Journal: Bibliotheca Sacra
Volume: BSAC 54:216 (Oct 1897)
Article: The Taxation Problem In Chicago
Author: Edward W. Bemis

BSac 54:216 (Oct 1897) p. 746

The Taxation Problem In Chicago

Edward W. Bemis

The writer once heard President Andrews, of Brown University, remark, that of all the reforms tending to increase the beneficial influence of government, the most important would be that of taxation. Whatever may be thought of our methods of raising national revenues, all are agreed that local taxation, by which is meant taxation by states, counties, cities, townships, etc., is in a perfect chaos. Light seems to be breaking, to some extent, in Pennsylvania, and among those who have made a study of the writings of Professors Ely and Seligman on the subject. Nearly all of our States, however, still adhere to the system which worked very well in the early part of the century, but under the changed conditions of the present is rapidly breaking down. In accordance with this system, which once, also, largely prevailed in Europe, nearly all local taxation is raised by a supposedly equal rate of tax on all property, whether land, buildings, horses, cattle, etc., which can be seen by every one, or on stocks, bonds, notes, money, furniture and goods, which can easily be concealed, or whose value it is difficult to estimate. With the growth of wealth, the importance of these latter forms of personal property increases. The opportunity for evasion of taxes, and consequently for an enormous inequality of public burdens between individuals and various social classes, rapidly increases. Cities, possessing a larger proportion of intangible property than the country districts,

BSac 54:216 (Oct 1897) p. 747

escape their proportion of state taxation. Likewise the wealthy conceal a larger proportion of their possessions than do the middle classes. The poor may pay no taxes directly; but, through increased rents and other expenses of living, they too are unequally burdened.

If to this common evil of American local taxation there is added almost equal inequality in the assessment of real estate, as is conspicuously true in Illinois, universal demoralization prevails. Ideas of justice and fair play are obscured, and business men of ordinary and even extraordinary character vie with one another in so corrupting the assessor as to secure ridiculously low and unequal valuations.

When the various townships now forming Chicago were united to it, they retained their local assessors; so that there are now over half a dozen different taxation districts which assess property independently of each other. The assessment must be made in May and June, which is too short a time for any careful study of valuations. . To be an assessor for two years establishes one’s financial credit ever afterward. The assessor’s subordinates in the different sections of the city are appointed under the spoils system. The...