Askov American. [volume] (Askov, Pine County, Minn.) 1914-current, 1932-09-15

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village or township boards to boost
the taxes for their purposes so that
instead of paying $3.50 on the home
it might be more than the original
5000. Putting it in the constitution
will not guarantee replacement. There
are 10000 tax spending bodies in the
states-all with power to levy taxes.
The replacement cry is DOGGY man
"a scheme to defeat the income tax
amendment.
You have trusted the legislature in
the past to spend the general property
tax money, said the senator, and you
can trust trust it to spend the income
tax money in way that will make
| it a replacement tax by statute. This
is representative government and if
not satisfied dismiss them from public
service. If replacement were placed
in the constitution it would also mean
continual changing, and voters know
how difficult it is to change the con-
| stitution. If in the constitution it
called for applying the receipts of the
income tax to wipe out the state tax
on general property and Later the re-
ceipts from that source were greater
than the required amount for the state
rate it would mean the amending of
the constitution again to allocate the
surplus income tax money. Allocating
the money is function of the legisla-
ture by statute.
No New Legislative Authority.
Levying taxes against general
property and spending the receipts
therefrom has been wide open to the
legislature all these past years, said
| the speaker, so the legislature will not
be given any new authority when it
allocates the receipts from the income
tax. Some say the income tax will be
just another tax. To those who are
not now paying tax if their earning
capacity brings them into the class of
income taxpayers and. if they are not
now paying their proportionate share
of taxes it will be another tax.
The general property tax in Mime
sofa for 1881 was $3.50, 1921, 900. Of the
approximately $11,O0O,00O for state
tax, $5,00O,0O0 was used for education
and roads and less than $6,OOO,OOO was
spent by the legislature for state in
stitutions, state departments, and 9TH
er purposes. The balance is spent by
counties, school districts, cities, vii
lagos, and townships. Included in
these expenditures are many so
called fixed charges like interest on
Indebtedness, for the state has approx
imately a third of a million dollars
of bonded Indebtedness. But let us go
the limit when it comes to reducing
public expenses, said the senator.
Inequalities in the tax burden would
still exist if the tax was cut in half.
Let us catch the tax spender but let
us also catch the tax dodger.
Income Tax Works Out Well
In the states of New York, North
Carolina, and Wisconsin the taxes for
state purposes on general property
have been wiped out through the in
come tax. The general property tax
in Wisconsin for 1880 was $41.60 per
capita while in Minnesota it was
$48.39. The difference represents
about what Wisconsin collects in the
income tax. The Indebtedness in
Wisconsin is far less than in Mime
sofa. Wisconsin paid its soldiers
bonus out of the income tax while
Minnesota paid it through a bond is
sue. The revenue from the income
tax in Wisconsin is now about $22,-
100000 annually. Only about $15O,OOO
of those are farmers by proxy. The
fight on the income tax in Minnesota
is between the rich tax dodgers in the
larger cities and all the rest of the
people.
All wealth in some form comes
from the earth. The rich do not pick
| it up on the street.. The incomes may
be reported as earned in Ramsey and
Hennepin counties but they are made
out over the state. The railroads,
numbering interests, wholesale houses,
big bankers, commission men, and
scores Of others draw from over the
state. The cities will perish if the
farms go. Wipe out city and it will
spring up again if the farms remain.
The Minnesota Taxpayers Association.
The senator told of the activities of
the Minnesota Taxpayers Association
in behalf of wealthy interests and it's
opposition to the state income tax.