The Washington herald., 1915-12-12

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= over and above the sselse..I which the.
have paid In taxes. More. they hav'
. capitalized the Federal subsidy into tn
enormously Increased value Of their lant
holdings. they draw down huge annua
|. rents and stiil demand that Congress
I shall maintain and increase their swoller
, profits. They both eat their cake ant
. have II.
Final Measure and Law 81 Taxation
This b the final measure and law oi
the social state In respect Of taxation
|, Its denial has wrecked every great ma.
tion Of the past: its continued denial will
wreck every great nation Of today and oi
tomorrow:
The State shall collect as its right and
duty the full annual value Of State grant.
ed privileges In land-holding and public
utility. for these spring from and be-
long to the State.
The State shall not take. save as . last
resort. toll of human life or Of the prod
ucts Of human effort. for these are nat
ural fights anterior to the State and not
derived from II.
| The State shall expend economically
and efficiently for the best uses Of the
community, the trust funds which 1t COL
lects. for 1t Is as essential to expend
wisely as 1t Is to collect Justly.
| Three Great Fundamental Lava.
Thrss great fundamental laws have
been contributed to the political devel-
opment Of the country in the last gen.
| Grafton:
The Australian ballot. which has brok-
en- down corruption and intimidation at
the polls.
The Income Tax Amendment to the
Constitution. which has opened the way
to shifting the burden OF Federal support
from mouths and backs to wealth and
The Amendment to the Constitution for
the direct election of Senator's. whereby
that great body. democratized. yet repre-
senting the sovereign States. paramount
and continuous In its nature. can balance
sudden waves of popular excitement on
one hand. and. over-iappIns and OUTLYING
an Administration can resist Executive
extension Of power on the other
Whenever. either through clearer
definition by the Supreme Court of the
direct taxation clause Of the Constitution.
or BY further amendment, the way, al
ready prepared by the Income Tax
Amendment. is opened for direct Federal
taxation Of privilege. the resultant relief
Of capital. enterprise and industry from
their heavy and crippling burdens of tax
alton will set the country on q new road
toward the realization Of its ideals.
Here In the National Capital the way IL
absolutely clear. It needs only an Act
of Congress to accomplish . result which
viii be an object lesson not only for every
state and city but for the whole world
Ce.cl.sie.s.
I claim that the following contentious
have been sustained and demonstrated:
That the Federal Government IL neither
as matter Of principle. policy nor neces-
sity bound to extend direct financial aid |
to the support Of the District Govern |
ment.
That the Federal Government in its reg
ular and usual expenditures. other than
the District subsidy. provides more liber- |
ally the main fund which sustains the |
great body OF taxable values in the Dis
trict.
That District land values are very lixht-
ly taxed.
That the District has ample resources
for Its own support. in proper taxation of |
real estate values. utilities, and liquor |
llcenses
That the theory that the Federal Gov
ernment should pay half the taxes of the |
District because It owns half the prop-
erty values is destroyed by the following |
facts:
First: 1t does not own half the prop-
erty values in the District.
Second: II does not own half the
streets. and the streets haye all been
dedicated to public use.
Third: the freedom Of use of parks
and streets adds enormously to the
value Of private taxable areas, and
that freedom Of use destroys the taxa
Able element, private use for profit,
even II the governments property In
principle were taxable. II
That the TNdsral ga |,
has Injured to the benefit of
the land-holding minority in the Dis
trict.
That the half and half subsidy has
Injured especially to the beneft of
land-holders in favored locations.
That the half and half subsidy has
utterly failed to meet the intent of
Congress to extend its benefits fairly
10 the whole people Of the District.
That the eject of the half ana
nalf' subsidy has been directly to in
crease the selling price of land, and
thereby artidcially to raise rents and
other costs of living. especially to |,
government employees. wage-earners |,
Ind poorer members of the community.
That rs q result Of the incidence of ,
'eneht of the half and half subsidy.
and values Of the District have as
whole. in effect. entirely escaped I
axation. since 1873. "
That the taxation Of improvements, ,
N q comparatively high assessment
4 selling value or cost of construc- 4
lon. at the same rate as land values 7
n comparatively low assessment Of !
selling value" has seriously discrimi- :
'ated against improvements in favor !
4 land-holding. therby producing .
ouble leverage against the proper de. y
elopment OF building improvements.
That the taxation of personally, of
ankfng. and the Imposition Of . null
itude Of license taxes tends to make
difficult and complicat-
d. and tends to Increase the cost of Q
wing. c
That the administration Of the As {
essor's Offics has been inefficient, =
nd Invariably has deiied the true in. \
ant and purpose Of the law providing :
nat real property shall be assessed =
I mot less than two-thirds o; its true J.
alue"
That the land values Of the District {
re conservatively worth $500. 900, 900 2
nd should be asSessed at that amount .
That q properly adjusted tax rate z
nd assessment will produce an an q
ual revenue Of over I'll. 3.ooo. 900, which o
ith liquor licenses will meet the re- q
uirements Of q liberal budget with. o
Ut recourse to the Federal govern N
ent for Q dollar In aid. lC
The desired relief would follow the
blowing reforms: Is
Ree00DeaAatiOns fer Relief.
Efpaf that th> sgh.R ga h..&s - :.