The farmer and mechanic. [volume] (Raleigh, N.C.) 18??-19??, 1914-01-13

the maximum rate runs up Ia Ten p,
cent nfteen per cent ana IN Nsv York.
u enty nve per cent If may be noted that
this rate Is causing many men - large
estate 10 move out 81 the State II New
York.
iii In some cases. the lax apple. "a
the estate and 70 the Inheritance Or An,-
cession.
~ 1t usually covers al property. ~aI
u There l. great confusion Ala from
double taxation. For Example: Suppose
some one died In North Carhna: tie
states takes jurisdiction. bur all moneys
Oh deposit and New York securities a~r@os-
ited IN that state ere subject 10 an tn
h~eriianc- tax in that State before the~
here.
tkl Some States go so far as to claim
that because tire corporation is 4 creature
OF the State. Its stock Is subject to THE
TAX and the stock cannot be .ransferrec
without the In Inheritance tax Is paid. though
held ws;hou: the state By a non resident,
York and North Carolina. TO make sure.
some States go 50 far as to require thu
executor 70 nle complete Inventories Of
estate before Issuing receipts for the In
heTttance taxes.
i,n) Some States Ike Maryland tax e
~curities on deposit IL that state.
This matter Of inheritance tax may
be very serious TO un~suspecting In
S%estors: for example: If a man lives
in n State and his stock IS in a cor
poraticn organized in another State.
which does all its business IN a third
State n keeps his stock in a safe
deposit box in q fourth State. his
estate may be obliged to paw 4 fun in
hefiiance tax -four times. I'm first
State may be either one Of the IS
States: the second state, any one OF
at least "A States; the third state, any
one Of 8. and the fourth, any one OF 4
half dozen.
Double Taxation.
Equally interesting is the subject OF
double taxation permissible under our
Federal n State Constitutions, not
only double taxation because OF
double jurisdiction, but double taxa
ton under the same jurisdiction. For
example,: The land is taxed and at
the same time the mortgage that rep
fesents g large part or all Of the pur-
chase price of the land. II the law.
permits It, Justice and equity should
not allow It TO continue. It is graft
flying to note how political economists
and statesmen are ever trying to COR
rect this growing evil, growing moi
because OF Indifference, but because
Of the growing complications that are
developing with more complex bust.
ness n more systems OF
taxation. For example,: Take tho
growth OF corporations. What Is ap-
piicabte to tina person and his and
and the mortgage that ne creates TO
raise he purchase money is quite a
different proposition to that OF a rail-
road. or similar enterprise. where the
stock goes for the purchase and DE-
yelepment q the property. no less
than the proceeds OF the mortgage
bond issues. which like the stock. rep
reseEts the property itself. In this
case. It is not double taxation 70 tau
both the stock and the bonds, but te
tax the franchise, the real estate, the
stocks, the bonds and the income ia
addition IS clearly wrong.
In conclusion. we desire TO che!
some ideas that have impressed them
selves during the investigation Of thu
subject, as the best possible solution
OF this complex question.
General Government.
), /. Let the general government con
, fine Itself to custom duties. interna
revenue receipts, and postal receipt
which shou.d Be reserved for the sol,
use OF the Federal Government. TIL,
tariff and internal revenue, or As tn
: English put it, imposts and excis
: duties with the postal receipts woul.
: and should support the general go"
; eminent without any reference TO 81
rect taxation at all.
States Incomes. ~1nheritanccs aud
s Franchises.
G z. The taxes derived from income.
Ia l&10(CS 014O IdlCIllSSS UoO!I al
should support the States. The Ia
) upon the incomes from corporation
doing an interstate business should b
e agreement be levied upon the net in
come of all the corporations, the reve
nue. resulting should be apportione
q among the State in proportion I
the gross income received within tn
States respectively.
} Counties. Cities Ind Towns.
: ). That the counties. cities an
towns should receive their revenue
- from taxes levied upon lands, Tea! G:
tate, franchises and licenses, whic
= would and should support them az
miraLly.
!. Under such a system, there woul
!: be no double taxation and no nju.
:, tice done. It may be a long time b
- fore such a plan can be practical
g worked ont: but some such divisic
:, OIL adjustment must and will soon
- or later take the place OF the cnnlbe
' some. OhjpctiorG HE and rrfuSf met