Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-01-20


The hearing is scheduled to
of County Supervisors expects t.
and civic groups and individual
tax should be imposed.
AS advertised, the ordinance
would levy a sliding scale of
license taxes on all types of
businesses and professions. The
proposed rates per 500 gross
receipts are as follows in the
different categories:
Retail merchants. 20 cents;
wholesale merchants, Is cents;
professions. 80 cents; contrac-
tors, 20 cents; personal services,
80 cents; repair services, 80
cents: amusements, so cents and
manufacturers, is cents.
These rates are slightly high
er than those now in effect in
Arlington County, and lower
than those in Alexandria.
The proposal represents the
first time Fairfax County has
undertaken to levy a general
business and professional license
tax. Only a few regulatory taxes
on special types of businesses
have been imposed in the past.
Spurred by Citizen Group
PRINCIPAL support for the new
tax program comes from the
Fairfax Federation of Citizens
Associations, which last May
suggested such tax to broaden
the county's tax base.
Among the opposition are bus
inessmen, professional groups,
the Chamber of Commerce, the
Springfield Franconia Commit
tee for Economic Development,
the Metropolitan Retail Gasoline
Dealers Association, contractors
and a new organization called
the Countrywide Committee for
Fair Taxes.
The civic federation has not
taken formal action on the spe-
cific tax ordinance under con-
sideration. but President Bun
Bray said a spokesman would
appear at the hearing to indorse
the business tax generally.
1t was after the federation
made its initial suggestion last
May that the Supervisors had
the ordinance drafted by the Bu-
reau of Public Administration of
the University of Virginia.
Protests Diversified
The opposition has criticized
the proposal for several reasons
There are some opponents who
say the tax is unfair because it
is based on gross receipts. 1t has
been stated that all businesses
in one category do not have the
same amount of overhead, there
fore some will be paying taxes on
a higher percentage of their net
income than others.
Drafters of the ordinance &C
knowledge this weakness in their
original report. but advised that
it was impractical to attempt to
key the tax to net profits. a
method which. although con-
sidered fairer. is difficult to adj
minister because it requires close
auditing of each return. The Ar
lington, Alexandria and Falls
Church business license taxes
are all based on gross receipts.
Details of the ordinance have
drawn some of the bittereSt crit
icism, and county officials frankly
aren't prepared to answer al tn
questions raised.
One section, for instance, would
apply the professional tax to all
professional people, whether they
were in business for themselves
or worked for someone else. All
the engineers at Melpar, there
fore, would have to pay the tax,
according to County Executive
c. c. Massey.
Careful Scrutiny Urged
One of the closest scrutinies
of the proposed new tax has
been made by William c. Simms,
chairman of the steering COM
mittee of the Springfield Fran
coma Committee for Economic
Development.
In a letter to The Star, Mr..
Simms analysed some of the
laws possible implications and
said I'VE hope the Board of
County Supervisors will care
fully scrutinize the language of
the proposal and also consider
the long-range effect this law
may have on the economy of the
county and the taxpayers gen.
orally"
OF the section imposing the