The Washington times. [volume] (Washington [D.C.]) 1902-1939, 1921-12-15
"Father" Of Measure Points Out
That Congress Is Given Privl-I
lege Of Raising or Lowering
Levy According to Districts
Needs

A sliding scale of taxation In the
District wiz be the rule hereafter II
the tax bill passed by the Senate yes
terday is enacted into law.
The measure expressly provides
that, while q $1.75 rate is fixed for
personal and real property this rate
can be adjusted from year to year
without the necessity of amending
the act.
Try Out SIZE Rate.
Congress is directed to provide q
fair and reasonable" rate of taxation
In the District. and Senator Caraway,
the author of the bill today said that
the y1.75 rate written into 1t had no
Significance except that. for the first
year at least, it would prevail on an
experimental basis.
Senator Caraway also stated that
he believed the House would accept
the Senate's bill with alacrtty. be-
cause 1t met the viewpoint for which
the House has been contending Tor
: many years.
Lenroot Expects Passage.
A similar opinion was expressed
by Senator Lenroot whose speech
on District taxation in the senate
on Tuesday was SO far-reaching In
its effect that it compelled a reversal
of q traditional support Of the half
and.han plan that has prevailed in
the Senate for the past decade.
II the bill should pass the House.
10 il expected that tax commits
sion, consisting partly OF experts
and partly Of members of Congress-,
will be appointed Immediately to
canvass the entire situation In the
District and to determine upon q fair
and reasonable rate of taxation.
The present rate on real and per.
sonal property in the city In $1.82
and under the half-and-half plan 1t
was $3.50.
Senator Norris. who succeeded in
inserting an amendment providing
for an exemption Of $4,000 when i'm
provements to real estate are being
assessed. explained his ideas today
as meaning that SPECTATORS in real
estate, particularly those who hold
property waiting for an advance in
price. will be penalized.
The amendment will have the effect
of taxing unimproved land at q higher
rate than improved land, and thee
fore. should have direct influence
on forcing land into use and easing
up the housing situation In the city.
The Jones amendment releasing the
$4,000, 900 District surplus in the Fed
eral Treasury and permitting it to. be
appropriated hereafter as a part of
the District budget. was hailed with
satisfaction throughout the city. 1t
probably will mean q much earlier
start on the school construction pro-
gram than would otherwise be the
case.
Burden to Be Increased.
Opinion on the bill generally among
real estate interests is divided. There
10 no question whatever that the en-
tire abolition OF the half-and-h half plan,
or of any fixed ratio for dividing the
expenses of the District between the
Federal and local governments, will
ultimately increase the burden of taxa
ton in Washington.
In the House especially there Will
Be q tendency to make the District
pay II own way" and to reduce the
Federal funds for the District budget
to ~ low q point as possible.
On the other hand II IL pointed out
II the House wins its fight for the
abolition Of the fixed ratio II may
show an unexpected spirit Of gene
rosity toward Washington and appre-
citation OF District needs.
Much win depend upon the recon.
mendation of the tax commission to
be, appointed, 1t is said.
Unless the House acts promptly on
the bill It Is not likely that the Dis
trfct appropriation bill for the coming
fiscal year will be affected by It. It
10 recognized that there are great diff
ffculties in the way of revolutionixirR
the system Of taxation In the city and