Hopkinsville Kentuckian. [volume] (Hopkinsville, Ky.) 1889-1918, 1913-10-21
How Unsatisfactory the Pres
ent Tax System Works
in This State
Most Unequal System Ever Devised
and Most Of the Progressive states
Have Abolished the Plan Used W
kentucky.

30 Ialr the average lulhhci NoN 1850
no fault with it.
In practice, however. It has been
found to be the most unequal tax sys-
TEN ever devised, and most Of the pro
gressive states have abolished the
plan.
Its Inequalities and unfairness may
be seen from the way 1t discriminates
in certain classes of property and ex-
plains why Kentucky seems to have
SO little intangible wealth as COM
pared with other states.
For instance, cash in savings banks
draws only three per cent interest,
gilt-edge bonds pay four per cent, real
estate notes six per cent, stock In
some foreign corporations ten per cent,
\. while the tax on all is the same for
<State purposes, but varies for county
and city purposes according to the 10
cation.
Thus where the income Is only 8
per cent and the taxes 2h per cent
it leaves the owner only " per cent
interest, and where the income Is 10
per cent and the taxes 21h per cent
the interest is he per cent. In this
uniform?
In some counties land is assessed
at 80 per cent of it's value, in others 90
per cent, and in others 70 per cent.
The state tax Is the same in all tie
counties. h this uniform?
II an honest farmer lists his prop
erty at its fair value and his I'M
scrupulous neighbor puts lower value
on his property the former pays more
than his share, while the latter pays
less.
II the state board OF equalization
raises the entire list for that county,
the honest man pays on property he
doesn't own, and yet our law is sup
posed to be uniform.
That the personally owned by citt
gems of Kentucky is vastly more than
IN listed for taxation is a well-estab'
hed fact; but the tax receipts don't
show it. In fact, certain classes OF
property, such as stocks, bonds, notes
and cash have almost disappeared from
the tax rolls, and these evidences OF
wealth apparently grow less each year.
If the present system is allowed to
remain in force, 1t will result, as it has
in other states, in almost all kinds Of
personally disappearing from the as
SCISSORS books, and lands and houses
which can not be hid or moved will
have to bear the chief burden.
II has been so in every state where
the general property tax" has been
the plan on which property was taxed,
and most of the states have been wise
enough to get rid Of such an unequal
and unfair system.
The Ohio state tax commission, IN
its 1908 report on the operation Of the
general property tax" says:
"It is failure for purposes OF rev
enue or equality. Perhaps not per
cent of intangible property is listed.
II Furnishes the honest 1t rewards the
dishonest. 1t frequently results In
double taxation and lowers the stand
ard of integrity"
The entire revenue of the state of
AZ Kentucky is about 100000, while
~ Michigan, with about the same area
III and population, receives sl4,OOO,OOO
y from taxes, only a small proportion OF
which is paid on land
In Pennsylvania there is no state
tax on farms or homes.
There are 100000 acres of unim
proved farm lands in Kentucky anC
vet vast quantities of farm products
have to be imported.
There are about twenty-five thou
sand square miles of coal lands II
Kentucky, and yet we buy millions o
tons OF coal from Pennsylvania, Yves
Virginia, Indiana and Tennessee.
Kentucky raises thirty-eight Pc
cent of the tobacco crop of the United
States ard manufactures Only thre'
per cent Of II.
These are significant facts and GU
people should consider them.
There may be other causes for ou
lack Of progress but 1t is an estah
llshed fact that no state has eve
prospered under the general properi,
tax and Il is also known that this de
plorable system Of taxation has Away
driven out capital. retarded deve.o7
ment and caused untold losses in por
ulation.
The last general assembly passe'
an act amending the state constitu
ton so as to permit future Legislation
on taxation which will go far toward
remedyng the evils and 1t is the dut
~ of every citizen in the state to vot
" for the amendment at the Novembe
election. II II is not ratified at tha
time It viii be impossible to vote O.
the question for another five year
and Il has been delayed too lons a
ready. II Is tine FOR us 10 wa6e u
and -s. IN line with other prosperou