The Telegraph-courier. [volume] (Kenosha, Wis.) 1888-1946, 1923-02-01
EXPECT REAL FIGHT
Blaine Will Back Neither Bill
and Contending Factionists
Must Fight It Out.
By HERBERT LITTLE.

ture today.
The legislature will decide between
the bin introduced in the senate by
II. j Severson, administration lead
er, and the bill introduced in the as
senbly by Speaker John L. Dahl, an
other administration leader.
Dahlls. bill wipes out the personal
property tax Offset, whereby income
taxspagefs now pay part Of their tax
es with income tax receipts. The
Severson bill does not.
both bills will be referred to the
Joint finance committee, which will
hold series of public hearings on
them soon. Governor Blaine will let
the legislature fight it out to a deci
sioazsbetween these two bills, both of
which follow to some extent the rec
concentrations Of his legislative mes
sage.
NJ Repeal Mill Taxes.
both bills provide for the repeal Of
the .mill taxes which now partly sup
ports the state university and the
normal schools. Both bills repeal the
state teachers retirement fund surtax.
Passage 9f either. bill means a per-
sonal property tax reduction of about
$65O0s00G.
X Both bills would make things east
er for the low-salaried married man
by increasing the exemptions. Both
provide that The exemption for chill
dren shall be $500 each instead of
5000 each as at present; that the ex-
emption for a man and wife shall be
$1,000 instead of $1,000 as at present;
and both provide that the exemption
for unmarried men shall remain at
$500.
The Dahl bill follows closely the
Lines Of the measure prematurely an
1iounced several days ago as the ''ad-
rninistration" measure, which was
later repudiated.
The Dahl bill provides:
A straight income tax law, with
rates ranging from one to 20 per cent
on large incomes, with increased ex-
emptions as noted above, with the re-
peal of the personal property tax Off
set, with corporations paying a
straight six. per cent on their incomes.
N The Sevetson BIN provides:
Retention Of the present personal
property Offset, and retention of the
present income tax schedule, with in
creased exemption, but placing a sur
tax on all corporation and individual
incomes of more than $4,000
Under the Dahl bill, so per cent of
the revenue collected from incomes
goes to the state, 40 per cent to the
municipality, and 10 per cent to the
county.
Surfaces to Support State.
Under the Severson bill, all rev.
enue from the added surfaces would
60 to the state. The money collected
underft present income tax would
be distributed as follows: 10 per
centto the state, 20 per cent to the
county 20 per cent to the munich
pality.
Both bills provide for the creation
Of a special fund into which the
money raised, 4$6,5OO,O0O in each
ease, woulds.be paid, Annual expend-
lures would be made from this fund
as follows;
10 the common schools =. $3,300,000
To the university ......... 1,75O,OO0
To the Normal schools ~. 10000
To the teachers retirement
fund .........,....... 100000
None Of these educational institu-
tions supported by the state would be
paid any more money than they are
now getting, The teachers retire
ment fund surtax. which would be re-
pealed by both bills, now raises about
St,0O0,00O year,
Both bills provide that any excess
raised under their provisions in ex-
cess of S1,Q00,O00 shall be turned in
to the common school fund.
The higszdiffsrence between the
bills Is in the personal property tax
Offset, The fight in the joint finance
committee to decide which bill shall
be recommended favorably is expect
ed to revolve around this point. Gov
ernor Blaine in his legislative mes
sage inferred that the Offset could
very we'll be left over for study for
another two years.
The Dahl includes the proposed re-
peal of the secrecy clause of the in
come taxsdaw, a leading point of the
AAeAA SAASNNSTd a4sAAhC cam PdASAS IdoL 1dll.
Senator Severson's bill does not in
clude this feature, as this is provided
for separately in bill already in
troduced in the upper house by him,
Rosa Tells of Dahl Bill.
A statement issued by Judge
Charles D. Rosa of the tax commits
sion accompanying the announce
ment Of the Dahl bill declared "the
effect Of this bill is to about double
the receipts from income taxation"
"The ratio on property has doubled
since 1911; hence, this will re-estab-
lish the ration between the burden
of income taxes and property at prac-
tically the same proportion that ex-
listed when the income tax law>~ was
enacted in 1911," the statement said.
"The bill will raise about S13,000,-
900, one-half of which will go to the
state.
Municipalities and counties will re-
ceive slightly more than they receive
from income taxes. The bill will not
increase taxes but will re-adiust. In the
future. according to it's provisions there
will be no levy of state taxes. 1t