Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1918-01-04
CITIES ASK RELIEF
FROM NEW TAX LAW
Segregation System Prospers
State at Expense of Mu-
inequalities.
TWO REMEDIES PROPOSED
Would Release Tax on Personal
Property and Part of Income
Tax to Localities.
TWO REMEDIES PROPOSED


revenues through the operation oe the
partial segregation system OF taxa
tion. which became effective in Nir-
glnia in 1917, representatives Of the
leading cities and towns of the state
determined yesterday afternoon to urge
1t the coming session OF the General
Assembly such legislation as viii grant
tho necessary relief TO Municipalities,
through the release 10 tkcr of Ger
tain subjects Of taxation. This ac-
tion resulted from the serious situa-
tion confronting the cities. whose op-
Grating costs have been steadily ae-
vancins while revenues remained sta
tionary and decreased under the new
method of taxation.
Appointment OF a committee 70 draw
the proper bills for presentation TO the
Leg ;slature. and 10 urge the passage
OF this curative legislation. marked
practically the end of the s2ecia! ta::
conference called in Richmond by
Mayor George Ainslie. between repre-
scntatives of Virginia municipalities.
yesterday. and adjourned subject to
the call Of IT'S chairman. Mayor hinsiie.
TWO PLANS OF RELIEF
Al
Two plans for the relief OF Virginia
cities and towns were suggested at the
conference. Both were presented By
the special taxation committee OF the
Virginia League OF municipalities. and
we're adopted as expressing the senti-
, ment of the conference. The appoint
mcnt Of the committee to urge this leg
islation followed.
For the relief OF the cities. the con-
ference will recommend to the General
Assembly that the plan outlined by
State Auditor c. Lee Moore for the
removal Of State tax now assessed on
tangible personal property be ap-
proved. but that this item Of taxation
be released to the localities, and such
taxes given to the cities, towns and
counties from which they are collect
ed This item would amount TO ap-
proxinately s4Ss,ooo in the entire
State. t,&..
In addition 10 this recommendation,
1t is proposed to release TO localities
onc-third of the State tax on incomes,
asgresatinE s2l4,ooo, which would
mean the release by the State OF sources
OF revenue which would give the mu-
inequalities s2l4.oo0. making n total
against the estimated surplus of s!45.-
600, which the State Auditor antici-
ps;es the State will have in its treas
! October l. 1918.
WHAT AUDITOR
MOORE RECOMMENDS
Auditor Moore. in his annual report,
said:
1T is my opinion the General AS
sembly can. at tho session which is
about to convene, remove all of the
state tax upon tangible personal prop
crty, which is 10 cents on the 500
valuation, and can reduce its present
rate Of taxation at CO cents on each
sloo assessed valuation upon bonds.
notes. iduciary property and shares OF
stock TO so cents. and can reduce it's
present rate Of taxation at 20 cents
on the 500 assessed valuation upon
capital to so cents. the law so amended
TO be effective and operative on and
| after February l. 1919.
TO do this the State revenue will
be reduced as follows:
BY releasing the 10-cent tax
now levied upon tangible per-
sonal property, the State not
10 tax this property at all. $1,000
By reduction in the rate OF tax
alton from Go cents to so
cents on the 500 assessed
valuation on bonds, notes
fduciary property and shares
OF stock. Observation-Disclosures. $4,000
By reduction in the rate of tax
alton from 20 cents to so
cents on the 500 assessed
valuation on capital. $4,000
iotai- .S46S, 900
DeductinS this amount from the
expected and apparent surplus Of s745,-
700, there remains surplus of so17.-
600 should the reduced rates OF tax
alton not add many millions cf tax
able values not now upon the tax
books which believe will be added"
STATE PROSPERS At
EXPENSE: OF CITIES
| In this way. IL was pointed out at
the conference. tic State or Virginia