The evening herald. (Klamath Falls, Or.) 1906-1942, 1912-05-31
TAX MEASURES
ARE NOW READY
STATE TAN COMMISSION AND
LRoIsLATlvE COMMITTEES OF
TWELVE RECoMMENDs -FOUR
NEW BILLS


ton with committee appointed by
the las, legislature is sending out
initiative petitions for four tax meas
ures that will be submitted to the peo-
pie at the next general election.
These proposed measures are con-
stitutional amendment, authorizing
the taxation OF incomes; a law to ex.
empt from taxation household furni-
ture, wearing apparel and similar
non-productivc personality: n law TO
exempt mortgage notes and other
credits from taxation OF the same
property value; n revision OF the in
heritance tax law, following the model
Law recommended by the National
Tax Association. which proposed law
would increase the state revenue from
indirect sources.
BY recent amendment to the state
constitution. the legislative assembly
is deprived OF power TO enact any law
regulating taxation or exemptions.
and for that reason the last legisla-
ture gave to the state tax commission
snd a committee OF seven members
from the house and Ave from the SEN
ate the task OF outlining and placing
before the people needed legislation |
along this line. Rational tax re-
form" Is the title placed on the cover
OF the initiative petitions.
The nrst measure is an amendment
TO article 3 OF the state constitution. |
and says: Taxes may be imposed on /
incomes. from whatever source or
sources derived. and such sources may
be classified for the purpose OF taxa
tion. Taxes on. incomes may be either
proportional or graduated and pro-
gressive and reasonable exemptions
may be provided"
The second measure does not re-
scind any OF the exemptions already
allowed on property. as listed In sec
tion 355+ of Lords Oregon Laws. but
adds to that section the following for
exemption:
"All household furniture. domestic
fixtures. household goods and effects
actually In use as such In homes and
dwelling; also all wearing apparel.
watches. jewelry and similar per- :
sonai effects actually In use"
The third measure Is q new act. ex-
empting from taxation the following: |,
"All debts due or TO become due.
W
mortgage. bond or otherwise. either 4
within or withou, this state: all pub
lie stocks and securities; all bonds.
warrants and moneys due or to be-
come due from this state or any coun- .
ty or other municipal subdivision
thereof: all stocks and shares In In
eorporated or unincorporated COM
panies; provided. that this act does
not exempt bank stocks. shares and
banking capital from assessment and
taxation"
Drafted In harmony with the model
Inheritance tax law. as prepared by
the National Tax Association. the pro-
posed Inheritance tax measure is In
tended TO SO classify property so there
will be no double taxation OF II. as be-
tween various states. when a similar
law enacted in all other states. And
TO have this done IL the aim OF the
National Tar Association. The state
OF New York adopted similar law
last year.
The proposed measure imposes n
tax when the transfer Is by will or by
the intestate laws OF this state, from
any person dying seized or possessed
thereof while resident Of the state:
also when the transfer IL by will or
intestate law. Of tangible property
within the state. and the decedent was
q nonresident OF the state at the time
OF his death.
In the preparation OF the bill the
committee has aimed at the follow
Ing: First, a reasonable tax which
will provide a fair revenue; second.
one that is definitely fixed and easily
third. q tax. which, II pos
sible. shall be uniform in the differ.
Vns staeo7' Specihiiy IN the Imposition
Of tax on Intangible personal prop-
srty when held by estates OF non-rssi-
dent decedents. and thus to avoid q
double taxation.
The tax is graded as to relationship
and progressive as to the amount OF
he bequest. and is based on the value
" each bequest instead Of on the total
value OF the estate. u is levied on
The transfer Of tangible property hsv-
ns an actual situs within the state,
md Of tangible property wherever To-
,ated. following the principle that the
ntangible personal property Of resi-
lent dscedent should be taxed at hts
lomicils.