Evening star., 1951-01-25
MONTGOMERY Farm Taxes Higher Than Next Countess Study Shows

However, no such rigid guides
seem to be used in assessing farms,
despite the fact that nearby farm
sales probably Influenced the as
sessments on adjoining farms.
Based on sales price, the error In
assessing farms was much higher
than in assessing residential prop
critics. This means that the as
SCISSORS either did not follow farm
sales closely in assessing or else
their attempt to follow such sales
did not give the desired results.
Farms Of similar size sold in ad-
joining counties were assessed
somewhat higher than in Mont
gomery County. Apparently. the
majority of farm sales in other
counties represent the purchase of
land principally for farming as a
business and/or fa.nily-cupport'
ing venture. On the other hand,
farm sales in Montgomery County
represent many personal desires
of buyers, and the prices paid for
many farms are beyond the value
which agricultural production
could justify.
FARM TAX BILLS COMPARED.
In 1850 the average farm prop
erty tax per acre /, le upper
districts of the coun vas $l.85.
or more than twice .... 1887 av-
erage of 81 cents. In terms Of
wheat, it took one bushel to pay
the average farm property tax bill
per acre in 1949. whereas it took
.85 of a bushel in 1887.
BY assuming a hypothetical and
typical dairy farm organization,
unit assessment rates in the var
ious counties were used to COM
pute the total assessment against
similar farm enterprise in the
various bordering election districts
in four counties. Current county
tax rates were applied to compute
the tax bill on the assumed farms
in each of the districts.
Calculations indicate that dairy
farm enterprises in the Mont
gomery County districts were
taxed from so per cent to 100
per cent higher for county pur-
poses than comparable enter
prises In adjoining districts Of
other counties. This spread be-
tween the farm tax bill among the
counties would be decreased
somewhat if all the districts in the
other counties had been reas-
sessed in 1949-50.
Explanation of Tax Differences.
There is no single explanation
for higher property taxes on
farms in Montgomery County
than on farms in adjoining coun-
ties. County tax rates are part Of
the answer. For instance. the 1850
tax rates per 500 of assessed
value were as follows: Carroll
County, SIPS; Frederick County
$1.34; Howard County. $1.65; and
Montgomery County, $1.90.
About So special tax areas In
Montgomery County require ad-
ditional assessment and tax rec
ord-keeping. Also county officials
spend part Of their time admin
istering urban functional pro-
grams in certain areas Of the
county. Rural taxpayers are pay
ing a part Of these additional
routine and administrative costs.
Rapid expansion Of the sub.
urban communities in Mont.
gomery County results in demands
for public facilities prior to the
increases in tax revenue which
follow such expansion. Subsequent
issuance of general county bonds
to help provide these public ia.
cilities results in additional
county taxes upon both rural and
urban taxpayers.
Effect of State ALLEGATIONS.
One-half Of the county's share
Of State income taxes, paid by
rural residents and other resi-
dents outside incorporated towns
and special taxing areas. is allo-
Gated to the suburban districts for
urban services. All of the money
returned to the county from mo-
tor vehicle licenses paid by rural
residents goes for the support of
countrywide functions. However,
only one-half Of the State income
faxes and motor vehicle license
fees paid by residents of incor-
porated towns, and distributed to
local governments. goes for the
support Of county-wide services.
The other half, based on tax
payers residences, goes for town
functions.
If such ALLEGATIONS of income
taxes and motor vehicle license
fees were used for county pur-
poses only. 1t would mean that all
taxpayers would contribute on an
equal basis toward the support of
county government by specific
taxes based on residence. It would
also mean the equivalent of IL
cents on the tax rate for all prop
erty taxpayers in the county rath-
er than Is cents on the tax rates
of only those taxpayers in the
towns and urban areas.
State tax ALLEGATIONS to Mont
gomery County for county pur-
poses in 1850 were equivalent to
33 cents per $100 of taxable prop
erty. In Carroll County such
State allocations were equivalent
to Sc cents on the tax rate, and in
Howard and Frederick Counties
/ - GAMER AS