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About Omaha daily bee. (Omaha [Neb.]) 187?-1922 | View Entire Issue (June 30, 1912)
D THE OMAHA SUNDAY BEE: JUNE 30, 1912. s t c TIMELY REAL ESTATE GOSSIP C. F. Harrison Eeads Report on Tax ation' Before National Meeting. PLAN BOULEVARD ABOUT CITY Omaha and Conncll Blmffa Are to Be Encompassed by BonleTarda Now Being Planned by Park Commteaionera. One of the Interesting and instructive papers read at the convention of the Na tional Association of Real Estate Ex changes at Louisville was that of C. F. Harrison, member of the executive com mlttee and a leading" member of the Omaha Real; Estate exchange. Mr. Har rison was chairman of the committee on taxation, which drafted the following re port read at Louisville by him: 'That the taxing power is of vital Im portance; that It is necessary to the ex istence of government, are truths which it cannot be necessary to reaffirm." This statement of Chief Justice Marshall in an early tax case was quoted by Judge Brewer in a late tax decision and ex presses a vital truth. . "When I connlaer the amount of litera ture published on this subject; the num ber of experts engaged in trying to solve its difficulties, to say nothing of court decisions, statutes . and administrative methods proposed, I realize the difficulty of adding anything of value on the sub ject ' , "This body of men, which probably con trols, as agents or owners, the majority of the property which pays two-thirds to three-fourths of all the direct taxps in this country, ought to be interested in this subject; Strange to say, although we claim to be experts and to know some thing of all the facts relating to our busl ness, as a matter of fact we know very little about this one item of taxation, although It has a very controlling influ , ence on the value of real estate. From, reliable sources I learn that from one sixth to one-twelfth of the gross Income of all Improved real estate goes for taxes; that is, one to two months' rent is re i quired. The tax item is usually larger ' than any. single item of expense. Conditions Affecting Business. - "At no time since the foundation of the government has there been so much dis cussion upon the fundamental things per taining; to organised society. The gne- i cess in our particular line of business ' depends not only upon our special know! edge of it, but also upon those more gen- eral conditions upon which our business depends. We suffer at times, not because special conditions affecting us are bad, but because general conditions are un certain. While we are not directly Inter ested in the tariff question, yet the lower ing or raising of tariff revenues affects us. The tariff is the source of national revenue, paid indirectly by the people. The shifting of the tariff or the changing of the national revenue system affects conditions in the whole business world. When such changes are made, involving such large matters, all business must be adjusted to the new basis before normal conditions prevail. Our business, white a distinct and segregated one, requiring particular expert knowledge, is not segre gated in the. sense, that it is not affected by the conditions affecting all other bus! neas. -, me national organization is an attempt toVjalse the real estate business to a national " plane, taking it out of its strictly local conditions. This organiza tion should know general conditions. In doing so .we cannot ignore the fact that the old order of things, not only in taxa tion, but in other matters of government, is being questioned as never before in our history. In taxation the old order Is passing and a new one being Instituted. The general property tax is giving way to scientific methods of taxation. In some states, notably Wisconsin, California anti Oregon, new methods have been applied to the new conditions. . System of Tnxntlon. "Ohio, In adopting a new constitution, had an .opportunity to change the old or der, but I understand not much change was made in taxation. Missouri is pass ing this fall upon the single tax. Ore gon has local option In taxation. Local option, it was contended, was in contra vention of the constitution of the United States', which , provides that each state shall be guaranteed a republican form of government. The supreme court, how ever, holds that this provision is not in fringed upon by state local option law, but that the question is a political one. A state has power to pass such a law. The people themselves of the state must determine whether it is wise " or unwise. In othr states It has been proposed tj classify property; that is, to put different rates of taxation upon different kinds. Classification has also been passed upon by the supreme court and declared not to be in contravention of the national constitution, the supreme court saying that the United States does not guar antee to each state equal taxation. It is within the power of a state to deter, mine methods and rates of taxation. These revenue changes In the state gov ernments are not only radical, but funda mental." "The inheritance tax ha3 now become a fixed tax in many states. The state has power also to levy an income tax, although by a decision of five to four, the United States supreme court held that the national government could not lay such a tax. The states, however, are not restricted In this respect. Wisconsin, as far as I know, is the only state which has an income tax. and it Is an experi ment. Naturally it will take time to get it adjusted to the taxing system. Per sonally, I am not prepared to condemn or to commend some revenue proposals such as the single tax. I, however, quite agree with Mr. Frederick, who said, 'In substance, last year, that whatever opin ion one might have of the Henry George theory of the single tax, it certainly was true that there might be an increase In taxes on vacant property and be a some what diminished tax upon the Improve ments placed on the same. In other words, as far as possible, refrain from penalizing the investor who improves his property. "A word more and I am through. Most Be Experts. "Our most important concern, as mem bers of the national association and as individuals, is primarily to become ex perts in order to render a real service to our clients. Secondarily and reinforcing the first, to know those collateral things of wider range upon which our business mdlrectly depends. The most important of these larger things are government and taxation In my Judgment there has been, and is, a wrong conception of these things and this wrong conception has gotten Into the very structure of our laws and court decisions. Government has been conceived as something Imposed upon us by an outside power, antagonistic to our interests instead of something which we control and have imposed upon ourselves. The very nomeclature of the books con veys a wrong conception of a tax. It defines a tax a, a 'burden . or charge Imposed upon persons and property for the support of government.' '.'It Is easy. to go from the word impose to imposition. No such meaning , ought ever to have been given to taxation. It is not in any sense an imposition except when it is unusual and unfair.'' It Is a 'necessary thing which every good citizen impliedly agrees to. - ' ' ' "Lastly, in my judgment, the way , out of these tax difficulties is not along the way of stringent laws with affidavits at tached to returns, ferrets and tax of ficers prying into private affairs. It is conceded that these methods have abso lutely broken down. Better Valuation Plan, "The way to tax reform and abundant revenue for all needs of our modern civilized life is along the way of scientific valuation of property and the application of fair and equal tax laws under mod ern conditions and an appeal , to the moral sense of fairness In the American people. In my judgment the first step In the right direction to get better condi tions is to abandon the antiquated con ception of government and taxation, namely, that they are naturally antago nistic to the individual and his rights, that the one should be opposed and the other escaped if possible, taking the broader and better view, namely, that the government Is nothing les than a con venient form for 'the expression of the people's will and taxation a vital neces sity of organized society without which the fabric of government wou fall. Res pectfully submitted, "C. F. Harrison, Chairman, Omaha, "C. A. Bingham, Cleveland, O. "William H., Harwood, Des Moines, la. "Henry C. Boehmer, Cincinnati, 0. "J. A. Stebbins, Fresno, Cal. "Evan J. Lester, Philadelphia, Pa. "D. P. Black, Pittsburgh, Pa., commit tee on taxation." TI 1 IL 5UILDDB3 Some Pointers on Paint By Arthur 0. Clausen. A BOUT the first thing in the new home which shows de fects Is the paint and varnish. Any one of a number of things can be the cause of the paint and varnish troubles. WMle the failure of paint or varnish to stay on la often laid to the material. It is as often the fault of the man who applies It as It Is the fault of the man who manufactures it. Assuming that the paint is a first-class article. It will In most Instances permit of slight adulteration, with pure raw oil, never, however, to exceed one quart to the gallon on dark colors, with a smaller quantity for light colors. This makes it flow a little easier, and paint should al ways flow easy and be brushed on, for If put on too thick. It will invariably crack and peel off. This Is one reason why it Is advisable not to put on move than two coats the first year, Including the priming coat. A paint on outside new wood wet k has a tendency to shrink, making a cracked surface very similar to the crazed glazteg on an old china plate. Water and dirt get in through these cracks, soaking into the wood, and dark ening the color of the paint, and for this reason, the third coat should not be put on until about one year after the com pletion of the building, so as to fill up these microscopic cracks. While it Is not possible, in public print, to state which manufacturers make poor paint, and which make gocd paint, the buyer is safe when buying paint that has the contents specified on the label of the can. Several of the better class manufacturers follow this custom for, as they truthfully point out, having nothing to hide, they are glad to let their customers- know what the paints contain. The superiority of one paint over an- mi l.i Ji a uu in niiinV.iiinitiiii 1 1 1 1 1 We certainly have convinced jw in former ad vertisements that Home Builders' Preferred $1.00 Shares are profitable. They are guaranteed to pay t per cent Interest in addition to a pro-rata share ol Builders' Profit , . '' We want to demonstrate by facts that shares are not only PROFITABLE, but ABSOLUr. LY SAFE, because Home Builders' funds are all In Tested in mortgages on new homes built by us tor home buyers. , . t : -, This Means 1st No loans are made by Home Builders to Specu. Inters. Jnd No loans are made on old buildings Jrd No loans are made to those compelled to Bor row, because of adversity and perhaps un able to make the monthly payments. 4th No loans are trade on the owner's valuation . or any appraisement. We know the value or every security and have a personal knowledge of exact amount invested by the owner, be cause we put up the dwellings. New Way," explains fully Home Builders' plan ana Home Builders Is Safe Our booklet, the HOW TO SECURE A HOME. HOME BUILDERS (IXC.) AMERICAN SECURITY COMPANY FISCAL AGENTS .. f" 800 South 17th Street. Both Phones 3867. Office Open Saturday Evenings Until Nine O'clock. other paint is not because of any secret processes known by one manufacturer, and not known by another, but simply because of the difference In cost, propo: tlon and quality of the raw materials used In mixing. Paints with a large percentage of sine in them are better than those contalning lead only, in addition to the other in gredients. Never thin out paint with turpentl.ie Always use the best quality of linseed oil. Be sure that the priming coat and each succeeding coat is thoroughly dry before applying the next coat. While a good paint appears dry In about twq days a better job results from allowing It to stand for about ten days before applying on too thick or on wet or damp wood, the next coat. Even good paint. If put will peel off. v. MR. CLAUSEN'S BOOK "The Art, Science and Sentiment of Homebuilding." Thirty ohapters, 300 illustrations. It oovers a wide range of subjects, including the planning of bunga lows, suburban and olty homes, costing front ,000 to 100,000, let ting oontraota, loosing materials, proper design of enttanoe, win dows, fireplaces, etc Mew third edition. Frloe, postpaid, $1.00. Address, Arthur O. Clausen, Architect, 1138-37-38 lumber Ex change, vSOnneapoUs, Minnesota. ..,3K.T?..'; mf&m 1W Hot Weather Specials Alaska Refrigerators Choose now while the line is complete. Either zinc lined or white enameled. ,; $0t5? to $36 Cash or ments. easy pay- t ' Acorn Gas Ctoves . . .J317 to;934 Lawn Mowers . . . $2.25 to $16.50 North Pole Ice Cream Freezers . . . 1 qt. $1. 2 qt. 91.25, 3 qt $1.65 Rubber Hose, Warranted ... . IOC to Zoo per toot JOHN HUSGIE HARDWARE CO. 2407-09 Cuming St . "If you buy It of Hussio, It's right." P Tl, ' uoun 1888-V "91 8 mast Thtwo , - m'Bn mmwa t.H ' pjpToe eouepaoMjoo Tno lorsna M. Moioiatuoa juftet pea.iaja.ia jo aursti A pus 'sutrtd JinoaC n pues samoM nu Junf a ss paeiirsjvnS iiewtasq. ayep-oj-dn ujapooi J. anais lWp") -ou.naii nnmnmH f 1I . J-M5t-"-"" -mum A House of Brick 1. Is safest investment. 2. Is more beautiful and stylish. 3. Does not depreciate. i 4. Is warmer in winter; saves coal. - 5. Is cooler in summer. 6. Has but little selling competition. 7. No painting expense. 8. Minimum up-keep and repairs. 9. Costs only 10 more than frame. ; 10. Proves owner's judgment. 11. SUNDERLAND BRICK IS BEST. icwn-rl Hi' !.'. t. I ! ....... . a TIL j r- 4CIXCHErn I ( J j ' f iilfS fen... I . I .g lo , i i pa nil I 4 fflhTmHALL I II 4 8n Trww' i i r-ni s u i a ii in i w i ii m r m K il ffl 11 ti I I J T t.ec O 'H EH -O a- fWI f fBOXB Y08R CONTRACTOR cwy It lajruras MtMaetorr eaipletlo& of , I Work aeoerdims; to contract RATIONAL FIDELITY & CAIOUn CO. NATIONAL FIDEUTT CAtVALTT BLDO. ' - ' - L -)lanbaj seArA ' y7 ais Anchor Fence Co., 207 North 17th street 5 Now is the time to order fence. We sell all the popular flTs ana staphs In Iron, Iawn and Garden Fencing at the lowest pricea JDrder ,now ahead of Trellises n.aae to oraer. Tetophoa. Bed ila. ..! Ladies invited Visit our display of Mantles, Fire places, Andirons, Gas Logs, Fenders, Grates, Fire Sets. NEW STOCK JUST IN Little rooms with actual fireplaces show just how these goods would look in your own home. ' TILE FLOORS We contract for large and small tile floors. Low cost. High quality. SUNDERLAND - 1614 Harney - Phones D. 252 A-1252 EJ Flags Flags Flags Flags Flaj Flags Flags Flags Flags Flags Flag Flags Flags Flags Flago for tho Fourth The best way to show your patriotism on tho Fourth Is to decorate your porch with flags. . Give your children a chance to show their patriotism by providing them with the Stars and Stripes. We sell flags of all alien. .Telephone Douglas 338 and we'll deliver them promptly. Scott Tent and Awning Co. 814-16 So. 12th St. Tel. Donglaa 83, Flags Flags Flags Flags Flags Flags Flags Flags Flags Flags Flags Flags .Flags Flags Weather Made to Order A Cool Lake Breeze in Your Office or Home all Summer with an Electric Fan l 'S&ii'STe i-i 4 , "? fan. i. vs. -4raliVflr .'Ami. -v. "v 12 a v wv- PIP 1 Building Loans Money' to loan to build houses, to Improve property or to pay existing loans. Borrowers may pay from 10 to 20 per cent on loans on interest dates. Inter est ceases on amounts when paid. Loans closed promptly, your business solicited. IV. H. Thomas 501 First National Bank Bldg. SBB The hot summer days are -here, but there's no need to suffer if you have one of our easy running, quiet electric fans installed in your home or office. All that is neces sary, is to turn on the switch and you have that cool, comfortable breeze that people go miles to get.J If you have one of our noiseless "Emerson" Electric Fans In use at your home or In your office, you can pursue your daily labors with ease and comfort. fact, you can have weather made to order, are meeting the current prices with a superior inch noiseless residence type fan 810.75 inch noisaless fan for home or office. .16.Gu 16-inch Oscillating noiseless residence typo fan at $20.00 BURGESS- GRANDEN ELECTRIC CO. Next Door to Gas Office, 1511 Howard St. Phone Douglas 353 Residence. Harney 4282 E. J. DAVIS HEAVY HAULING 1818 Farnam Street Omaha, Nebraska. A BBB WANT AD will rent that vacant house, fill those vacant rooms, or cacur. boarders on short notice, at a very mail cost to you. Be convtnecl FINANCIAL STATEMENT OF THE J OMAHA LOAN AND BDILDII1G ASSOetATlOH JULY 1ST, 1912. ASSETS Loans on First Mortgages $4,632,826.00 . Loans on Association Shares of Stock 97,071.05 Interest Due from Members 4,265.56 Ral Estate Acquired Through Foreclosure . . . . . . 10,826.86 Foreclosures Pending 3,620.84 Furniture and Fixtures Home Building ... Contract Sale Douglas Block. Sundry Persons and Accounts 150.25 152,515.20 31,500.00 2,190.29 Cash on Hand and in Banks 251,225.04 LIABILITIES $5,186,191.11 - Running Stock and Dividends $4,515,271.69 .. . , Paid Up Stock and Dividends 365,716.32 Due Sundry Persons on Account Incomplete Loans 165228.26 Reserve Fund 107,955.05 ' Undivided Earnings 32,019.79 $5,186,191.11 -'. Increase of Assets during fiscal year ending July 1 at 1 9 1 2 .$793,421.86 Dividends paid to members during year ending July lwt, 1912 ..$250,140.71 Increases in Reserve Fund and Undivided Earnings .. ..$ 21,4.02.44 The Omaha Loan and Building Association Is the oldest savings institution in Omaha, and one.of the largest building and loan associations in the United States. During; the past six months we .made $7S loans, amounting to $734,400.00, of which 125 were for the purpose of erecting buildings, the remainder to purchase houses already built or for other purposes. V', .,'.''; The ease and promptness with which loans are secured, coupled with the low rate of" Interest, makes it possible for the average man of moderata salary to secure a home of his own within a few years. Loans made on the monthly payment plan at the lowest building association rate. - : , Officers and Directors.' ' - ? O. W. Loomls, President. J, T. Helgren, Ass't Secretary. VV. 8. Wright, Vice-President. - A. A. Allwines, Ass't Secretary, ir. ? : -vi.M. W. R. Adair, Secretary and Treasurer. ... F. H. Gaines, Counsel.' . f, i v'4 John H. Butler. E. A. Parmelee. - . . ; J- Dlnulng. , , W. Scott King. M. M. Robertson, " Charles E. Black.i ' v v f r " U.-'- J I I ' -,. .,.,. . , w . w . . i vr - v,HHHHSNSMHeBBBHMiviejawn u j. - . l bsibbsj.bsbbjbi. 1 1 . a .- ij.n 1 1, i