The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1928-08-31
Present Law Is Branded
Unfair to Owner of
Tangible Assets.

Relief of property owners from
the burden of taxation through an
income tax which will strike those
deriving incomes from intangible
assets will be sought by John j.
Brown, chairman of the State tax
board, at the next session of Legis-
lature.
Although there is at present pend
ing for action by the 1929 Legisla-
ture an amendment to the consti-
tuition providing for an income tax,
no clearly defined method Of taxa
ton has been decided upon.
Income tax measures were vetoed
in the 1921 special election and in
the general election of 1925.
Tax Plan Unfair
But some property owners are ada
mant in their desire that some
measure which will bring them re-
lief be enacted.
Computations by Schuyler Now
rer, administrator of the inheritance
tax department, reveal that the
State does not collect taxation on
the difference between personal
property listed and real estate list
ed and valued.
I'm other words" declares Now
rer, Indiana in 1927 collected taxa
ton on real estate valued at $3,267,-
003,938, and personal property valued
at 81, 109,082,051; therefore, no taxes
was collected on concealed personal
property valued at more than
$1,000,000,000. Real estate and per-
sonal property valuations should be
nearly equal.
This is well-known fact.
Through an income tax all of
these heretofore nontaxible stocks
and bonds representing at least one
billion dollars would be required to
bear. there full share of the cost of
government"
Brown proposes to call a con-
ference of Representatives of civic,
business, manufacturing and mer-
camille organizations and frame an
income tax law which would equal
ize the burden.
THE farmer and the property
owner is taxed on everything he
possesses. 1t is tangible and easy to
locate" the tax board man said.
yet many professional or busi-
ness men who earn large incomes,
pay taxation only upon his house
hold furniture and his automobile.
NOn-Owner Escapes
The property owner is therefore
paying for the schooling of the
children of the non property owner,
the cost of Government and the
police and fire protection which he
is accorded.
such a system is palpably I'M
fair.
But, if we could tax incomes
then, the professional propertyless
man could be held responsible.
Naturally it would not be justice
to tax the property owner twice,
once upon the property he owns and
again upon the income which he de-
rives from it.
1.-THE solution to this is my plan
whereby the man who pays taxa
ton upon one piece of property is
entitled to deduct his income from
the gross amount of income re-
ceived from the taxed property.
"Inasmuch as the income OF the
ordinary farmer is derived from his
taxable property he would therefore
not have to bear an additional tax
for his income.
"The burden would be equalized."
Federal statistics reveal that
there are today in the possession of
citizens at large more than $15,OOO,-
100000 of non-taXable bonds. OF
this Indiana has her large share
together with State, county and city
non-taXable bonds.
Eleven States today have income
taxes on incomes in excess of 81 900
for single persons, and in excess of
$4,000 for married persons, with de-
ductibles for children and other de-
pendants.
Taxation averages l per cent in
these States.
A rate of taxation for this State
could be decided upon at the con-
ference, Brown said.
New MotOrcvcIe Officer