The Bennington evening banner. (Bennington, Vt.) 19??-1961, 1909-09-27

other taxes. This opinion Is based
upon a full review of taxation prac.
tice, expert opinion and the Just obi
cations of the business to the support
of state government Such a tax can
be readily computed and with a min
imum cost for accounting. Ii would
bear uniformly upon all forms of life
insurance as an occupation or fran,
chise tax. II would automatically tax
progress and activity without impair
ing materially any working or actuar-
ial assumption 1t would adjust it.
self in practice as charge upon the
loading, where it properly belongs as
add tax on life insurance
an item of expense. 1t would not be
burden but reasonable tax even
upon a business which so signally
conserves the moral and economic life
of the states.
with few exceptions 1t is under
stood that state supervisors of the
business accept this view, with pos
sible reservation as to the rate ITSELF
induced thereto by their considerat-
ion of all the factors Involved. They
must be looked to for changing the
confused and incorrect system which
now exists, since each in his own
state, representing either a popular
vote or meritorious appointment, is
competent to direct and influence the
local acceptance of proper laws.
The companies most earnestly de-
mand the protection as well as the SUI
pervision of the state governments in
behalf of the important interests
which they administer and they re-
quire this all the more because both
the science of life insurance and its
practice have of late years been mar
rowed down to very slender margins
of contingent safety. None of its
working assumptions should be eX-
posed to further strain. The states
may need revenue, supervision must
collect its costs. insurance may be ad-
mitted as subject of taxation and
even Congress itself may tax its ac-
tivity its progress and its strength,
but the rights, the needs, the desires.
and the welfare of the citizen policy
holder also deserve consideration.
The following recommendation
are submitted for final consideration:
"Q That TAXATION of life insur-
ance companies should be reserved
to the several states.
CD That the tax should be based
upon the gross premium income in
each state at not exceeding 1 per
cent.
CD That county and municipal
taxation and their license fees should
be abolished
ca That STATE fees for filing. pub
LEGATION, etc, should be made uniform
in the several states.
90 That agents licenses should
be made uniform and not exceed the
costs OF an adequate supervision.
90 That the use of interstate
comfy through the advices of state
commissioners should be substituted
for reprisals through reciprocal and
legislation; and
ca That there should be publish
ed in all insurance reports full state
ment in detail of the income received
by each state from taxes, licenses and
fees upon the business of life insur-
ance with a statement of the cost to
the state Of its supervision.
THE general adoption of these prin-
ciples and practices will contribute
| am confident, TO the well-being of
these valuable and important institu-
tons and at the same time deprive
no state of any revenues to which and
to increase in which it is justly en-
titled"