The Greenville journal. [volume] (Greenville, Ohio) 1850-1918, 1907-08-22
cREENvILLE OHIO, THURSDAY AUG. 22 1907
CLASSIFY PROPERTY
Or. w. I. Chamberlain FaVors a JuSl
Taxation Amendment.

VT Wa u NnaWpoftaiu aNotb Seee
Taxation Amendment.
At the June meeting of the Tax
Commission of Ohio. DR.. w, l. Cham
berlain. editor Of the Ohio Farmer, dis
cussed the subject of taxation as fol-
lows:
The farmers have felt that the old
constitution. taxing all property on
q uniform Iasis. Is essentially Just,
and that the question OF double taxa
tion might be adjusted by taxing the
farm, less It's Indebtedness. But the
history OF Sc years has proven that
the thing will not work, and that the
farmers themselves are the sufferers.
AS one Of the editors OF the Ohio
Farmer, appear before you to give
the views OF its owners, its business
management, its editorial stan and q
majority of Its subscribers.
To be successful q tax must not
only be just and reasonable; it must
be collectablc. II must be so reason
able that even the toughest conscience
will not dare evade 1t. For example,
in Cleveland the savings banks pay
per cent and the tax rate is nearly 3
per cent, but based on valuation OF
lCdl CoIalC vi dDOhS Vi ANo
value and of personal property conSid-
erably less than that. II saving bank
deposits were taxed at full value that
would leave l per cent interest for de-
pOSitOrS. Such q tax Is unreasonable
and can not be collected. | repeat
that any tax to be wise must be col
lectable and must produce reasonable
revenue, must not be prOhibtive. III
so high as to drive out not only for
eign capital. but home capital also,
they not only produce no revenue, but
greatly injure our bdilding. manufac-
turing and other interests as well. All
will admit that this Is not wise. A
majority of the taxes attempted under
the constitution of 1851 ON invisible
and intangible forms Of property is
not and can not be collected. and it
seems to me unwise to try longer TO
do It,
| suggest the following principles
Tax all property annually. where
found, once. and and only once. at
just and fair rate. Avoid double tax
alton by not attempting to tax mort.
cages and other representatives OF
value, at usual rates. as actual prop
erty. In case of mortgages the matter
will adjust itself between borrower
and lender in lower interest rates. The
history of 56 years proves the imprac-
ticability of trying to tax the property
less the debt, and tax the lender. Let
us abandon the attempt and tax the
property alone. | would favor such
an amendment to the constitution as
will permit a Just classification of all
property of various kinds; | would
have all evidences of debt recorded
with the county recorder or the town"
ship treasurer to be legally collect
able, with a record tax Of one-fourth
or one-half of l per cent This be-
cause the evidences of debt rests IN
property that has already been taxed,
and this record tax is simply to pay
for their right of access to our courts
and protection by our military and
civil officers. Tax all valuable fran
chises and rlfllic utilities whose value
rests wholly or mainly upon the con-
centration of population, on the true
market value of their stocks, but not
of their bonds. The stocks represent
what the companies own, the bonds
what they owe. | would recommend
a reasonable tax, say one-half or one
fourth of ! per cent on savings de-
posits, collecting the tax from the
banks on their published and sworn
statement Ct total deposits. The So
ciety for Savings, Cleveland. has over
$5l 900 900 of deposits. 1t pays per
cent. II this small tax were collected
the bank would pay its depositors Sh
per cent or 3A per cent, thus making
the owners of the property pay for its
protection. This Is simply one bank
of many similar ones in the state.
doubt the advisability of attempt to
tax commercial deposits. These are
usually of short duration. the bank
pays no interest on them and the de-
positors can not be reached through
reducing the rate of interest. Savings
bank deposits are largely invested In
mortgage loans on real estate; since
this realty pays taxes, to attempt to
tax these deposits at regular city
rates would not only be double taxa
ton, but quadruple. and utterly i'm.
possible of collection.
DR.. Chamberlain also favored in
come and inheritance taxes.
To secure reforms recommended
requires the proposed amendment to
the constitution, or similar one, and
| therefore favor some such amend
ment because the present constitution
does not fairly or equitably apportion
the burdens of taxation and the farm.
ers have suffered the most. In the ad-
justment of details, the farmers, own.
ing about one-half the tangible prop,
erty of the state will claim the right
to be heard, and also representation
on tax commissions.