The sun., 1910-06-21

% Progressive inheritance Tax nm
Albany. June sO.-GOv. Hughes asked
the Legislature tonight in his mesuaga
70 act again upon the direct nominations
question. He also asked tho Legislature
70 pass what he considers would be a
broader resolution for a legislative invea-
tiEation Of corruption. He also called
attention 70 the fact that the apprOpria-
sions this year which he has approved
are over % .OOO. 600 more than the estimated
receipts Of the State Treasury and hs
favors the passage Of a progressive In
hsritanos tax to meet this deficiency IN
receipts He urges that such tar would
he iairer than the graduated inheritanOe.
tax which the Legislature did pass 10 meet
this deficiency, but the Governor prAo-
tioally says that he 10 going TO veto this
bill because in principle IL has been OBJ
iec,ed to heretofore by the United States
Supreme Court which denied the oOntsn-
ton that the rule Of tar under the Federal
war revenue act Of 1893 was measured
by the whole estate.
These we're tho only three subjects Of
legislation recommended by Gov. Hughes
for the consideration Of the legislature In
a special message comprising 1900 words.
A fifth Of the message was devoted 10 the
question Of direct primaries. Regarding
the Hinman-Green ball the Governor
says:
4 have not changed my belief with
respect to the advisAbility Of this measure
and trust IL may yet commend itself 70
the Judgment Of the legislature
With these words the Governor pFao-
tically puts the Hinman-Green hill hack
in first place in his favor. although IN
the next paragraph he refers 20 the Cobb
compromise bill as representing a sub
stantial reform In eject the Governor
saws that he has utilized the failure Of the
Assembly 20 pass the Cobb compromise
measure az the reason for calling the
Legislature hack AGAIN 20 vote on the
Hinman Green bin.
Regarding the resolution for legislative
Investigation Of corruption passed AZ the
regular session. under which a oommittee
! Wa 10 he appointed tomorrow by Lieut.
GOV. White and Speaker James W. Wada-
worth, Jr.. Gov. Hughes devotes q ffth Of
his message 10 telling the Legislnture u
should have adopted the amendment1
- - a.,.e.- ua,,-.vg n uiwTman
az the regular session. senator Hlnman
wanted eliminated from the resolution
the provision that charges must be filed
with the investigating committee before
September I IN order 20 prevent the
attacking Of candidates for once.
senator Hinman also wanted the oom-
mittee 10 have power to consider charges
without their being z committed 10 writing.
Gov. Hughes takes a similar position and
saws verified charges should not be re-
Quirei.
The Governor says the investigation
should proceed a. an investigation and
not as a trial although he admits that
the general provisions Of the resolutton
give full powers of Investigation. The
Governor suggests no changes in the In
yestigation resolution which were not
fully consiierei hy the senate and Assem-
hlv a. the regular session and disposed Of
Ia open debate
Gov. Hughes devotes thres-efths n
his message 70 discus-iAg the finances %
the State A. outlined in rHF SUN to-dAv.
After pointing Out that the eNpenditI-eg
v hich ne has approved fol this year ara
a. .OOO ono in evccss Of tho tr8.OOn. .tn0 rev-
snue which will come into the State Treas
urv the Governor recommends !egisla'
ton which will raise enough revenue 20
make the annual receipts equal q tha
annual EXPENDITURES without disturbing
the s.OOOO0O surplus in the treasury
which will 10 al eaten up otherwise.
When the people voted 10 issue siOs.-
no OOO In bonds for the harRe canal and
ESQ GOO OO0 for good roatS " authorized
a direct tax each wear TO provide an
amount which would take care Of the in
terast and sinking funds for these bonds
annually. Rut two wears ago the Legs
lattIre decided not 10 have a direct taX
for this PURPOSE. hut to meet the-o pay
upsuta out of the annual indirect revenues
Of the State Treasury. and the payments
IN account oG the canal and highway
ainkinR fund, and interest this year
amounted 20 ss.ass en-. Gov. High='
points out thai in four or Eve years this
amount will ~ increased 10 ts.OOO.OO0
wear when ell tho bonds are out. and sayA
the state viii be Obliged 20 20 back 70
direct tax and adds;
NY reflection upon this matter has
led me TO the conclusion that when ths
people authOrizs a bond issue upon a
basis of a direct tar 20 pay the bends
that direct tax should bs imposed
The Governor then turns HE attention.
20 the bin passed BY Assemhlyman Mer-
nit after a conferences with the Rspubll-
can legislative leaders. which would raiss
about t'.OOO.OOO by increasing the lnksri-
tanos tax on a graded scale. The Gov.
ernor points out that this bill would M
raise enough % meet the present hnancif
sxigrnCy and inaista further that the btl
is Questionable from his standpoint on
account oi the methOds of graduation.
He adda:
The progressive rate appears 10 depeno
not upon the amount Of property or integest
reoalVsd by the individual tranaferee bus
upon the slne Of the whole estate passing
10 those Who are not exempted from the
provisions of the Law
The bill provides that the tar imposed
With respect % collateral relatives and
stranRera shall be per cent. II the value
- ~. uvonertv doea not awraqd sion on.