Evening star., 1928-03-03
Tax Rate Comparisons.

Although TAX rate mas no NaiUe II
used alone as an index TO the tax bur-
den o. community. Washington suf-
fers repeatedly from the numerous COM
parsons in which its tax rate Of sl.70
Is weighed in the balance against the
tax rates OF other cities and communi-
ties, many Of which are higher. Thus
We hear such unqualified statements as
this: Your tax rate here is only $40.
III my home the tax rate Is 81. What
have you 10 complain about"
OF course, the tax rate Is an I'M
portant part OF tax burden analysis.
But at most II is only percentage fig
ure which. applied TO assessed valuation
Of taxable property, produces revenue
to be raised. Two times ten is twenty.
So is four times Ave. But II two rep
resents the tax rate and ten the as
sessed valuation for A. and four repre-
sents the tax rate and Ave the as
sessed valuation for B, can We
say that the tax paid by A is less
than the tax paid by B. although BIS
tax rate is 100 per cent higher? WASH
;rgton's tax rate must always be
coupled with Wasl1ington's assessed
property valuation. Nor can Washing
tons assessed valuation be compared
with similar figures Of other cities until
the basis, or standard. Of assessment is
studied Washingtons assessments are
made on the basis Of true value. Ac-
tually. as demonstrated by comparing
the assessment valuations and sales
transactions, they maintain an average
Of about ss per cent of actual value.
Here in Washington the assessor is free
from the entanglenents OF political
debts and !avoritism. He is responsible
solely 10 q Congress which 2ealously
watches the performance OF his duties.
II ne errs on the side OF leniency his
lob is at stake But in nearly every
other city the assessor is a political Of
flee holder. II he fails to err on the
side OF leniency his job is at stake.
What Is the result? We find Wash
;nCton real estate assessed for taxation
at si,i3o,o ,ooo,o 900 as compared to the as
sessment Of sl.403 100000 on Chicago
real estate. We find the assessment OF
Washington real estate exceeding by
seventy million dollars the assessment
for taxation OF Pittsburgh real estate.
With Pittsburgh's vast industrial plants
thrown In 70 swell its total.
Nor car We rest our tax burden COM
parsons on assessments or standards oil
assessment The tax rates OF otner
cities include State and county taxes.
Here in Washington we pay no State
taxes. On the other hand, We receive
no benefits from living under the SOW
ereignty G. a State. The citizen OF
State rece!ves. in return for his State
taxes, the privilege Of representation In
the State Legislature, in the National
LEGISLATURE, IN the electoral college and
enjoys a recognized status In the United
States Supreme Court. In addition. he
receives his proportionate financial
benefit from the land grants. bountics
and State aid appropriations which
Congress has layished upon the active
members Of the Union. Here In the
District We receive none OF these. The
Distric, pays into the Federal Treasury,
IN the form Of Federal taxes. more than
sls 900 900 a year. or twice as much as
the District receives IN the iunp-Sum
contribution " its supply bill The Dis
trlct contributes more 70 national taxes
from which Capital maintenance money
Is derived, than any one ol 23 States
and more than nine of the States COM
" some - the smaller Etates more. IN
proportion u their national taxes. than
81 pays " the District ~ Columbia
th,o1gh TIE lump sum. And while the
STATES have voice not only In the fx"
lenritufe ~ the money they pay Into
The Fecerai Treasury bit In The expend-
itJie - the money they receive from
the National Government, the District
es Columbia Is beYeft o. speech. impo-
tent IN expressing It's approval or disap-
proyal II sny eEpencitufe.
The Census Bureau classes The a.
900 900 !Bmp sum As q sJbren,inn, snc
Jsek IL IN Il table ~ subYentions re-
s4igec ~ c!tifA from county. Stats o:
Yseeral eoYe;nment In 1928. for IN
Iletrplt. s1.2sa $50 Baltimore, 81 .oGS.
24s, anc a. through long !iht, Wakh"
:ng'on IL ~, alone III ffcsiYing sunYtn
TINS fjpfn is Legislature.
Tne tzx YaUS Df ctbFr citits Hci'idf
interest anG sinking fund payments ot
tnfjf Dyfldtc h.debtHcnsss. Why Wet'
tb.fp dents incurred? They fFWeSfn,
~ sysDe t4sek TIE result u postwar
feseY ~kfn mDnfy Was cheap easily bpf
ypNtd aAf sxlFaVaganuy spent ~
tther rataE tffy represent the tnnrl u
eN.eS y, mare I'D tDf delays IN petmh
gent improvements ~ acHfe HFtftf
acluvJls sG6 highways and ~ Iauno
tYbNc a<FY:ce snteFpfj"k. Thus hh'
tI'ts sfe nov pa ying fGf their nnwis'
stpeIIdjtlres ~ enj1ytng the bfnsfls
while they pay. ~ wibt expenditure
H. earh rsAe the rjtiek were responsible
for tie aftipu taken. Their intffts
snc sinking fund payments. " he fsiktf
by tazsttoH and WHicn SHOW IN ihei
tsx rats. Should ~. Ds included III 4
comparison Witb tic Tar burden IL
Washington. WhfIe tbs cny enjoys IL
Lenfhik ~ improvements Obtained VIII
lspi1p#tf money
Washington tea fsiA msy gs asA
+