Nogales international., 1937-04-17

70 nave been mandate from the
people, not only upon me but upon
the state legislature, to carry out
that program.
Vital Reasons
The time has come when it is in
cumbent upon us to redeem our
pledge. There are number of vital
reasons why this should be done at
the present time and without delay
In my opinion, the soundness of
those reasons more than justifies
the special session expense entailed.
Under the sales tax as now set
up, individual citizens are bearing
a share Of the tax burden out of all
proportion with the total tax levey
| against certain industries. There
is gross unfairness in the ratio of
the amounts assessed against the
several industries themselves.
Too Much Money
If the sales tax, the other ex-
else 1evies and the ad valorem
property tax rate were permitted
to stand at their present figures,
the state at the end of the next
fiscal year would have Il great deal
more money in it's treasury than it
could effectively and economically
use.
! If such surplus we're applied to
reduction of the existing 50-cent
state property tax rate, it would
do away entirely with the state ad
valorem levy for the following
years; but that would merely op-
crate to accentuate the present in"
equalities. The mines and the rail-
roads and the utilities, for example,
would then be relieved of further
portion of their just obligation, at
| the expense of the individual citi-
zen, who is being taxed for the very
J bread he and his family eat
Simple Program
The program to be offered to the
Forthcoming session Of the state
legislature is very simple one,
designed as an emergency measure
to give immediate relief. It in
wolves only the sales tax. Con-
sideration of revision Of the gen.
eral tax structure will be left for
another session to be called at a
later date, after this administration
has had time and opportunity to
perform the necessary research
work to intelligently approach the
problem from all angles and direc-
tions and outline an effective and
satisfactory general plan.
For the present, the legislature
which at it's recent session appar-
emily was not ready to do away
with the sales tax in its entirety
will be asked to do only two things:
! 1. Amend the sales tax law to
eoualize the schedule and minimize
the tax on the necessities of life.
2. Turn the sales tax revenue, in
full less administrative expense and
executive emergency fund, back to
the counties to clear up county obli-
cations and reduce the county tax
rates.
! If that is done now. taking into
consideration the surplus now in
the treasury and the estimated
revenues from the other excise
levies and the ad valorem property
/ tax for next year, the existing state
property rate can be left at ap-
proximately it's present figure and
the rates can be materially reduced
in the several counties, where the
reduction will apply to the greatest
number of individual citizens and
! do the most good.
| Little Fellow Not Helped
To date the sales tax has rel1ev-
ed nobody but the mines and the
other great corporations. 1t has
not helped the little fellow who
pays property taxes on a small
business or small home. For ex-
ample. in Maricopa county $4,000
individuals own property assessed
at SOC, 100000, or an average OF $4,-
900, on which the tax has been cut
from 81 20 in 1888 to so cents in
1886, or saving of $28 each. IT
this property owner pays 2 per cent
in sales tax on an expenditure of
81 400. he has gained nothing by
use of the sales tax for state reve-
nue.. But the ginant corporations
whose valuations run into the mil
lions have saved a great deal.
The sales tax was adopted in 1888
purely as an emergency measure for
a definite and specific purpose-to
provide immediate cash for the sup
port of government when property
was SO ompoverished that it could
not pay. That emergency has pass
ed.
Corporations Notified
Whatever may have been its vir-