The Tacoma times. [volume] (Tacoma, Wash.) 1903-1949, 1942-12-17
BY BEARDsLEY RUM.

The Pay AS You Go tax plan proposes TO get every
single income tax payer out of ncomeax debt and from
that time on to keep him pay you 20 basis
1t is simple daylight saving.
The plan proposes that we turn all our tax clocks"
ahead one year. What mean is this:
Millions of us this year paying income taxes but
these taxes that paying taxes on last years
income. That is during 1912 are paying on our 1871
incomes Now suppose turn the clock ahead say
that the income taxes paying this year
this years income Then during 1912 would be paying
our 1912 income instead of on 1871.
What will be the result? We will go on paying our
taxes the treasury will go getting its revenue but the
income tax of 19 drops out of the calendar forever
and will all be free of income debt and ready
a pay you go basis.
There will have to be yearend adjustment, up or
down. This would depend whether finally 942 in
come turned out to be than 1871 income
1871 income having been used tentative declaration
of tax liability for 1912 But this yearend adjustment
be easily made when pay first nstalment in
1943. Following the same principle, in 1943, viii be
using 1912 income the basis of tentative dearaton
but we will be paying on the income of l94S So having
got ourselves free of income tax debt stay
free of it by paying as we go.
The first question that to everyones mind is.
"How skip these 194l taxes without having the
treasury lose lot of money! The answer is that since
all go along paying income taxes current in
from year year. the treasury will actually receive
less only when die when lose incomes Then,
too of this loss would be recovered through higher
return taxes and through better tax collection
and collection methods which will come from being on
current basis.
Already many tax payer is in difficulties because of
income-tax debt Who these payers? First of ALL
the armed forces and those who have into gov
eminent service at lower income Next those who had
been successfully employed in peace time industries and
have their income shrink because of prortes and al
locations and have completed their adjustment to war
occupation Then too there the thousands and thou
sands who every year suffer reduced income because oil
accident sickness old age. For all of these their
incometax debt creates an intoerable situation .,
And for the tens of thousands who are today actually
in distress there millions who IN danger In Danger
of loss of income through being drawn into military or gov
eminent service through wartime industrial displacement
through accident through sickness through retirement De-
they longer keep the pace ms danger
will be felt with increasing apprehension by all OF US as
friend here and acquaintance there engufed by ms
income tax debt To be the lightning VIII not strke
all in 1912 but it is to strike some OF us-whch we 40
no know, but are all in danger
In eliminating income-tax debt by the aover appica-
ton of this pan all tax are given equal treatment
which, as a matter of principle, favor -
Let explain For those in the lower brackets tne
plan will obviously have farreachng beneficial results
since unfortunate circumstances OF loss OF income WI" ho'
be doubly unfortunate because of last years debt
For those in the middle brackets VIII eliminate
countless personal and family tragedies free many able
citizens for public service and step the efficiency Oh
American industry by making possible the retirement ana
pensonng of executives who are holding on largely u pay
their income tax and never catching up.
For those in the upper brackets, 1t VIII make much
less practical difference than might appear frst pecse
like ANYBODY else as long they have their income they
continue to pay their at the then existing rates anu
second when they die what otherwise Woulu nave pee
income is subject estate taxes IN ms nghest Drschea
Therefore in turning the tax clock ahead Ior SOME e 70
turn it ahead for ALL and get the whole nation out Oh
tax debt by the beginning of next year