New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1915-10-07
Controller Prendergast
Suggests Remedy to Leg
islative Committee.
REAL ESTATE MEN
IN FAVOR OF PLAN
Declare 1t Best Source OF Rev
enue in place Of Bungling PER-
sonal Property Assessment.

ofa, income tax. applied generaliy per
Ian. without minimum. NJ yester-
e.v'. sessions q The NILS legislative
.orrittcc on taxation. il was s'E
-.ca bv Controller prcndercast ana
prominent real estate men as the ono
.--. source a. revenue. 'n place OF inc
lmclu~ personal property
anil .r ,iov o., Che fact. as tcs'i-
r.l .t.t real property in this city wa
leaving on the burden Of taxation ~
could without disastrous results.
Judging from the close questioning
~ witnesses by Senator Ogden l.
Mills. chairman OF the committee ano
other members II appeared that the
committee might favor such general
lax. and recommend It to the Legislat-
are as the "tairest" remedy for present
conditions. II was suggested that II
might apply 70 incomes Sc low as sl'-
200 or $1,000. II II was found e1pedi-
crt 20 Ak a minimum.
Allan Robinson. president Of the Al
led Real Estate Interests. and Alfred
g. Narling. Of Horace 6. Ely & Co.,
we're strongly In favor Of general In
como tax. They were equally emphatic
IN their declarations that New YORK
civ realty was overtaXed at the pres
Ont time and would not stand any added
burden.
Tell Of 0vertaxation.
In answer to a question BY Senator
Mills. Mr. Robinson said:
"The situation now is very much IKE
that before the French Revolution
hen the poor and moderately wealthy
paid all the taxes. while the rich es-
r.pcd. J believe al would pay al in
0orne tax quite willingly IL they were
persuaded that their neighbors were
sharing their honest burden. You cant
safely look % real estate for increased
D evenue. You will severely strain con-
CItions and affect securities in this city
u you impose any more burdens on
low York City real estate. Compa-
i as and others have backed real estate
ere ON IT'S present basis. and any add
% pressure al this time. 10 my mind,
would have grave results
Asscmblyman Everett asked Mr.. Rob
.r.ou n 10 were true that the earning
opacity Of real estate in New York
ttv had been reduced in recent years.
.hc witness answered afirmatively, and
licd that any disturbance OF realty
a!ues not only affected the individual
owner but also the credit Of the city
fsclf. which was based primarily on
land values.
Would Distribute Realty Values.
Nr. Robinson advocated the limiting
of heights of buildings in this city. He
said that real estate values should Re
more equally distributed throughout
Doe city, toward the outskirts. instead
of concentrating them principally in
-hc downtown section.
"Tho erection Of one large buildiaS
.a. The effect Of making 1t impos-
iblc. for time at least. for an ad
accent property owner 70 improve his
property. An owner. who can afford
t can somewhat Offset a high tax
hy putting extra stories on his builH-
Ing which afford him added rentals, but
,he man who cannot do this has TO
bear the heavier burden. To limit
che height Of buildings might be a
serious question now. II should have
been begun fifteen years ago.
Mr.. Robinson submitted figures
how.ng the large increase per capita
r general property taxes from 1908
Go 1913 in seventeen Of the principal
cities Of the state. In New York "
1903 the percentage was 1886 ana
had jumped 90 2S.l2 ia 1913. This wa
FAR above the average increase in the
other cities. with the exception OF
Mount Vernon. where 10 fell off about
two points during that period. lie
presented another table showing tina.
'hc net indebtedness Of the seventeen
cities had taken remarkable jumps dur.
ing the same period.
Cannot Advance Rents.
BE declared that tenants in this
city are paying all the rent they IRE
able 90 pay. and that the property
owners. generally speaking, are get
ting out OF their holdings every PENN
shat can be obtained
Mr. Marlng followed Mr.. Robinson
ae witness. Chairman Mills asked
what Dc thought would happen II more
taxes were levied on New York Ci.y
real estate.
If can say without any hesitation, "
be- replied. "that real estate is down
on its back already. and cannot stand
any more burdens. Despite ar honest
capable Tax Board, We are over-as-
sesscd. More taxation means. for the
poor owner. practical conhscation. and
that poor fellow is now actually gasp
my for breath The personally tax
BE- notable failure. and never can 6c
anything else. What is the sensible
thing 20 do II your committee. with
your superior knowledge. could suggest
some other popular tax method, YOU
could have any political Office within
INC gift OF the people. But, fear
sou cannot do that.
Il am IN favor OF an income. or sbil-
ity. tax, in order 90 get at all men
equally. The man who does bushes.
in New York and Is blessed with q
large income, should not get ava,
from the local assessor because n,
lives In New Jersey or westches.er
The man who enjoys all the privilege
- New York for doing q great bust
ness should help support the CON
munity"
SIR. Coulter, manager % the Vincen
Asior estate. submitted table % fg
utes showing that the relative percent
rgc % the realty tax 90 the net incom
~ the property % the Aston estate hs
Increased from 29.3 m 1895 10 90 pc
cent in 1919
Controller prendergast discussed On
present financial condition Of the city
snd while his estimates On the bulge
for The neat five years were diScourag
ing. they were q shade smaller thar
those offered by Mayor Mitchell the day
before Based on the $4,000. 900 bud.
set Of this year. and assuming that
tie cry and county administration cx-
fcuses could be kept down Go their
present figure. and Chat thc Cty would
j. called upon 20 pas IS ITO per cent
cf the direct state faN. DIS budget cs-
Inmates were as follows:
1916 Observation-Disclosures 2f5t-gftf