Lexington gazette. [volume] (Lexington, Va.) 1871-1962, 1911-07-19
SOME INEQUALITIES
OF STATE TAXATION
State Tax Commissioner Free
mans Address
TO VIRGINIA NEWSPAPER MEN
Various Methods of Assessments in
Different Sections

S. Freeman, secretary of the State
Tax Commission, on the subject of
TAX Reform in Virginia.
DIR. Freeman was for a long time
engaged in editorial work on the
Times-Dispatch, devoting consider
able labor to the matter of taxation
and the system in vogue in the State
and the needed reforms.
In his speech he claimed the right
to speak as one of the household,
declaring that he was a member OF
the fraternity, and priced that dis
tinction.
DIR. Freeman took up the subject
and went into an extended disserta-
ton on the glaring and appalling
inequalities in taxation, found in the
various parts OF the State and point
ed out much that is of interest.
In the course of his remarks he
said:
There are counties that assess
lands at 10 per cent OF what the
assessors are sworn to assess them,
and there are counties and cities
that assess at 20 per cent OF what
they would bring on the market.
Thus one county or city, on the same
property is paying seven times as
much to the State as is another.
Horses throughout the State are
assessed at an average of $50. 20;
Grayson county assesses them at
$3.50; Richmond city at $1O1. 80.
Cattle in Grayson are assessed at
IS. IA, in Loudoun at $28. 81. Hogs
are vaued at an average of 50 81 in
the State at s1.16 in Graysou; at
1919 in Henrico. Other items of
personality are assessed at as wide
ratios as $1.23 between counties.
Farmers lands OF equal fertility are
assessed as from So the acre to $50
the acre; buildings at from 20 per
cent of what they would cost to re-
construct in their present condition
to more than they would bring un-
der the hammer. All of this is an
old story. You know its details.
Naturally, inevitably, these inequsl-
tiles constitute problem, but not
as great one as might be supposed,
once some central administrative
authority is created.
Much more battling are the in
equalities between the various class
es of property. You all know how
extensive this is. Real estate. the
Commonwealth through, is assess
ed at Al per cent of its real value;
personal property at about IS per
cent; stocks and bonds and all in
tangible property is assessed at
its full market value. The man who
owns horse pays On about 35 per
cent of the value of that horse, tax
ing the State as a whole. If he sell
the horse and loan the money, he is
expected to pay on 100 per cent, If
he sell the bond and buy land he
pays on Al per cent. The inequality
is manifest.
The worst feature of this, how
ever, and, to my mind, the most out
rageous feature of the whole tax
code, barring none, is the system
of taxing fiduciaries and chooses in
action. This system, though ex-
pensive, is perfect and maddening
by it's perfection. Not a dollar can
escape the examiners of records.
The result is that those are burden
ed who can least afford to pay. Let
me take a single instance. A me-
chanic died in Oanville. leaving
So, 900 of insurance for the benefit of
his wife and children. The funds
we're to be kept in trust, and conse-
quently came under the inspection
of the examiner. The trustee in
vested this poor woman's money as
best he could-on a per cent mort
gage, yielding her $3.50 the year.
This was all the woman had, and
from it how much does the State ex-
act? Precisely $3.50 or 20 per
cent Of all that woman has. When
we remember that we, Who can earn
living, pay on Al per cent OF our
realty and 80 per cent of our prop
erty, we see how UBIQUITOUS is this
system.