The Detroit times. [volume] (Detroit, Mich.) 1903-1920, 1910-04-23
GO AFTER ESTATES
OF TAX DODGERS
Assessors Find Way To Collect on
Property That Escaped During
Lives of Owners.

Through an investigation by the
state tax commission into the property
or the late James Scott. a way has
been opened for the city 10 proceed
10 collect hundreds OF thousands OF
dollars from the estates of persons
who died possessed OF large amounts
OF personal property and who had es-
capped taxation on a large portion OF
that property during their lives.
IL is proposed to put the Scott es-
tate on the rolls to collect back taxes
for 10 wears. With the aid OF the
state tax commission. the city may
follow the same procedure with sew
eral other large estates. investigation
toward that end has already begun
and the assessors will report to the
board OF tax review next week and
communicate with the state tax COM
mission later.
At the time of SCOTS death. it was
found that, while most of his prop
eTty was in the shape of real estate
he had a sum exceeding 100000 in
Canadian banks He had been
assessed for only $1,000 of personal
property In Detroit, evidently beliey-
ing that the fact that his money was
deposited in Canada exempted him
from taxation upon IT, The state tax
commission looked into the matter
and wrote to the Detroit board OF
assessors. directing that the estate be
placed on the rolls for collection OF
back taxes.
law of 1899 provides that the
state commission may thus proceed
has escaped taxation. In accordance
has escaped taxatin. In accordance
with this order, an assessment of
100000 was placed on the rolls. G..
NJ. Burton, one of the executors, filed
statement showing $4,000 OF per-
sonal property
These facts came up at Saturday
mornings session Of the board OF tax
review, when Burton protested against
the collection of back taxes. A spe-
cial meeting of the board of tax re-
view Will be held Tuesday TO consider
the matter further.
II the state tax commission can put
the Scott estate on the rolls and col
lect taxes that were evaded, then
other estates can be put on the rolls
In the same way, and this procedure
may also be adopted with regard 20
living persons found to have evaded
takes In part or whole for a year or
more. In the law OF 1899, Section 154,
IL Is provided that such taxes shall be
levied at the rates of the several years
in which the property escaped taxa
ton. The effect Of this statute runs
back only 10 its enactment in 1899
ond taxes cannot be levied against
property which has since been trans
ferred.
Quite long time ago Assessor Her.
~ S. Doran, with the help OF Mort
gage Clerk w. II. Christian, investi-
gated the tax statements of number
OF Detroit estates as shown by the in
ventories filed in the probate court
In a large number OF cases they found
that the owners had covered up
large share OF their taxable personal
property during their life. The city
assessors have no power TO go after
back taxes, however, where such eva
sion has been made and nothing fur
ther was done, although. Assessor
Doran had been casting about for
some feasible method OF procedure.
The state tax commission has now
opened the way TO sucn procedure.
II the law can be enforced. IL Will not
&c so attractive to wealthy persons 10
evGde taxation, as the records of the
probate court will disclose their doing
so, and leave their estates open 10
SUITE and recovery.
When Marshall Field died In Chi
oago the tax authorities found that
mis- property had been grossly under
assessed. Court proceedings were be-
gut and the case was finally settled
by the payment OF u sum running up
&c more than a million dollars TO the
city of Chicago.
we are going TO try 10 do here
Just as was done In the Field case In
Chicago says Assessor Doran.
II is improbable that the necessary
proceedings can be begun in time 70
get these estates now known To the
assessors as covered by this taxdodg
ing law onto the rolls for 1910. Even
IL such were attempted. lawsuits
would no doubt be begun to enjoln the
assessors from carrying the law into
immediate effect. The assessors will
go after these estates, with the aid to
the state tax commission immediatelv
after the city rolls for this year are
completed.
One effect in case the law is sus.
tanned. may he grand exodus of the
weaithy-tt GFeSse-PeiRte Pa Fffass3 .-
FORD MAKES NEW RECORD.