Perrysburg journal. (Perrysburg, Wood Co., O. [Ohio]) 186?-1965, 1907-04-26
TAX INEQUALITIES
Mayor Tom [. Johnson Points Them
mr. Out to Tax Commission.
Suggests That Constitutional obstruc!
= tlons Should Be. Removed-Double
Taxation is Not Fair

tlonS onoulu be. hemoVeu-Doupio
Taxation is Not Fair
b, Before the Tax Commission of
Ohio, March IL, last, Mayor Tom L..
Johnson of Cleveland discussed Taxa
ton" as follows:
The greatest difficulty in our taxing
laws Is that we have followed the old
plan, which has grown into lot of
inequalities. They are present every
where. There is no community, no
matter how small, that is not suffer
ing by the fact that some of the prop
erty is assessed at 10 and some at 100
per cent of its value; and to the eX-
tent that is true some men pay ten
times more than their share of taxes
while other men pay only one-tenth
of their share.
l know piece of property, acquired
lately, where the tax duplicate was
only per cent of the price paid; not
forced price either. could multiply
that example by thousands. You can
not go into a city, into county or
any small district but you find these
illustrations.
Everybody agrees there are Unequal
tiles. What produces them? You
can't trace it all to one reason; bnt
there are some leading reasons to ac-
count for it. A street railroad was
sold on the market at ten million dol
lars. No doubt about its value; the
stock was quoted regularly. 1t was
assessed for $600,00O or per cent.
Ten millions OF property owned by
small owners, homes, factories and
shops, not the worst cases, but the
average cases of small owners, stand
on the duplicate at six million, or 20
per cent. The reason for that discrep-
ancy is perfectly plain. Thousands of
people owned the ten million dollars
In small places; none of them had a
sufficient interest to give his own time
or employ anyone's else time to look
after the tax duplicate, to either go
before the legislature or employ in
genious arguments to defeat the as
SCISSOR in arriving at conclusion or
to defend by technicalities any mis-
step made by the assessors. All these
were concentrated in one case, and
they were scattered in the other.
ones business.
Taxation of Banks.
I will give you an illustration which
looks little on the other side, where
very big interest, controlled by compare
lively few men, is truly the highest tax
payer of the state. Now, we consider
the banks of the state are represented
by more than representative men; the
bank directors are business men, wide
awake; they look to their own interest;
yet the bank capital of this state is as
sessed at about 60 per cent of its value
while the railroads are assessed about 10
per cent of their value. l gave you an
illustration of only per cent in the
case of street railroad. So that the
bank seems to be a case where a power
full interest, controlled by powerful peo-
pie have never been able to get their
share of exemption from taxation. Now
the reason for that Is that the bank deals
in dollars; 1t deals in figures that they
can not juggle So that draw two con-
clusions; the nearer the tax machinery
can be made public, the more people can
see it, the better it works. The bank
does not escape because 1t is in public
view.
Constitutional Distractions.
I would take away every restriction
from the legislature and allow them to
do just what they wish 1 don't believe
In constitutional restrictions, so that
people think, when they have adopted
them. they can go home and go to sleep
and let some one else run their govern
ment for them.
If / could write the plan of taxation
for the state of Ohio l would propose
that each locality should have the power
within it's own limits to levy and collect
all the taxes they want When the state
comes to raise its revenue; If there is
some thing like steam railroads that go
all over the state, have these assessed
for the states expenses, for the general
purpose of the state. If that is insufficient,
supplement 1t by putting on each county
a tax in proportion to the amount of
money they collect for their tax; that Is
of contributing according to the amount
OF money they spend.
Double Taxation.
1t is not wise to tax piece of property
and also tax the deed thereto; and that
is just what you do when you tax either
the bonds or the stocks. If you have a
deed to pi ce of property and that
property is subject to taxation, II pays
It's full share no matter where 1t Is. In
other words. when you tax the evidence
of ownership of property to that extent
II 10 uoupie tdAdllOI. 90 not think
state bonds and city bonds should be
taxed, as you don't tax court houses and
schools.
Under the Ohio law, II you own stock
In an Ohio corporation, you are exempted
from paying taxes because the property
being in Ohio is supposed to pay the tax
If you, as citizen of Ohio, own stock In
corporation in Pennsylvania, notwith-
standing the property in Pennsylvania
pays, you are expected to pay again I'm
Ohio. think this Is vicious. 1 think that
attempt to build fence around the state
of Ohio to hold Ohio property in, Keeps
property from coming in.
Taxation of Money.
The question OF exempting money is
the hardest one to answer. or course,
/ don't really think money is a thing you
can tax or that you ought to tax; for IL
is the most Improbable thing men have,
and yet everybody wants 1t. In itself 1t
yields nothing. / would not tax money
for the same reason that 1 would tax
dogs. j think most communities like to
have money come In. They tax the dogs
to keep them out. The cash on hand
nEo EoI1