The Bismarck tribune. [volume] (Bismarck, N.D.) 1916-current, 1930-03-26
FARMER IS PAYING
sO0,OO0,MAYEAR
IN Direct TAXATION
Toll Taken BY Government Is
Equal to an Average of 80
per Cent of Rentals
RELIEF IN ASSESSMENTS
Possibility Also That New
Sources of Revenue May Re.
duce Levy on TiIIer

Direct taxes paid by farmers nov
amount to more than 5000, O00, 600 an.
nually, Of which approximately "
per cent Is paid through the general
property tax, according to Whitney
Coombs, agricultural economist, in q
report Of z study Of taxation on farm
property Just published by the bureau
Of agricultural economies, United
States department Of agriculture.
The report contains an analysis Of
the kinds Of taxes paid by farmers, OF
trends in farm taxation, Of taxes and
agricultural income from various
types Of farm tenure. Of farm assess
ments and farm values. and Of the
incidence and effects of farm taxes.
Mi. Coombs believes that the period
Of rapid rise Of farm taxes has passed
and that any increase In the imne-
diatc future will be at q less rapid
rate. He says: .
1.-THE rate of increase of state and
local taxes will be less than it has
been, but no general reduction in
farm taxes Is likely to come from a
decrease in total expenditures. It
may come either through new meth
DDS Of financing certain governmental
expenditures such as more state sup
port for the schools, o. through tho
introduction Of new sources OF local
revenues to supplement the general
property tax"
Higher Than Real Estate
Mi. CooEnbs says that taxes ARE
taking about 80 per cent Of the net
rent Of farm real estate, and that an
examination Of the results Of studies
of the returns on farm property and
on the owners managerial abilities
indicates that, on farms operated by
their owners, taxes In the past SIX
years have amounted to from 1915 to
81 per cent Of such returns. In 1924
taxes we're reported to have taken on
the average ! is per cent OF the
value Of the farm real estate OF the
country. The slight increase in farm
taxation since that year and the de-
cline In the value Of farm real estate
had, by 1927, in Mr.. Coombs' opinion,
probably increased this to ! 1-3 per
cent Of the value of farm property.
Discussing various proposed types
of tar. reform, Mr.. COMBS believes
that Improvement in the admins
tration Of local farm taxes must be
conferred around the problem Of as
Sessrnent, because 1t has been found
that faulty assessment is the cause OF
much Of the inequality of taxes
among farmers. In many states the
assessing districts are too small to
provide full -time work for trained
employees. In most rural sections q
county assessor will be more satisfac-
tory than q township assessor. and It
is possible that in many places it
might be desirable for two counties
to agree to employ n assessor to do
the work In both Jurisdictions.
Increased supervision OF assess
ment methods and results by state
authorities will aid in establishing
uniformity. At present. Is states give
to state supervisory officials. usually
to the state tax commission, the
power to make reasseSSmentS on their
own motion and by their own agents.
Ten other states give to supervisory
officials the power to order reassess-
ments. Such powers, although neces-
sary, are rarely used.
State Equalization an Aid
"A state supervising body can do
most to improve assessments by
carrying on research activities that
are impossible and would be uncco-
nomical In the local assessment dis
tricts, by acting as q court OF appeal
for individual and group assessments,
and by adjusting or equalizing as
sessments among the various taxing
Jurisdictions. Studies of the results
Of past assessments by comparing
sales and assessed valuations, and Of
methods by which equality Of assess
ment may be attained are among the
useful activities to be carried on by
the state commissions. The results Of
such research can be utilized by the
local ASSESSORS to reduce the inequal-
titles Of farm taxation"
Mr.. COMBS complete report has
been published by the United States
department Of agriculture Ind tech
meal bulletin 172, entitled Taxation
Of Farm Property" copies Of which
may b obtained from the office Of
information, y. 8. Department Of
Agriculture. WaShin4t0n. u. e.