The Hartford herald. [volume] (Hartford, Ky.) 1875-1926, 1921-08-31

, these valuable properties to taxation,
and there are many reasons for tax
ing them as other property.
Large tracts of coal lands, ac-
CURED by corporations, syndicates
and individuals, many not residing
in or having other interests in the
State, are being held for speculative
purposes and are increasing in value
because of the taxes paid on other
property, and their possession in this
form acts as deterrent to develop
ment.
AS long as these valuable proper
; ties can be held by reason of the
nominal taxes and light carrying
charges, based on the original cost,
the owners will not develop nor sell
to others who would, -and this has
been one of the chief retarding in
fluences in the State of Kentucky.
Taxation of such properties has
not interfered with their develop
ment elsewhere, but has stimulated
it and, paradoxical as it may appear,
has resulted in increasing and stabi-
lizing values and the owners have
found it to their interest to ac-
quiesce and to cooperate with the
taxing authorities in their assess
ment.
From the reports Of the Tax Com
missions in other States 1t appears
the difficulty of arriving at the
value of mineral and timber lands
has been successfully overcome and
1t is much easier to assess unmined
coal which lies in comparatively
uniform measures in well-defined
areas than ores which are found in
pockets, troughs or lenses.
There are few coal properties in
Kentucky where the owners are in
ignorance of. the available tonnage
and many have been accurately sur
veyed and mapped and all of this
information is within reach, as the
law is very clear in providing for
their listing for taxation.
A production tax on coal or other
mineral products is indefensible as
the consumer has to pay the tax,
which is added to the price, and this
form of taxation retards develop
ment by interfering with competi-
ton in interstate transactions and
tends to monopoly.
The tax on gasoline is an illustra-
ton as the signs on the supply sta
tons give the price at so much per
gallon and add TAX one cent"
which leaves no doubt as to who
pays the tax. The price of gasoline
is also higher in Kentucky than in
Indiana Just across the Ohio River.
While under the former tax laws
only few classes of property were
really assessed for taxation and
many of the owners of other kinds
merely listed" such values as they
were disposed, the State Tax Com
mission is undertaking to see that
all property is properly assessed and
this has caused considerable cOnfu-
sion as the new tax laws are not
responsible for assessments which
are in accordance with an old and
unamended law not generally OBJ
served until recently.
1t is self-evident that. the taxation
of all the property known to exist
in the State will tend to the reduc-
ton of taxes on the one-half now
paying taxes and the hesitation to
assess mining property while assess
ments are steadily increasing on
farming and other property is not
easily understood.
Property is property and as the
State Tax Commission says, "The
man who is unwilling to pay his Just
proportion of the taxes is an unde-
sirable citizen" The owners of
valuable mining properties should
recognize this truth and be disposed
to pay property taxes as the owners
of other property are required to do,
but there is no more reason for sub
jecting them to production tax
than to make farmers and manufac-
turers pay on what they produce.
KENTUCKY TAX REFORM AS
ISOLATION.