Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1921-03-30

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to the Kennebec Journal. as doubtless
all of you have during this session,
that we believe every word that is
printed in it, even the advertisements,
even though the advertisements advise
US to do something that is not in real
ity, for the best interest of the State
of Maine. So much for the influence
of the press.
A measure that had been adopted
as the policy of both parties, defeated
by some group of master minds who
had the price to pay for a few adver-
tisements in the newspapers scattered
throughout he State. l have said to
you that I would give you the history
Of the attempts in the State to tax
I have referred to the difficulties that
the local assessors face in ascertaining
property of this nature which is tax
able. The certificates Of stock or other
papers are of course kept either in the
mattresses or in safety deposit vaults.
The assessors do not have access to
them. and they have no means of
ty of this nature or not. His house,
his furniture. his livestock. they can
readily see and assess a tax upon that.
and yet these securities lie concealed
in safe exemption.
I will read to you some extracts
from the reports of the State assessors
for the last few years. In 1914 they
r,o nloi 1,x fDr al
ifcation of intangible personal proper
ty; in 1916 they made the same sort
of a recommendation. They also rec
commended compulsory listing of all
taxable property, and 1 shall refer to
that later. An absolute listing law
would require every citizen to make
a return to his local assessors of all
were subject to taxation. AS / have
said before. that will result in a tax
which would amount to practically
confiscation; it would not be fair OH
the owners of the securities, but still
SO much property escapes that the as
SCISSORS recommended some step in an
effort to correct the error.
In 1918. the following recommended
ton is found in the report of the as
SCISSORS:
All property, real, personal and in
tangible should pay some tax. If in
tangible property is paying too much,
and If nuder our present law it can
not be found, then some method
should be divised or law enacted that
will find it. To leave the present sys-
tenn as it is defeats us in our effort
to find and assess all properly. Some
thing should be done. Inaction will
not do. If action is to come, the
question is what ways are open? We
believe one of two things mus. BE
done. Either we must nave low
fiat rate on intangibles, or enact an
income tax law. Either of these meth
DDS would be acceptable to a major
ity of our people when properly un-
derstood. They certainly accord with
the past contention of the intangible
property owner"
In 1918, the assessors made a similar
recommendation, and say:
The local rate under the general
property tax would in most cases con
fiscate the income and therefore it is
nearly impossible to enforce this law
THE income tax seems to be In
conformity with modern economic
conditions and in this respect seems
to be preferable to any other meth.
Cd"
Let me state here that if the aver
age local rate of taxation in the
municipalities, which is for this veal
about 35 mills, if that rate of tax
were enforced on all intangible prop.
erty in the State, the revenue would
be $1500o,oo0. The total at present o.
all State. County and municipal tax.
es is $4,000 900. IF all the intangible
property in the State subject to taxa.
ton were found by the assessors, the
total of the State. county and mum.
cipal yield from taxation would be al.
most double.
In 1920, the State assessors make
this recommendations:
Several attempts have been made
to reach intangible personal property
on some equitable basis These at
tempts have thus far resulted in fail
ure. We believe that all fair-minded
people will agree that the revenue OF
the State should be raised as equally
and economically as possible and that
1t is not so raised so long as . large
portion of the property of the State
escares taxation entirely. And we al.
so believe that all fair-minded
thinking men, who believe in Maine
and its future development, will con-
cede the justice and fairness of the
proposition that every person havinc
taxable property should contribute ir
some equitable way to the expense OF
running the government under which
no is domiciled"
I have said that it is difficult TO,
the local assessors to discover this
sort of property. although it should
be subject to. "A tax: but there comes
a point of time in every mans life
when his estate is subject to the in.
spection Of all who care to read the
records. When man dies and his es.
tate goes through the probate court
an inventory is there made to which
the assessors, as well as others. have
access. The assessors can go to the
probate records and find out exactly
what stocks and bonds and VIVA,
property a man has left. They car
then enforce the local rate of taxa.
ton on the full value Of that proper
ty. That makes tax that is abso-
lutely unfair: it is too large. For in.
stance. II yon should save your money
and buy thousand dollar bond which
yielded an interest at tho rate of sew.
en- per cent. you would receive seven