The Daily Alaska empire., 1941-01-29

l Stop. Look and Love and Overland Mail $2OO 100000 worth of copper taken out in the course of generation What has the Territory of Alaska to show for those two hundred million dollars today? hole the ground? Mo- than that. It actually has relief problem And three towns dependent in varying degree the activity Kenneco either on their to becom ing ghost towns seriously impaired. man whom of you know formerly had hotel business in Chitna
 He forced to abandon t-property which he deemed worth $70OOO-and try start life elsewhere. The dividends Kennecot far and wide They enriched many individuals who Alaska and had no thought coming here doing anything for the Territory but relief paid for by the people of the Territory doubled Cordova the after Kennecott shut down And whenever mines community based in large part mining shut down. the real sufferers and the real victims who have put all they had into these local enterprises and homes wiser policy those days would have been t evy appropriate severance as well as income taxes wmcn could easily have been borne, upon Kennecos production and to have invested that in an Alaska fund for the support of schools to build more roads to maintain our Pioneers Home The example of kennecott should De warning We in the fine flush of mounting gold production Now is the time to profit by past experience
 Now what would be reasonable tax to place of gold-this gold which once taken never returns? Would dollar upon $s5 fine ounce of gold be unreasonabe Would be unreasonable especially in view of the 69 3 increase enjoyed for seven years by the industry? Would be unreasonable in view of the epsnd ture in that period of third of the territorial tax received from mines in roads and other aids directly beneficial to the mining industry? Certainly one dollar tax for the Territory $35 fine ounce of gold seems very reasonable Well that dollar is the 3a so-caed gold tax Only let henceforh not call it and consider it gross gold tax Let call it, and consider tax. Let consider it tax which has relation to costs income and profits but which is simply repayment the Territory to slight frac
 ona degree for natural asset rrevocaby removed But if it is tax, if it is tax of approximately dollar each $35 fine of gold taken from the ground
 then let paid every gold that is extracted
 Do you realize how much gold under the $2OOO0 exemp
 on is actually leaving Alaska without being taxed? It is possible give this figure with absolute We know that in 1889 8O operators who did pay gold tax to the Terrtory removed $3600000 worth of gold which they were not liable Of the than 600 smaller operators who coud under the present law remove up to $2oOOo without paying any the Territory it is highly
 
 Department of Mines estimates that $46OOO00 of gold was taken out without tax year For the year 94O the Department estimates that five million dollars will have been taken out without paying cent to the Territory. And it is gone forever!
 Clearly this is right It to reasonable and that should continue matter of course our 3 tax which we may roughly consider dollar for years of exempon abolish the exemption making 1t true tax and then tax the profits of mining by the proper device of corporation income tax based net n come at rate which have suggested be AZ This view as
 reasonable and moderate proposal which will give the Terri tory participation, and will in burden the industry.
 General Property Tax
 property taxes the of which between 10 and 20 mills by law cannot exceed 20 mills Aaskans who live increasing Highways provided for their venence transportation provided for their children to modern schools largely maintained by the Territory Out of public tuition is paid for these children by the Terri oy in short all of the services provided by the Territory payer This unjust discrimination against those who live inside incorporated towns territorial property tax (which limited by the OrgancC AcL IO not ratewoud far to eqlaze the present unjust disparity This territorial tax would be refunded to residents of the towns who already paying property tax The refund could be accomplished in several ways.
 While this statute should be broad enough to apply to all types of land and interests theren certain classes of property may well be exempted from taxation Intangible property should be exempted partly because of the difficulties of collection and partly because tax personal income would far more equitable of reaching the proceeds of such ntangbes Likewise the taxing of household goods and furnishings of the home undesabe we should encourage the improvement of homes their furnishings The property of charitable and reg ious organizations should of course be exempted
 second great value of this property tax would be to permit the recovery of vast of patented land and tContnued Page Fve)