Fayette County Leader from Fayette, Iowa on December 21, 1961 · Page 4
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Fayette County Leader from Fayette, Iowa · Page 4

Fayette, Iowa
Issue Date:
Thursday, December 21, 1961
Page 4
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Page 4 article text (OCR)

System of financing local Government not in step In it? !:'to"t p-oporty tax study. tlx 1 Iowa Farm Bureau says the system of finmu-inii local government hasn't adj-Mcd to keep pace with rapid clv.nsvs in the Iowa cmnomv. Released at a nsxrv: series of (ii>t"ict mrelinss. the r\-?»7t says n-opcrtv taxes a?v increasing th -ovghout the state. The property tax levy in the state has jumped from S176 million in 1950 to S353 million in 19G0. It is estimated that property taxes in 1962 will total $410 million. Tn declining population areas, the remaining property owners are paying more taxes. In increasing population areas, property owners are paying practically all of the costs for additional local public services. Farm people are hard hit by the tax. Farm population declined 11.5 per cent from 1950 to 1960 and farm income'declined 31 per cent but taxes on farm property doubled. Farmers receive only 15 per cent of the state's personal income but pay about 40 per cent or the property taxes. Owners of small businesses are also affected. They must pay taxes on their business real estate and personal property plus their homes regardless of the financial status of their business, and the future value of their investment-especially important in areas of declining population. The study reports the following breakdown in valuation of property in the state: agricultural land, building, livestock, and machinery, 47.9 per cent; residential lots and buildings, 22.6 per cent; public utilities, 10.7 per <!ent; mercantile lots and buildings, 7.7 per cent; industrial and mfg. real and personal, 4.6 per cent; and other personal property, 6.5 per cent. The money collected from property taxes goes to the following so'iroes: (averages for the state) schools, 55.6 per cent; cities, 18.1 per cent; countries, 16.5 per cent, secondary roads 9.1 per cent; and state, .7 per cent. In 80 counties of the state, farm property valuation was more than 50 per cent of the total valuation. In all but nine counties, farm property valuation was higher than any other type of property. The state average per capita p-operty tax after credits is $115. The state average for farm per capita property tax is $198 and for non-farm is $88. The main reason for this high farm per capita property tax is reit- Increasing the ."flies tax by one |)er rent would yield nn additional $X> to $40 aiillion annually. Increase the present individual state income tax to the 100 per cvnt rate and extend the sales tax to services this combination would provide about $30 million in additional revenue. Our present state income tax rate is 75 per cent. The study also listed other sources of revenue that would help but wouldn't provide the kind of revenue necessary to furnish significant property tax relief. These include: withholding system for state income tax; closing loopholes in our present sales and use tax structure, spreading the present sales tax to include some services; raising the corporation tax; and an increase in taxes on items such as cigarettes, liquor, beer, soft drinks, liquor books, juke boxes, bowling and trading stamps. RanolaLa /Vewd The Woman's Society of Christian Science will meet Jan. 3, in the church social room with Mrs. Dick Vargason and Mrs. Donna Johnson hostesses. Mrs. Kenneth Nading will present the program on Alcohol. Roll call is to be answered by current events in alcohol. The Thursday Reading Circle will meet Dec. 28 with Mrs. W. A. Schroeder. The program. Landmarks and historic sites in Iowa will be presented by Mrs. Leslie Davis and M r s. J. W. Frye. Roll call is to be answered with, "Name the landmark that you consider interesting." Center Township Homemakers held their Christmas party in the school gymnasium. Bunco was played with prizes going to Lyle Lamphier and Mrs. Gerald Davis, high; Delmar Sorge and Mrs. Raymond Clefisch, low; Mrs. Floyd Bark, bunco; Darwin and Dennis Sorge for the children. Mrs. Susie Oakes and Charles of Haze]ton were Sunday afternoon callers in the Lee Oakes home. Mr. and Mrs. Max Arthur of Oronomowoc, Wis. Mr. and Mrs. Vern Arthur attended the golden anniversary of Mr. and Mrs. Ed Meyer at Maynard Sunday. Mr. and Mrs. Ben Turner left Monday to visit their niece Mrs. Duane Barter and family in California. Their address is 9662 E. Angell St. Downey, California, i Mr. and Mrs. Frank Thyer, the large amofent of investment re- ^ Phillip and Debra were Sunday they packed Christmas boxes at Gloria Dobbs and went caroling. In training exercise Army Specialist Four Robert F. Blue, son of Mr. and Mrs. Earl J. Blue, Arlington, Iowa, recently participated with other members of the 8th Infantry Division and supporting units in Exercise Main Barge, a V Corps field training exercise in central Germany. The exercise, which involved some 28,000 troops, was designed to develop small unit leadership and test combat readiness. The 24-year-old soldier, a driver in Company C of the 12th Engineer Battalion in Dexheim, entered the Army in December 1959 and was last stationed at Fort Leonard Wood, Mo. He was graduated from Arlington High School in 1956 and attended Upper Iowa University, Fayette. Mystery farm is owned By Mrs. John Woods The mystery farm that appeared in the Nov. 30 issue of the Leader has been identified by the owner, Mrs. John Woods. The 220 acre farm is located five miles west of Fayette, on the new Maynard to West Union black top road. Mr. and Mrs. Nile Patton and family arc tenants on the farm, and they practice general farming. . Mrs. Woods and her late husband purchased the farm in 1940. Mr. SELL YOUR DON'T WANTS WITH LEADER WANT ADS 4- quired-by farmers in their business. However, the study asserts that ownership of property is not an accurate measure of ability to pay taxes. The study lists three alternatives to the continuing increase in property taxes-local government economy, improved budgeting practices and addition tax revenue for property tax replacement. Since the school costs account for about 56 per cent of the total property tax levy, possibilities for property tax replacement would be greatest in this area. School costs have been the major cause for the sharp rise in property taxes. However, the study points out that an important matter to be decided in this area is that additional funds for property tax relief will reflect reduced property taxes and not just higher schoof costs. The study lists three measures for bringing in substantial revenue for property tax replacement. Single Rate Net Income Tax- The total amount of net income would be taxed at a single, uniform rate, regardless of the size of net income. The net income referred to is the "adjusted gross income" as computed for federal tax purposes. A 1 per cent rate levied against net income in Iowa would yield between $35 and $40 million annually. Increase sales tax to three per _ * visitors in the Alfred Fett home at Monona. Harold Lynch of Arlington, Minn, visited from Friday until Sunday with his father Mike Lynch, and brother-in-law and sister Mr. and Mrs. Frank Edmonds.. Mr. and Mrs. Charles McBride and family attended the Odd Fellow Christmas party at West Union, Sunday. Mrs. Frank Edmonds and brother Harold Lynch visited Mr. and Mrs. Frank Nelson at Waterloo, Saturday. Center Do-R-Best 4-H girls met Saturday with Joan Lamphier. Roll call was answered by Christmas customs in other lands. Debra Zupke and Joan Lamphier gave a demonstration on cleaning. Wilma McBride gave a talk, "Your personality and you." They also exchanged gifts. Monday night With all our hearts we wish each of you joy this Yule season. UNIVERSITY CLEANERS Lillian and Lyle Robb Wot bi^mpfctf wftbout ~ i*»y«H»/ lorn SEE Good Tiding May the glory of the first Yule shine like the star of Bethlehem in your hearts. FAYETTE STONE CO.. INC. Phona 73 , Payette, Iowa ESS Woods died in 1958, and Mrs. Woods lived on the farm until last October when she moved to Fayette. She is a member of the Farm Bureau and the St. Francis- church. Average sales tax Information available The availability of a printed table, Internal Revenue Service Document No 5316, reflecting average state general sales tax payments by Des Moines residents was annoounced today by Ernest A Good wishes to our many good Datrons. FAYETTE SPEED WASH Larry, Nancy and Sharon Farley l.**rry Christmas and good wishes to everyone in every' land. MAURER'S SHOES AND CLOTHING Fayette, lewa W. Bacon, District Director of Internal Revenue at Des Moines, Iowa. "Taxpayers who itemize their deductions instead of taking the standard deduction on Form 1040 may find the table helpful in determining the amount paid for taxes during 1961," he said. Mr. Bacon stated that the law required taxpayers to substantiate any deduction claimed on their returns and, if requested, they must be prepared to do so. Ordinarily, however, they will not be asked to produce records to support the sales tax deduction claimed unless it exceeds the amount shown in the table. He pointed out, in this connection, that the tabulated average state general sales tax payments take into account taxes paid on large household items and automobiles as well as payment of compensating general use tax on out-of-state purchases of taxable commodities. Therefore, taxpayers, who wish to determine their total general sales tax payments by adding taxes paid on their major expenditures to taxes paid on their ordinary purchases, should not use the figure in the table as a measure of their sales tax payments on ordinary expenditure*. Taxpayers who have questions on this subject may telephone their nearest Internal Revenue office, or a local tax consultant. Warning, deer crossing D<"er casualties on the highways not only take a heavy toll of the Iowa deer here, they are mighty hard on cars as well. With the hc-d now numbering around 23,000, it behooves every driver to take special care when driving at night, keeping a sharp lookout for shadowy forms and shining eyes that indicate the presence of deer. Conservation Commission field men report that in many cases, the vehicle operator saw the deer in plenty of time to stop, but thought the animal would stop or go anywhere except across in front of the car. There were 546 deer killed by autos in 1960. There will be more this year. We have no record of the damage to cars, but it must run into thousands of dollars. When you see, or think you see a deer on the roadside, slow down for the deer's sake, and your own. 100 Mrs. Minnie Huser of Sac City recently celebrated her 100th birthday. We sing the praise of Him on this His birthday and wish you greatest joy with family and friends during this wonderful holiday season. DR. AND MRS. PAUL G0URLEY Phone 82 Fayette, Iowa CHIROPRACTOR r With one accord we lift our voices to sing our warmest wishes that you may Ipye^ a hoUdayithatisMei 1 ^ |w|hio*an4'hag^ ndss andijove, • " :• \ 'V' *' * !«EWIS 3,c TO %i i<K> " '1|

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