Evening star., 1946-09-08
Tax Committee
Asks 1-Cent Rise
In DC. GasLevy
Report Also Proposes
Doubling Of Auto
Inspection Fee
By John W. Thompson, ir.

A -per-gallOn increase IN
the gasoline tax to raise an esti-
mated additional S1.500,000 for
the District Highway Fund has
been recommended to the Dis
trict Commissioners by their
special tax committee, it was
learned last night.
The committee, headed by Cor
poration Counsel Vernon E. West,
also called for doubling the 50-cent
automobile inspection fee for about
10000 District motorists and in
creases in several other fees as the
members Investigated every revenue
source in search of additional in
come.
The gasoline levy thus would be
4 cents a gallon, equal to that Of
Maryland and cents below the
Virginia tax. II was raised from 2
cents gallon to its present rate
of 3 cents in 194l for a temporary
period expiring In 1851 The COM
mittee asked that the cent rate
be permanent.
Hearing Scheduled September 16.
Disclosure of the recommendation
precedes by week the public hear
ing September 16 at which the
Commissioners will hear the COM
munitys reaction to the West COM
mittee's earlier 7-point program OF
new and increased taxes designed
to raise $17.75O000 for the General
Fund.
This plan made public last July.
features a 2 per cent retail sales
tax and a broadening of the in
come tax base to bring in more
| taxpayers 1t also suggests taxing
utility bills, unincorporated busi-
nesses, amusements and cigarettes
and doubling most of the present
LIQUOR taxes.
1t was considered possible that
the Commissioners might add the
/ gasoline tax proposal to the agenda
for the hearing since it is under
stood they now favor consideration
OF all new levies in an omnibus bill
rather than in. separate measures
according to the fund they feed.
Proposal Was Anticipated.
The gasoline recommendation
came as no surprise to city fiscal
observers who had known it was
''in the cards" since last June when
Engineer Commissioner Gordon r.
Young recommended $4,000 900
highway and traffic improvement
program during the next six years.
At that time he suggested a 1-cent
increase in the tax and raising an
estimated additional $4,000, 900
through Federal aid and loans as
means of financing the needs.
Gen. Young's plan. followed intro
duction in Congress by Representa-
tive Springer, Republican of In
diana, of bill to increase the levy
to 4 cents but Congress adjourned
without action.
At the present rate District off,
cialS have estimated that the tax
will raise some S4,800,000 this fiscal
year During the fiscal year 1945,
the revenues fell to $4,000 900 under
the impact of wartime restrictions
but have been rising steadily since
as tires. cars and gasoline have re-
turned to the market.
Little Opposition Expected.
Although virtually all phases Of
the general fund tax program are
expected to come under attack Sep
tember 16, with the possible excep-
ton of broadening the income-tax
base, little opposition is anticipated
to raising the gasoline tax, either
locally or on Capitol Hill.
Observers, both official and unofi-
cial, feel that in some respects the
need for Money is greater in the
Highway Fund than in the General
Fund and that on obtaining it
hinges the protection of the heart
of the city from emigration to near
by areas.
They point out that many OF the
needs in the General Fund category
constitute replacement of obSolescent
existing facilities which could, if
necessary, be postponed without
stoppage of service completely. Ex-
tensive and immediate improve-
mentS must be undertaken to pro-
vide easy access and parking facili-
ties to the downtown area if it is
saved. they feel