Iron County news. [volume] (Hurley, Wis.) 1913-1950, 1921-01-15
TAXING PROBLEM
UP To S0[ONS
lawmakers Must Find More
Sources of Revenue.
MESSAGE DUE ON THURSDAY
Sow. Blaine. Expected to Recommend
Repeal of Personal Property Off
set to income Tax-To Rush
Work at This Session.
BY FRED L. HOLMES.


lens loom as the largest question be-
fore the legislature. In ordes TO pro-
vide funds TO meet the increased eX-
penses of government it viii be neces-
sary to find new sources of taxation.
| Until the taxation probIenS is settled
and it is definitely known exactly what
the funds of the state viii be it will
be almost impossible to work out the
@mainder Of the legislative program.
Governor Blaine will present his
message to the legislature on Thurs
day. In his campaign speeches he adj
vOcated an increase in the income tax
rate, which has remained stationary
since the law was enacted in 1911. 1t
is believed that he win also recon-
mend the repeal of the personal prop
| erty offset. In asking for the repeal Of
| the personal property Offset to the in
come tax Governor Blaine is not alone.
He will have the support of the state
tax commission in making this recon-
| mendation. Under the present law, if
person has been assessed on his per
Yonal property and also on his income
the amount Of taxes assessed against
Is personal property may be used as
an offset against his income tax This
| provision of the law has nullified in
| part IheOperation of the income tax
law. The tax commission says that
| since the enactment of the income tax
law only 81 per cent of the taxes lev
led have been collected in cash. Forty.
/ three per cent of such tax has been
offset by the personal property tax.
! The total amount of the tax levied
| from 1913 to 1920 Inclusive was SAB
| l422}5.14. OF this amount S296a7,-
259.16 was collected in cash. In view
Of the present demand f65 revenue to
/ meet public expenditures this seems
10 be an opportune time to repeal the
| Offset provision In 1920 the Offset
amounted to S5.57160G.4l With the
repeal OF the offset provision this
amount would have been aided to the
revenue of the state
The income tas is largely ~ urban
tax. The total offset in 1920 Was So
571,G0G41. OF this amouIa S4,G66.117.-
79 was used in cities and only $904..
S=,G2 IN towns and villages.
The commission recommends that
he family exemption Of residents be
extended to nonresidents Of the state,
TO compiE with the United States ST..
preme court decision rendered on the
same feature in the income tax law of
New York. The commission refrans
from recommending any increase in
the exemptions now provided.
At present dividends from banks are
not subject to the income tax in the
hands of the stockholder, but the com
mission recommends that in the event
hat the personal property effect proyi-
lion be abolished that such dividends
be taxed.
The hotel Hobbies are crowded with
people who are here for the op...ing
of the legislature TEa prediction has
been made that. owing to the recent in
crease in railroad fare, members of
the legislature will be inclined 10 re-
main in Madison and to push the work
OF the session TO an early close. There
is a spirit prevalent among tie mem
hers here today that such a policy may
be followed
Temporary bids for legislative print
ing have been let by the state printing
board The Democrat Printing com
pany of Madison was awarded the
temporary BID for alI legislative print
ing, with the exception OF the enroll
nent bills and The senate ana assem-
big calendars. The latter win be print
cd byz the Billed Printing company OF
Madison. The Democrat company bid
is 66 per cent above She maximum al
lowed by the law ard the companvz is
now doing this same work under con.
uact for 80 per cent above the prcSenI
maximum. The Democrat comIany
was the lowest bidders
The Cantucl Printing company gel,
the work for TIE printing Of consider
s able work not CLASSIFIED Their bid
was 80 per cent higher thau the maxi
mum fixed by lass. No coutracrs were
/ let for tie printing 81 paraph'ets and
bound volumes These large increases
have been doe 10 tbe large Increases ia
! the cost Of optEa ION
state OFFICIALS ana employees com.
! prIsing committee taking 10 every
classification Of state wort are compil-
Ing data for. al acturial study on thea
possibility Of wora.ns out a plan for
pension FUND for state employees.
A5aniheI= Of the committee are Or
/ Charles Mccarthy. chairman: Supreme
Z