Evening journal., 1921-02-22
scheme To 60
BACK To old
School LAWS
continued from first pagel

fondest hope. others are said to be
working under cover for the same
purpose, while outwardly favoring
some sort OF new school law to re-
place the one now on the statute
books. There are many rural mem-
bers who say to them and the peo-
pie they represent the proposed
law is no more satisfactory than the
original code
The plan OF Incorporating the
voluminous and complicated tax
alton provisions into the proposed
school law instead OF providing a
separate bin is said to be helping the
scheme as outlined. The purpose Of
those who insisted on the tax pro-
visions going into the education bill
is said TO have been TO avoid two
lights I'm the Legislature in getting
two bills instead OF one bill through.
But there is so much opposition 10
some OF the taxation features that
the entire bill is being jeopardized.
The three per cent franchise tax
and the IS minimum income or capi-
tation are the features arousing the
most opposition.
1t is reported that the trainers OF
the tax provisions contend that the
25-cent real estate tax for each
county. including Wilmington, Is TO
be in lieu OF any school taxes now
paid on real estate in that city.
Those who have read and studied
the provisions say they can find
nothing TO bear that out. but instead
90 L. l....
for that tax in addition to any school
tax which Wilmington property
owners now pay.
The rural sections are complaining
about the IS minimum income tax
but Wilmington. it is claimed. would
bear the burden under all the tax
provisions.
An effort will be made by will
mington members to have the
method OF distributing the money
raised by the IS tax proposition
changed. as provided. the money
would be distributed according to
enrolment and not in accordance to
what each district pays. For in
stance in paying the tax. every citi-
zen OF Wilmington would be required
to pay IL. but when il comes to dis
tributing IL. only the $4,000 children
enrolled in the public schools would
be considered. while there are 5000
other children in the parochial
schools OF that city. BY this method
of distribution, II is contended that
Wilmington will lose a large sum
that il is entitled to.
fVh, rIufs,, fu not r.,aHn f.r
preparation 70 the parochial schools.
but as the parents of children at
tending such schools pay the usual
school taxes. It Is argued they should
be considered and Wilmington get
THE benefit OF IL in the distribution.
There is a strong demand on the
part OF Wilmington members that
Wilmington be made a separate unit
under the bill, instead OF being part
'of the New Castle county. There
was a complaint among members Of
the Legislature today that copies Of
the tax provisions OF the school bill
found their way TO Wilmington yes
terday before the bill was even read
in the House or seen by only a few,
II any. OF the members.
Taxation Features.
The tax provisions OF the school
law. which Il is reported may be re-
vised before printed for distribution
with the other sections OF the school
bill would create a state school tax
department OF three members, con-
sisting OF the Attorney General the
State Treasurer and one member TO
I.ss a..
would have charge OF the admins
ltration and enforcement OF the tax
provisions and the collection OF the
taxes under those provisions.
The member TO be appointed by
the Governor would be known as the
Commissioner of State School Taxes
He would be president OF the board
and its executive and administrative
head and have charge OF the col
lection OF the taxes His salary
would be 5000 a year and he would
be empowered TO appoint an income
tax deputy and a corporation fran
chise tax deputy, their salaries not tc
exceed s3.50O and necessary clerks
and assistants. field agents. etc.
whose salaries shall not exceed
$4,000 each.
Fines up to $500 or Imprisonment
for six months are penalties pro-
vided for violations of the tax pro.
visions.
The three per cent. corporation
tax feature Of the proposed law e
which there is great opposition il
explained in the bill as follows
For the privilege OF exercising IL
franchise in this State in a corpora
! ton or organization capacity, ever,
domestic corporation doing business
in this state and for the privilege o
doing business in this State ever,
l foreign corporation doing business il
= this State. except corporations here
matter specified, shall pay in advanc'
4 each and every year an annual fran
l chise tax Of three per cent, to b.
}, computed by the State school Ia
4 Department. upon the basis OF IL
entire net income for it's fiscal yea
4 or the calendar year next preceedini
as hereinafter provided from il
business carried on in this State"
The organizations exempted fror
III paying the franchise tax under tn
Il bill are banks and trust companie,
II labor agricultural. horticultural
/, , drainage and ditch companies, fra
Il ternal beneficiary societies, buildin
n and loan associations, cemetery col
II porations. incorporated bushes
leagues and pleasure clubs.
II In the Senate this morning, Ser
ator Alice, arising to a question {
II personal privilege. took exception I
NJ an editorial in the Delaware uau-.