Putnam patriot. [volume] (Putnam, Conn.) 1872-1962, 1915-04-09
OFFER PLAN FOR
EMERGENCY TAX
Corporations Suggest Ten Per
Cent. on Local Assessments
PLAN SPECIAL COMMISSION
Corbin Calls Substitute Device to
Sidetrack Corporate Excess Meas
ure-Disaerees With Expert
From Columbia.

Especial Hartford Correspondence
Hartford.-The corporations of the
state made a last desperate stand
against the corporate excess" tax
idea at a hearing before the legisla-
tive committee on finance. The cor
porations proposed a temporary state
tax on corporations equal to ten per
centum of the aggregate amount of
the taxes assessed locally" as an emer-
gency measure to provide for the state
during the next two years and the
creation of a commission TO go over
the whole taxation problem in Connee-
ticut and make report to the legisla-
ture in 1917.
Tax Commissioner William H. Cor
bin and others favoring the "corpor-
ate excess" tax characterized this
as merely a device to side-track the
project. 1.-The history of similar COM
missions is too fresh in the minds of
members of the committee for them
to seriously consider such a project"
said Mr.. Corbin. THE corporate ex-
cess tax was itself proposed by COM
mission appointed by the governor in
1887 and it has taken rs years to have
1t taken up for serious consideration.
If we leave it to another commission,
we may have to wait another %
years"
Expert From Columbia.
The Connecticut Manufacturers as
sociation brought up from New York
Prof f. r. A Seligman of Columbia
university, who is president of the
National Tax association and chair
man of the commission raised by May
or John Purroy Mitchell, which is now
considering the taxation problem in
New York city. to point out the claim
ed evils of the corporate excess tax.
Prof Seligman is an expert on taxa
ton of international fame. He did not
altogether condemn this tax but said
that it presented innumerabie diff
culties in the way of securing the
data which is necessary for its com
putation. He quoted literally from
the reports of Tax Commissioner Cor
bin, after praising him highly and
stating that his fame as a taxation ex-
pert had spread far beyond the CON
fines of Connecticut. which he claimed
showed that even Mr.. Corbin agreed
that there were many difficulties in
the way of securing Trustworthy fig
ures upon which to base the tax.
Quotes Him Against Himself
Commissioner Corbin in rebuttal
turned the tables on Prof Seligman
by quoting from his own books in
which he had held that the corporate
excess tax is far superior to the old
property method of taxation which is
in vogue in the state of Connecticut.
He quoted Prof Seligman as saying
that the property method was unjust
and unfair.
Commissioner Corbin said Prof
Seligman might have given some in
teresting facts about this measure.
tan income tax (which is close to
his heart" had he been given more
latitude by the manufacturers.
Others who spoke in opposition to
the Manufacturers association and in
favor of the Corporate excess" were
Herbert Knox Smith, the former
United States commissioner of taxa
ton, who appeared as representative
of the Connecticut State Grange, and
States Attorney Hugh Alcorn, OF
Hartford. prof. Seligman appeared
for the manufacturers association"
Mr.. Alcorn said, MIR. Smith appeared
for the Grange, and | suppose / must
appear for what's left" In answer to a
question asked by Col. William II.
Hall of Wallingtord. former speaker.
as to "why all these people are here"
Mr.. Alcorn produced copy of cir
culsr sent around by the Manufactur-
er's association urging their members
to attend the hearing and bring their
stockholders That's why they are
here They're here at their own invita-
ton and because they thing this tax
will hurt their pocketbook. he said.
Claim Revenue of 100000.
The substitute proposed by the
manufacturers. according 20 the state
ment of Charles T. Treadway. secre-
tary Of the Connecticut Manufactur-
ers' association, would bring to the
state an additional revenue of $500 900.
This. he though was ample for the
needs of the state and quite as much
as would be derived from the cor
porate excess tax, Commissioner Cor
bin claimed. however. that it had been
estimated by corporation men them
selves that the corporate excess tax
would would bring in from $4,000 TO
81 100000.
Al 49,. -, c.,+F-,-fr&1