The commercial. (Union City, Tenn.) 190?-193?, 1922-03-03
Tennessee Taxes.

State taxes and the method of their
imposition are likely to play an i'm.
portant part in the campaign for the
election Of Governor and Legislature
in Tennessee thi year and the sub
| ject should be thoroughly understood
| by the voters.
Certainly men of intelligence in
every community in the State should
inform themselves clearly and thor
oughly as to actual conditions and
know exactly from what source the
tax increases, in so far as there have
been increases, have come.
The intelligent citizen should dis
card prejudice and learn the truth
The lesson is simple and all the facts
can soon be digested if the inquiring
citizen and taxpayer will really seek
facts and not be influenced by ILL
conceived prejudice or the purposed
misrepresentation of politicians and
newspapers that seek to accomplish
personal and political ends by play
ing on misinformation, wrong con-
ception and the prejudice that such
things have engendered.
Following is a succinct and exact
history of taxation in Tennessee for
four years past, prepared for the Ban
ner:
When the Legislature met in Jan
uary, 1917, at the beginning of Gov
ernOr Rye's second administration
the State rate was 35c. At that time
the State rate did not consist of a
combination of different rates levied
for different purposes, but it con-
sisted of one specifice rate of Csc on
each 500 worth of property, the to-
tai revenue from which went directly
into the general fund of the State
Treasury.
This rate of 35c in 1916 and 1917
corresponds with and is the same
levy, providing revenue for the same
purposes, as the tic rate for 1921.
In other words, the State tax rate for
1921 would have been only TIC in
stead of 35c as the result of increased
assessments and the application of
the sliding scale had not the Legis-
latures of 1917, 1919 and 1921
adopted and followed the policy of |
levying specific rates for specific pur-
poses.
Up until 1917 the State Legislature
had never made any direct levy onl
rate of taxation for educational pur- |
poses, although one-third of the |
gross revenue of the State was being |
passed into the educational fund in |
1917 just the same as it is now.
Neither had the Legislature prior to
1917 made any levy for highway pur-
poses. If we are to understand thor
)ughly the causes of increased State
axes in Tennessee for the past five
he fact that up until 1917 the State
evied one specific rate of taxation for
general State purposes and prior to
hat time no specific levies were made
or specific purposes, such as high
way construction, cause of education
nd maintenance of the State Fair.
The Legislature of 1917, for the
Irst time, made a specific levy for
tate highway purposes of 10c cents.
t also made specific levy for the
rst time for the State University of
cents. These two levies, amount
ng to Is cents, were added to the
tate rate of 35 cents, making an ag-
regate of State rates of so cents,
cents for general State purposes,
0 cents for highways and cents for
he university.
The Legislature of 1919 continued
he policy inaugurated in 1917 of
laking specific levies for specific
imposes, and added another 5 cents
D the State rate for rural schools.
The Legislature of 1919 also passed
ne tax laws providing for the actual
ash value assessment of all prop {
rty. The first actual cash value as
essment was made under these laws
a 1920 and resulted in the assess
lent being increased from 1925, 000,