Askov American. [volume] (Askov, Pine County, Minn.) 1914-current, 1930-09-18
PROGRESSIVES WILL CREATE
STATE INCOME TAX
Editor ASkov American:

1t is conceded today by all groups
that taxation on farms, small homes,
and personal property is too high
in many cases confiscatOry and con-
tributing cause for millions of farm
ers having been forced to leave their
farms. Possibility of raising money
from income tax was realized many
years ago by the progressive forces
of America, and new methods of tax
alton were suggested. The federal in
come tax, branded as unsound, con-
| fiscatory was passed by Congress
under the leadership of the more far
seeing statesmen, but same was de-
clared unconstitutional by the U. S.
! Supreme Court by vote of five to
| four. The personnel of this court was
later changed and this tax was again
passed and declared constitutional
and became an important source of
federal income. Fact is the Federal
Bureau of Internal Revenue set the
total collections for II months end
ing June 80, 1925, at over three bill
lions of dollars, 5000, 145,733, and of
this total S2,410,253, $4,000 was from
income tax.
The progressive leaders, and in this
group the outstanding American char
acters of our generation are men like
Robt. M. LaFollette, deceased, of Wis
consin; AL Smith of New York, Sena-
tor Norris of Nebraska, our own Sen
ator Henrik Shipstead of Minnesota,
recognized the justice of this tax for
state purposes, thus to relieve or wipe
out all together the state tax levies.
In Wisconsin in 1925 after four
years of effort the prOgressives sue
law of that year which produced
enough additional revenue from in
come to relieve real estate and per-
sOnal property for all state purposes
in the years 1925 and 1926. In the
year 1927 Wisconsin elected professed
progressives under whose administra-
ton the income tax bill was revised
which relieved great wealth and i'm
posed increases on small incomes,
thus again forcing state tax levies,
which increased yearly so that the
present administration in Wisconsin
for state purposes made levy of
$4,296,000, the largest since 1925.
There is today as a result a strong
sentiment for increasing the rate on
larger incomes to again do away with
the state tax levy. The state income
tax as a source of revenue is being
levied today in 20 states, and today is
probably the leading issue in taxation
in both the states of Iowa and Illinois,
and there is considerable sentiment
for same in Minnesota.
In 1880 Minnesota contributed $685.
$685. 48 federal income tax to the fed
eral government. Now l imagine
that very few readers of this article
contributed one cent to this fund.
Fact is no married man was forced
to pay one cent to the federal income
tax fund unless his income was $500
with an added $500 for each child.
This is the most scientific tax being
levied today. 1t is paid according to
ability of men and corporations to
pay. according to the privileges and
benefits they receive from both So
ciety and government and relieves the
great majority of citizens who are
already taxed too highly.
Minnesota should have a state in
come tax system, benefiting from the
experience of other states and the
federal government-an income tax
that is based on schedules with prob
ably One-half the rate and similar to
the federal income tax, one that will
not be an extra tax but one rather
to relieve the taxes on homes, farms,
and small property holders. A tax
of this type would raise, taking the
last two or three years as an example,
about Is or 16 million dollars yearly
in Minnesota
Take Is or 16 millions of dollars
off the real estate and personal prop
erty from farms and homes of Min
neSOta people who are taxed too high
and transfer it to the groups who are
enjoying the larger profits. This tax
reform in Minnesota will be benefit
to over $3.50 of the readers of this
article or the citizens of Pine county
and Minnesota, and the only reason
we have not had it is that the groups
of special privilege are too strongly
intrenched in government and they
do not want such a tax.
We need aggressive and progressive
men in Minnesota political life to get
the support to get this much needed
progressive-minded men, the Mime
sofa Farm Bureau and many students
of taxation.
EDWARD ]. PROCHASKA.
Pine C,ity Mimi