The Princeton union. [volume] (Princeton, Minn.) 1876-1976, 1906-10-25

Section /. The power OF taxation snail
be W xe ha be unfop
upon the same class of subjects, and
shall be levied and collected for public
purposes, but public burrying grounds
academies, colleges, universities, and, ali
seminaries of learning, all churches,
church property, and houses OF worship,
institutions of purely pu6llc char ~ an9
public purpose, shall be exempt from tax
alton, and there may be exempted from
taxation personal property not eXceedlhg
in value 5000 for each household, lndl-
lature may determines: Provided, that
the Legislature may authorize munlclpal
corporations to levy and collect assess
ments for local improvements upon prop
erty benefited thereby without regard TO
a cash valuation: and, provided further,
that nothing herein contained shal ng
any existing law providing Tor the taxa,
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 ono a. rs II no"
stands provides that all taxes I'M
posed shall be eGual-ns near as may
be-on all forms OF properly ana az
property upon which a tax IS I'M
posed is required to have CASH
VALUATION eaualized throughout
the state.
Section two it now stands re-
uuires the legislature to levy the
necessary taxes annually TO ue1rAy
the expenses of the state. That Is
the duty of the legislature without
any constitutional direction.
Section three as it now stands pro-
vides that all real and personal
property, including MONEYS, CRED
ITS and INVESTMENTS IN BONDS
AND STOCKS, shall be assessed nc-
cording to their true value IN
money.
Section four as it now stands pro-
vides that property employed In
banking shall be subject to tax
equal to that imposed on other
property. This is only Il repet1t1oh
of the require of Sections one
and three. as no rational person
would claim that banking capital
should he exempt from taxation.
Section seventeen as it now stands
. is not easy to understand, but 1T was
intended by that section to reheEe
from the operation or sect1ohs ONO
and three. above quoted, property
of the classes therein enumefateu,
SO that 81 gross earnings tax could
he nnDlied thereto instead of direct
taxation.
Owing to the provisions of Sec
tions 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
eaualized throughout the state. we
have among these exceptions rail-
road gross earnings taxes; munich
pal frontage taxes; inheritance
taxes; and the gross earnings taxes
authorized by said section seven
teen.
several exemptions from taxation
are also provided for, but as these
exemptions are not changed by the
proposed amendment, 1 will make
no further reference to them.
The amendment which,. if adopted.
would take the place of all OF the
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 ana It's
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-
tracted away; that taxes shall be
imposed for public purposes ana
shall be uniform On the same class
of subjects. Should this amend
ment he adopted all property OF
every kind in the state would be
subject to taxation, according to
the method the legislature saw fit
to adopt, provided only that the
tax was levied for Il public purpose
and was uniform on the same class
of subjects. Under this amendment
every tax law we now have on the
INV IN IN0
valid. because under this amend
ment all limitations on the power
of the legislature would be takel,
away.
The adoption Of this amendme mt
would, as indicated, repeal the So
called Inheritance tax amendment,
and the grOSs-earn1nSS tax amend
1nent adopted III 1896 containe.l
IN said section seventeen, but in
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 amen dment, rs the Constitution
provides that it can not be changed
without a vote of the people. But
with this amendment various new
forms OF TAXATION COulU De 1mpOSe0
notably an income tax and Il regis
try tax on mortgages. Under the
present Constitution we can impose
no tax on mortgages owned by non
| residents. a registry tax, which
| would be valid under this amen d.
| n,ent, would reach all mortgages
alike. While all subjects of taxa
| ton are required to have 81 cash
| valuation with the tax e1ua1ized
| throughout the state. no proper in
come tax could be supposed. Such Il
| tax. if imposed, should be pro-
| EresSive. which would be valid
under this amendment.
SECOND PROPOSED AMENDMENT.
The second proposed amendment is
contained in Chapter PIP of the
Laws of 1905. 1t is sought by this
amendment to repeal Section 1G OF
| Article 8 of the Constitution, which
| is as follows:
"Section 16. For the purpose of lending
aid in the construction and Improvement
| of public highways and bridges, there is
hereby created a fund to be known as
| the State Road and Bridge Fund Said
| fund shall include all moneys accruing
| from the income derived from invest
| ments in the internal Improvement land