Evening star., 1935-03-10
STATE SALES TAX
GAINS MOMENTUM
Levy in Effect in Dozen Com.
monWeaIthS and IL More
Ponder Bills.

Copyright, 1885. by the Associated Press)
NEW YORK, March 9.-The sales
tax, that comparatively young baby
of revenue collecting by Government
Is acquiring steadily improving ap-
petite.
A dozen States already have ar
ranged to increase their incomes by
sums ranging from five to sixty mil
lion dollars a year by the !, 2 or 8
per cent tax-on-purchase method
and another dozen are mulling the
matter in their Legislatures.
A few States, notably Kansas and
Texas, have given positive noes" to
all sales tax proposals. Others-Ten-
nessee and New Jersey among them
are looking about for ways to cut costs
rather than increase revenue.
New York Tax for Relief.
New York State employs an "emer-
gency tax" in connection with its col
lection of income taxes, rather than
use the sales tax method, but New
York City gets cents on every dol
lar spent for merchandise (other than
food. and expects these pennies to
add up to $40,0O000 during the year.
The entire tax will be devoted to
relief.
Michigans per cent, operative now
for two years, turned in $34,87l ,949
last year. Ohic hopes to get $60,000,-
900 before her 3 per cent sales tax
expires at the end of this year. but
the Legislature is dickering with a
bill which would exempt certain items
and consequently reduce the estimated
revenue to s40.o00.000.
Colorado began collecting per cent
March /, and hopes to add from four
to six million dollars to her revenue
within year.
West Virginia Extension Asked.
West Virginias per cent sales tax
expires July lit became effective last
April land the Legislature has been
asked by the Governor to extend its
life
South Dakota's Legislature approved
2 per cent retail sales tax Thurs
day. and the Governors signature will
make it law. Except for a minor
amendment, North Dakota's similar
tax bill, expected to net $4,000 900 an
nuauy for the next two years, is ready
for the Governor.
The House OF the Washington Legis-
lature wrote sales tax chapter into
thai States revenue bill yesterday,
but didn't decide on the amount A
per cent pass on" tax is generally
favored.
Wisconsin legislators have a sales
tax bill before them, but are awaiting
Gov. La Follettes complete tax pro-
gram.
Wyoming Votes Tax.
Sentiment for sales tax is growing
among Pennsylvania legislators, and
the State Bar Association and State
Chamber of Commerce have Endorsed
such levy to supplant Gov. Earle's
tax program. The Governors plan
seeks to get s203, 3,000,0 900 by levying on
tobacco and amuSements and by in
creasing the gas tax from 3 to 5 cents
gallon.
Wyoming will begin collecting per
cent April /. New Mexico mas re-
enacted its 2 per cent tax.
Shld1lOllld LLlG dQ-
visibility of boosting its sales tax from
l to 8 per cent, and Missouri legisla-
tors would like to leap from 4 per
cent to 2 per cent. The present Mis-
souri, tax is absorbed by the merchant,
but the lawmakers want the consumer
to pay the 2 per cent.
A gross sales tax Of 2 per cent was
proposed in Montana, but got no
sympathy. Texas lawmakers were def
nitely hostile to suggestion that a
sales tax be offered for popular vote
as an amendment to the constitution.
Arkansas Measure Pending.
The Arkansas Senate said "yes" two
weeks ago to a per cent sales levy,
but the House has started to amend
it. Gov. Futrel told the House yester-
day the bill will bring the return of
emergency relief money.
Connecticut set up special COM
mission to study the matter, and it
recommended per cent sales levy,
now being considered. Maine has
similar proposal, but at a hearing
wednesday it ran into plenty of op-
position.
When a bill to collect 3 per cent
from Tennesseeans was offered in
the Legislature, 1t was tabled, and
efforts are now being made to re-
duce expenses.
Maryland's per cent proposal is
directed, paradoxically, to ease the
tax burden by affording relief to
property owners. No immediate leg
islative action is likely. The bill
would return about $6,000,000 an
nually, its sponsors think.
Curley Opposes Levy.
Massachusetts, Legislative Commit
tee on Taxation is sitting several
sales tax proposals. Gov Curley,
however, has announced he is "agin"
a sales tax except as a "last resort"
California, collecting $4,000, 900 BIZ
ennially from 2la per cent tax, Is
waiting to see what its lawmakers do
with a proposal for extending the tax
to add another $7,000,0o0 every two
years.
Indiana has a bill pending. but 1t
likely will not be acted upon until
the Legislature meets in an expected
special session.
Gov. Hoffmann's recommendation
In New Jersey for a 2 per cent tax
to net $20,000,000 annually for emer-
gency relief has been in committee
for six weeks, and action has been
deferred another month.
nI I77Ann rnII nIoro