The citizen. [volume] (Berea, Ky.) 1899-1958, 1908-07-30

OF the state
A. Work In ohio.
This sort OF unrest as 70 taxation
matters Is widespread In ohio the
State Board OF Commerce Is engaged
In actively advocating an amendment
to the Ohio state constitution. Ihere
Is also a tax commission, which mas
an official existence. engaged IN nolu,
ing hearings all over the state ana
giving citizens OF every occupation
chance TO air their views on the SUD
ject. The difficulty in Ohio Is very
similar TO the difficulty Ia Kentucky.
They are restricted there 10 the gen
eral propert~ tax They are pushing
an amendment which will allow the
legislature TO separate the sources OF
revenue: that Is. TO raise the state
revenue from certain classes OF prop
erty. leaving other classes OF property
TO be taxed for local purposes only.
Ohio has tried before To get amend
ment 10 it's constitution along these
lines. but has failed. but sentiment IN
the state now. II an opinion may be
formed by the hearings given by the
tax commission. Is Overwhelmingly In
favor Of the amendment.
Missouri Is Busy
In Missouri a special tax commits
sion, OF which Frederick y. Hudson
was chairman, recommended 70 the
legislature the separation OF tue
sources OF state and local revenue,
and proposed a constitutional amend
ment provi ling ior such separation,
giving greater discretion 20 the legis-
lature and also giving 10 localities To-
cal option In matters Of taxation. The
amendment was adopted by the last
legislature OF Missouri and will be
voted on BY the people OF the state at
ka ..InsaFfnV Ihfa nmAmHa
ment provides that the sources OF
state and local revenue shall be sep
arated by the year 1909. and that
thereafter the counties Ia the state
may tax or exempt for local purposes
any class ~ property. In the discre-
ton OF the county court II will be OBJ
served that both Ohio and Missouri
are striving for the system OF separat'
ing local and state sources OF revenue
This Is the system that has been In
successful operation for many years In
Pennsylvania. and II seems the logical
and only satisfactory solution on the
present complicated tax situation
Minnesota Makes Progress
The people OF Minnesota at the last
election held In that state ratified a
constitutional amendment, which prac-
tically removed all limitations as to
the power OF the legislature IN rela.
ton 10 taxation. The legislature AZ
its session last winter passed two
measures recommended by the cover.
nor for the purpose of putting into
effect the provisions OF the cOnsfitu-
tional amendment One OF these pro
vided for a permanent tar commission
to recommend amendments 20 the rev
enue laws and 20 perform certain ad.
ministfative work. The other meas
ure imposed a recording tax on mort.
- huf 81 "a In
this mortgage tax Minnesota Il follow
Ing the experiment successfully tried
by the stat OF New York. Under this
plan the tax OF one-half OF one per cent
Is collected when the mortgage Is re
corded. aud the mortgage l. thereafter
exempt from taxation. Old mortgages
may De registered on payment OF one.
half OF one per cent tax. and are there
after also exempt from further taxa
ton. In both Minnesota and New
York this plan OF taxing mortgages
has been found az once productive OF
increased revenue IL has some very
decided advantages over the plan
which Kentucky Is now trying. the
chief visible effect OF which az pres
live In the state. while exempuug
holders OF mortgages on Kentucky
property who live outside the state
In Illinois the Civic Federation OF
Chicago has procured the intrOduc-
tion OF an amendment 20 the cOnsti.
tuition OF the state very similar 70 tia,
adopted In Minnesota.
Activity In Other States.
In the state OF Washington there has
been very considerable agitation OF
the question Of taxation. and the last
legislature passed a measure affect
ing the method OF taxing Intangible
...l~mana1fNrr WnnfffF ~
different kinds OF property for differ.
ent rates Of taxation and FOR different
purposes is that the tax burden can
In this way be Just 20 each class OF
property according 20 Its burden-bear.
Ing capacity.
In the state OF Oklahoma a clause
was inserted In the constitution very
similar TO the tar provisions OF the
Minnesota constitution. A number OF
other states have tar commissions at
work. Texas has Just been overhaul
Ing its tar laws. The tar commission
OF California has Just made its report
In the state OF New Y nrk tar reform
league has been at work for nearly
fifteen years. with the result that some
very wise amendments TO the tar laws
OF that state have been made.
Needs Thorough Study.
No state needs 10 have the tar ques.
ton thoroughly STUDIED and studied Ia
the light OF the experience OF other
states, as well as with due regard to
Its own experience, more than does
Kentucky. For fifteen years since the
new constitution was adopted, We
havs striven hard TO realize that
dream OF uniformity In taxation which
animated the makers OF the new con
stitution. We have not succeeded in
doing this. II Is true the revenues
OF the state have Increased, but the
tar burden has been extremely heavy
on some classes OF proDerty, while
some classes OF property have gone al.
most scot free. The amount OF money.
stocks and bonds reported for taxa
ton Is ridiculously small. The faisi;y
OF the tax returns betrays itself upon
comparison with the reports OF the
deposits In the banks. The only kind
OF personal property that does not es-
cape taxation Is that visible, tangible
personal property, found chiefly on the
farm. The farmer can not hide his
horses, cattle aud farming nipple
ments. so he has to pay, while the
man In town can hide his money, or
his stocks and bonds. and escape his
share OF the burden, This Will al
ways be the case while human nature
remains as It Is. II Is incumbent upon
Kentucky to md some way OF deriv-