The Oskaloosa herald., 1913-03-06
MANY OPINIONS
ON TAX MEASURE
STATE PUT TO ENORMOUS Elk.
PENsE iF THREE BILLS PASS.
CONFLICT ONE With THE OTHER
The Three Measures Are "The Perma
nent Tax Commission" 1.-THE Pub.
lie Utilities" and "The Exc
cutive Classification eilI."

Des Moines, March 4.-Should the
Iowa legislature in the spirit OF enact
ing progressive legislation, pass three
OF the biggest measures now before
It, the state would be put to the enor-
nous expense OF having a physical
valuation of corporation property
made by three different bodies. 1t is
roughly estimated by competent au-
thority that to secure such valua-
ton will cost at least half million
dollars. Conservative members of the
legislature therefore suggest that 1t
would be advisable to have but one
power to make sucn valuation. Inc
three present bills giving different
boards the right to eXpend funds for
making such a valuation are:
The Permanent Tax Commission.
The Public UtiIIIies Bill.
The Executive council bill for
classification OF property.
An adValOrum valuation OF corpora
ton property is urged in connection
with the Tax Commission as a prac.
Teal basis for the computation of tax.
es; in the Public Utilities bill il Is
urged as proper foundation for fiX-
ing rates of service: IN the Executive
Council bin it Is also apparently de-
signed for taxation purposes.
Representatives of railroads and
other corporations who have visited
the state capitol since the commence
ment Of the legislature state frankly
that they do not object TO a physical
valuation. II therefore merely re.
mains for the legislators TO determine
whether they wish to put the state to
the expense of making such a yalua-
ton at this time, and II so to what
body shall be given the power. Should
by chance permanent tax commits
sion and a Utilities commission be es'
lablished, to which should he given
this power, has been asked by some
members. II the tax commission Is
given II as right TO establish basis
for taxation they conflict with the
utilities commission which would es'
tablish basis for rates, of vice versa
the Utilities commission might estab,
lish a basis not in equality with other
assessable valuations fixed by the
tax commission.
This advalorem valuation is urged
by supporters of the proposed tax
commission as one of the means OF
getting a practical basis for compute,
ton oil taxes, yet after Ii had been
used Two years by the permanent tau
commission in Minnesota it was aban
doned and the gross earnings method
adopted.
-, lae permanent tax commission
furnishes a more practical basis for
computation of taxes is denied by
members of the legislature who have
ApsxN Of he
commission in those states where
such have been established. Com
plant Is made in Iowa against the
actual valuation" of farm properly
because such is not secured, and ii is
proposed by county assessors to gel
this actual valuation; yet in North
Dakota, where a permanent commits
sion has been established, IL Is this
winter asking the general assembly
10 repeal its actual valuation" Law
and allow II percentage basis tax
In Kansas the tax commission Is ask
ing just the reverse, so ii is pointed
out the permanent commission does
not settle the dispute as to the best
basis. In Wisconsin the commission
devised still another method, the in
come tax" in addition to the property
tax. The testimony of one Milwaukee
banker is enough TO disclose its inc
quality. He said: AS a stockholdeI
pay taxes on my bank stock, tht
bank again pays taxes on its income
and after the profits are divided pa!
another tax on part of II as my in
come. Hence my bank stock is taxed
three times. | figure pay a premium
OF sixty per cent increase in take
for living in a progressive state"
II is urged by these not eager t
adept the experimental tax commis
sion that the numerous basis for com
putation urged in connection with thu
proposed commission, be first tried II
connection with the present taX-mak
ing power. the executive council.
all these things be good for the u.s.
of Il commission, why not give tn
council opportunity to prove its equiv
alent worth with the same instru
mentS, ask some of the members
Then should they prove unworthy. |
Is argued, and elective body woul,
not hesitate to acknowledge the trutl
TO the people. which an appointive
practically perpetual body might no
be inclined to such itankness.
So far as can be learned by mem
hers of the Iowa legislature the nam
ing a permanent tax commission II
various states has not settled tn
question OF proper basis for compute
ton. Different commissions use dill
ferent methods and appear TO b.
cropping about for solution as blind
~ as has been attributed To preyiou
taX!naking bodies.
Alter bief respite from the care
Of lHgi iatOr the members OF the gen
eral assembly returned to their desS
tod" refreshed bv their vacation Il
home and rany much more at res
-,rlstirc Ia inportant measures. nav
Jig talked tae situation over witt
'Itutns.
- 80 ct 80 that renewed on
c,rV ill be shown in tae work OF tn,
p ~ -. 80 snrcrd half o.
to Sos ion win develop more aetna
" ~r he first. The
first halr. Il ~,"s he remembered, has
y Zoe preliminary
work. Most OF the Big bills are nov
& -" -~1hlv The
ncmbcrs are up against the voting
ing of their to