Evening star., 1939-01-22
Civic Problems, Civic Bodies
Why Not Ask Residents and Not
BUDGET Bureau What D. C.. Needs?
BY JESSE c. SUTER.

BY JESSE c. SUTER.
The most important civic news
of the week was the publication in
the press on Tuesday of the re-
port of the District tax study by
the experts under the Congress
sional Joint Committee on Inter-
nal Revenue Taxation. The tax
proposals recommended are esti-
mated to yield a maximum Of
S13,200000. The salient features
are substantially as heretofore in
dicated in this column with few
variations. 1t is proposed to give
the Commissioners authority to
fix annually the rate on real
estate and tangible personal
property between $3.50 and SITS.
This will meet with the approval
of a number of the civic groups
as fixing a ceiling Of SITS. The
proposed income tax on salaries is
set at above $4,000 instead of
$4,000 as previously announced.
The report shows very clearly
the complexity of the local taxa
ton problem by reason Of the
peculiar political status of the
District of Columbia and the
problems incident thereto. While
the experts admit that the fiscal
relations between the United
States and the District are be-
yond the scope of the study they
hold that whatever the share paid
by the United States the taxation
required is just a matter of ad-
justment of rates.
One new source of revenue in
cluded in the plan is the proposed
levy of 2 per cent on the gross
receipts of automobile parking
lots. This will offset the loss to
the District on buildings which
have been removed to make way
for such parking lots.
Hearings are expected to begin
shortly before the Taxation Sub
committee of the House District
Committee on the question. 1t
has not been stated whether a
bill will be first introduced or the
hearing held on the recommend
ations of the experts.
a goodly number of District
bills on various subjects have
been introduced in the House
OF Representatives, among them
being the usual Mapes bills. one
of these biennial biFs is a bill to
repeal the 60-4J law. The intro
ducer appears to have overlooked
that that law was repealed by
the 1888 Revenue Act which
amended the Revenue Act of
1887 Civic leaders think it was
introduced through force of habit.
In connection with the 60-40
law, a taxpayer has filed suit to
recover a tax payment of about
$40 which he claims the Com
missioners were not authorized
by law to collect. His contention
is that under the fiscal law of
1922 the Commissioners were only
empowered to levy and collect
taxes to the amount of so per
cent Of the total amount Of the
appropriations, the law providing
that the other 40 per cent be
paid out of the funds of the
United States.
There have been numerous
suggestions of methods to test
the right of Congress to violate
this law and this case may prove
to be the opening wedge. 1t is
held that Congress, by repeating
the law, has admitted that the
law was considered still operative
until specifically repealed. Rep
resentative Mapes appears to
have seen the necessity for re-
peal or he would not have been
SO persistent. Over 100000, 900
was lost to the District and heavy
urgent needs permitted to &C
cumulate through the ignoring
of this law.
Budget Bureau impeachment
To District Legislation.
One of the interesting devel-
opments of the last few days is
the statement which has ap-
peared that the Commissioners
have sent to the Bureau of the
Budget the first batch Of is bills
of the Districts legislative pro-
gram. Most of these proposals
were before Congress last session.
1t is understood that if the bu-
reau approves these measures
they will be sent to Congress i'm
mediately.
Two of the bills have already
been introduced in the House,
presumably, independent of the
action of the Commissioners.
These are the loan shark" bill
Oh. r. 1861 and the bill to set
aside the findings of the Police
Trial Board and reappoint to the
Metropolitan Police Department
David r. Thompson and Ralph S.
Warner (H. r. 226D.
Civic leaders regard as most
extraordinary the requirement
that the Commissioners of the
District first get permission from
the Federal Budget Bureau be-
fore they may seek needed legis-
lation from Congress. The pre-
vailing opinion is that, even
though the Commissioners are in
no way responsible to the citizens
of the District, they are in a
better position to know what leg
islation is required than any Fed
eral bureau.
If the Commissioners were re-
quired to get the advice Of the
local taxpayers instead Of tha