The Columbia herald. [volume] (Columbia, Tenn.) 18??-1935, 1915-03-19
The TAX REPORT.

IlOu vi Jan SVB 4S1OI udo uOuC 10 WI n
well and ably is abundantly proven
by the thorough comprehensive and
intelligent report which it has just
made public. The commission was
handicapped by the lack of time, haV.
ing less than month in which to
hold public hearings and conduct its
work of research. In spite of this
difficulty an immense amount of valu-
able data has been obtained and some
exceedingly wise observations are
made.
The legislature could not do the
state better service than to take
the report of this commission as its
guide in the enactment of revenue
and assessment laws. 1t will be very
unfortunate for Tennessee II the leg
islature does not do this and the re-
suits of the commissions efforts go
for nothing.
The commissions report shows con-
clusively that the members have not
made hasty or cursory examination
of the great questions of assessment
and taxation. They have realized
the difficulties which the antequated
constitution of Tennessee interposes
between the real and the genuine re-
formation of our out-of-date system of
raising revenue for the state and their
recommendations are not radical, al
though they plainly indicate that only |
a regard for constitutional inhibitions
has prevented the suggestion of much |
more effective and far-reaching re.
forms. A study has been made of the
tax systems of the more progressive
states and our plan by comparison is
as the night is to the day.
The commission reaches the con-
elusion, as any student Of this ques
ton is bond to do, that the general
property tax is the most unscientific,
the most unjust and the most inequit-
able plan Of raising revenues for the
state ever yet devised. 1t no longer
obtains in the older civilizations. 1t
has been abolished for state purposes
in dozen of the American common
wealths. The only argument for the
general property tax is that it is the ,
only system that we have ever I
known 1t was suited to primitive ,
state, where land was practically the t
only property, but it no longer re- ,
spends to the needs and interests of I
present day conditions. Our consti- |
tuition will not permit the entire t
abolition of the system in Tennessee. :
Probably the most far reaching il
conclusion of the commission Is that +
,ersonal property, notes, bonds and b
should be taxed upon an i
income basis, in lieu of our present /,
,lan of attempted direct or general I,
axation. Very little personal pro- a
,erty is taxed in Tennessee and it n
ever will be under our present q
ystem. a
The commission finds that real q
state in the state is assessed on an ii
verage at less than forty per cent r,
( its cash value. Personal property, q,
here returned to all, is assessed al Y,
s actual face value. In the cities W
nd municipalities where the tax rate NJ
from three to four per cent this f.
mounts to confiscaton of practical o,
, all of the returns. tr
AS we have frequently remarked Of
ur present system has been and will &C
ways be an invitation to the hold A
rs of personal property to conceal in
r remove it from the jurisdiction Of ms
he state. To meet this difficulty -
lie commission would tax the income "
| personal property, notes, bonds,
locks and mortgages, ten per cent II,
I the income derived therefrom. 1t
believed that this tax can be con- 81
levied. It is sure to II,
cry largely increase our income n
ON personal property. u,
The commission, recognizing the on
arying policies of assessors in Ten ~
essse in reaching values, would az
ave state central organization 90
it'll power to equalize assessments. NJ
his board would have complete ar
,ntrol over the county assessors u,
nd would appoint the county boards m,
equalization. 1t would be the in
lty Of the members of the state 90
oard to visit the several counties of ON
lie state and personally look into n,
Dnditions therein. An actual cash a
alue, something that we have had II,
theory in this state since 1897, is fc
rged as the only proper basis of as NO
II,
Approaching the fact that at the Il,
resent tax rate, an actual cash value
ssessment would very largely and We
increase the amount of &c