The Bemidji daily pioneer. [volume] (Bemidji, Minn.) 1904-1971, 1922-01-27
Expl. rs ~ 1922 2; Tsxs. AZ.
MOI Ire same in an Gaze.
on the Same Model s y
THIS AND LAST YEARS
TAXES ARE COMPARED
1921 Take. Were Based Upon
Rate Book Adopted From
State Of Iowa Il &

Mike Holm, secretary OF state, re-
ports that great number Of letters
are coming to the motor vehicle reg
istration department. Of the office in
curing concerning the difference be-
tween taxes that were paid in 1921,
according to the 1921 rate book, and
the taxes that are being paid IN 1929
according to the 1922 book. : g. =, $:
Many 1920 models pay a higher tax
than corresponding 1921 models. The
tables also show that the owner OF 2
car which was registered in 1921 does
not pay the same tax in 1922 as he
paid for the same car in 1921 -.
To some, these differences do not
seem just, but Mr., Holm explains that
they result from the plan of taxation
incorporated by the legislators in the
new registration law. The tax is
based on the factory. list price of the
year of the model. Therefore, since
the prices on cars generally were
higher in 1920 than in 1921, the tax
paid is correspondingly higher On
1920. models than on similar 192i
models.
An additional complication and an
apparent discrepancy. arises through
the fact. that for 1921 the registra-
ton taxes were based on the; list
prices set forth in the Iowa rate book.
This was an emergency rate book
provided by the legislature for the
reason that the law was passed so
late in thei year that there was not
time to get statements from the nan-
ufacturers. The law provided that
for 1921, to save time, the registrar
should adopt the rate book Of anoth-
er state and, at the suggestion OF the
committee, the Iowa rstef book was
adopted as being The one most like
that required by the Minnesota law.
The law provided that for follow
ing years rate book should be made
setting forth the list prices as OF No.
vember l that manufacturers would
furnish in sworn statement. = The
1922 book has, therefore, been com.
piled from such manufacturers
sworn statements setting forth : the
price that prevailed November IN
each model year for the various
makes of cars. Now it happens that
the Iowa book bases it's rates on
prices as of June and earlier each
year.. :. -. = 49,.
Therefore, the resulting condition
that in those years where there was
a rise in price from June to Novem-
Der, the tax in the 1922 book is high
er than that in the 1921 book and
on the other hand, for those models
where there was . decline in price
during the model year, there is low
er tax in the 1922 rate book than in
the 1921 rate book. AS an illustra,
ton, it is we'll remembered by all
that there was great decline IN the
prices of motor vehicles in general
during 1921, Tho 1921 rate book
however, based its taxes on the prices
that were in effect earlier in the year
but the 1922 book vases its taxes on
the price that was in effect Novem-
Der /. 4 ~, ..ss =. -
These are regretable differences,
Mr.. Holm said, calling attention to
the fact that the registrar has no ;op..
ton in the matter. The method OF
calculating the tax is clearly pre-.
scribed in the law and, on account OF
the fluctuations in prices that: have
prevailed during the past war period,
and on account. of the emergency
rate book provided by law Tor I921 -,
+hase MANY differences occur. =