The Green Forest tribune., 1917-01-19

| rations should be assessed directly by the Tax Commission as @ central board | and the entire revenne from this source
 should accrue to the State leaving to | the counties and minor subdivisions | thereof the revenues from other realty and personally. I am aware that the l latter part of this program will re- 1 quire constitutional amendment which, In my judgment, is of such par
 amount importance that 1t should be submitted as one of the three amend ments allowed at the next general cleo tion.
 Favors Inheritance Tax Co.,nission.
 Fifth. our inheritance tax law, which has proved such lucrative source of just revenue. should be | amended In accordance with the recom- mendations of the retiring attorney | general as 10 include the rights Of | dover and courtesy, with exemptions | of S5,000 in each case. and l believe that the method of collection should | be radically changed. This tax, which in 1902 yielded only $602.11. this year has already yielded a revenue of s81, o53, but under our present system of giving fees of $10 per cent to the at- torney general and his special sttor- neys for collection of delinquent in heritance taxes. the cost of collection has exceeded $1o,O per annum for the last fiscal year.
 T respectfully recommend to the General Assembly the passage of bill vesting the collection of the inheri- tance tax in the State commissioner, | or If this Is not done, the creation of | the office of inheritance tax attorney for the State. who shall be appointed ! by the governor, whose compensation shall be sS,500 per annum, and neces sary travelling expenses, who shall have exclusive charge of the collection of the inheritance tax of the State and power to file complaint in the name of the State in the probate court of any county having Jurisdiction of the estate from which any taxes may ac- crue. If this saving in the cost of col 1 lection is effected. and the rights of dover and courtesy, statutory rights in Araknsas, are included within the puryiew of the inheritance tax I be- lieve that within the next biennial pe- riod the inheritance tax will yield minimum of S250,00 to the treasury of Arkansas.
 | Favors Increased Franchise Tax.
 Sixth. the rate of the present fran chise tax charged corporations doing business in Arkansas, should be in- creased from one-fifteenth of one per cent of the capital stock employed Go one-tenth of one per cent, additional fees should be paid by common car riers, telegraph, telephone and gas companies; and the law taxing insur- ance companies should be amended so as to fix the tax rate paid by life, ac- cident surety and miscellaneous com panies at 12 per cent on bulk pre- miums collected. In the case of fire insurance companies, 1 am of the opin- ion that a tax of 1-2 per cent on the gross, after allowing for reinsurance in authorized companies, cancelled and returned policies, would be fair. This ? 12 per cent fee is in accord with many of the other States of the Union.
 Arkansas, 1t is conservatively esti- mated, will be ST53.31S18 in debt on the first day of July; State war rants are being hawked and peddled around at rate sometimes low 93 cents on the dollar; our credit at home and abroad IS being seriously impaired. and our State institutions are compelled to buy their supplies at credit prices frequently 22 per cent higher than corresponding cash prices
 Use CapstOI Tax Revenue.
 By abolishing our present State capitol tax of one-eighth of mill which produces an annual revenue of S57,0oO. and. taking care of the main tenance of the capitol out of the gen eral revenue fund we could easily shift this one-eighth of naill a sinking fund to protect short-time note issue, to run not exceeding 20 years issued in serial form so that proportionate part of the principal and interest would fall dne each year, bearing a rate of interest not exceed ing 4 1-2 per cent in such a way as to take care of note issue Of $750,- oo0. Such note issue would take care of our outstanding warrants and could promptly cash them at par, and it would redeem tho credit of the State and put Arkansas on cash basis.
 of the Southern States, Maryland has a total indebtedness of s19.6s9,5e4 or $14.72 per capita; Virginia, s24,e2s,- All, or s1162 per capita; West Vir- ginia, s1,151,9s7, or &S6 per capita North Carolina s9, o35. .89S. or s3.S7 per capita; South Carolina. $S.554.3IS, or s412 per capita; Georgia. s6.67s.1s5, or s3.40 per capita Florida. $3.162,617, or s3.7z per capita; Alabama $14365.- o59. or S6.26 per capita; Mississippi. so.- .390, or S3.71 per capita; Texas. 35,- o17.955, or S119 per capita; Oklahoma, "A years younger than Arkansas ST., 237.177. or sS5o per capita; Missouri. s7,57o,361, or SPA per capita; while Arkansas has at the present time a funded and floating debt of only S2,- 04S,34S, or $1.21 per capita. The major portion of this indebtedness of Arkan- sas represents school funds, held in trust for the benefit of the school chil- dren of the State. If the short-tine note issue of s75O,o00 which I have suggested should be approved and au- thorized by the General Assembly, Ar kansas total indebtedness would be much less the indebtedness or our nefghboring Southmern States.
 pyi1 ha rUh nd political responsibility of whatever of uHoopularity may attach to this short iime note issue. believing as l do that the protection of the honor of Arkan- sas is vital to her political and eco nomical well being. I earnestly urge the approval of this measure by the General Assembly, assuring the mem bers that l have personally investigat ed this matter and have taken 1t up | with reliable bankers and bo1ding companies and that the loan can be se- cured on the terms named. State Accounting and Auditing Depart
 ment.
 No two departments and no two in stitutions of the State have the same system of accounting There is abso- Iute lack of any uniformity, with a result that a comparison of revenue receipts and governmental cost pay ments, the per capita receipts from specltled classes Of revenue, and the per capita relation of revenue receipts Of governmental cost payments-mat- ters of vital interest to the people of the State-are absolutely impossible. Arkansas has no effective audit sys- tenn Tor State departments, State in- stitutions. and the 75 counties of the State West Virginia has an efficiency and auditing commission which re- gently saved the State s60 900 on coal Dill alone, and North Carolina has T