Evening star., 1947-06-29
cal Tax Program DebocIe

III U OA Ivy VIII HSS0@tS
ought to be evident to everybody-and
AN increasing number of members of Con-
gress are admitting it now-that no fair or
workable local income tax for the District
will ever be approved by the House of
representatives.
It has been tried time and again. Each
time the effort runs smack into the same
set of circumstances. The States, in their
local income taxes, begin by taxing all
locally derived incomes. They prevent
double taxation by reciprocal credit ar
rangementS with other States. But here
in the District that principle would mean,
for one thing, taxing the incomes of the
population who live in Maryland and Vir-
ginia suburbs. They have votes. That is
out.
So we start with the proposition of taxing
all residents of the District-people who
live here for as long as seven months of
the year--and prevent their double taxa
tion by saying that anybody who pays in
come or intangible taxes in one of the
States need not pay here.
States. Members of Congress do not want
to pay the tax themselves. So the mem
bers of Congress write in an exemption for
themselves and for a relatively few other
occupants of the higher bracket Jobs on
the Federal payroll. q
But such exemptions leave the secre-
taries of the members and their office
STATS liable to the tax-provided they live
here seven months of the year and pay no
local income tax back home. That is en-
barrassing. So, to exempt them, others on
the Federal payroll who may claim domi-
cile in the States are also exempted.
Thus is set into motion whole train Of
exemptions and inequalities that are fan :
taStic in their discrimination. They make
tax dodgers of people who benefit as much
from local services as anybody else and
who pay no taxes back home" AS talk
measure it is farcical. 1t is probably the
most glaring example in the country of
Selfsh-interest, political taxation No
self-respecting Legislature, representing
the people it governs, would ever dream of
such a law.
Yet we are apt to have it, as we have had
its predecessor. The O'Hara amendment
has won out over the recommendations bf
the House District Committee, the Senate
itself and the wishes of the House confer
ence managers. It has thrown out of kilter
revenue program that has been six
months in preparation. It's crude language
!. creates mares nest of confusion in ad-
ministration. Nobody knows what it means
Does the burden of proof on tax liability
rest with the tax assessor or with the tax
payer who claims domicile elsewhere? Does
the language of the amendment mean that
all Federal employe has to do to escape
paying local taxes is to state in an affidavit
that, at one time-no matter how long
ago-hei did acquire" domicile in one of
the States, though he may be perma
nent resident of the District? Does the
law exempt all the salary earned by a
Federal worker, though most of his in
come may be derived from private en-
ployment?
These are questions that nobody could
answer yesterday when the House and
Senate conferees met to decide what to
do with the mess they have on their hands
DelldUUI Cdlll, OIlc vi Gllc pIOp-
erly refused to do anything about it until
he has an answer. This revenue BILL which
should have been out of the way and on
the books months ago, is still in snarl
No more dismal example of incompetent
government of the District by Congress
could be found than the disgraceful de-
bacle on the House floor which has cli-
NAKED an honest effort in committee to
perfect reasonable tax program.
1t is futile, of course, to protest the I'M
fairness of the House or to cite in detail
the numerous misstatements and half
truths made on the House floor in sup
port of the OHara amendment. But if
the House refuses to approve a fair and
workable personal income tax law for the
District. why not abandon this tax and try
something else? 1t is interesting TO note
that several members made the same prop
oSition on Friday, when the conference
report was being debated. Senator Cain
is suggesting the same thing. Facing
realities in the House, it would be the
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