Askov American. [volume] (Askov, Pine County, Minn.) 1914-current, 1935-12-12
FIRST WEEK
OF SESSION
BY Osborre
Q Western Newspaper Unioa
Continued from Page II
Legal Interest Rate.

Mortgages upon property in Min
nesota aggregate in excess OF 500 MIL
lion dollars. In order that the tax
imposed upon these mortgages may
not be passed on to the mortgagor.
l recommend a reduction in the legal
rate of interest. l also recommend
that the State Tax Commission be au-
thorized to use information received
in income tax reports for the purpose
of effecting collection of the moneys
and credits tax"
To insure sufficient funds with
which to- pay an adequate old age pen
sion, the governor recommended the
upping of gross earnings taxes upon
telephone companies and railroads, the
ROYALTY and occupational taxes upon
iron ore, the chain store tax and a
substantial increase in the inherit
| ance tax rates.
Corporate Excess on Ability to Pay.
On the corporate excess tax which
the governor advocated be made a
statewide tax and administered by
the State Tax Commission for old age
pension, he said:
Whatever arguments may
be made against the corporate excess
tax upon private industry certainly
cannot be made against corporate
excess tax upon public utilities. be-
cause the value of the corporate ex-
cess in the case of the utility is rep
resented entirely by the mOnop ly
possessed by it. That monopoly has
been given to the utility by the peo-
pie themselves.
Because of the distinction between
private industry and public utilities
/ am agreeable, as part OF the fore
going complete tax program, to new
corporate excess tax law imposing
a tax of 20 mills upon the corporate
excess of public utilities. For the
purpose of computing the tax, the
valuation should represent the diff
ference between the combined amount
of bonded indebtedness and capital
stock, on the one hand, and other
corporate property already taxed anC
or exempt from taxation. on the 9th.
er hand"
Suggests Employers Pay.
The writer is of the opinion thai
unemployment insurance bills intro
duced at this special session will have
tough row 10 hoe. Nevertheless:
the governor is right when he say:
that funds to pay such insurance
should be contributed only by employ
ers in amounts at least equal to thu
amounts prescribed in the federal act
He also recommended that the Legis
) lature memorabilia Congress to pas.
the Lundeen Social Security bill.
Contending that legislation de
signed to secure equality of education
for all children of the state ma!
properly be classified as social secur
} ity legislation. the governor suggested
amending the income tax law to pro
vide an additional S2,500,000 annually
, and that one-half of the total income
tax receipts be transferred to the spe
cial state aid school fund.
. The governor seasoned his prepare,
speech in one final sentences:
1T is essential in order to main
tain civilization to yield to the need
of the people,"
Important Bills Introduced.
On Wednesday, the third day of tn
session, the first bills to do will
social security legislation were intro
duced.
, In the Senate, the Farmer-Laborite
were the first to the post with an oil
age pension bill. S. F.. No. 2, intro
duced by Senators Novak and Haus
t Ter. providing for payment of 81
{ maximum to individuals and $50 t
d married couples. The bill would es
tablish a state system Of old age pen