Evening star. [volume] (Washington, D.C.) 1854-1972, 1929-01-23
LICENSE TAX LAW
REVISION is URGED
q New Businesses Would Be
Assessed Fees-15 Would
Be Eliminated.

Drastic revision of the Districts an
tiquated license tax law. which would
place tax on % new businesses and
eliminate Is businesses that now pay
a license fee is recommended in a re-
port submitted today to Chairman Glib
son OF the House District committee
by the District Commissioners.
The report covers every phase of the
existing tax law and was drawn up
by special committee composed of
Ringgold Hart, principal assistant cor
poration counsel of the District; Wade
H. Coombs, superintendent of licenses
of the District, and D. p. Evans of the
Federal Bureau of Efficiency Coupled
with the report was the draft of pro-
posed Dill designed to moderniZe the
existing tax law and remove it's inequi-
ties and inadequacies.
Cost Of Inspection Cited.
The notifications proposed in the
Dill are based on the theory that only
those businesses which require inspec-
ton or regulation by some municipal
agency should be taxed and that the
fee should be commensurate with the
cost to the District for such inspection
and regulation. There are several ex-
ceptiens. however, in which it is pro-
posed to license certain businesses for
regulatory purposes; to charge certain
businesses for using public space, such
as taxi-cabs. and to restrict, If possible.
IN the public interest the number of
persons who might engage in certain
callingS.
The new businesses which are recon-
mended for taxation are apartment
houses, automobile repair shops, barbers
shops, dairies, dealers in deadly
weapons, detective agencies, drayage
vehicles, dry cleaners, employment
agencies, film exchanges, wholesale fish
dealers, food factories, grocery stores,
guides, lodging houses, mattress dealers
and manufacturers, miscellaneous food
handlers. public baths. pyroxlin estab-
liShmentS, slaughter houses, solicitors
and swimming pools.
Businesses licensed under the present
law. but eliminated from the proposed
law because of obSoleScence, or imprac-
tical of administration or because no
inspection is required follow: Boarding
houses, building contractors, cattle
dealers, cigar dealers, claim agents, ex-
hibitorS. florists, land and improvement
companies, maturity investment COM
panieS, merry -go-rOundS, persons con-
brokers, undertakers and wagon manu-
facturerS.
Would Increase Public Protection.
The legislation proposed, the report
! said, has not been designed for the pur-
! pose of raising revenues although it is
! estimated that the new schedule of fees
| would increase the Districts annual in
I come by more than 100000. The re-
port shows that $13,5l9 licenses are is.
sued now, bringing in a revenue of
! $160,994. whereas under the new
schedule 1868 licenses may be expect
| ed, producing receipts totaling S270, ,O8O.
| Enactment Of the new bill the COM
mittee said. will result in increased pro-
lection to the public through providing
! adequate inspection service when need
! ed, and operate at greater profit 70
| the District.
The major changes in the schedule of
| license fees would affect the motor bus
| operators, who would pay eight mills
| per bus mile. This schedule is proposed
! in fairness to the street car companies.
which are required to pay a tax of
per cent on the. gross revenues
from motor bus operations, whereas
other motor bus operators now escape
the tax by paying license fee of 50 a
! year. The new schedule would put a
| tax OF $25 a year on all public vehicles
| operated for hire and raise the license
fee for mediums, clairvoyants and other
operatives OF this nature TO $3.50 year.