The Calumet news. [volume] (Calumet, Mich.) 1907-1938, 1913-01-02
Taxation.

nave the advantage OF the anlehumeh
Taxation.
The more one surveys the hit an
miss" taxation system la Michigan
the more one is convinced that rae
zeal changes are needed In the system
itself
The one thing that would greatl
simplify our taxation methods woul,
be a separation OF state and loca
taxes. Scarcely any one will dem
that this change is needed. but tn,
question is how 10 bring II about
How to raise the specific taxes neces
sary TO run the state is the mos
serious problem,
| would suggest three sources oI
revenue. Our present inherit nos ta1
! brings lie In comparatively SINAI
amount, ! would suggest that this tai
should be largely increased, especially
on extremely large fortunes and the
proceeds be placed in the general fund
for state purposes. A second source
OF revenue might come from a grad
uated income tax like our sister state
OF Wisconsin is now trying The cor
porate-eXcess tax plan OF Massachu'
sets as recommended by the conn nit.
tee OF inquiry into taxation al the
last session OF the Legislature is still
another method OF raising the neces.
sary state revenue.
While | do not recommend any OF
these plans specifically, do recon-
mend the separation OF state and local
taxes and ask your honorable body TO
! carefully examine all the methods
above suggested and such others as
may occur TO you, and ! hope that by
some OF these methods or a combins.
ton Of them. the legislature can find
some way Of raising the necessary rev.
enue SO that separation OF state and
local taxes may be brought about
Public Utilities Commission.
We now have a railroad commission
which is given the power TO fix rates
and regulate the practices OF rail
roads, telephones and power com
panies. | would recommend the en-.
largement OF the powers of this com.
mission to cover all public utility cor.
porations Of this state. Furthermore,
as there can be no intelligent fixing
of charges without knowledge OF the
real value OF the properties, | would
mn hn al L.
authorized to make physical valuation
OF all such properties that they may
deem advisable, that the rates fixed
may return reasonable dividends Oh
actual cash investment.
Licensing the Sale Of Stocks
and Bonds.
During the past twenty-eight years
have received numerous letters from
men and women, who have accumu-
lated little money asking my advice
In relation TO an Investment In stocks
and bonds Of foreign corporations and
public utilities corporations. They
had become enthusiastic over
scheme whereby they hoped ito get
rich quick" through these purchases.
My experience is doubtless the exper-
fence of every member vi the legisla-
ture. The sale OF these stocks runs
into hundreds Of thousands OF dollars
annually. Ii is hardly fair to expect
the people or Michigan or of any
other state To have any adequate
knowledge concerning the real value
Of these stocks. suggest the enact.
ment OF law similar to the Kansas
law whereby our people will be pro
tected from this kind Of fraud. In |
other words, prohibit the sale OF
stocks and bonds OF any company un.
I'll said company has been first inves. |
Iigated and approved by the Railway |
Banking Regulation.
Experience proves that the welfare
)f the people in their relation to bank
ng institutions cannot he too care.
inlly guarded. State banks and ma
iionai banks are subject to state and !
rational supervision. In spite of this
supervision there is feeling that
'urther steps should be taken to Sc
cure depositors. While | would not
recommend extreme legislation for the
'urther protection OF the depositor. |
10 believe that this subject should re.
.eive careful consideration at the
hands OF the Legislature can see no
'eason why private banks should no,
rave state supervision and be required
IN call to file statements. Under no
would ! say legislate
70 as to imperil the progress and de.
'elopment OF small banks. There are
communities where the needs OF the
PEOPLE make the small banks a neces.
MY The interests OF the people in
hese villages, however, should be as
carefully guarded as are the interests
Il the people in the larger cities.
The Torrens System Of Land
Transfers.
The Torrens system was first intro
lnced IN Australia in 1858 by Sir
tobert Torrens, whose name IL bears
worked SO well In Australia that If
pread to all civilized countries In.
iuding Canada. and is in force every.