The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1919-09-07
FRANK NELSON, JR.

FKANk NELSON, JR.
THE inclusion of the tonnage tax
on iron and coal in the revenue bill
is an outrage 1t will hurt not only
Birmingham but the entire state and
every industry here Indirectly. but
none the less certainly, it will injure
every section of the state in that it
will make it much harder to secure
capital for the development of Ala
bama Financiers, learning of this I'M
just and discriminatory tax Ger
tain industries will be afraid to invest
their money here for fear other legis-
lation similar to this, or even worse
may follow.
personally. if I did not live in Biz
mingham and have all my business in
terests here. l would not. as a bust
ness man. invest any money here in
the future. 1t VIII be found that the
investor who lives in another state and
has no interest here will put his CAPT
tai elsewhere, He will not take the
risk of putting his money in a state
which enacts class legislation and
raises taxes in the 'easist way with
out regard to the justice of the mat
ter.
This tax of two cents on the ton
may look small but in reality it doubles
the tax on every coal property in the
state. Let the people consider that
to double the tax on the real property
of Birmingham or Alabama. Such
thing would be ruinous and that is Just
what has been done to the coal pro-
perty and the iron properties.
IT was president of the Chamber of
Commerce once and was also chair
man of the manufacturing committee.
and while engaged in that work
learned how hard it was to get new
ind ri here and how hard
it was to get new capital to finance
DEVELOPMENTS in this district. This
tonnage tax will act like an embargo
on investments of the outside capital
and the financing of big DEVELOPMENTS.
for men with money will go elsewhere
Why should they invest in coal and
iron properties here when their taxes
are doubled? furthermore. they can not
be convinced that if this tax has been
put on one industry, another and great
er tax might not be added at the next
session of the Legislature.
Il am interested in this matter not
only because of my coal properties but
because of my holdings in real estate.
and other lines of business. I know
that all of them will be injured and
every merchant and other business man
in the district will be directly hurt
hurt
s'When this unusual and unjust dis
criminatory tax was first proposed, it
was claimed by its adherents that a
similar tax would be placed on the
lumber industry on the ground that
the production of coal. iron and lumber
depleted the resources of the state. But
every one saw what happened when it
was proposed to tax lumber. 1t was
found that many small farmers and
others operated little saw mills, and
hence the measure was unpopular. So
the lumber industry was excused from
this double taxation.
"I do not believe this tonnage tax
is constitutional. / do not think that
the legislature has the right to levy
a double taxation. If such tax of two
cents can be levied. then a tax of a
dollar ton can be imposed. This mat
ter will be fought in the courts. in my
opinion and I insure that the consti-
tuition of Alabama will prohibit the ex-
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