Evening star., 1948-01-15
luck Supported
In Opposition
Sales Tax
Nearby Delegation,
Pleased, Approves
Governors PIuns
By Alex R. Preston
BY Alex R. Preston
Stor Stoff CORRESPONDENT

By Alex R. Preston
sior Stoff Correspondent
RICHMOND, Va, Jan. 15.-Gov
Tuck's message to the General As.
sembly, in which he came ou
strongly against a retail sales tax
today had the approval Of most o.
the Northern Virginia Legislative
delegation.
After declaring fatty, II am op-
posed to the sales tax except as 3
last resort" Gov. Tuck yesterday
submitted a seven-point program
for increasing rates on existing
revenue sources in order to raise
s21, ,7O0,00O more during the nexi
two years.
He said the additional funds are
needed to meet inf1ationary costs
and to carry out essential expansion
of State services.
II am unwilling" he declared, etc
recommend that we embark upon 9
broad program of expansion"
Recommendations Listed.
The Governors revenue recon-
mendations were:
To raise corporate income rates
from to S per cent; increase indi-
vidual income rates from 11a to 2
per cent on the first $1,000 of net
income and from 2h to 5 per cent
on the next $4,000 and from 3 to s
per cent on all over $1,000; raise the
retail merchants and restaurant
license tax from 13 to 20 cents per
500 of sales above $4,000; a similar
tax raise for wholesale merchants
licenses on each 500 Of purchases;
a raise of " per cent on gross re-
ceipts taxes of service corporations;
an increase from i2 to Is cents per
500 in the recordation tax and a
beer tax raise to 2 cents per r.
ounce bottle from the present l and
IL cents rate from $2.75 to $3.1C
per barrel.
Among Northern Virginians who
felt most pleased over the Govern
or's antagonism to a sales tax were
Delegates j. Maynard Magruder and
George Damn, and State Senator
Charles r. Fenwick, all Of Arlington.
Their area, perhaps more than any,
where else N the State, would be
adversely affected by a sales tax,
they said.
Clarke Delays Decision.
On the other hand, State Senator
Andrew w. Clarke, who represents
Alexandria and Fairfax County, de-
clared he would like additional time
to study the Governors program.
He said his sentiment on the sales
tax would, depend to a large extent
on what action Washington will take
to adopt similar levy. Such plan
is being considered for the District
in an effort to distribute the cost of
local government among those who
now pay in income tax and others
who are exempt by virtue of having
their legal domiciles elsewhere, eveA
though residing in Washington.
The three Arlington legislators
were particularly pleased with Gov.
Tuck's substitute tax plan because
1t embraced the main features of a
program they had come to Rich
mond to offer.
In an attempt to kill any action
on sales tax, the Arlington delega-
ton came armed with a program
that already had been given the
study of a legislative commission
appointed by previous General
Assembly.
Group Opposed Tax.
That inquiry was by a group,
known as the Commission to Study
the Sales and Use Tax, headed by
DR.. Upton R. Snavely of the School
of Economics of the University of
Virginia. 1t also opposed the sales
tax and suggested increases in the
levies on corporation income, in
dividual income, retail merchants
licenses and public service corpora
tions.
The Arlington legislators ac-
knowledged that some changes may
be required in the Governors pro-
gram but sentiment from the en-
tire membership of the Legislature
reflected overall approval.
The Governors recommendation
for continuation of rent control in
some form, in the event of change
in Federal policy, also met with
approval from members Of the Ar
lington delegation. They said they
felt such controls should continue
until the present housing shortage
has been eased or abolished.
Expansion Now Opposed.
They were in accord with the
Governors policy of opposing a
broad expansion program for the
State government at this time and
said efforts should be directed to
perfecting facilities the State now
has.
Although Gov. Tuck recommend
ed funds to give teachers an av-
erage increase Of $3.50 annually, the
Arlington legislators said they would
like additional time to study this
phase of the message.
Senator Clarke said he approved
of heavy taxes on alcohol beverages
which he regards as a luxury.
Delegate Robert Whitehead of
Nelson County, who also had prom
ised fight against a sales tax,
commended the Governor for his
message and declared, Il am in
general agreement with his tax pro-
gram"
Moses Delays Comment.
Senator Charles T. Moses of Ap-
pomattox, who headed a School
Study Commission that recommend
ed a sales tax to the present ses-
sion of the Legislature, declared,
II will have no comment until
have had a ehance tn xt,,dy r.