Show The Railroads And Taxes I INo No small small contributor to the pre pre- present pre pre- present present sent plight of the railroads is their tax bill It has grown constantly during long years of small and de- de declining de declining clining dining earnings until now it is an intolerable burden on the lines Jines and increases th the price of all commo comma commodities commodities which are shipped by raiL Between 1900 and 1913 railroad taxes increased per from cent cent from I to This increased was va largely offset offet by earnings In 1913 taxes represent represent- represented ed 38 per cent of gross oss revenues and per cent of the th net Be- Be Between Between Be Between tween 1913 and 1931 taxes took an another another other per cent jump and in inthe inthe the latter year ag aggregated e ted 73 73 per cent of the gross and per cent of the net In the fir first t six months of the current year ear taxes accounted for 9 per cent of or the gross ross and gov- gov government gov government ov- ov received 32 per pcr cent more railroad money than the lines had to spend for meeting interest char charges es A business which has to pay six six- sixty sixty six sixty ty or more per cent of its net in taxes offers little attraction to the th investor It is an industry which cannot find the funds necessary for expansion and improvement It is isan isan isan an industry which must cut its payroll to the bone bonc not willingly but because it simply hasn't got the money When this his occurs in inan inan inan an industry of such great importance citi- citi citizen citiZen citi citizen tance lance tance as the railroads every zen feels the unfortunate result There is much talk of a new transportation policy nowadays in which a changed tax policy must I he be a major factor Every industry feels the weight of excessive tax tax- taxation taxation tax taxation everyone realizes the need for ri rigid id government conomy- conomy conomy and the railroads arc are in one of the worst positions of all aU |