The Richmond Virginian. (Richmond, Va.) 1910-1920, 1918-02-09

Yesterdays session OF the senate
was devoted to Senator Vests tax
measure, which seeks TO make an ad-
justrnent of the partial system OF
segregation tax laws of 1915. by
. which relief will he afforded to the
localities suffering from reduced rev.
enue under the operation of che law.
The bill has been indorsed by the
municipalities of Virginia and by
many boards of municipalities.
II provides for the reduction of
the state rate on intangibles from IS
cents to so cents, and on capital from
10 cents to so cents: and permits
the counties and cities to levy an ad-
ditionai rate of so cents in lieu of
the 80 cents they now receive under
segregation.
Senator West spoke to his measure.
receiving the closest attention of the
senate during the delivry OF one Of an
able dissertation OF the complex ques-
ton of taxation. The senator is the
hrws public man TO give in detail all
of the facts with reference to the
operation of the segregation law since
fts enactment In 1913.
Demonstrating his thorough fnyes-
tagafion and complete knowledge OF
the subject, the senator read a iist
Of nine reoomm endations made by
hisn 20 the state tax board last De-
csmber nnbodying changes necessary
to further perfect the tax system.
As ne did not find any general dis
position on the part of the general
assembly TO correct the present sys-
tenn by equaiiEtng taxation and re-
moving inequalities, the senator said.
he would address his remarks TO the
question Of revenue to the state and
revenue TO the localities under the
SAnsa - - Nnk 10
Revenue tn the state.
From the standpoint OF revenue for
the state the senator made what was
conceded by his hearers TO he the
greatest defence that has ever been
made in the state OF the partial sys-
TEN OF Segregation.
He then demonstrated the correct
ness Of State Auditor Moore's eeti-
mate OF revenue under the present
law. and stated that experience had
shown that the auditors estimates
were always ultra conservative, that
he underestimate rather than over
estimated the probah le revenue from
taxation. a. shown bv actual results
over n. period OF years.
Senator West then referred 10 the
rom edial legislation enacted ny the
general assembly Of 1915 AT the re-
Quest Of Governor stuart, 10 provide
additional revenue ~ 8F1N 'NFs = 81
gum h7 which the law had fallen
short Of thu states requirements.
This VS. due to the action ~ the
general assembly IN changing the
ratea or gene Of the subjects Of tax
alton. ana pot - any error in the
auditors estimates
As chairman ef the subcommittee
nr Gna4cc which framed the legisia a
Zion v.h oh provided the required ad-
dtsooql revenue. and which Gctua liy
r,-astleea uet revenue Of 1884,
ss--S. the necessity for MS correc-
crs NJ tNr law showed he senator
.-Ff 'hat the trade between the state
90 .Ee localities as to distribution
O, SOW. aue h> the laws Of 1915 re-
a-st~-f certain adjustments for tho
F.leest Of the state
ESTABLISHMENTS Necessary
l-e tnev then as we'll So AT the
,.--c 80 he trade that certain add
,laf adjustments would he neces'
.a., 20 supply the loss OF revenue
sustained bv the localities by that
fee rut a. a friend Of segregation
49, go friend Of the state. he wtsn"
eF rrsf e. give the system 3, fair
t-sr1 8. yr.+er hat II mi~ht complete
tv ta.norslr4te It's success as a rev.
raue producer.
Now that had been accomplished
the senator So lid relief should ny an
torded TO tho localities
= Since segregation. continued the
senator, taxes based on assessment
had shown relative falling of on
everything hut capital ana money
And OF the 1875 Ysr cent Increase on
~anjtsl. sS PER cent has been caused
bv the conversion Of S26. 100000 OF
tangible personal property 70 what u
called for purposes OF TAXATION cap
ital in business.
The localities have suffered an ad
ditioral loss from this source OF ap
proximately Si2 500
The above loss, and others cited bi
the senator. added TO the s4s6,7S'
Iona 10 the localities, showed by th'
oficial house document OF Januar2
% 1915. setting forth the losses u
counties and cities under the Weaver
buchanan bill. brought the estimated
losses of the localities up TO sses 2Ss
Senator West then went into detail
IS to the states estimated revenues
for is1s-19, showing conclusiVei'
that the estimated surplus texclus!V'
OF appropriations Cor additional sup
port due to the high cost OF living). "a
based on the state auditors conserVa
tive estimates. would he. approx
mateIy sa,os2,2SS. Therefore, he be
ueyed, because of this optimistic
allowing of the condition Of the state
finances, that the time had come 70
the state to make the necessary ad
tustment of it's tax rates and laws T.
afford relief to the cities and counties
state Should BE Appreciative.
The state should be appreciative o
the great sacrifices made by the 10
caiities while segregation has been oil
. trial. he said. The senator went oI
70 say that the proposed law provided
that thu county share of the proposed
relief would apply to road work. ant
that this was necessary II the coun
ties were to take part in building up
system of good roads II they had L
unreasonably raise their rates of loca
taxation in order 20 90 this, 1t nigh
result in defeat of the proposed stat
highway system bond issue when sub
mltted to the people. The counties
share under the relief proposed in hi
measure would probably pay the In
terest on any reasonable county bon'
issue made for the purpose of goo
roads
The senator further cited how HI
own city Of Suffolk, and other elite
OF the commonwealth, did not shar
in a large part OF the state schoo