Evening star., 1937-06-13


This figure Is based on calculations made
by District officials for the House District Com
mittee, from data on number of motor vehicles
of various weights.
Method and Rate of Tax:
Graduated fees would be charged for the
registration of all kinds OF motor vehicles oper-
the weight of the vehicle, this provision to
replace the present charge Of 81 for tags.
For private passenger cars the fees would
range from S. to $12 and for trucks, tractors,
trailers and busses the fees would range from
SIS to $50.
Comment
Originally. the weight tax was proposed
as q substitute for the present personal prop
erty tax on motor vehicles. p
AS the omnibus tax bill now is drawn, the
personal property tax on motor vehicles would
be retained and the proposed weight tax would
constitute an additional burden on motor
There have been other sudden changes in
plans TOR weight tax. The bill offered by
man Of the House District Subcommittee on
Appropriations, would have directed the re-
ceipts from this tax into the general fund of the
Rn '4F fb use IN b OF CITY costs
omnibus tax measure, provides that the weight
tax revenues be dumped into the special high
way , fund, where there is no deficit, instead of
into the general fund where there is huge
deficit threatened, on the basis of present Dis
trict revenues.
Spending Plans Are Many.
District officials have numerous plans for
spending additional money for traffic engineer
ing work and for expansion of the street main
tenance, extension and widening programs and
bridge, construction: Highway officials argue
they should be provided larger sum than now
comes from the gasoline tax.
The Commissioners original tax program
contemplated an increase from to cents per
gallon in the gasoline tax but this was rejected
by the Kennedy subcommittee of the House
1t then was determined to divert the receipts
OF the proposed weight tax to the highway
The rates now proposed are:
For passenger vehicles, IS, when the manu-
facturers shipping weight OF the vehicle is not
more than $500 pounds; SO when the weight is
the weight is more than 500 pounds
For trucks, tractors, trailers and busses
SlS ior vehicles EN- les weighing not more than 1000
pounds; s35, from 1000 to 5000 pounds; $50
from 5000 to 5000 pounds; SOS, from 5000 to
10000 pounds; SIS, from 10000 to 1000 pounds;
500, from 10000 to 10000 pounds and $3.50
for weights of more than $1,000 pounds.
Taxes on Insurance Companies.
Estimate of yeld-roughly $500, 900.
Method and rate of tax:
Rate on net premium receipts is increased
from ~ to per cent, and the fees for annual
licenses and for filing annual statements are
boosted
Comment:
There has been virtually no controversy
over this measure, which has threefold pur-
One of the effects would be an increase in
taxes by roughly g per cent
second would be to broaden the field by
bringing into the net premium receipts tax the
mutual fire insurance business and probably
some OF the fraternal insurance associations
A third result would be to substitute the
straight per cent levy on net premium re-
celpts for the present complicated series of
levies now used for marine insurance business
transacted in the District.
The fee for annual licenses of insurance
companies doing business in the District is
now So This would be raised to $25. The pres
ent fee for the filing Of the annual statements
is $40 and this would be raised to $40.
Mutual fire insurance business written
here and the business of the fraternal asso-
Citations now is not subject to tax. ]. Balch
Moor, the District superintendent of insurance,
has insisted there is no logical reason for these
exemptions. His argument as to the fraternal
| associations has been that they charge the
same sort OF rates as commercial companies.
The House District Committee approved
| the BILL except to insert an amendment to
| exempt from the premium receipts tax any
fraternal organization which issues contracts
| OF insurance exclusively to its own members"
| The exemption clause previously was
| worded: Nothing in this title shall apply to
| any relief associations, not conducted for
profit, composed solely of officers and enlisted
| men OF the United States Army or Navy, or
solely OF employees of any other branch of the
| United States Government service or solely of
employees of the District of Columbia. or solely
| OF employees of any individual, company firm
| or corporation"
| 1t is believed the exemptions of certain fra
| ternal insurance business will not greatly
affect the additional revenue estimate Of
| 100000.
Authorization for Parking Meters.
Estimates Of yield:
| From $780, to 5000 900 per year. depend
| Ing on extent to which use may be made OF
| tlmekeeper tax collection boxes
| Method and rate of tax:
| The bill does not fix rates, leaving decisions
| up to the Commissioners, and merely empoW-
ers the city heads "in their discretion" to fix
and collect fees for parking of automobiles on
any street and to employ mechanical parking
meters in the collection Of fees"
| Comment:
Even If this portion OF the omnibus tax bill
! IS approved, 1t will not mean necessarily that
parking meters will be installed along public
highways for collection of rents for parking
privileges The Commissioners would be left
TO decide and public opinion is divided. Organ
lzatlons OF motorists have opposite views
! Inere has been no great public demand fol-
adoption Of the meters
| Traff1c Director William A. Van Duzer one
OF the principal advocates Of the system, has
suggested rate Of cents be charged, mostly
lor one-hour parking but in some places the
time would be cut down to IS or 80 minutes
| II the meters were installed only in the
nrst traffic Zone 1000 would be needed and it
Is estimated the receipts would amount to
some $4,000. Widespread use, Van Duzer