The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1913-04-03
GRAND JURY UNABLE.
TO INTERPRET LAWS
Virginia Statutes SO Vague and
Anticipated That Taxpayer
Is Confused.
SPEAKERS FOR SEGREGATION
Inequalities in Assessment Crit
cized at Business Mems
Club Luncheon.

Nirsinia's tax laws are SO vague and
antiquated that the grand jury recent
~ investigated the matter in Rich
mond found it impracticable TO in
terpret them literally, and the tax
payer is unable TO know what his OBJ
legations really are. according 10 J.
r Ryland. Il member of the grand
jury, who spoke at the Business Mems
Club luncheon yesterday
He said that some of the tax laws
show the ancient handiwork OF the
House OF BurSesses. and that they tax
things which are no longer in exist
cnce. The S7,00O,000 Of additional as
scssments which the jury found. lie
said. were only II fourth or Il NTH OF
what they might have returned. as
they considered it unjust to apply some
of the laws. Thus the tax on borrow
ed money was not enforced as being
an obvious injustice, since the money
is the property of the man who lends
II, and he alone should pay the taxes
OH it.
Bank Deposit INK Unjust.
The tax on deposits in banks. he
said, they were compelled to enforce
although they considered IL unjust He
pointed out that under the present law
a savings account OF 3 per cent will
yield but Ia per cent of net inter
l.
ed which is a hardship that genarally
falls on those least able TO bear iq
lie said that the grand jury found
mortgages and bonds "woefuliy
scarce and gave it as his opi,iion that
not more than 10 per cent of these are
ever taxed according to law. because
OF the ease with which the assess
ment may he evaded. Yet these intau
sibles are invariably taxed when they
pass through probate. so that the
burden falls upon widows or minor
children instead Of upon the man WHO
1T WAS intended should pay it,
The right remedy for this difficulty
nc SAID. is the mortgage tax. or rec
orded debt law" such as is in force in
many Western States now The mort
gage Is assessed at ] - per cent upon
Its face value nj the time it is filed
and there is no further tax. This law
mas had the effect of bringing down
me interest rate whore il is in force.
Farm Segregation.
6oth MIR. Ryland and o. A. Hawkins
'orihcr commissioner of the revcuuo
. stated mat segregation of valuations
as between the state and it's subdi-
VISIONS, is the correct remedy for Tho
,hcauhues which exist in the share of
'he burden horne by counties ana
citles. Mr.. Hawkins pointed out thnt
Oahu IN the counties is now assessed
it from 70 To 30 per cent of it's vuluc
while in Richmond il is as.essod M
/ from ~ 10 so per cent If the conn
'ies were compelled To levy their own
real estate taxes, he said. they would
pc pretty sure to make a fair vama
ton.
inc Fundamental Injustice in Tho am
pilcation of the Virginia tax laws or
oordlhS TO Mr. Hawkins consists in
me application of uniform rate of
."Nauoii Win varying rate of va,,Ia-
toi. Thua bonds are assessed at tIici,
nharket value, while mortgages are as
sesScd al their face value. and tanri
bic property ut the will OF the assnssn,.
or taxpayer.
General Reform Needed.
lie also pointed out tina; arv al
tempt at reform must be general in ito
scope If 1t hopes to succeed THAT rcal
estate mortgages should be taxed vbor
q '"N Is already paid on tho propcrtv
Is an injustice; but a tax ON
railway bonds. who, the rail-
way runs in the state and na,e
taxes on It's roadbcd. etc is a p,raljoI
case. Thus any attempt nj spccilaizod
/ reform cannot fail TO ALLEVIATE much
valuable support. In broad-lnindad
cooperation, he said, lies the greatest
nope of success
There was a fun attendance. at ,ha
luncheon, which was the fourth of Tho
series tlat the Business Mems CIub
mas planned for the discussion of mint
cip"i problems. Tho meeting began
promptly at 80. and was adjourned
III @'"o o'clock. Tho committee IN
'h"ISe Tor the day consisted Of John
1aF i"hd Pollard, chairman: John
baghy and hunter f. Frischtorn