Atlanta Georgian. [volume] (Atlanta, Ga.) 1912-1939, 1913-06-28
TAX SYSTEM
SCORED BY
SLATON
Revision of Criminal and Other
Laws Also Urged in Execu-
tive's Inaugural Address.

Drastic action toward the rejuve~
nation and correction of Georgia,s
laws, especially taxation and the
Criminal Code, were recommendations
which marked the inaugural address
Of John Marshall Slaton upon hts
induction into the gubernatorial Of
fee in the House of Representatives
before the two bodies Of the General
Assembly and hundreds of visitors az
noon Saturday.
The new Chief Executive drew out
in sharp contrast the present system.
Of appropriations and taxation and
declared the system was wrong.
He brought up for bitter arraign-
ment the lack Of school funds, which
he termed the lack Of a proper foun-
dalton for future citizenship of the
State. He advocated an Inheritance
tax, an increased occupation tax upon
corporations and a general equaIiza-
ton Of taxation throughout the Com
monwealth.
Drain Not Checked, He Says.
He called attention to the loss Of
millions of dollars through abandon
ment of tax measures such as that On
liquor the dog tax and others. and
declared that no substitute for this
drain had been made He recon-
mended increases in taxation for the
school fund and the pension fund, and
In concluding pointed to a general
tide Of prosperity which he declared
was to pass over Georgia.
In part Governor Slaton said:
Our system is wrong. The Legisla.
ture can appropriate what it pleasss,
and the tax rate remains the same.
The Legislator has made himself a IA
vorite with his constituency by voting
for every popular appropriations and
nothing suffers but the States credit.
Unless some check be made. an in
crease Of revenue will be Of no avail in
preventing the financial embarrassment
Of the State. Under the enthusiasm Of
the moment one appropriation bill may
exhaust it,
More than four fifths Of the States Of
the Union derive revenue from what is
known as an Inheritance tax. I am in
formed that this tax is the subject of
least complaint.
This form Of tax has been approved
by the highest authorities and Is one
~ the easiest borne and subject to
fewer hardships than any other. The
inheritance tax is to some extent a cor
receive
Corporation Taxation.
Prior to the year 1905, MANY Efforts
were made to collect an OCCUPATION tax
from corporations. Governor Terrell in
his message of the year 1905 recon-
mended a tentative privilege tax based
on capital stock Of 500, 600 per wear on
corporations having a capital of ST.
100000 or over He anticipated from
this source more than $500, 900 a wear.
and thought that such sum could rea-
Sonably be expected without a hardship
The state, however, has not received
one-haf this sum, and during the year
1918 the estimated revenue from This
source is s48 900.
l recommend that the maximum occu.
patton tax on corporations having 81
700 600 capital and over be $500 per an
mum, and the tax on corporations of less
capital be adjusted accordingly.
Equalization of taxes, either through
he enforcement of present laws, or new
so that each may bear his
burden. would not mean
the increase Of taxes upon any one now
his duty. but would rather
mean the Tightening Of his unfair por-
ton Of the load l commend this sub
Iect to your attention.
Bonded Debt To Be Refunded.
An additional reason for establishing
and maintaining the States finances on
4 sound basis is the necessity of max
ng provision for more than one-half OF
he entire bonded debt of the State, ma
turing in 1915. This is an Imperative
iuty resting on this Legislature.
No sinking fund was provided by law
10 retire the bonds .aggregating s3,s79.-
100 which are due in 1915 The entire
States debt is $6452,500, which does
not include the obligations to the Uni
yersity, amounting to 1891 500, and ths
andscrip fund Of $50 900.
All the debt of s6452, 500 is provided
for. or will be provided for, by the sink