St. Paul tidende. [volume] (St. Paul, Minn.) 1902-1928, 1906-11-02

academies, colleges, universities, and all
aries Of learning. all chmr :
institutions of purelyapublic charity, and
public property ~usedaexclusively for any
public purpose, shall be exempt from TAX
taxation personal property not exceeding
in value 500 for each household, indi-2
svidual or head of a family, as the legls.
lature may determine, Provided, tnaI
the legislature. may authorize municipal
corporations to.levy n collect assess
ments for local improvements upon prop
erty benefited thereby without regard TO
that nothing herein contained shall be
construed to affect, modify or repeal
any existing law providing for the x
ton of the gross earnings OF raliroaus'
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 % as 1T now
stands provides that all taxes I'M
Dosed shall be eaual-as near as may
be-on all forms of property, and all
property upon which n tax Is I'M
posed is required to have q CASH
VALUATION eiua1ized throughout
the state.
Section two as 1T now stands re-
quires the legislature to levy inc
necessary taxes annually 10 ueli"S
the expenses of the state. Thnt rs
the duty of the Legislature without
any constitutional direction.
Section three as it now stands pro-
vides that all real and PERSONA
property, including MONEYS, CRED
ITS and INVESTMENTS IN BONDS
AND STOCKS, shall be assessed ac-
cording to their true value IN
money
Section four as it now stands pro-
w.. /, -. Ap--x unNul1RvAH III
banking shall be subject TO II TAX
equal to that imposed on otner
property. his is only IL repetitioh
of the rem ents of sections one
and three, as no rational person
would claim that capit"A
should he exempt from taxation.
Section seventeen as it now STANDS
;s not eosvto understand but it was
intended by that section to relleVe
from the ODerntiOn of sc ctions one
and three, :bOve quOtca. properly
of the classes therein cMhmer"'eu,
so that n gross earnings tax c"u i
be applied thereto instead OF dlrect
TIA XatiOn.
Owing to the provisions OF sec
lions one and three OF the present
Constitution many, amendments
were from time to time added so as
to permit taxes to he imposed on
sDecifc kinds of otitei-
wise than upOn II cash NN."a' ~"
eaualized throughout tho state. We
have among these exceptions ruiz
road gross earnings taxes: munlcl-
nal frontage taxes; inheritance
taxes; and the gross earnings taxes
uthorized by said section seven
teen.
Several exemptions from taxation
are also provided for. but as these
exemptions are not d! the
proposed amendment, l Will make
no further reference to them.
The amendment which,, IL
would take the place of all OF the
sections and amendments above re-
ferred to, is simple and plain. NO
provision of the Constitution is
necessary to authorize the I'M
position of the taxes necessnr! ior
the support of the state ana us
various political subdivisions. me
! power of taxation is inherent IN
"Oyernmen This proposed amend
Ynent declares that this inherent
| Doyyer Of taxation shall never be
surrendered, suspended or con-
tracted AWAY; that taxes shall be
| imposed for public ana
shall he uniform on the same class
of subjects. Should this amend
ment be adopted all properly OK
| 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 II public purpose
and was uniform on the same class
of subjects. Under this Hmend1lcn
, every tax law we now have on the
stntute books would continue to be
valid, under this amend
ment all limitations on the power
of the legislature would be taken
away.
rThe dOptiO of this 0meRdmen
would, as Indicated, repeal the SO
called inheritance tax amendment,
and the grOss-earninEs tax amend
ment adopted in 1896 rs contained
in said section seventeen. but in
their place this amendment would
give the legislature greater author
ity. Under this 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 amendment, as the Constitution
provides that it can not be changed
vithOu Il vote of the people. But
with this amendment various new
forms of taxation could he i'm
notably m income tax and II resfs
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
alike. While all subjects of taxa
ton are required to hnve n cash
valuation with the tax equnlized
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 amendment.
SECOND PROPOSED AMENDMENT.
The second proposed amendment is
contained in Chapter 212 of the
Laws Of 1905. 1t is sought by this
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
the State Road and Bridge Fund Said
fund shall include all moneys accruing
from the income derived from, invest
ments in the internal Improvement and
said fund and shalt also include all
funds accruing to any state road and
bridge fund, however provided. The
legislature is authorized to add to such
improving roads and bridges of his
state, by providing, in it's discretion, for
an annual tax levy upon the property of
this state of not to exceed in any year
able property within the state. The leg
%islature is also authorized to provide for
the appointment by the governor of the
state a board to be known as the State
three members, who shall perform such
duties as shall be prescribed by law