Milford chronicle., 1958-05-16
MAKE TAX DODGERS PAY

MAKE TAX DODGERS PAY
Taxes are one of the biggest problems
facing the people of the United States. Ma
tional defense depends on them. They take
huge bite out Of the earnings of practically
everyone Socialized businesses which es-
cape taxation add to the burden of every
taxpayer. For that reason the following fig
ures are of interest. They are representa-
tive of what large and small private cleo
trio companies pay to support government.
The Pacific Gas & Electric Co. of Califor-
MIA in 1857 paid tax bill Of $128 1888, 900
or 26c out of every dollar of the cOmpanV's s
income. The Federal income tax alone ac-
counted for $65 5,278,0 900. All the highly tax
ed private electric companies OF the United
States paid approximately the same proper
tiOn of their earnings in taxes for a total
of we'll over billion dollars in 1857. Con-
trast this with Federal and other public
owned power projects which pay no Federal
income taxes and which escape most or all
of other taxes.
1t is favorite practice for advocates of
socialized power to say that the private cleo
trict industry does not pay taxes, it merely
collects them from its customers by adding
them to its bill. One might just as well say
that no business pays taxes, or that work
man does not pay taxeS-that they simply
add their tax to the price of their product
or service ard collect it from their customers
or employers. Customers of tax-exempt pub
lie power plants escape the. taxes which the
private electric industry must collect from
the users of its service. Therefore the users
their just share of the cost of government
and loading increased burdens on to other
taxpayers.
When both Federal and local govern
ments are scraping the bottom of the barrel
!, for tax revenue, there is no reason why this
unfair tax-exemption of public power plants
should be longer continued Such plants now
furnish over 20 per cent of the power pro-
duced in this nation. If their customers paid
their Just share of taxes for electricity used,
government would be collecting upwards of
$500 million year in new revenue. Why
should there be tax exemption for privil-
eyed class of customers in these critical
times?
(. Ns>oNs
THE PRIVATE COLLEGE
The private colleges in this country, most
of them small, have been struggling in re-
cent years to keep their heads above water.
There are isolated examples of course, where
private colleges are richly endowed, and
where money is no problem.
On the other hand, for the majority of
them, the economic battle is their most diff
cult one.
One thing many people do not understand
is the fact that private colleges save them
tax money. For example, if all college stu
dents went to state universities, the load on
these universities would be far greater than
it is today.
1t is known fact that it costs so much
per student at state universities, and if the
student load were increased tremendously, as
it would be if students in private colleges
were to go to state universities en- masSe,
then the taxpayer would have to finance the
added cost. As it is, various private groups,
churches, etc., finance the salaries of the staff,
and all other expenses of the private col
lege, which does not receive any tax money
from that state whatsoever.
And, when one realizes that most of the
country's Presidents, and most of the top
leaders of industry, are graduates of small,
liberal arts colleges-despite the fact that
greater number of students are graduated
from state universities-one can appreciate
the contribution of these small colleges in
our scheme of education in the United States.
~ZoN%
AS IMPOSSIBLE AS YOU CAN GET
The Office of the Internal Revenue Conn.,
missioners has ruled that electric power
companies get beyond the bounds of business
operation when they campaign, through ad
vertising or otherwise, in the interests of
the nations independent power companies
as a group opposed to Federal power opera
tions such as IVA. We cannot conceive of
such an order standing. We can conceive of
it having been issued, simply because this
day and time has brought us the ability to
conceive of anything. Nothing is impossible.
But for respective branch of the govern
ment of the United States to maintain free
enterprise unprivileged to argue for its own
existence and against influences which would
penalze or ruin it, strikes us as about as i'm
possible as you can get. 1t is no less absurd
than it would be for the mentally disturbed
iurist to rule that a power cOmCany could
not employ an attorney to defend its rights
in court.