The Republican. [volume] (Oakland, Md.) 1877-current, 1939-02-23
LEGISLATORS TURNING TO
STATE RETAIL SALES TAX
Supporters Marshal Growing
Forces Preparatory For Intro
duction OF Bill in Legislature
PREVIOUS FOES SWINGING

PREVIOUS FOES SWINGING
Retail sales tax advocates have mar
shaded their growing forces prepare
tory to introduction of several sales
tax proposals in the Legislature dur
ing the week.
Mounting dissatisfaction with the
Administration revenue proposals,
cornerstone of which is a sharply in
creased state income tax, brought the
sales tax proposals to the fore.
J. Milton Dick (R-Allegany) deti-
nitely announced that he was prepar-
ing a "no exemption" flat 2 per cent
retail sales tax for Maryland. The bill
will be introduced Immediately upon
completion this week.
Would Apply Portion To Realty Tax
Dicks proposal would give 25 per
cent of the estimated S10,000,000 reve
nue. from the sales tax to the counties
on pro rata basis, earmarked for the
reduction on real estate levies in the
several counties. This clause in the
Dick measure was held certain to en-
tice support from that bloc of the leg
islature committed to reduction of all
property levies.
Jonathan Sleeman and Miss Eliza
beth Doub, both Allegany county Re-
publicans, also are considering sub
mission of retail sales tax, modelled
on the successful Washington State
sales tax law, with Maryland adapta-
tions.
The Washington law imposes two
per cent tax on retail transactions,
payable in tokens of 2-mill value. Mr..
Sleeman said he was opposed to collec-
ton of the tax "to the nearest penny,
pointing out that penny tax on 10
cent sale was actually a 10 per cent
tax. Payment of the tax in tokens
would keep payments at two per cent.
Buying Public Quickly Adjusted
Sleeman received information from
Washington to indicate that the buy
ing public quickly adjusts to the tok-
ems. Sales tax payments on transac-
lions of SO cents or more would be
made in pennies.
The operation of the Washington
law also exploded the argument of bor-
der county merchants in Maryland
that imposition of sales tax would
"drive trade out of the State" raised
when a sales tax was suggested IN
1885 and 1887, Sleeman said.
Washington's southern counties Dor
der Oregon, which has no sales tax,
for 300 miles, but Washington border
county merchants experienced no loss
of business, Sleeman reported.
Baltimore Swings To Plan
The sales tax was not conceded an
outside chance of passage when the
current session opened, but the biggest
development of the legislative week
| was Jn0 mounting ScHUlLlCIlC lawn
a sales levy. Baltimore Democrats,
once among the most vociferous oppo-
nents of the proposal were gradually
swinging to the sales tax standard.
The Senate Finance Committee an
nounced plans for consideration of the
Administration revenue proposals this
week. Night sessions will be held until
some report is prepared. Senator Dud-
ley G. Roe (D-Queen Anne's), char
man of the Finance Committee, said
the group might report on the O'Con9r
program Thursday.
Motor Re-RegistratiOn Draws Fire
The Administrator proposal for re-
registration of motor vehicle opera
tors at 81 fee 1940-41, is drawing hot
fire from legislators and automotlve
interests. The Automobile Club OF
Maryland, the Automobile Trade As
ISOLATION and other groups have en-
tered objections to the plan.