Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-01-23
County toStudy
Tax Changes
Inventory and Farm
Levies to Be Probed

The Montgomery County
Council will hold a special meet.
ing tomorrow night to study eff.
fects Of recent revisions in Stat.
assessment laws.
At issue are the exemption
under the inventory tax and the
new farm assessment law, passed
over the Governors veto last
year.
County Manager M. L. Reese
yesterday estimated a 40 per CEN
exemption granted businesses or
inventories costs the county $2s
million on its assessible base.
A new bill now before the
Legislature to abolish the inven.
tory tax would cost an additions.
$26 million. Mr.. Reese said.
The county is expected to lose
another SIS million under opera.
ton Of the farm assessment Law
which requires that all farm LAND
be assessed on the basis of 1t.
use for agricultural purpose.
without regard for its value FOL
any other use.
Service Demands Rise
These reductions come at {
time when demands for count,
services continue to mount, tht
county manager said.
Every 81 million lost on tn,
assessible base cost the count,
some $20,300 in revenue.
Every $92 900 the country mus
pick up in revenues adds one CEN
to the general county tax rate
Mr.. Reese noted.
Recouping the revenues los
through the assessment Law
changes already passed coulc
cost taxpayers an additions
nine cents on the present tai
rate of $2.03 per 500 of assessed
valuation.
Council members yesterday
said Mr.. Reese called a tax or
gross sales the most equitable
tax on business houses. The in.
ventory tax. he said, permit.
large chains to hold back inven.
tory in warehouses outside the
counties.
Mrs. Stella B. Werner addec
that 1t also diScourages bust.
nessmen from keeping merchan.
disc on their shelves.
Alarm Expressed
Several councilmen expressed
alarm over the farm assessment
law which allows big reduction II
assessments on land nearest de.
veloped areas but allows fol
relatively small reductions or
upper county farms.
Assessment Supervisor Wiltor
T Allen, under questioning By
the Council, said he felt a better
approach to relieving farmer,
would be a percentage reduction
across the board on thorough
cash value assessments.
Grover K. Walker, in defense
of the intent of the farm assess.
ment law. said it was aimed al
providing relief for farmers
especially in Potomac and near.
BY areas.
Other Action
In other action. the Council
directed:
/. Carl M. Freeman, chairman
of the builders technical advisory
committee, to submit a propose
on coming that would establish
both average and minimum loI
sizes for developments in ar
effort to get dedication Of lane
for park and school sites.
2 Mr.. Reese to negotiate with
the delegation at Annapolis tt
remove a 5 per cent maximum
interest rate on bonds that coulC
be issued by the proposed revenue
bonding authority.
3. Public Works Director
Mason Butcher to get estimates
on benefits to property owner,
along Georgia avenue for side
walks installed by the State.
The council is considering
assessing AUDITING property own
ers for the sidewalks. The cos
of the sidewalks would be about
100000 and Mr.. Butcher hal
recommended that half the cos
in residential areas be paid By
the county.