Indiana daily times. [volume] (Indianapolis [Ind.]) 1914-1922, 1921-04-22
TAXLEAGUEN
FAVOR OF EARLY
STATE SESSION
Desires Convention Called to
Discuss Proposed Taxing
Amendments.
WOLCOTT FOR CHANGE

nents TO the State constitution were maze
ct a meeting of the Taxpayers League
at the Columbia Club last night. The
question of the advisability of adopting
the amendments giving the Legislature
power to establish systems of taxation
and power to levy an income tax also
were discussed in detail. The amend
ments are two Of those which will be
voted on at a special election Sept. 6.
Alfred Potts, secretary of the league,
read detailed reports Of what has been
done by other States which have adopt
ed similar amendments, giving both sides
Of the question The discussion was then
taken up by Eben Il. Wolcott banker,
who spoke in favor of the amendments.
Mr.. Wolcott declared he did not believe
there is any question but that the burden
Of taxation in its present form should
be lifted
REGARDS NEW
MEASURE SAFE.
There are some who fear that meas
ures which are Bolshevistic or which
carry out the single tax ideas might be
adopted under the proposed amendments,
but nothing of this kind has happened
in twenty-one States which have adopted
similar provisions" he said. The Fed
eral Constitution gives Congress un-
limited taxation power, but ii has never
yet deviated from the fundamental prin-
ciples that taxation must apply equally
to all the people. The Constitution of
any State that applies an iron-b
rule is wrong"
Mr. WoIcott declared that in 1912 only
40 per cent Of the property in the State
of Indiana was assessed for taxation.
He stated in this connection that no gen
eral property tax can be made a Just
basis for taxation. He said that taxes
should be based on the ability to pay
and the benefits derived. He said the
change from the old law to the new in
many States has been tremendous in the
addition of taxable property listed and
the number of persons paying taxes.
MORTGAGES AND
REAL ESTATE.
Mortgages should not be taxed the
same as real estate" he said. a mort
gage can not increase in value and the
expenditure Of money derived from tax
alton has no effect on its value while
such expenditures for civic improvements
add to thu value Of buildings and other
real estate
'sVAe only thing that will prevent
change in the present system is timidity.
II that fear had actuatad the pioneers
OF the country they would NOT nave left
their doorsteps. But there is no reason
to fear this proposal because it is not
untried.
at is impossible to own a mortgage
N Indiana and make a profit from IT.
> Only five insurance companies and SINH
lar concerns which do not have to bear
a full burden Of taxation viii loan money
on them. The present constitution does
not make exemptions but we have ex-
emptions. Under the laws of Indiana ex-
emptions may be taken on two classes
- ~ crac- mr.
We have a total of S125. 0O0,O in mort
gage exemptions, and this sum is more
than the total Of all mortgages listed
for taxation.
NO CONVICTIONS FOR
FALSE TAX RETURNS.
MANY persons who receive large in
comes are not paying taxes but they
are deriving the benefits of taxation. No
law is effective that has not the intelli-
gent approval Of the people. In all the
history of Indiana no person has been
convicted of making a false tax return.
1t Is a farce and a joke"
Mr.. Wolcott expressed the opinion that
the 2 per cent debt limit provided by
the constitution means that this shall
be the limited Indebtedness of any com
munity. He pointed out that despite
this fact the Legislature has created up
to seven artificial civic corporations each
with a per cent debt limit, which would
increase the limit to II per cent.
He pointed out that the constitution
can not reduce taxes but it can make
the levying Of taxes fair. he said ex-
penditures must be reduced before the
burden can be reduced.
TAYLOR TAKES
OPPOSITE VIEWS.
William L. Taylor, former attorney
general Of Indiana, speaking on the
same subject, took exactly opposite views
of the proposed amendment.
81 don't agree with anything that has
been said in favor OF this amendment"
be declared. 81 earnestly hope it Will
be defeated.
81 have never heard Of an organiza-
ton to cut the cost of government but
every one seems to be devislng new ways
to spend money. Spenders have been
running the Government. If We spent
one-tenth Of the time we use in devisin 2
ways to spend money in cutting costs
there would be no tax problem"
Previously during the discussion the
success of provisions similar to the In
diana proposals in Wisconsin had been
referred to. Mr.. Taylor referred to this
by stating that the Socialists Of Wis
consin have been devising ways to ex-
empt certain classes from taxation with
the result that Wisconsin is morally, po-
liticaIly and financially bankrupt"
The only difference between the Rus
sian system and this proposal is that
Ienin and TrOtski make the classical
tons there and here we propose to let
the Legislature do it.
PROTECTION
OF PROPERTY.
mo man has any more right to take
away the provisions surrounding prop
erty than he has to take away provisions
surrounding the protection OF human life
and liberty. This proposed legislation
is not for the farmers, but for the money
lenders The present law. If enforced,
can reach every cent OF the property in
the State"
Senator William F. English, chairman
of the Senate committee on constitu-
tional revision, explained that the amend
ments were proposed as a result Of de
mands Of the Republican platform. He
said, however, that the taxation CLASH
foation amendment is much broader in
its present form than it was in the form
l4t which it was written.
IF these amendments are not adopted
the movement for a constitutional con
vention will most certainly be resumed, +"
he said.
ALL FAVOR DELAY FOR
HARD SURFACE ROADS
All Of the speakers expressed the ap-
prevail OF the attitude Of Governor Nc
Cray in opposing the construction OF
hard surface roads until prices drop.
Governor McCray explained his pro-
pOsal for & State conference on the con-
stitutional amendments.