Evening bulletin. [volume] (Honolulu [Oahu, Hawaii]) 1895-1912, 1906-03-19

uOeS the TAX Nalue compare WIN Jne
real value of your property?
Full Cash Value.
Mr.. @. w. Smith. That question has
como up. We find that the laws of the
different States are the same. and the
iull cash value as a rule has been con.
sldered to be what the property would
bring in the market. Usually sixty
per cent. has been considered the full
cash value. In our case II is one hun.
dred cents on the dollar.
The Chairman. II is appraised for
taxation at its full value?
Mr.. G. w. Smith. Yes. sir.
Senator Wetmore. More than 1t
would bring at an auction sale?
More Than Auction Sale.
Mr.. q. w. Smith. Yes, sir. Take
goods or merchandise. The inventory
value OF the merchants stock at the
end of the years business Is detcrmin.
ed from the inventory OF his stock
taken for the purpose OF. closing his
books and ascertaining his profits.
The Chairman. You spoke Of pay.
ing a license tax. Do you mean that
each man engaged in business must
procure a license to do business?
Mr.. @. w. Smith. We have merchan.
disc licenses.
The Chairman. To what extent
must you resort to a license in order
to Go business? Does that apply to
all kinds of business?
Mr.. @. w. Smith. Yes, sir; to all
kinds OF business. A business rcquir'
Ing police supervision. the liquor bust.
ness. billiard rooms, and such things,
pay an additional license.
Liquor Licenses.
The Chairman. What Is the license
tax for keeping a saloon, for instance?
Mr.. G. w. Smith. The license tax
at the present time, under the new
law. varies. II Is FIVE hundred dollars
to u thousand dollars for n tax. Then
we have beer licenses. They are 500
Then there is an original package H.
cense. sold only In unopened bottles
not by the drink. That is 800 year
Tie Chairman. So that man who
simply receives and sells unbroken
packages can engage In that business
upoL the payment Of a hundred dol
lars license fee?
Mr.. G. w. Smith. Yes, sir.
The Chairman. Who pays the tax
Of $500?
Mr.. @. w. Smith. The man who
sells liquor by the drink.
The Chairman. Who pays the tax
OF $1,000?
Mr.. G. W. Smith. That is the whole
Faler. He is under bonds.
The Chairman. Can you state what
the total revenue derived from that
kind OF taxation amounts to?
Mr.. G. w. Smith. Mr.. Case has
those figures.
Senator Wetmore. DO | understand
that the wholesale dealer has to pay
general tax to do business and then t
pay a specific tax?
Mr.. @. w. Smith. Yes. sir; there II
an income tax of 2 per cent. on all In
comes In excess of $1,000.
The Chairman. ] was about to asl
you whether you did not have an In
come tax?
Mr.. @. W. Smith. Yes, sir.
Income Tax.
The Chairman. That Is an enact
ment OF your Territorial Legislature?
Mr.. G.. w. Smith. Yes, sir.
The Chairman. Tell MS, in a brle
way. what that income AK It.
Mr.. @. W. Smith. II Is a tax on tn,
Income OF every male citizen Of tn,
Territory in excess of 81 900 n year
81 900 a year being n deduction, yol
may say, or n limit to exclude the da,
laborer, the poor man.
The Chairman. Does every maj
who is engaged In business have L
make sworn return Of the amount O
money he has made during the yea
his gross earnings and net earnings
etc?
Mr.. G.. W. Smith. Yes, sir
The Chairman. This Is tax on III
net earninFs OF his business?
Mr.. G. w. Smith. On the net carr
ings In excess OF $1,000.
Senator Flint. How long has this
law been In effect?
Mr. G.. W. Smith. We have had this
law In operation for six or eight year
Not Tested In Court.
The Chairman. Has that law eve
been contested in the courts?
Mr.. G. w. Smith. No, sir.
The Chairman. Why has II bee
spared?
Mr.. @. W. Smith. Well. Senator, "
recognize the needs Of the Territor
The citizens have been publlcspirite
enough to pay their tax, although the
have felt the burden sometimes an
grumbled n good deal at II,
Ito be continued)