Evening star. [volume] (Washington, D.C.) 1854-1972, 1933-08-05
REAL ESTATEPAYS'
BULK Of TAX BILL
70 Per Cent of D. C. Expenses
Still Assessed Against
Land Holdings.
BY VINCENT TUTCHING.

~ EAL estate, which constitutes
- approximately so per cent OF
n the wealth of the Capital, is
i compelled to pay more than 70
per cent of the city's tax bill,
despite the reduction which became
effective July l.
This statement was made today by
the Washington Taxpayers Protective
Association, as it proceeded with the
drafting of plan to be submitted to
Congress and the District Commission
ers shortly, providing for the reorgan-
ization of the tax system OF the Dis
4rict.
The association says that despite the
tax cut of about II per cent which
went into effect the first of last month,
real property is still carrying as large
q share of the total general expenses
Of the District as ever before.
50 Per Cent in 1920.
Analyzing the trend in real estate
taxes, the organization points out that
In 1920 real estate owners paid into
The District treasury SO per cent OF its
In this proportion has been shown in
the years since. the association says.
During the present fiscal year. &C
cording to the taxpayers group, about
S22, $50, 900 in taxes is needed to meet
the Districts share of our general ex-
pense, and $17,250000 of this amount,
or over rs per cent of the total gen.
eral tax bill, will come from the own
ers of real estate A considerable part
OF this is paid by home owners
while real property, like everything
else, has decreased in value during the
last four years, today it is bearing over
nf tina crct nf n.
ming the District government than 1t
did a decade ago. But other taxes are
contributing proportionately less each
year toward running the municipal
machine.
Taxes are based on wealth and in
come Real estate wealth has de-
creased nearly as much rs any other
form Of wealth. But, despite this, its
proportionate tax burden has been
steadily going up, whereas the pro-
portionate tax burden of other forms
Of wealth have been steadily going
down.
Other Taxes Fall on.
1.-THE reason for this is that real
estate tax collections have kept up re-
markably well, whereas there has been
q tremendous falling off in the other
forms Of taxes, particularly the in
IDA. ILLS 10 adC w 4S"SA
valuations and to the payment Of no
tax at all. The number of personal
tax returns has almost been cut in half
during the last two years, from $4,000
to about $4,000. Had not the tax cut
been granted to the sorely harassed
real estate owners for 1884. real estate
would have brought into the District
tax of1oe. an amount equal to over IS
per cent of the general expenses OF the
municipal government met by local
taxes.
There has never been an attempt
to formulate q scientific tax system
for the District. One tax after the
other has been imposed as the neces-
sity or supposed necessity for more
revenue arose. While this association
Is primarily concerned with the pro-
motion Of every reasonable economy in
the District government, and thereby
the securing Of lower taxes, it likewise
intends to recommend and to urge a
more scientific basis for taxes IN the
District.
1.-The base must be broadened, as in
New Jersey, which recently revised It's
taxing system so as to shift around Is
per cent of the real, estate burden to
other forms OF wealth"