The Washington times., 1915-10-21
Tax on Land Value
Is Urged for District
Reform Associations Brief Argues For Exemption
Of Improvements From Burden-Expert Browne
Assails Management of Assessors Office.
CONTINUED from First Page.)


Continued from First Page.)
are the main beneficiaries
Of the haif-and-half arrangement.
The brief Of tn" joint citizens com
mttee. filed by Henry B. r. Macfar-
land. deals more particularly with the
duty the Federal Government owes the
Capital. asserts that It Is impossible for
District residents to maintain the
proper sort OF national capital here and
asserts incidentally that the Washing
ton tax rate Is already high as com
The Congregational investigating com
mittce probably will be at It's task until
the opening OF Congress. Senator
Works and Congressman Cooper were
especially emphatic In saying that the
subject under inquiry should be thor
ouRhly considered. and no attempt
should he made to Curtail Legitimate
discussion and argument. An attempt
will he made. however. to prevent
duplication Of testimony and to shut
viduals who represent only themselves.
Lengthy Hearing Foresen.
With the arrival OF Chairman chill
ton. Monday. the committee Will con-
vene at 10 O'Clock, sit until o'clock.
reconvene at .. and adjourn at 6 o'clock
daily. Even at this strenuous pace It
is estimated the committee will do well
TO wind up the hearings within three
or four weeks.
All members Of the committee except
Senator Chiffon, namely. Senator's
salisbury and Works. and Congress-
men Rainey, Gard. and Cooper. reached
Washington yesterday. and are pre-
pared to devote their entire time to the
inquiry.
The spokesmen for the joint citizens
committec-Henry y. F. Masfarland.
Theodore W. Noycs. and a. 8. Worth.
be followed by Mr.. Browne and his
witnesses. and then will come the
spokesmen for. the Tax Reform Asso-
citation. One OF the Commissioners VIII
be In daily attendance. and tn" COM
m.ssioncrs are 20 bc asked for their
Discusses Land Values.
The brief Of the Tax Reform Associa-
tIon. after reviewing the origin Of tn"
half-and-half principle and its operation
for the past thirty-scven years. pro-
ceeds to n discussion OF land values.
THE expenditures made by Govern
mcnt employees have furnished the foun-
dalton for the mercantile and real es-
tate business Of this city. and have
thereby contributed to the creation and
maintenance OF It's land values.
Cause of Higher Rents.
Two other factors. however. have
greatly accelerated the rise OF land
values in this District. namely. the
half-and-ha,f contribution from the
National Treasury and the illegal un-
dcrasscssment of land values. In the ALB.
sence Of this national contribution. the
rate OF taxation on land values In the
District would necessarily have been
higher. and the greater pressure oi
taxation would have retarded the
growth OF land values. In point OF
fact. the land owners and land specula
tors OF the District have been permitted
TO capitalize the amount of the annua
Federal subsidy In the form of increased
land values. the corqllary OF which Is
higher rents.
1.-The legal rate OF taxation on both
land and improvements In the District
Ia ~ per cent on an assessment Of not
less than two-thirds OF true value. As
suming n uniform assessment OF two
thirds of true value. the nominal rate ot
taxation is ! per cent. or 10 mills or
the dollar. II is. however. well-knowr
fact that the land values OF tho District
especially the speculative tracts In the
suburbs of the city and the building
sites I'm the business and fine residence
areas have for many years past beer
grossly undera ssessed as compared witt
the buildings and improvements. while
In many instances small homes have
been assessed above two-thirds of theil
real vaIue."
Goes To Few Owners.
The Tax Reform Association argues
that under the present system OF tax
alton a great part OF the Federal sub
sidy. whether 1t be large or small, gray
itates into the pockets OF a compare
lively few land owners. and the average
resident of the District gets little bene
| ut. The brief continues:
"In appropriating funds from the ma
tionai treasury for the development an'
support Of the Nations Capital. It Il
undoubtedly the purpose and intent %
| Congress that the residents of the DIs
trict shall be relieved from taxation t.
! the extent OF the Federal contribution
, This purpose is defeated by the exist
ing system OF taxation.
What is saved in lower taxes Is los
In higher rents and in the higher cos
tions, the people Of each and ever!
State OF the Union are tmany OF then
unConsciously) helping to maintain AM
increase the unearned incomes OF LAM
mOnOpOllstS ana land SPECTATORS III tll
District OF Columbia. This fact can no
be too strongly urged upon the atten
ton of Congress.
Citizenship Rights First.
! Another unfortunate result of tn
] half-and-half system has been tn
premium which it has placed upon III
present un-American and undemocrau
form of government in the District q
Columbia. Those who have spcCla
/ pccuniary interest in the maintcnanc
of the present fiscal system, have take
the position that while theoretical
municipal suffrage and self-governmen
may br desirable, these political right
must not be demanded lest the pei M
anence of the half-and half system b
thereby endangered In fact. the
have used our political helplessness II
a plea for special financial farors, a
the hands uf Congress We repudiat
this position. We hold. on the contrary
that local government and Il!
rights Of American citizenship shouI
tr' pre-, edeTce Of any particular flsca
system We hcneV. that political fre7
dom IL OF ydsuy greater ImportAns
than -" T".-'h,. sav'n~ IN tsw bill