Evening star., 1937-04-26
New Tax Proposals.

The Commissioners have done we'll to
propose their own program of taxation
for study in connection with the tax
bills already introduced and under con-
sideration by the House District Com
mittee. One of the redeeming features
of the Commissioners program is SIM
plicity of administration. Although the
Commissioners proposals have not been
placed in legislative form, it is apparent
that they would eliminate some of the
immediate confusion in administration
that is invited, if not assured, by the
tax bills which have been described in
the series of Star articles brought to a
conclusion today.
Those who have followed this series
of analytical articles may have been
impressed by the tremendously compli-
Gated task in administration which they
would suddenly place upon the District
assessor, with no careful thought yet
given to the necessity for adding eXten-
sively to the personnel and equipment Of
that Office. Only little more than two
months remain before the beginning Of
the new fiscal year, in which the rVenue
measures should take effect to avoid the
deficit now facing the District. To dump
the administration of these measures on
the assessors Office, without careful and
extensive reorganization in preparation
for the load, would hamper the collec-
ton of the new taxes and prove generally
unsatisfactory. Enactment of the tax
bills may have to be accompanied by
some legislative provision authorizing the
District to draw on the Treasury until
it can raise It's own revenue
AS framed, the proposed income tax
alone would, under the peculiar condi-
tions prevailing in the District, create
complicated administrative problems
with which the assessors Office, as at
present organized, is not prepared to
deal. But on top of this income tax
proposed at a time when the Federal
Government is facing the prospect of
digging deeper into the small income
class to obtain its own revenues-is an
involved corporation or privilege" tax
and an equally involved public utilities
tax which, entirely aside from the ques-
ton Of revenue raising Or the merits of
such taxation, would place new and
heavy burdens in assessment on the
assessors Office. If these taxes are
found necessary and equitable, time
must be allowed and adequate provision
made for the assessor to establish neces-
sary administrative machinery. The
appropriation bill, it is remembered, does
not take note of any new burdens which
the assessor may inherit through the
tax bills.
The Commissioners proposal for q
one-cent increase in the gasoline tax will
remove many of the objections which
have been voiced in connection with the
gas tax increase proposal. The Com
missioners' proposal apparently permits
some diversion, though it sets reasonable
limits on the use of the gas tax revenue.
The plans recently outlined by Col
Sultan, emphasizing the need for ex-
tensive street alterations to accommo-
date the city's growing traffic, indicate
the necessity for an increase in the
revenues available for street and high
way work. But each increase must be
confined to actual revenue needs. In
creases beyond needs authorized by
Congress represent excessive taxation.
The proposed sales levy on tobacco
follows the practice in many of the
States of hitting the luxuries to spare
the necessities. AS heavily as tobacco
Is already taxed, there are no indications
that the traffic is bearing more than it
can stand-either in the consumption
of tobacco or profits in the industry.
The same suggestion may be applied to
liquor, hard liquor especially. Certainly
the luxuries can stand the gaf in taxa
ton more readily than the already
heavily taxed necessities.