The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1913-02-19
Chamber Will Call State
Convention to Find
Solution.
PRESENT SYSTEM
DECLARED ROTTEN
Member of Recent Grand Jury
Investigating Tax Matter Says
Man of Average Intelligence
Can't Understand It'd
mund Strudwick Elected
New Director.

Called together at the jefferson
iLotol last night for the purpose Of
Erapplins with somc OF the most in
s!stent problems that confront the
city, the directors OF the Chamber Of
Commerce with one accord singled out
the question OF taxation as the one
problem which stands in most urgent
need OF solution
There no division of opinion.
Many OF the directors called attention
10 the recent griling at the hands OF
thc special grand jury Investigating
tax returns. One and all pronounced
the system OF taxation now In force
IN Virginia supcrbiy bad-so bad that
it constitutes menace TO business
and contains serious threat to COM
mcrcc
The board OF directors voted unani-
nously to call together In Richmond
some time this spring or in the carly
summer, state convention of dele
gates from every business organiza-
tion In the Commonwealth for the pur.
pose OF drafting a tax reform measure
that will conform to the business de-
mands of tho state. The bill thus
drafted will be submitted to the next
General Assembly for adoption.
Besin Work a. Once.
The directors agreed that IL any
thing was to be accomplished, the agi-
ta;ion for tax reform must begin at
once. a resolution was accordingly
adopted placing the matter with the
lcgislaticc committee OF the Chamber OF
Commerce and instructing IL to pre-
pare tentative outline OF tax reform
20 be presented 10 the proposed con-
vcntion OF business men. The commit
Il
plans for such convention. as we'll as
10 report OF tho best time for hold
ing IT,
Thomas Il. McAdams, cashier Of the
Merchants National Bank stated that
the recent tax investigating campaign
conducted by the Auditor of Public
Accounts and the newspapers has with
drawn more than 100000 from Rich
inond banks and that much OF IL has
lett the city never to return. II the
agitation had been prolonged and pur-
sued to the strict letter of the law,
hc thought, II would have resulted i'm
forcing IA number OF banks out OF bus
mess.
Such a state OF affairs, he said. is in
tolcrahle and hangs as a constant
threat over the banking business OF the
state. The situation. he said. can be
remedied only by placing a nominal
lax on bank deposits. lie suggested
the abolition OF all local taxes on de-
posits, making them subject only TO
the State tax. This, he said, would put
an end 10 concealment and subterfuge
and cure the condition OF unrest which
threatens the business to-day.
Mortgage Tax Reform.
President o. II. Funston. of the Real
Estate Exchange, joined the hammer
brigade with AN arraignment of the
mortgage tax. 1t was a species OF
double taxation. he said. which has
been abandoned by Massachusetts New
York and every other progressive State.
and is to-day initiating in Richmond
against the home builder and against
outside capital seeking local invest
Iuent. sHe asked for the abolition OF
the present rate of s1.75 annually and
its replacement by Il tax of y OF ! per
cent. to be paid only once during the
life OF the mortgage-at the time of
iiling.
The present system. of taxation is
rs rotten as 1t can be-" Is the way
Fritz sltterding put it, He was
member of the recent tax investigat-
;ng grand jury, and spoke from the
heart. AS the tax laws stand now, he
said, person with only average intel
ligcnce cannot understand them. The
grand jury. he said, began by exam
lining it's own membership first and
found that three of the Jurors were
themselves guilty of evading taxation
They made the proper correction
To Proceed Slowly.
1t was agreed by the directors that
will take several years Some of the
changes that are desired will require
amendments to the present Constitu-
tion. An effort will be made through
the proposed business convention to
formulate one or two of the most press
ing reforms and to have them enacted
into law at the next General Assembly.
While the directors would not COM
init themselves last night on the ma
ture Of their initial demands. they in
OiCQtcd that they will 81 HrSt for the
abolition OF the mortgage tax, on the
plan outlined by Mr.. Funsten, and for
the removal of the local tax on bank
deposits. Details were intrusted to the
legislative committee of the Chamber
OF Commerce.
Favor Tarin Commission.
President Darlington presented a res
olution adopted by the recently organ
lied Chambers of Commerce of the
United States calling upon Congress
to create permanent tariff commits
sion to gather and tabulate data on
the tariff, for the purpose Of supplying
accurate information on the perennial
problem to the lawmakers. The reso-
luton was accompanied by request
that the Richmond Chamber of Com
merec indorse it.
Tho directors unanimously favored a
permanent tariff commission which
will insure to the men who compose
1t freedom from political disturbances.
The resolution was adopted after con-
siderable discussion, with the condi-
tion, however, that the chambers in
dorsement hinges on the addition of
"A clause which shall guarantee to the
tariff commissioners permanency of
tenure and freedom from partisan in
fluence.
j. l.. Wingo presented resolution,
which was unanimously adopted, con-
graduating tho city OF Richmond, the
State OF Virginia and the whole South
upon the recent merger Of the two med :
jcal colleges OF the city. Congratula-
4, tions were extended also to tho united
college and to the physicians and sur
TContinued on Tenth PaKal