The Wolf Point herald. (Wolf Point, Mont.) 1913-1940, 1924-01-31
THE TAX BURDEN AND THE
REMEDY

only way to cut taxes is to cut take
or, in other words, to cut taxes, tn
state, the county and the municipal
ity must cut public expenditures, h,
proclaimed the plain, unvarnishec
truth.
That should be just as plain a.
two plus two equal four.
There is a better understanding OF
the tax problem today, perhaps than
there has been for some time, but
the public has not reached the point
yet where it is willing to reduce
the expenditure of public money for
those things which bring high taxes.
When the revenue is not large
enough to cover some new improve
ment, we seek a new taxation method
to make the improvement possible.
This has brought ever increasing tax
alton, not only in North Dakota, but
in every state in the Union.
North Dakota's tax burden today,
according to Mr.. Converse, averages
about $3.50 yearly for a family of
five. Through all the period of tax
gains there has been a tendency to
saddle ever increasing taxes upon
the corporations on the theory that
this policy will Tighten the burden
upon the individual.
AS an example Mr.. Converse says
the Northern Pacific Railway paid a
tax of $168.20 per mile of single
track in 1900, which in 1915 has
been increased to $430.48 per mile.
and in 1922 to $~1,076.08, two and a
half times what it was in 1915 and
six and a third times what it was
in 1900. In short, the railroads Of
the state are paying o|ne-seventh of
all taxes. (The Great Northern's
taxes in North Dakota amounted in
1912 to $662,123, and in 1922 to
$1,878,754. It's taxes for the en-
tire system in 1912 were 1904, 924
and in 1922 were $8,O97, 1859 The
taxes Of other railroads have advanc-
ed proportionately.
The state piles taxes upon the rail
roads, upon public corporations, and
it puts a special tax on gasoline, all
because some legislators believe the
public still clings to the view that
taxes paid by the corporations mean 4
little or nothing in their own affairs. t
In the menatime expenditures
mount, and direct taxation becomes I
burdensome. {
The result is that the individual I
taxpayer not only pays his direct t
tax, but he pays an indirect tax, for I
as Mr.. Converse points out: 9
Much of the present tax Of
$3.50 yearly for the average !
family of five is concealed in !;
the prices which we pay for :
household provisions, and for :
wearing apparel; in the prices :,
we pay for transportation, =
both directly and indirectly; :
in the purchase from u mer- ]
chants of all sorts of com =
modities. =
But, no matter how much '
they may be concealed, we !
pay them, just as certainly
as though we as consumers !
paid them direct. r
While taxes have become too high +,
all classes of property, the peo- a
pie, it would seem, have not yet come q
to a full realization of the fact that f.
they must narrow the scope of gov W
activities. AS Mr.. Con- 81
verse says: "They are still hoping M
hat present standards can be main W
aimed until such time as returning m
prosperity shall make the burden less
)nerous. The consequence is that q,
he vicious circle continues to be- n;
more and more burdensome re
With each passing YEAR" m
A radical reduction in public ex- II,
oenditures would be one of the n,
g~reatest aids possible in the restora- as
ion of agriculture and it would put di
lew heart into business and industry nj
generally. or
There should be constant reduc- do
ion in city, in county, in state, and No
n federal taxes. Conditions cannot M.
become firmly stabilized while the co
,ublic continues to seek ways of ar
pending ever increasing sums. tic
Taxpayers might as we'll come to tb
he conclusion that now is the time m,
o strike a balance and begin over en-
gain on a more safe and sane pro- no
ram. If this is not done now it ms
viii have to be done at some future me
ime. Let us, in public business, use as
he same judgment we employ in u sci
rivate affairs. Let us remember
hat when government, whether city. OIL
ounty, state or national, spends ga
loney. it is spending u money sit
argo Forum. liti
o ali
It costs money to reduce taxes.
do it legally, Just note our S23,- II