Evening star., 1947-12-04
Board Of Trade
Polls Members
|0n Sales Tax
Paper Asks Views
On Levy Of ! or 20
To Boost D. c. Income

20 DOOSt y. ~. lH(OIiiS
The Washington Board of Trade
today announced survey to de-
termine views of its 5000 members
on proposed retail sales tax to
swell revenues for the District.
The poll is in the form of a ques-
tionnaire on the front page of the
Board of Trade News,
delivered to members today 1t asks:
IF additional revenue is found
necessary for the District, would you
favor raising it by means of:
Il. Addition Of l per cent retail
sales tax to the present tax struc-
ture?
80. Repeal of the personal income
tax and substitution of 2 per cent
retail sales tax?
g. Other means to be suggested"
2,l00 Questionnaires Planned.
In addition, the board said, 2,100
special questionnaires are being
mailed to selected members of the
group. Answers, expected in about
two weeks, will form the basis of the
boards stand on tax proposals be-
fore the House and Senate District
Committees next year.
Board officials said the group has
been on record for the last 10 years
as favoring sales tax. "if there is
no other way to raise enough funds
to carry on operations of the Dis
trict." While there has been no
formal stand on the amount of such
tax, officials feel more support
could be found for the per cent
tax-with repeal of the personal in
come levy.
At the same time, the board said
in an editorial in the News that it
believes "the majority of our mem
bers will support the sales tax"
"The Commissioners will probably
recommend a 2 per cent sales tax
beginning next summer to balance
the 1949 budget" ;" the editorial con-
tinued. Despite the fact that good
arguments against spending more
money have been advanced, we sus-
pect that the case for a higher
budget will receive general support
in the city and on Capitol Hill"
Members Get Research Study.
The board also sent it's members
an extensive research bulletin sum-
mary-outlining history of the sales
taxes, uses in other States, expected
revenues and exemptions proposed
for the sales tax form.
Board members were asked to cut
out the coupon, write their name
and business on the reverse side
and mail it to the Research De-
partment, room 204, Evening Star
Building.
The survey is being conducted by
the boards Municipal Finance Com
mjttee, headed by Maj. Gen. David
McCoach, former District Engineer
Commissioner. @
Gen. McCoacf1 said a special sub
committee also is studying technical
aspects of sales tax proposals now
before Congress and to prepare rec
concentrations for directors of the
board Subcommittee members in
clude 10 V. Morgan, former assistant
corporation counsel; Francis G.
Addison, president of the Security
Savings & Commercial Bank and
past president of the board, and
Joseph E. Keller, Washington at
torney.
13 Million Yield Seen.
The board estimated that-based
on tentative exemption proposals.
the 2 per cent tax might yield from
$4,000, 900 to $l5,0O0,0OO on an an
nual basis.
Only part of this sum would be
obtainable in 1948, however, because
any law adopted probably would not
take effect until after July /, the
organization said.
The boards research bulletin broke
down estimated cost of the tax to
individuals, according to income
groups, like this:
$500 to $1,000 income, $3.lO per
year; $1,000 to $500 income, 1856
per year; $500 to $4,000 income.
$8.11; $4,000 to $1,000 income, $12.35;
SO 900 to $4,000 income, $19.42; $1,000
to $500 income, $32.84; $500 to
$4,000 income, $46.41; $4,000 to
$12,500 income, $64.68, and $12,50O to
$4,000 income, $8142.
The proposed tax, included in a
bill introduced by Chairman Dirksen
of the House District Committee,
would exempt tax payments on such
items as food for home consumption.
drugs, medicines and eyeglasses, res
taurant checks under $3.50, admis-
sions to places of amusement and
sn0rts and beer and malt heuera ues