The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1922-01-14
COMMENT ON REPORT
OF TAX COMMITTEE
,fThe News and Courier).

ITlle News and Courier).
The report Of the joint legisla-
tive committee on economy and
consolidation is an informing and
suggestive document It falls short
by a good deal of being the sort
of study Of state institutions we
should like to see made for South
Carolina, but it goes further
/ than anything else yet available.
Much interesting information is
brought out with reference to the
manner in which various inStitu-
tons are functioning, and while
some Of the criticisms which the
committee makes can probably be
answered as in the case of the Cit
adeI, we hope, the report makes
more than one concrete suggestion
Of evident value for increasing ef-
fciency and decreasing expense.
The report comprises something
like $4,000 words. 1t is to be re-
gretted that it was not printed in
full several weeks ago and widely
distributed
1t will be unfortunate if the i'm
preston should be created at this
stage that the recommendations
which the report makes have any
binding power. The conclusion of
the committee is that half mil
Ion collars can be saved this year,
and permanently, by reducing the
Appropriations of various state in
stitutions to that extent: but on
nearly every item included in this
half million a fight may b eexpect-
ed. The committee further pro-
poses to cut the appy opriation bill
of 1921 by an additional S750,009
through deferring all building op-.
erations and other permanent I'M
provements for a year In all the
circumstances this will generally
be regarded as very conservative
program. It's adoption, according
to the committed, Will enable the
tax levy to he cut from twelve mills
in 1921 to four mills in 1922, pro-
vided certain new methods Of rails
ing revenue are adopted in line
with recommendations which the
committee makes.
The proviso is a most important
one. for number of reasons, but
especially because the main re-
lance OF the committee in tighten
ing the burden upon real property
appears TO be in the proposal TO use
ar, income tax to raise a good part
OF the money which is now raised
through a tax on property. We
think that this is doubtful propo-
sition and the arguments in favor
of inStituting a state income tax
will have ODE very powerful and
convincing if they are to overcome
a move would arouse. The, sener-
al feeling now is that this field Of
taxation has been preempted by
the federal government. Moreover,
Sl,600,000 seems a large amount
20 expect from this source in 1922
under the conditions which now
prevail
The other sources to which the
committee proposes that the state
turn for money in the effoyt to re-
duce the levy on real property are
an increased corporation tax, $110,-
00G: an Inheritance tax, no esti-
mate being made as to what this
would produce: a gasoline and OIL
tax, $4,000 in ten months: a lux
ury tax on automobiles, soft drinks.
theater tickets, cigars and cigar
cites. and so on. 5000 900 in nine
months: and hydro electric power
tax $4,000 The public expects
most OF these taxes. but the esti-
mates as 70 the amount Of revenue
likely to result from them are open
to question. Moreover. the good
roads people have been counting
for long time on getting the
money TO be raised by gasoline
tax for the roads. and the claim
is a very strong one.
1t is fairly clear, therefore. that
the cut of eight mills IN the levy
which the committee recommends
Will not be easy Of accomplish
ment The alternative methods Of
raising revenue are highly specu-
(, lative. The proposed res, :Ctions IN
appropriations are definite as far
as they 80 but except for the sus-
pension Of building operations they
amount 10 but $500 900 all told
and at that viii have 10 be sustain
cd il at all in the face Of a run
ming fire of protests from all the
institutions affected and All Of the
friends Of each institution. As a
basis OF discussion the report should
have considerable value. 1t is,
however only the signal gun Of the
fight which is TO follow.