Carthage courier. (Carthage, Tenn.) 1913-current, 1921-03-24

bill introduced in the Senate by Sen.
I H. B. McGinness, which sought to
compel owners of notes and other such
/ personal property to list same for
taxation, was defeated in that body.
! A roll call was demanded on the
measure and it showed that out of
the nine Republicans in the Senate
only one of them voted for this bill.
1t might also be remarked that Gov
Aft Taylor, who claims to be such a
great friend to the farmer, never at
any time raised his voice in support
OF the bill So it is, both political
parties are weighed in the balances
and found wanting in regard to this
measure
In discussing the bill when it was
for passage in the Senate, Mr. Nc
fGinness said in part:
Mr.. Speaker:-I confess to a deep
interest in this measure; not per-
sonal interest, nor yet matter of
/ personal pride by reason of my au-
thorship of the bill, but because | con-
ceive it TO be the means of relieving
an intolerable situation with reference
to the assessment for taxation of per-
sonal property in Tennessee.
! The Constitution of our State re-
/ qulres that all property, real, personal
/ or mixed, shall be taxed according to
! its value, the only exemptions being
one thousand dollars of personality to
each individual taxpayer, the direct
products of the soil in the hands of
/ the producer or his immediate vendee,
and articles manufactured from the
/ produce of the State. This conStitu-
/ tloEat provision for taxation of prop
erty is clear, unequivocal and manda-
I tory that is to say, by the express
provision of our organic law whatever
falls within the definition of prop
erty" shall be taxed according to its
value.
Superadded to this constitutional
requirement is the provision of our
/ assessment law of 1907 which requires
that all property shall be taxed at its
actual cash value.
Now, keeping In mind this basic con-
stitutional principle for levying taxes
in Tennessee, what is the real situa-
ton! As to one class of property, to-
wit, real estate, the constitutional
mandate is being strictly and literally
enforced, that is to say, farm lands
and other real estate in Tennessee is
being assessed at and taxed on its full
value. On the other hand, we have
another class of property, constituting
a very large per cent of the total
wealth of the State, namely, written
evidences of indebtedness, in its ma
ture easily cencealable which is prac-
tically exempt from taxation
+ l am not here to discuss the moral
phases of the withholding of this prop
erty by its owners, but am merely
stating the facts and seeking the rem
edy. 1t is true that~a limited number
of the owners of this character of
property, impelled by conscientious
impulses list their property of this
character for taxation, but there ntfm-
Der is negligible.
The total assessment of all property
in Tennessee for the year 1920 was
in round numbers $4,000, 100000. Of
this amount real estate constituted rs
per cent of the whole, public utilities
I 10 per cent, and personal propertv 9
4 per cent, the amount of the latter be-
4 ing $181 100000 Of personality as
sessed the greater portion was visible
/ personality such as livestock. house.
hold goods, etc. Another large percent
was trust funds, assets in the hands
OF guardians, administrators. etc.
which being of record in the office\of
the County Courts was easily acces
sible to the assessor
Conservative estimates of the total
amount of personally in Tennessee
place 1t at minimum of 81 100000
600. As indicating that only small
portion OF the personal property of the
state IS on the tax books, there was
IN February, 1920 on deposit in the
banks of the State actual cash to the
extent Of over $300,000,000. The dis
proportion between the real estate and
personality assessed for taxation is
perhaps greater in Tennessee than in
any other state in the union. For in
stance IN Kentucky in 1918 there was
S9OO,O0O,000 of realty assessed and
S479, 100000 of personaItv: other
states show like proportions, while in
tennessee we assessed last wear ST.
525, 600, 600 of realty and, as stated.
318l ,OO0, 200 of personally Making
liberal allowance for the $1,000 exemp-
tlon to each Individual taxpayer, it is
believed that not less than $1,000
( 600 of personal property should be on
the tax books in Tennessee TODAY.
This bill seeks to put on the tax
books along with the property of the
citizens of the State this immense
amount Of inyisible and concealable
personality that has never paid any tax
and never Will until required to do so.
wish to call the attention of the
Senate sharply to the fact that this
bill, II enacted into law, would not
render assessable any property not
already assessable under existing law.
It simply seeks to secure the assess
ment of property already subject to
assessment, but which is withheld
/ from the assessors year after year.
4 also call your attention to the fact
/ that this measure would not add
! single penny to revenue of the state,
/ but would merely increase the assess
ment with a corresponding and auto
matte decrease in the rate under the
operation of the present sliding
scale" Act.
The Act simply requires that in
making out his tax schedule the tax