The record., 1913-10-30


The present state constitution OF
Kentucky provides that Taxes shall
be uniform on all kinds of property" !"
and on the surface this seems to be
so fair the average thinker can find
no fault with It.
! In practice, however, it has been
/ found to be the most unequal tax sys-
/ TEN ever devised. end most of the pro-
gressive states have abolished the
plan.
It's inequalities and unfairness may
( be seen from tine way it 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
scme foreign corporations ten per cent,
while the tax en- all is the same for
state purposes, but varies for county
and city purposes according TO the To-
cation.
Thus where the income is only 3
per cent and the taxes 2ls per cent
it leaves the owner only Y per cent
interest, and where the income is 10
per cent and the taxes 2la per cent
the interest is III per cent, In this
uniform?
In some counties land Is assessed
at 80 per cent of its value, in others so
per cent. and in others 20 per cent
The etate tax is the same in all the
counties. Is this uniform?
II an honest farmer lists his prop
erty at its fair value and his un
scrupulous neighbor puts lower value
or 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 nan pays on property he
doesn't own, and yet our law is sup
posed to be uniform.
That the personally owned by citi
gems Of Kentucky is vastly more thar
is listed for taxation is a well-estab
lished fact; but the tax receipts dom
show it. In fact. certain classes o.
property, such as stocks, bonds, note:
, and cash have almost disappeared from
: the tax rolls, and these evidences o.
wealth apparently grow less each year
; II the present system is allowed t
remain in force. it will result. as 1t ha.
in other states, in almost all kinds o
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 wher,
the general property tax has beei
the plan on which property was taxed
and most OF the states have been wis,
enough to get rid of such an unequa
q and unfair system.
The Ohio state tax commission, il
its 1908 report on the operation of tn,
general property tax" says:
"It is a failure for purposes of rev
I enue or equality. Perhaps not 8 pc
0 cent OF Intangible property is listed
9 1t Furnishes the honest. II rewards tn
3 dishonest. 1t frequently results Il
q double taxation and lowers the stand
ard OF integrity"
The entire revenue OF the state o
Kentucky is about s7,000,000, Will
Michigan, with about the same are
and population, receives s14,000,00
from taxes, only a small proportion @
which is paid on land.
In Pennsylvania there is no stat
tax on farms or homes.
There are 100000 acres of unin
proved farm lands in Kentucky an
yet vast quantities of farm product
have to be imported
There are about twenty-five thol
sand square miles of coal lands
Kentucky, and yet we buy millions {
tons of coal from Pennsylvania, Yves
Virginia, Indiana and Tennessee.
Kentucky raises thirty-elght pc
. cent of the tobacco crop OF the Unite
. States and manufactures only thre
u per cent of it.
These are significant facts and OF
people should consider them.
I There may be other causes for ou
I lack Of progress but II is an esta
] lished fact that no state has eve
prospeTed under the general propert
tax and II is also known that this d
. piorable system of taxation has alwa,
driven out capital, retarded develo
IN ment and caused untold losses in po
ulation.
Of The last general assembly passe
an act amending the state eonstit
n tion so as to permit future legislatiC
on taxation which will go far toward
It, remedying the evils and it is the du
of every citizen in the state to yo
vs. for the amendment at the Noyemb,
election. II it is not ratified at tn
le time it will be impossible to vote
the question for another five yea
IS and il has been delayed too long
q. ready. 1t is time for us to wake
IL and get in line with other prospero
% states. Vote for the constitution
amendment at the November electio