The Birmingham age-herald., 1921-06-13
| TWO CASES BEFORE SUPREME COURT ON STATE $ REVENUE
Tax Commission Contends That Revenue Act of 1919 Gives It Authority to Ex-
 anime Books

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 Montgomery, June 11.--(Specisl. )-- Alabama's supreme court has now before 1t for consideration two cases in which the states revenue law is involved. For several weeks the court has had under advisement the case from Jefferson county which will determine whether or not the state tax commission may send exam iners into the offices of persons as- sessing. taxes with the view of de- termining the basis for their assess ments. It has been thought for sew eral weeks a decision would be hand ed down and on each decision day. Thursday, persons interested in the case appear in the supreme court room In the hope that decision will be announced.
 The state tax commission contends that the revenue act of 1913 gives if the authority to examine the books and thus establish basis for assess ments. The case was brought in Jeff ferson as test and until final decision is rendered the commission will not proceed with the reassess- ment of the property of 50 or more of the states largest corporations.
 When the corporations reported their assessments the tax commission set them aside and ordered new val uations- The corporations then de- clined to permit agents of the com mission to examine their books, con- D sfar, live 6a% n, for such action by the revenue law, and that they will not be protected against the exposure of business se- crets. Thousands of dollars which should have been paid into the state treasury between October 1 and Jan uary are still in the hands of the corporations because there is now no valid assessment against them and will not be until the commission pro- ceeds with the revaluation.
 Validity of Sections
 The. other, tax case involves the validity of the sections of the reve- nue act creating the offices of coun- ty tax adjusters. It was submitted to the court Thursday on appeal from the Marengo circuit court, which held that the sections are constitutional and enforceable.
 George Pegram and John H. Bank head, attorneys for the appellant. contend that the sections creating the tax adjusters violate the consti- etutions of the United States and Ala bama. This is taken to mean that if the supreme court of, Alabama de- cides against the contention of the attorneys an appeal will be, taken to the. United States supreme court in view of the fact. that federal ques- ton Is involved.
 It is contended that the sections de- prive persons of their property with out notice, that the state constitu- ton is violated in that there Is a system for paying salaries which permits increases of tax adjusters' compensation during their terms of office, and that the provision of the revenue act requiring assessments when finally fixed to, stand for two years permits a system which can mean the collection ofsa higher rate of taxation than fs permitted By the constitution. It Is alleged that if property decreases in valuation be- tween the first year and the second year. the rate of taxation based on the first years assessment will be greater than the rate permitted by the constitution .
 Both cases will be decided before the courts recess June 30 for the summer.