Evening star., 1939-02-19
Sales Tax Measures
Ready for Maryland
Legislature
Dissatisfaction Growing
For Administration Plan
To Boost Income Levies
BY the Associated Press.

BY the Associated Press.
ANNAPOLIS, Md, Feb. 18.-Re-
tail sales tax advocates marshaled
their growing forces today prepara-
tory to introduction of several sales
tax proposals in the Legislature
during the coming week.
Mounting dissatisfaction with the
administration revenue proposals,
corner stone of which is sharply
increased State income tax, brought
the sales tax proposals to the fore.
j. Milton Dick, Republican, of
Allegheny announced that he was
preparing a "no-exemptions" fiat
per cent retail sales tax for Mary
land. The bill will be introduced
Immediately upon completion, prob
ably in midweek.
Mr.. Dicks proposal would give Is
per cent of the estimated $10000,- =
600 revenue from the sales tax to
the counties on pro rata basis,
earmarked for the reduction of real
estate levies in the several counties
This clause in the Dick measure was
held certain to entice support from
that bloc of the Legislature COM
mitted to reduction of real prop
erty levies.
Other Sales Tax Proposals.
Jonathan Sleeman and Miss Eliz-
abeth Doub, both Allegany County
Republicans, also are considering
submission of a retail sales tax,
modelled on the successful Wash
ington State sales tax law, with
Maryland adaptations.
The Washington law imposes 2
per cent tax on retail transactions,
payable in tokens of 2-mill value.
Mr.. Sleeman said he was opposed
to collection of the tax Ito the
nearest penny" pointing out that
a penny tax on 10-cent sale was
actually a 10 per cent tax. Pay
ment of the tax in tokens would
keep payments at 2 per cent.
The operation of the Washington
law also exploded the argument OF
border county merchants IN Mary
land that imposition OF q sales tax
would drive trade out of the State"
raised when a sales tax was sug-
eested in 1885 and 1887, Mr.. Slee-
man said.
Baltimore Group Swinging Over.
The sales tax was not conceded an
outside chance of passage when the
current session opened, but the big
gest development of the legislative
week was the mounting sentiment
favoring sales levy. Baltimore
Democrats, once among the most
vociferous opponents of the propo-
SAL we're gradually swinging to the
sales tax standard.
Much of the support of the sales
tax still is underground, in defer
ence to administration pressure for
passage of the income tax revenue
measures. But the support is ex-
pected to come out in the open once
Gov. O'Conor names his appointive
officials February %, and the pat
ronage club is no longer an effec-
tive threat.
1t was pointed out that business
men, faced with a trebled 1la per
cent tax on corporate incomes, would
probably favor sales tax, which
they would not have to pay, in pref
erence to the income tax.
Taxes on salary incomes were in
creased fivefold in the O'Conor tax
program, and the 21a per cent pro-
posal is finding little favor among
the constituencies, legislators report.
Night Sessions in Prospect.
The Senate Finance Committee
announced plans for consideration
of the administration revenue pro-
posals next week. Night sessions
will be held until some report is
prepared. Senator Dudley g. Roe,
Democrat, of Queen Annes, chair
man of the Finance Committee, said
the group might report on the
O'Conor program Wednesday or
Thursday.
The administration proposal for
re-registration of motor vehicle op-
orators at 50 fee in 194O-41 is
drawing hot fire from legislators and
automotive interests. The Automo-
bile Club of Maryland, the Auto
mobile Trade Association and other
groups have entered objections to
the plan.
Delegate c. S. Houck, jr., Demo-
crat, of Frederick announced plans
to introduce legislation licensing
pinball machines at $1OO each an
nually to take the place of the re-
registration measure.