Evening star., 1922-11-28
The Half.Year Taxes.

ments prescribed by the legislative
features Of the District appropriation
act for the present fiscal year District
taxes are now payable semi-annua'ly.
The first installment Of SO per cent is
now due. Tomorrow Is the last date
on which that installment can be paid
without penalty.
1t behooves all taxpayers who have
not yet attended to this matter to
make payment tomorrow. which. ow-
ing to the intervention OF Thanksgiv-
ing day. will be the last opportunity
before November closes. 1t is im-
portant to them because by so doing
they save an additional expense, and
it. is important to the District. which.
under, the Lew system, is to raise
enough within the next five years by
accumulated advance taxes to create
a maintenance fund that by July i.
1927. will suffice to carry the District
along without the need of temporary
aid from the federal Treasury.
If hall OF the local taxes are paid
in full at this time it will be possible
at the end Of five years for the Dis
trict to present showing of assets
sufficient to keep itself going during
the early part of each fiscal year
from July l to the first receipts in
SOvember-With its own money on
the 60-40 ratio. That is, it will have
then in hand enough to pay for four
months $50 of every 500 needed to
maintain the municipal organization.
When that has been effected the
tax rate. which has been changed un-
der the new law to yield a larger sum
the Districts share of the municipal
budget. may he lowered to conform to
the normal necessities. Under this
new law the assessments are Ut full
valuation instead of the two-thirds
valuation that has prevailed here for
many years. On that basis tine tax
rate after July /. 1927, requisite to
yield the budget total may be ma
terialIy lower than now.
It was undoubtedly the intent of
was adopted to provide for increased
taxatio1,-with the tax rate adjusted
to the new full valuation basis-for
only the fte years necessary to create
what may be regarded as i sinking
fund for current maintenance in adj
vance OF tax collections. For Congress
chose to ignore in this connection the
fact that the District had then, as it
has now. Il surplus of tax revenues
accumulated in the Treasury during
a number of years of inadequate an
nual appropriations.
Had that surplus been acknowl-
edged then US indubitably a District
asset il might have been allotted to
uso as the sinking fund.- for main
teHaucc. But question was raised as
TO the full equity Of the District in
this surplus, and so Congress then
provided for an inquiry into the cir
Cumstances and nature CT the accumu-
lation, and the claims. if any. that
may be advanced against it by the
United States. That inquiry IS now
in progress, and expectation is that
it Will result in an early report. What
effect that report will have on the
fiscal system is uncertain. but the
Districts prayer is that whatever may
be shown by this inquiry no further
attempt will be made to change the
ratio of capital maintenance. which
has now been stated in permanent
terms at 60-40.
Meanwhile the District taxpayers
who have not already done SO should
make certain to pay their first install
nlents before the close of business to-
morrow.