The Climax-Madisonian. (Richmond, Madison County, Ky.) 1914-1917, 1917-02-21
A SYNOPSIS
OF The Proposed
new KENTUCKY REVENUE.
AND TAXATION LAW

NJ lAkAIIUN Inv
Constitutional The new law Is In con-
Amendment formity with the Amend
ment to Section Ill of the
Constitution authorizing the General AS
sembly to
Classify property for taxation.
Fix the rate OF taxation on each cisss'
Designate which classes shall Dc SUD-
Iect to local taxation.
Permanent The new law provides for
State Tax a permanent State Tax
Commission. Commission to carry INTO
effect the provisions and
exercise supervision over the entire ques-
ton OF State Taxation. To devote us en-
tire time to the question and assume the
duties OF the various Boards and Commis-
sions now having authority to assess ana
tax property for State purposes at FRANK
fort.
Rate OF The new law FIXES the rate
Taxation. Of taxation on all taxable
property for State purposes at
forty cents on each 500 Of assessed value.
Instead OF ffty-five cents, as at present,
on all classes Of property excepting oe.
posits in bank. which are to be taxed at
ten cents on each 800 for the purpose
of encouraging thrift and savings and the
circulation Of money now sequestered De-
cause Of excessive taxation. In other
respects taxation for State purposes Will
be absolutely uniform on all classes of
property. whether owned by the residents
OF towns or the country.
ApportIon- The apportionmsnt for each
ment Of item OF expense remains I'M
Revenue. disturbed. and the General
Expense Fund, the School
Fund, the Sinking Fund. the Kentucky
University and Road Tax will receive the
same exact proportion of the revenue as
heretofore.
Real Estate. Real estate viii be taxed
as at present and according
to its locality In the country or towns
and cities for State purposes at the uni
form forty-cent rate. and for county.
town or taxing districts at the local rates
fixed by the local authorities. The value
Of real estate depends on It's location and
surrounding improvements and should
naturally contribute towards the mainte-
nance Of such improvements
Personal Personal property II segre-
Property. gated into classes and each
class will be taxed uniformly.
whether owned by the resident OF a town
or the country, for the purposes for which
II Is taxed.
Money and Money in hand. notes.
Credits. bonds. accounts and shares
of stock In foreign corpora
lions having less than twenty-five per
cent. OF their taxable property In Ken
lucky will be taxed for State purposes
only at the uniform forty-cent rate In
lieu Of all other taxation. Shares OF stock
| in Kentucky corporations and foreign cor
porations having more than twenty-five
| per cent. Of their taxable property In
Kentucky are exempt from taxation. as
the taxes are paid by the corporations.
Machinery. Farm Implements and ma
"a
| manufacturing establishments. including
raw material and product In course of
| manufacture. will be taxed for State pur-
poses only at the uniform rate of forty
cents in lieu Of all other taxation.
| MORTGAGES. Mortgages will be taxed for
State purposes only at the
| uniform rate Of forty cents. and II for a
period exceeding three years, a regfstra-
| ton fee Of twenty-five cents on each 500
/ will be required in order to secure rev.
| enue from foreign money lenders on long
| time loans. as this Is the only Kentucky
tax they would have to pay.
| Banks and Banks and trust COM
| Trust Com panies will be subject TO the
panles. same taxation a. at present
but the State tar will be
| only forty cents instead Of ifty-fvs. as
| at present. and the assessment will be
made by the permanent Tar Commission
| instead Of the State Board Of Valuation.
| Banks have heretofore been assessed or
a different basis Of valuation from other
property. and 1t II not proposed to dis
| turb this arrangement
Bank Bank deposits are placed In
| Deposits. q separate class and depositors
| will be taxed At the rate OF
| ten cents on each 800 on money on de-
| posit September I. which tax may. how
| ever. be paid by the banks for their de-
posters or by the depositors themselves
and this nominal tax Is calculated to
| largely increase the deposits In banks. as
| money not so deposited win be subject to
the State tax rate Of forty cents.
| Public Service service corporations will
/ Corporations. be assessed by the per-
manent Tax Commission
/ and the taxes on the various classes OF
| property they may own will be the same
as for individuals-forty cents for State
| purposes on property taxed for State pur-
poses only and such local taxes as the
local authorities nx on property subject
! to same. The value Of franchises will
| also be fixed by the State Tax Commits
| sion and the new law dispenses with all
| other State Taxing Boards and taxing
privileges Of other Commissions at Frank
| fort.
Merchants. Merchants win be taxed on
| their real estate and tangible
Il
State tax rate Of forty cents. and such
| local rates as may be fixed by the local
| authorities. Notes, accounts and cash In
| hand will be taxed for State purposes
| only At the uniform forty-cent rate In
heu Of other taxes and bank deposits
At ten cents on each 500.
Manufacturers. Manufacturers will be
| subjected to the pay
| ment Of State taxes only on their ma
4 -
/ IN course OF manufe cturo, notes, accounts
| cash In hand and other Intangible person
atty at the rate Of forty cents. and ban,
deposits at ten cents on each 500. Their
real estate will be subject to State and
local taxes rs at present.
| Farmers. Farmers will be subjected to
/ the present taxation on their
land and improvements. but the tax rate
| for State purposes will be forty cents
instead Of ffty-fve. Agricultural imple-
| ments and machinery will be taxed for
State purposes only at the uniform forty
| cent rate. Crops grown within the year
| are exempt from all taxation. Bank de-
| posits will be taxed at ten cents on the
hundred dollars, and this tax may be
| paid by banks. Cash on hand, notes and
/ accounts. taxable bonds and stocks will
be taxed for State purposes only at the
uniform forty-cent rate.
| Livestock. Livestock win be taxed as
| at present, but the State tax
rate will be forty instead Of ffty-five
cents.
| Household Household effects fnclud-
and once ing pictures. musical instru-
Furniture. ments and jewelry. will be
| taxed as at present. but the
State tax rate win be forty instead of
| ffty-five cents. and there will be the
present exemption Of 325e for heads of
| families.
ALL TAXPAYERS IN FAVOR OF A
BETTER TAX LAW SHOULD WRITE
TO THE GOVERNOR AND URGE HIM
TO CALL A SPECIAL SESSION TO
CONSIDER SAME.