The Redwood gazette. [volume] (Redwood Falls, Minn.) 1873-1940, 1906-10-17
"section /. The power Of taxation shan

never be surrendered, suspended or con-
tracted away. Taxes shall be uniform
upon the same class of subjects, and
shall be levied and collected for public
purposes. but public burying grounds,
public school houses, public. hospitals,
academies. colleges. universities, and all
seminaries of learning. all churches,
churcf1 property, and houses of worship,
institutions of purely public charity, and
public purpose, shall be exempt from tax
alton, and there may be exempted from
taxation personal property not exceeding
in value 500 for each household, indi-
vidual or head of a family, as the legis-
lature may determines. Provided that
the legislature may authorize municipal
corporations to levy and collect assess
erty benefited thereby without regard to
a cash valuation: and, provided further,
that nothing herein contained shall be
construed to- affect, modify or repea!
ton of the gross earnings of railroads.
The purpose and effect of this
amendment would be to greatly en-
large the power of the Legislature
with reference to the subject of
taxation. Section one O as 1T now
stands provides that all taxes inn
posed shall be equal-as near a 8 may
be-on all forms of property, and all
property upon which tax Is I'M
posed is required to have CASH
the state.
Section two as it now stands re-
quires the legislature to levy the
necessary taxes annually to defray
the expenses of the state. That is
the duty of the legislature without
any constitutional direction.
Section three as 1T now stands pro-
vides that all real and personal
property, including MONEYS, CRED
IT'S and INVESTMENTS IN BONDS
AND STOCKS, shall be assessed ac-
cording to their true value In
money.
Section four as 1T now stands pro-
vides that prOperty employed I'm
banking shall be subject to tax
property. This Is only a repetition
of the requirements of Sections one
and three, as mo rational person
would c}4im that banking capital
should be exempt from taxation.
Section seventeen as 1T now stands
L. not easy to understa nd, but 1T was
intended by that section to relieve
from the operation of sections one
and three, above quoted, property
of the classes therein enumerated,
SO that a gross earnings tax could
be applied thereto instead of direct
ia xatiOn.
Owing to the provisions of Sec
tioes one and three of the present
Constitution many amendments
were from time to time added so as
to permit taxes to be imposed on
specific kinds of property other
wise than upon cash valuation
equalized throughout the state. we
have among these exceptions rail-
road gross earnings taxes; munich
pal frontage taxes; inheritance
taxes; and the gross earnings taxes
n Mt nv section
teen.
Several exemptions from taxation
are also provided for but as these
exemptions are not changed by the
proposed amendment, 1 will make
mo further reference to them.
The anne ndment which, If adopted,
would take the place of all of the
sections and am nd ments above re-
ferred to, is simple and plain. No
provision of the Constitution Is
necessary to authorize the I'M
position of the taxes necessary for
the support of the state and Its
various political subdivisions. The
power of taxation is inherent In
government. This proposed amend
ment declares that this Inherent
power Of taxation shall never be
surrendered, suspended or con-
ira cted away; that taxes shall be
imposed for public purposes ana
shall be uniform on the same class
of subjects. should this amend
ment be adopted all property of
every kind In the state would be
subject to taxation, according to
the method the legislature saw mt
to adopt, provided only that the
tax was levied for a public purpose
and was uniform ON the same ella IS
of subjects. Under this amendment
every tax law we now have on the
statute books would continue to be
valid, because under this amend
ment all Limitations on the power
of the legislature would be taken
away.
The adoption of this amendment
would. ms Indicated repeal the So
called inheritance tax amendment,
and the gross earnings tax amend
ment adopted In 1906 as contained
in said section seventeeu. but i'm
their place this amendment would
give the legislature greater author
ity. Under this amendment the
power to impose Inheritance taxes
would be unlimited. and any form
of gross earnings tax would be
valid. The gross earnings tax on
railroads would not be affected by
this anne n dment. as the Constitution
provides that 1t can not be changed
without q vote of the people. But
with this amend mept various new
notably an income tax and regis
try tax on mortgages. Under the
present Constitution we can impose
no tax on mortgages owned by nom
residents. A registry tax, which
would be valid under this amend
ment. would reach all mortgages
alike. While all subjects of taxa
ton are required to have a cash
valuation with the tax equalized
throughout the state, NO proper in
come tax could be imposed. Such a
tax, If imposed, should be pro-
gressive, which would be valid
under this me N ment.
SECOND PROPOSED AMENDMENT.
The second proposed mendment is
contained i'm Chapter 212 of the
Laws of 1908. 1t 10 sought by this
amen d ment to repeal Section 10 of
Article 9 of the Constitution, which
IL as fOliowss
Section 16. For the purpose of lending
aid in the construction and Improvement
of public highways and bridges there is
hereby created fund to be known as
the State Road and Bridge Fund Said
fund shall include all moneys accruing
from the income derived from invest