The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1906-02-04
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Staunton pay two taxes upon their in
GENES. II Staunton can do this, why not
Nelson? This is the question that has
been engaging the attention of certain
interested people.
Mr.. Whitehead, representative in the
House of Delegates from Nelson, has been
contemplating the introduction of u bill
allowing the county to levy on incomes.
The Nelson delegate could not be reach
ed last night, and the precise objects of
his suggested bill could not be deter
mined.
1t is understood that Stanton secured
no act of the General Assembly to levy
on incomes. but acted under its char
ter rights. Inquiries were made yester-
day by certain legislators II Nelson could
not proceed in the same manner with
out bill. This point is still very I'M
settled.
Pay Twice On Incomes.
If Nelson imposed local income tax
the people there. like the people An
Staunton. including Mr.. Ryan, would pay
twice on their incomes-once to the State
and once to the county. The home OF the
great financier would get slice Of his
income of $4,000. But there is larger
question involved. Will an effort be
made to force Mr.. Ryan to pay also on
his stocks and bonds? Hundreds OF mil
lions. Nelson gasps and alluring Wis
ions of new-found prosperity fill the
vista. The danger OF driving Mr.. Ryan
from Nelson will. in the opinion of GER
tain interested parties. hold in check
any effort to compel him to list his
stocks and bonds, but In the opinion Of
others the attempt will be made. The
movement has In fact begun, II reports
are correct A well known resident Of
Nelson, high in political circles there,
but holding no public position. has an
nounced his determination to force the
issue, and 1t Is within the bounds of
possibility that he was not joking. This
gentleman is not satisfied that he should
pay more taxes than the multi million
are. which Is now the case
If Mr.. Thomas f. Ryan will pay the
income tax on his Equitable holdings
alone I'll be satisfied" he is quoted as
saying in effect, "but II he does not I
Intend to go before the grand Jury and
have him indicted for failure to list his
stocks and bonds.'
The Income Tax.
This is the Nelson story, as 1T is
caught up here and there. and whether
so far as results are considered II prove
fiction or fact, it Is interesting in a rare
degree, The income tax question as a
whole, In fact, is interesting A cues
ton as to the status of local income
tax under the Constitution was raised
In the legislative Hobbies yesterday. One
Of the most able constitutional lawyers
IN the General Assembly. without hav-
Ing studied the matter profoundly ex-
pressed the opinion that the local tax
did not violate the Constitution. The
only reference made In the Constitution 10
the matter of income taxes is In these
words:
The General Assembly may levy a
tax. on incomes in excess of six hundred
dollars per annum."
There is here no limitations to the
amount of the tax and the same section
permits the levying of license tax upon
any business which cannot be reached
by the ad valorem system. In the opIn-
ION or the Senators consulted there can
be little doubt that tho General Assembly,
may ny SPECIAL act permit county or
city TO levy on incomes. The only uues-
ton seems to be whether or not this
special act itself Is necessary
In the case of stanton. which Is said
be the only one In the State now, tho
local income tax happened to affect a
judge of the Supreme Court of Appeals
resident there. This judge receives a sal
hrS Oh s4,Vu year from the State from
which amount the State deducts sst In
come tax. The city of stanton then re.
ceives Its slice, the total deductions in
taxes amounting to nearly 500. The Judge
therefore receives from the State net
salary OF little over $500. The constI-
tuition Declares.
The salaries of the judges of the STU
preme Court of Appeals shall be not less
than four thousand dollars per annum,
to be paid hy the State"
y Is argued by the advocates or the
bill eNempting judges that after having
me taxes deducted, they do not receive
the salaries absolutely required by the
constitution On the other side 1t il
.onlehaed that to exempt them froa,
taxation would be to create a class dis.
unction and to attack Fundamental
principle of the organic law. The con.
stitutlonal question Is thus exploded from
poth ends The debate will be continue,
4 Tomorrow.
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