Evening star., 1925-02-19

spends which measures the effect of
the tax upon the citizen. We should,
therefore, by a simpliflcation of our
method of taxation and the imposi-
tion Of economically sound rates of
taxation make certain that the Gov
ernment realizes more nearly the
values which the citizen relinquishes
Decreases Property Value.
"At the last few annual meetings of
the National Tax Association and at
a recent conference of the tax COM
missioners Of several states che posi-
tion has been taken that the Federal
Government should withdraw from
the field of estate taxes. This view
has much to commend it. Histor-
ically, the Federal Government has
entered this field only on the occasion
of war emergency, and, in every case.
except the present, has withdrawn
when the reason for exceptional taxa
tion ceased. The emergency created
by the great war, when last the Fed
edal Government entered the field.
has ended. The right to inherit prop
erty owes its existence, not to any
Federal law, but to the laws of the
States. Federal estate taxation,
therefore. has not the natural excuse
which is conceded to State inheritance
being in the field, however, particu-
larly with rates as excessive as those
recently adopted, results in very
material decrease in the amount and
value of the property upon which the
States levy their inheritance taxes. If
the States are to suffer diminution in
revenue from this source, they can
make up their losses only by higher
taxes in other fields.
Already the taxes levied by the
States upon land are so high as to
menace the prosperity of the farmer
For the sake of the revenue which the
Federal Government receives from this
source-being in the last fiscal year
only $103,000,000 out of s2,700, 900 900
total internal revenue taxes for that
year-the Federal Government should
be careful to see that indirectly it is
not taxing the very persons whom it
most wishes to relieve. While we
may not be able to absorb so great a
loss of revenue in one year, we could
provide for gradual retirement from
the field as our Government expenses
decrease.
1T is to be hoped that your deliber-
ations will help to arouse interest and
lead to popular study of these ques-
| tions. We seldom need to be very
fearful of what Government may do
in handling questions that the pub
lie thoroughly understands. There
fore, conferences and considerations
which tend as yours must, to enlight-
en- the public mind on these involved
issues, are of greatest value to the
whole community. With all conf
dence that the work of this present
conference will prove timely and
helpful, l extend to you the assurance
that the National Government will be
glad to avail itself of all helpful re-
suits that may flow from your work"
Forty States Represented.
The conference addressed by Presi-
dent Coolidge in the New Willard
Hotel Is attended by about 300; tax
officials Of about 40 States and indi-
viduals appointed by governors as
experts on taxation. Theprogram
lists sessions this afternoon, tonight
and tomorrow.
Called by the National Tax Associa-
tion, the conference was opened by
the association president, DR.. Thomas
W. Page. who was elected chairman
of the conference. DR.. Page spoke
briefly. outlining the problems facing
the gathering, prior to the address of
President Coolidge. The Chief Exec
utive was followed at the morning
session by Russell L. Bradford of New
York City, who spoke on uncertain
ties and Diversities in legislation;
and by Roy c. Osgood of Chicago who
discussed practical Difficulties in the
Settlement Of DecedentS Estates"
A. E. Holcomb, treasurer Of the tax
association, was named secretary of
the conference and presented rules
for its conduct, which were adopted.
The committee on resolutions to be
appointed by the chairman is to con-
sist of nine persons.
Woud Advise Legislatures.
Dr. Page in his opening address in
dicated the conference would be open
to full and free discussion and pre-
dicted that If "the abuses can be
brought emphatically to the attention
of our legislatures a remedy will be
found.
The association has invited you
here" he continued, ito confer among
yourselves with a view to ascertain
ing what remedy there is and what
practical measures should be taken to
put that remedy into effect"
Briefly suggesting questions which
may help find the remedy, DR.. Page
said: In what amount can revenue
be secured from this source (inherit-
ance) without weakening the produc-
ing power of the country? On what
basis can the conflicting claims of the
several States be reconciled? Is 1t
expedient that the Federal Govern
ment should use this source of reve-
nue. at all, and, II so, to what extent?
Should this form of taxation be used
with a view solely to getting reve-
nue. or with a view also to a redis-
tribution of property and to its social
results? What particular Legislative
| provisions would be most conducive