The labor world. [volume] (Duluth, Minn.) 1896-current, 1922-05-27
ASK
LEvY|NC OF TAX
ON Land Value
British Advocates Of Single Tax
Say Plan Would Reduce Rate.

In many a British town today, the
high rates for local government are
a cause Of unrest among rate-pay-
ers and OF discussion and anxiety
among "city fathers" Needless to
say, the topic of rating reform has
not been absent from their discus
sions, and it is not surprising that
the rating Of land values, as SOL
vent of present difficulties, has once
again come to the fore. That the
proposal is a serious one and worthy
of consideration is indicated by the
fact the corporation of so great a
city as Manchester is taking it up.
Some time ago a resolution along
these lines was carried in the city
council, and clause afterwards was
included in the bill about to be in.
troduced into parliament. a. This
clause was, however, subsequently
de1eted.
Another attempt Is now being
made, and the promoters OF the
movement hope, in the course of
time, to get parliame entary sanction
for the scheme.
The method by which rates will
be levied, if the proposal is realized,
is said by it's advocates 20 be the
most suitable known at presen:.
Buildings Would Be "Unratcd.''
All buildings, machinery and 9TH
er improvements would be ''unrat-
ed," and rates would be levied solely
upon land, the value of which for.
rating purposes would be made CO.
incident that by such assessment
lands value would be correctly as
certained, for if fixed too high, the
owner would pay more in rates than
he ought, and # too low, he would
be exposed to the liability of having
to sell it at less than it's real value.
The great benefit of the, reform to
the public is in the fact it would
not increase the burden Of taxation
upon enterprises and improvements,
and at the same time would force
land into the market which might
otherwise be held up for higher
prices, it's proponents declare.
According to letter which the
Manchester Land Values League has
just sent to master cotton spinners'
associations and similar organiza-
tions in Lancashire. it is clear that
in many Lancashire towns, machin-
cry which previously had escaped
the assessor .is now being included
in the assessment. In some boroughs,
the assessment of mills has been in
creased by an average of 10 per
cent. The letter points out that in
creasing the rates on mills and ma
ch:nery has other effects besides
reducing the contributions of other
taxpayers. The rates paid by cot
ton manufacturer are included with
payments for raw materials. wages,
etc.. in his total cost Of production.
and as the cost of production grows,
the price of the production rises.
Prices Would Be Higher.
In this case, it is said. the prices
of cotton goods will be higher
through the reassessment of mills
and machinery, and the people-in-
cluding those who have escaped an
increase in their own rates-will
have to pay. higher prices for ne
.cessity of life. Many people there
fore will purchase fewer cotton
goods, and this will mean a. de-
creased demand for labor in their
production. - ~
Unemployment in the cotton trade
will react on other industries. it Is
pointed out, and the. resulting COM
petition for employment will drive
wages downward. Heavy rates on
industry therefore are bad alike for
employers, for workers, and for the
general public. ..s, ~ <e MI
The league makes the claim that
the reform sought would result in
reduction of the Manchester rates
to about Sd In the pound. At pres;
ent, they. staQd at 15s. In New York,
where land has been officially val
ued, the land value works out at an
average Of 1902 per head Of the
population; in New Zealand. 1t is
$3.50 per- head. This gives, for pop
ulation 730,551. a total Of f147, $780,
900. On that capital value, the
f3,5O0,000 required annually by the
corporation would represent a rate
LOT 6d.in the pound thus; Qualifying
the statenent OF the league. &,