Evening star. [volume] (Washington, D.C.) 1854-1972, 1927-06-26
DISTRICT SEEKS
MEANS TO RELIEVE
RISING TAX BURDEN
Trade Groups and Council to
Press Their Demand for
Fiscal Inquiry.
ASSESSMENT AND LEVY
INCREASES FELT UNJUST
Only Remedy Believed to Lie in
Return to Proportionate Fed
eral Appropriations.
BY BEN McKELWAY.

With higher taxes imposed to sup
port appropriations already made, and
with still higher taxes lurking just
around the corner to raise those now
in the making. the District Is begin.
ming to take stock of itself in earnest
and to seek relief from a situation
that in many quarters Is held to be
serious and dangerous to the city's
welfare.
Last week found the city's trade
organizations, united for the first time
in their history, and the Citizens
Advisory Council, each recommending
to the Commissioners. the necessity
for a thorough and scientific inquiry
by Congress into the fiscal relations
between the Federal and the District
governments, with the belief that
such an investigation will show that
Washingtonians are being taxed ex-
cessively and disproportionately Tor
the privilege of living and owning
property in the National Capital.
Another meeting Of the joint COM
mittee representing the Board or
Trade, Chamber of Commerce and
Merchants and Manufacturers Asso-
citation on the budget will be held
Wednesday. At that time 1t Is indi-
Gated that further steps will be taken
toward plans for impressing Congress
when it meets of the necessity for the
proposed fiscal inquiry. The Commls-
sioners already have shown that they
are in favor of such an lnvestlgatlon,
and the city will be prepared wnen
the time comes, to present a united
front on the question.
Hardship Is Feared.
Announcement by the Commits.
s;oners of a tax rate of $1.70 on real
estate and personal property, which
based on a new. and higher realty
assessment means an increase OF
about IS per cent in next year,
taxes, brought warning from the Guys
business leaders that the trafnc mas
taken about all II can bear, and tnat
actual hardship on the part OF prop
erty owners is threatened as result.
At the same time there were no
indica tions that next years budset,
now in the process Of formation, wouio
be decreased. On the other nano' L
probably will increase, and the new
tax rate, or one IlSuSlp 4udS Do -
quired to support 1t.
Where will it end? How much
more can the city stand?
Those who are studying conditions
see two alternatives between which
the city may choose.
The first is rigid retrenchment,
which will bring to a sudden emo the
program of municipal and capital I'M
started after the lean war
years had piled up and accumulated
pressing needs for the District-a pro.
gram that is far from realization and
is based on necessity.
Seek to Impress Congress.
The second, and the one upon which
the city's organizations now are con-
centrating, is so to impress Congress
with the unfairness of conditions It
has imposed on residents OF the Capt.
tai by withdrawing the proportionate
system of contribution by the Fed.
sral Government that a new arrange
ment will be made, enabling the resi-
dents of Washington to contribute
their fair share of expenses without
becoming the victims of excessive tax
alton. A definite system of apportion.
ng expenses between the residents Of
he District and the Federal Govern.
ment is now looked upon not so much
Is a thing to be expected for the sake
If fairness alone, but something that
must of necessity be brought about.
Congress, it is stated. must devise
new system, or else re-establish the
liked principle of apportionment laid
iown in the organic act of 1873 and
followed thereafter for nearly half
century.
Those who are studying the stu.
ltion believe that retrenchment. un.
ess it is based on sound economy, is
impossible for the reason
hat the annual budgets for the city
ire taking into account little except
What is absolutely necessary. Wash.
ngton, it is emphasized. is growing
Ind its needs are pressing. The city
has reached a stage where a large
annual budget-large in comparison
With those of 10 years ago-cannot
,e escaped.
But to support this large budget, It
s contended that property owners are
low being taxed to the limit.
Tax Held Oppressive.
Although members of Congress are
to criticize the District for
ts low" real estate tax, the facts
how that Washington's tax Is not
My considered abnormal by experts
vh0 have Stu6jad the Sif1Iafio fropr