The Ely miner. [volume] (Ely, Minn.) 1895-1986, 1932-10-14

Su24L 70 A1SOA -AA42A4ES0AG~
tutes OF 1927, section 46, herewith
transmit a statement of the purposes
and effect Of the proposed amendment
to the constitution Of the state O.
Minnesota which are 10 be Submlttet
to the electors Of the state at the 1873.
general election, in accordance witt
certain acts adopted by the Legislature
at the 1881 session thereof
PROPOSED AMENDMENT NO. 1
By the adoption Of Laws 1881, chap
ter 40, the legislature has proposed
an amendment 10 article 9, section
OF the constitution, relating TO taxa
ton. This section now reads as fol
lows:
The power Of taxation shall
never be surrendered, suspended
or contracted away. Taxes shall
be uniform upon the same class
of subjects, and shall be levied and
collected for public purposes, but
public burying grounds, public
school houses, public hospitals,
academies, colleges, universities,
and all semiuaries Of learning, all
churches, church property and
houses Of worship, institutions OF
purely public charity, and public
property used exclusively for any
public purpose, shall be exempt
from taxation, and there may be
exempted from taxation personal
property not exceeding in value
$500, for each household indlyld-
Ual or head Of a family, as the
legislature may determine: Pro-
vided, that the legislature may
authorize municipal corporations
TO levy and collect assessments
for local improvements upon prop
erry benefited thereby without re-
gard TO cash valuation, and pro-
vided further, that nothing here
IN contained shall be construed TO
affect, modify or repeal any exist
ing law providing for the taxa
ton Of the gross earnings Of rail-
roads"
IF amended as proposed, this sector
will read as follows:
The power of taxation shall
never be surrendered, suspended
or contracted away. Taxes shall
be uniform upon the same class
of subjects, and shall be levied
and collected for public purposes,
but public burying grounds, pub
lie school houses, public hospitals,
academies, colleges, universities,
and all seminaries Of learning, all
churches, church property and
houses Of worship, institutions Of
purely public charity, and public
property used exclusively for any
public purpose, shall be exempt
from taxation, and there may be
property not exceeding in value
s200, for each household, indivi-
dual or head Of the family, as the
legislature may determine. The
legislature may enact any law re-
Quired TO make the taxation OF
national banking associations con-
form to the laws of the United
States Taxes may be imposed
upon incomes and on franchises
and privileges measured by in
come, including income, franchises
and privileges Of railroad COM
panies, which may be classified,
and which taxes may be graduated
and progressive, and the legisla-
ture may prescribe reasonable
exemptions, and such taxes may
be in lieu, in whole or in part, Of
taxes on any class or classes of real
or personal property as the legis-
lature may determine. It shall not
be necessary to submit to a vote
of the people any law imposing a
tax upon the income. franchises
or privileges of railroad COM
panies. Any and all provisions Of
the constitution Of this State in
consistent herewith are hereby re-
pealed. Provided, that the legis-
lature may authorize municipal
corporations to levy and collect
assessments for local improvements
upon property benefited thereby
ton, and provided further. that
nothing herein contained shall be
construed to affect, modify or re-
peal any existing law providing
for the taxation Of the gross earn
ings Of railroads"
The Purpose of the Proposed Amendment.
The proposed amendment Is Intended
FIRST. &c give the legislature specific au-
tf1ority TO enact such laws respecting
the taxation of national banking asso-
Citations as will conform TO the laws Of
the United States. The laws of the
United States at present provide In SUBJ
stance that the states may tax the
shares of a national banking associa.
tor, provided that the rate of tax or
such shares shall not be greater than Is
assessed upon other roneyed capital ir
the hands of Individual citizens of such
state coming in competition with the
business of national banks. At present
the laws Of Minnesota provide that
shares Of such banking association
shall be assessed at thirty-three ant
one third per cent (s3 fI3So) of theii
and mortgages upon and executory con.
tracts for the sale of real estate ar:
taxed in this state at lower rate. Tit
supreme court of the United States Ia.
held that the Minnesota plan of taxing
shares of a national banking association
at a higher rate than moneys ant
credits and mortgages on and executor,
contracts for the sale of real es-
tate. Under the proposed Amendment
Ii is Intended TO give the legislature IN.
power 70 enact laws for the taxation o
national banks that shall be In harmon,
with the federal statutes on that sub
Iect, even though such laws might Of
fend other provisions OF the state con,
stitution.
The remainder Of the new msttei
which would be placed In said section
by TIE proposed amendment Is lntendes
60 give the legislature specific authorit,
20 enact laws providing for a tax on in,
comes, and on franchises and privi
ieees measured by income, including In
come, franchises and privileges Of rail
road companies IL is proposed tina
all incomes may be classified and tina
taxes may be graduated and progressive
that is 20 say, the rates may be differ
ent on Incomes of different sizes. u 4
intended that the legislature shall hav,
power 10 allow reasonable exemption.
from such taxes and to provide that sucs
Income taxes may be In lieu, either II
whole or in part. of taxes on such othel
classes OF real or personal property a