The Union times. [volume] (Union, S.C.) 1894-1918, 1915-08-20
SOUTH CAROLINA'S
TAX PROBLEM.

which is
All property should not be taxed at
the same percentage of its value. Ar
ticle 3, Section 20, of the constitution
of 1895 says, "All taxes upon proper
ty, real and personal, shall be laid
upon the actual value of the property
taxed. This has been ground into
us as the correct principle of taxa
ton so long, that the great majority
of us take it for granted that 1t Is
just, but it is as wide of the mark
as is the statement in the Declaration
of Independence when it declares
"All men are born free and equal
Some forms of property are much
more permanent in their nature than
others; some have much greater earn
ing capacity, some are much easily
land; taking that as the standard,
and placing it at 100 per cent of it's
value, we can arrange a just sche-
dule of rates for other property.
The buildings and other improvements
should be listed separately from the
land upon which they are situated,
and should not be taxed at high a
rate as the land itself. Why? Re
cause they are more transient in
their nature, more expense to main
tain, and far more liable to destruc-
tion Therefore. while they should
be listed at 100 per cent. of their va
lue, the levy should not be more than
one-half that on the land itself. Let
me illuStrate-A. who is a thrifty,
energetic man of good business capi-
city, acquires 100 acres of farm land
which has no buildings, or other i'm
provements upon it, but it is worth
as it is, $25OO.OO. List it for taxation
at $2OO0O; he erects buildings al.
other improvements that cost him
$25OO.OO, list these separately at
S250O.OO, but tax this class of property
on SO per cent. basis. B. who is a
shiftless. ne'er-do-weil sort OF fellow
also acquires 100 acres of land which
has no buildings or other improve
ments upon it, but it is worth as it is
S25OO.OO. List it for taxation at
that, he erects very poor buildings,
and makes other improvements worth
$500.00, list these separately at $500,
but tax this class of property on so
per cent. basis. A. buys tools and
stock, B. buys very poor ones, tax
this class of property on the same SO
per cent. of it's actual value; the same
with e.! ether taxable personal prop
erty. Thus the government offers an
incentive to each taxpayer to i'm
prove his surroundings.
Let me give an illustration that is
perfectly familiar to all who visit Co.
iumbia. On each of the Eastern
cornors of Main and Washington
streets are buildings known as "Sky-
scrapers." We will say that these
hui fhn
alone would sell at 100000 per foot
this price for taxation, list the build
ings separately at their actual value,
but collect taxes on buildings on a so
per cent basis. Facing these sky
scrapers on the western corners are
other lots, the land is equally valua-
BILE, therefore, list this land at the
same rate as the easter corners, and
collect the same land tax on the one
as on the other. List the buildings on
the western corner at actual value
but collect on a so per cent basis.
I trust these illustrations make the
principle aimed at perfectly clear.
lst-All personal property to be tax
ed equally, but at a lower rate than
real estate.
2nd-That the thrifty, energentic
real estate owner shall not be penaliZ-
ed by higher taxation upon his hold
ings because he develops them to a
higher productive capacity than his
less enterprising neighbor.
One illustration of the iniquity of
our present taxing method, and vii.
pass to another phase of the subjec..
On the outskirts of considerable.
town, a citizen owned frontage of
about one-fourth of mile, all unim-
proved and returned for taxation as
farm land $1,000 per acre. Nine
years ago, he sold lot of the extreme
end away from the business part of
town at the rate of $4,000 per acre.
The town has been growing steadily,
real estate enhancing in value, but
this citizen will not sell at even highel
prices as others by their progress and
enterprise and making real estate
more valuable. His holdings are still
listed at $4,000 per acre. But the
half acre sold nine years ago for
$25O.00 was improved by dwelling,
ETC., costing $12O0.00, and since then
has been paying taxes on a valuation
of $500. Our present system has
worked great injustice on this pur-
chaser, and in same way to thousands
of others, while it has failed to collect
large sums from the original owner
and hundreds of others like him,
inossbacks, who do nothing to develop
the state, but sit back and fasten on
the thrift of othes.
In almost every community you can
find numbers of instances like the
above. The great advantages of this
proposed system over the present one
would be that it would make the
boarding of lands less profitable,
thus making it easier for the land
less class to secure homes, a condition
very much to be desired By taxing
personality at lower rate, each one
is to some extent encouraged to have