The herald and news. [volume] (Newberry S.C.) 1903-1937, 1920-01-02
CAPITAL NEWS AND GOSSIP
Columbia Jan 1Comptroer all after that
(By John K. Aull. }

Columbia, Jan. 1.-Comptrolle'
General Rut. L. Osborne has some
recommendation in his annual re
port to the general assembly, which
should have the serious consideration
/ Of that body. Mr.. Osborne has made
very excellent official, and has
given the states tax problem the
consideration which it deserves at the
hands CT comptroller general. He
points ou: in his report that taxes
are bound to 90 higher with the in
crease o: wealth. bat he gives the
solution Of holding down the burden,
ny al increase il the revenue from
other sources than the property tax
''to take care ef the expenditures
which axe automatically increased
with progress" Income. inheritance
or franchise tax laws are suggested.
All three would probably be wise.
South Carolina has had an income
tax law for many years, but it was
honored more in the breach than in
the observance It vas not enforced.
The people of Newberry county, for
instance, who reported iftcomes of
more than the minimum not subject
TO taxation could be numbered by
the dozen, and it was patent that
many of those reporting incomes were
far less wealthy than scores of others
who could have been named. This
condition was not peculiar to New
berry, but was prevalent throughout
the state. When the federal govern
ment placed g tax upon incomes, it
enforced it, and an income tax, with
supplementary Inheritance tax, is
the basic solution of the burden of
property taxes. 1t is nothing but
common sense that a man with an
income of $4,000 per year is more
able to, pay heavy taxes than a man
with an income of $4,000 per year.
It is also rudimentary proposition
that inherited wealth should be SUBJ
iect to taxation. Both propositions
look towards making accumulated
fortunes bear their just proportion
of taxation, and relieving physical
property of it's present heavy burden.
In, the absence of the full report
at this moment, / do not know just
what is the comptroller's idea with
reference to the franchise tax, but
that there ought to be some adequate
franchise tax upon certain proper
ties, at least, is being more generally
urged, and with justice behind it.
Water powers, for instance, ought
to be taxed upon the horse power
developed. The rivers are the property
of the state, and these immense re-
sources of the state, when developed
and operated by private concerns,
ought to bear revenue to the state in
proportion to their earning capacl Y,
Of course, their development should
be encouraged, and any tax which
would be prohibitive of this would
work injury rather than good.
There is another very excellent re-
commentator Of the comptroller
general which deserves more than
passing mention. owe have entirely
too many departments, boards or
commissions, in a number of which
the activities are necessary but
should be under the control Of one
Office" he says. "The present sys-
tenn has a tendency to create fric-
ton and extravaganza" he adds.
Coordination of the states activi-
ties has been urged for some years
past. and back in 1901 or 1902 Gov
ernor McSweerey went further and
urged coordination of the states
institutions of higher learning. Gov
ernor Blease several years ago took
the same position, urging that Glenn
son and Carolina and the Citadel and
Winthrop, and the various other in
stitutions of higher learning should
be coordinated with reference to
their departments, in order to pre-
vent overlapping. With reference to
the tax problem, the last legislature,
following an urgent recommendation
by Governor Cooper, passed the
budget law, which is to be tried out
at the coming session, and the opera
ton of which is being awaited with
a great deal of interest.
Among other recommendations of
the comptroller general, which are Of
general interest, are the following, as
synopsised by the Columbia Record:
The comptroller general urges the
appropriation of $4,000 for the en-
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