The Ely miner. [volume] (Ely, Minn.) 1895-1986, 1937-07-15

were it not for the inevitable taxes.
The great proportion of indirect
taxes to residential rental costs was
investigated with the aid of real
estate companies in 48 cities; rec
ords on representative local prop
critics were taken at random from
their files.
A total of 1854 single and multiple
family dwelling units were covered
by the final averages. These re-
vealed that taxes represented %
per cent of the current rental rate
of the one-family dwellings studied;
1872 per cent of the rental rates of
the duplexes and 1876 per cent of
the rental rates of the apartments.
''The notably lower ratio of taxes
to apartment dwellings is DUE" says
the report, first to the fact that
portion of the apartment rental dol
lar represents fuel, water, rent, JAM
itor service, etc.; second floor
space is more intensively occupied
in apartment buildings, and third,
apartment rental rates have in gen.
eral recovered somewhat faster than
house rental rates. In many COM
munities, however, tax rates are
mounting approximately as fast as
rental rates are recovering"
Average Motorist Taxed S4S.
The automobile today has passed
the stage where it may be classified
as altogether a luxury. But it's a
free luxury for the tax-grabber; in
fact it's soft picking for him. Mo-
florists paid an average of S43 apiece
in taxes, direct and indirect, con-
tributing total of 81, 349, 900, 900 or
101a per cent of the nations entire
tax revenues during the fiscal year
ended June 80, 1887, according to
the study.
In a detailed advance estimate,
the report sets total federal, state
and local tax collections at $12,872,-
100000 for the fiscal year just ended.
General property taxes contribute
81, $4,000, 900, and income taxes
federal, state, and local-$2, $780,
0O0,0 according to the study, with
the owners of twenty-eight million
motor vehicles ranking a strong
third as a source of revenue.
Gasoline and oil taxes, totaling
1884 ZOO, 900, make up the bulk of
motorists current tax contribution.
Combined federal and state taxes
on gasoline average slightly over
five cents per gallon, for the coun-
try as a whole.
The purchaser of new low-priced
car pays SOL in taxes, direct and
indirect, during his first year of
ownership, according to the study.
He pays approximately $64 in
taxes as part of the original pur-
chase price, the study shows. This
figure includes $3.50 estimated tax
content in the freight costs, $1441
in excise taxes, and numerous di-
rect and indirect taxes which &C.
cumulate in material and produc-
ton costs to an estimated amount
of $46.10.
Computations Conservative.
If the motorist operates his car
1900 miles season, his gasoline
and oil sales taxes will total ap-
proximately $23; with an average
cost for his new car license of
$14.50, a motorist thus contributes
some $l01.50 in taxes during his
first year of ownership.
If, however, the $64 of taxes con-
tanned in the original purchase price
is averaged down to an annual de-
probation basis of $10.42, assum-
ing resale or trade-in at the end of
the third year for $3.50, the motor
lists average tax cost becomes
$48.14 annually for the three years,
the study shows. This figure is COM
puted on the very conservative OPP
Grating basis of 1900 miles per sea-
son, the report points out.
The owner of used car in its
fourth to seventh year of service
contributes an average of $35 an
nually in taxes, the study shows, if
he operates his car modest 5000
miles per season.
Western Newspaper Union.