifically considered, out 'ha'
right. fairness and justice should prevail.
The people ask nothing more than this'
and they will be satisfied with nothing
less. AS Governor Albeit said In MS mes
sage in 1887: TT Is just to make the rail-
road corporations bear equal tax burdens
with individuals, but it is also just that
individuals should be prevented from dis-
regarding the law and evading the con-
stitution through the illegal action OF To-
cal assessors. Equal burdens and equal
rights for all, corporations as well as in
diyiduals, are the principles that should
control our tax legislation.
No question is settled until it is settled
right. The present tax laws of the state
do not operate uniformly upon all proper
ty. The state board of taxation has de-
clared time and time again that in many
localities the tax laws We're being de-
liberately violated by the assessment Oh
property below its true value, in some
cases as low as 80 is per cent. The same
authority has declared, what is a matter
AD1Alpn fhnt nDRGnnal
property to a very large extent escapes
taxation. Under such a system the tax
PAYERS have no protection, because there
is no protection in a policy that is based
upon violation of law. If all property
were assessed according to the constitu-
tional requirements the average tax rate
in the state would be less than l per cent.
What is needed for the settlement of tax
problems is less theory and more good
old fashioned Ten Commandment hon
esty. The question of taxation cannot be
settled piecemeal. 1t must be settled as a
whole, and all kinds of property, real,
personal and corporate, must pass mus
ter before the reviewing tribunal.
Abuses of Taxing System.
OF the many abuses of our taxing sys-
tenn [ cite one illustration. In order to
escape part of the county tax some tax
ing districts have resorted TO low valua-
lions and have released from taxation al
most all personal property. Under such
a condition some counties are bearing an
undue share of the tax burden as com
pared with others. The people of New
Jersey are raising every year for school
purposes under the agency of the state
about 81, SS6, 00Q. The amount that is to be
raised by each county is determined by
the proportion its taxable property bears
to the taxable property of the state.
utbnGa Inl1ntiaC fhDrDfnra which rnh,1an
valuation and allow property to escape
taxation altogether do not bear their fair
share of this school tax. 1t is not a suffi-
cient answer to say that 80 per cent of the
sum thus raised is returned TO the county
smount is put into the common fund for
distribution at the discretion of the state
board to such counties as need assistance
in the support of their schools. Unless,
therefore, the property valuations thro lgh-
out the state preserve some degree Of
uniformity the several counties are con
tributing unequally to this common fund
for the support of our schools. The rem
edy for this evil would seem to be the re-
organization of the state board of taxa
ton with greater power or, better per-
haps, the creation of Il state tax court
that would sit as a court of appeal in
these matters, with equitable powers to
remedy inequality in valuation and equal
ize the same not only in the case of indi-
viduals and corporations. but in cases of
appeal between taxing districts and be-
tween counties where these are contrib
uting to a common cause.
Municipal Taxation.
Municipal taxation is a matter of Sc
rious and growing Importance. Municipal
expenditure is Increasing and municipal
burdens HlIpVViGp The inoraoSa IN ovnar1i
lures in twenty-siX cities in this state has
risen in ten years from S12, III, POP to $22.-
ol4,l6l, or 1874 per cent, while the Valua-
lions have increased from $4OO. 1888. 066 to
o64,SS6.SSO or only 40 per cent. There are
siXty-two taxing districts in the state
where the tax rate is between 25 and 3 per
cent, fifteen where the rate exceeds 8 per
cent and six where the rate ranges from
Sc to 81 per cent. With government
bonds netting less than 2 per cent, NUM-
cipal bonds less than 31s per cent high
grade railroad bonds less tina 4 per cent
and other property netting corresponding
ly low returns, such tax rates as | have
cited exceed in some cases the earning
capacity of the property against which
they are levied. This is not taxation, but
conf1scation. Confronted with such rates
as these and harassed every year by the
fear of increased burdens, taxpayers in
sell defense are concealing their prop
eIty or pacing 1t in nontaXable forms.
rms adds AN ever increasing burden upon
real estate which cannot escape and is
one OF the causes of it's depreciation in
value.
There have been notable instances where
cities have met this problem and solved ii
IN a practical if not a permanent manner.
rms has been by a fair valuation of prop
erty according to the constitutional man
date and a corresponding reduction in
rate. For instance, the city of New York
IN l902 assessed its ratables at true value