The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1923-11-05
TAX BURDEN0N
FARM LANDS IS
CUT UNDER LAW
State Tax Department Says
Valuation Is Reduced
$226,O91,412
Change in Burden on Various
Classes of Property for Last
Several Years Told

The state tax department today
gava out comparative statement
covering the assessed valuation OF
each class Of property in the state
for the year 1922 and 1923. This
statement shows the result of the
basis of assessment law passed by
the 1923 legislative assembly.
Under the classification law OF
1919 farm lands, town and city lots
business structures, railroad proper
ty and property of other public uti-
lities, bank stock, flour mills, eleva-
tors, warehouses and storehouses and
all buildings and improvements upon
railroad rights of way were required
to be assessed at 100 percent of full
and true value. All other property
was required to be assessed al SO
percent of full and true value. This
included most classes of personal
property and structures used for
homes located upon town and city
lots.
Under the exemption laws passed
In 1919 structures and improvements
on farm lands were exempt from
taxation and liberal exemptions
were allowed on homes occupied by
the owner and four classes of per-
sonal property,-farm machinery,
household goods, clothing and tools
or working man or mechanic. In
1921 the exemption on homes was re-
duced from $1,000 to $500 and the
exemption on farm tools and equip
ment of farmer from $1,000 to $500.
The exemption of $500 on household
goods, clothing and tools of work
ing man or mechanic remained un-
changed.
Farm Burden Changed
The result Of the taxation laws of
1919 was to increase the tax burden
on farm lands to very large ex-
tent. In 1917 the assessed valuation
of farm lands was 1888 percent of
the lDtal assessed valuation of the
ci-,,-, md the assessed valuation of
improvements on farm lands 1-2
per cent of the total, the total as
sessed valuation of farm real pro-
perty being 56.1s percent of the to-
tai. In 1918 the assessed valuation
of farm real property was 1851 per-
cent Of the total and in 1919 after
the absolute exemption of structures
and improvements on farm lands the
assessed valuation of farm real pro-
perty was >7O.364 percent Of the to-
tai assessed valuation. The shift of
the tax burden from other property
to farm lands was most keenly felt
in those taxing districts where the
school district embraced both the
city and country. The $1,000 exemp-
tion allowed On homes in 1919 and
1920, and the fact that homes were
assessahle at only so percent of the
balance after the deduction of the
$1,000 exemption left very small
tax base in many villages and cities
and the consequence was q tfemen-
dous shift of the school tax burden
to farm lands in these particular
school districts, embracing both city
and country.
The classification law Of 1919 and
the exemption laws in effect since
that date Produced q tremendous
amount Of dissatisfaction and con-
sequently, the 1928, legislative as
sembly went back to the taxation
system in force in this state for
over 30 years. Under the basis of
assessment law passed in 1923 all
taxable property in this state is as
sessed at the same percentage of full
and true value. Each dollars worth
OF taxable property in the same tax
ing district now bears the same per-
centage of tax burden. All special
exemption laws were repealed by the |
1928 legislative assembly with the
single exemption of structures and
improvements on farm lands. The |
usual exemptions on public, charita-
bic and lodge property still stand.
Result Of Basis
The general result of the basis of
assessment law of 1923 was, of
course, to reduce the tax burden on
al property in class one and in
crease the tax burden on all proper
~ formerly in class two. The total
assessed valuation of the state has
decreased $222,507,94O. The assess
I'd valuation Of farm lands decreased
I226, ,091 ,412. The assessed valuation
# city and village real property in
creased $1,350,43l. The asses sment
N town and city lots and business
structures being increased and the
assessment on residence structures
'eing Increased. Farm real property
n 1923 constituted 81 .98 percent Of
he total assessed valuation Of the
tate as compared with 68.73 percent
n 1922. City and village real pro-
'erty is 1919 percent Of the total
assessed valuation af the state as
with 8.31> percent in 1929. !:
PERSONAL property hears 1881 per-
ent Of the tax, burden as compared Ii
nth 6.72 percent in 1892. Corpora
ion property including railroad, ex-
ress, telegraph, telephone, sleeping
u, street railway and ,electrie trans j
mission lima property bssrs 1855 per- i
ent ~ compared with, 1924 percent lsl
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