Evening star., 1946-08-15
Your Tuxes Go Up

tageous to the taxpayers of Wash
tngton, in their relations with Con-
eresS, II the tax rate-rather than
assessments on residential real
estate improvements - had been
boosted
Many members of Congress, ia
miliar with the practice throughout
the country of coupling a high tax
rate with low assessment practice
are quick to criticize Washington for
Its tax rate of $l.75 per $100, one of
the lowest in the country. They over
look the fact that in Washington the
appointed assessor, not subject to
political preSsureS and responsible
TO Congress, probably comes nearer
meeting the legal requirement for
100 per cent assessment than any
where else, Washington's per capita
assessment, at least, has always
ranked near or at the top among
American cities.
The fat, horizontal 20 per cent in
crease in the assessment of all
Washington residential property i'm
provements has been recommended
to the Commissioners by the assessor
on the theory that it will bring as
seSsmentS nearer the true value re-
quired by law than they are today.
1t applies, in reverse, the practice
followed by a former assessor who
brought about a horizontal 10 per
cent decrease in assessments when
real estate values were falling in the
depression years of "a and '35.
If the average row house in Wash
ington is assessed now at $4,000,
allowing $1,000 for land and $4,000
for improvements, the 20 per cent
increase just ordered-Which applies
only to mprovements-Wil increase
the average assessment to $6,560, and
will raise the tax bill from $lO5 to
S121.80. That is an increase of 16
per cent in taxes. If the same in
crease were sought through increas-
Ing the tax rate, instead of by in
ereasing the assessment, the tax rate
would have gone to slightly over So
per hundred.
The assessor, of course, is not con-
eerned with the tax rate and has no
authority to change it. Nor is he,
In this case, concerned with the
amount Of revenue resulting from
the increase in assessments. His ac-
ton Is based on the law requiring
assessment at true value, and the
increase is his idea of fair approx
nation of true value. BY individual
appraisals on downtown business
properties and all medium and large
size apartments, now in progress, the
accompanying effort is being made
to assure the 100 per cent tax valua-
ton required by law
This all means, of course, sub
stantial increase in Washington's
total tax burden. The 20 per cent
increase just ordered applies to one
ing. 1t is an increase that will add to
the cost of living in Washington, al
ready one Of the most expensive
cities in the country. And it is an in
crease that must be taken into con-
s1deratlon next January when Con-
gress considers again the sort of
permanent legislation required to
measure annually the size of the
Federal lump sum.
Only 49 per cent of Washington
real estate is now taxable, although
real estate bears IS per cent of total
District taxes. Most of the exempt
real estate belongs to the Federal
Government. which pays no real
estate tax. But the value of non
governmental tax-exempt property
has Increased in the past ten years
from SO to l22 million dollars.
This being the American Capital
the trend will be toward increasing
.he amount of taX-exempt property.
The exclusively controlling National
Government must find some fair
way to compensate the municipality
for Its losses through tax exemption.
The relatively small proportion of
taxpaying, property owning Wash
ingtonianS cannot carry the load
alone