New-York tribune., 1906-07-02
RENTALS AND TAKATION.

There is no single function of civil govern
ment which more directly concerns the people
or which is more often, either with or without
reason, regarded as oppressive than taxation
1t is necessary function Of government, but it
Is peculiarly difficult to exercise IL with Impair
tiality and entire equality and it has been pro-
life cause Of rebelliOns and an almost incessant
provocative Of complaints and protests. large
part Of the trouble arises from the unavoidable
inequalities Of the levy, or from imagined inc
qualities, and from the circumstance that those
who fOndly suppose they pay no taxes often
practically dictate what taxes shall be paid by
others. If every man who has a voice In pre-
scribing what the tax rate shall be were re-
Quired to pay direct tax according to that rate
much good would doubtless be effected in the
direction of economical administration
In this city, for example, the bulk of taxation
is levied upon real estate. Also the great ma
jority of voters are non-ownars of real estate
and thus escape taxation, at least in that direct
form. 1t is, we suppose. only human nature
that such a state of affairs should result in a
certain carelessness concerning the rate of taxa
ton on the part Of multitude OF voters though
such careessness is enthusiastically short
sighted. The man who lives In q rented house
or apartment and thus escapes the taxation lev
led upon lands and houses, is quite ready TO
vote for liberal, even extravagant expenditures
prOvements which he desires Why nOtP The
landlord, not he will have to pay the tax. and
so 1t does not matter to him how high the rate
rises. That would be, in any case, a selfish and
unworthy view to take. 1t is seen to be foolish
too, when sve remember that the tenant does
not really escape taxation since it is out of the
rental which he pays the landlord that the latter
pays the taxes, and when taxes materially rise
rentals are likely 10 rise still more
teresting and generally salutary experiment Of
what is called 'cOmpOunding'' has been made,
under which system the land and house taxes
are paid, not by the owners, but by the occu-
piers Of property, a commensurate remittance
being made from the rental which otherwise
would be charged. This is said to have had in
most cases excellent results, making all voters
appreciate in the most direct manner the differ
ence between an economical and an extravagant
administration. There would be some serious
difficulties in the way Of generally adopting that
system here. Yet if it were adopted It Is easy
to see what its results might and probably would
be. Under it the householder who now pays.
let us say, $500 year rental and no taxes
would pay only $500 rental and 500 taxes.
Thus he would be not cent better or worse of
than at present. But while his rental remained
fixed at $500, the addendum Of taxation would
be a variable quantity. Under an economical
administration it might be reduced TO 800 or
under profigate one it might rise to S11O, so
that his total charges on his home might fall
from the present $500 to only $500 or might rise
to $61O. We may be sure that as soon as they
realized this many voters would pay closer at
tention to the administration Of public affairs
and would seek to have it as honest and as eco
nOmical as possible. in order to avoid any in
crease in the rate of taxation If it is not prac-
tcable TO establish such a system here, at least
the lesson should be taken home by every voter
that, in voting for measures which will cause an
increase OF taxation upon his neighbor or upon
his landlord, he is. in fact, voting for perhaps a
greater increase of indirect but none the less
real taxation upon himself