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INCOME TAX BILL IS FAGING DEFEAT BY GOMMITTEE Uniform Mill Rate or Sur-- vey Commission Likely OPPOSITION IS STRONG From a two and a half--hour dis-- cussion of the measure in the Muni-- cipal Law Committee of the Legis.a-- ture yesterday, it appeared provable that the bill to abshsa municipal in-- come tax, sponsored by Arthur Ellis (Conservative, Ottawa South), will be voted dowr at the mseting of the commiitee next Weodnesday. Opposi-- tion was expressed to the abolition of income taxes by deputacions from towns and cities, and other organiza-- tions. A majority of the committss seemed to be oppased to the bill, tco. What will more likely emerge from the discussions will be establishment of uniform mill rate for incomes in all municipalities, or the creation of a Commission to study the whole question. Represcntatives of most of the municipalities, boards of trade, etc., approved of an equaliza-- tion of the rate at which incomes skould be taxed in the var.ous com-- munities. At present the tax raie on ircomes differs in municipalities ac-- cording to the rate on realty. Most speakers for the deputations also favored the appointment of a Com-- mission to .study the problem thoroughuiy . Only to Pay Once. Hon Leo. Macaulay, Provincial Secre-- tary, and Chairman of the commit-- tee, stated that the bill would be further discussed and voted on at the next meeting. One anomaly of the present Municipal Income Tax law, protested against at the meeting by John D. Spence, K.C., will be cor-- rected by an amendment to the act to prevent a citizen having to pay twice on the same income on mov-- ing from one municipality to another. An amendment to this effect was in-- troduced in the Legislature by Mr. Macaulay later in the day. Opposition to Mr. Ellis's bill was expressed by the following represen-- tatives of municipalities: Mayor Pee-- bies of Hamilton, Alderman Stern of Brantford, Mayor Wright of Kings-- ton, Mayor Bezeau of Kitchener, Mayor Lang of Smiths Falls, Mayor Stewart of Toronto, and George Hurst of the Toronto Assessment Depart-- ment. J. Buckley of the Trades Council also opposed the bill, while F. D. Tolchard of the Toronto Board of Trade, F. P. Heeney of the Hamil-- ton Board of Trade, and J. M. Mc-- Intosh of the Canadian Manufactur-- ers Asscciation, urged the advisability of a survey of the tax situation by a Commission. Hon. James Lyons eXx-- (Continued on Next Page.) Mr. EBliis stressed particularly the unfairness of varying rates on income in different municipalities. If it was felt that abolition of income taxes would injure the small property owner, the statutes permitted mu-- nicipalities to exempt houses up to ta certain value. He urged the com-- | mittee to look on the question not Ifrom the point of view of their par-- | ticular communities, but from the point of view of the Province as a whole. The income tax, he declarsd, | was putting up a wall against indus-- | try in Ontario. The salaried man, he continued, paid on 100 per cent. of | his income, becauss the returns wors | made by employers. The wealthy 'man, he added, makes his own rc-- | turns. MHMe concludsd by urging the | comuinittee noat toa pay too much at-- | tention to Mayors and Assossment lCommisshnsrs, but to consider | whether the tax was equitable or un-- | fair. pressed the opposiucii our sauiy ow. Marie to the bill. Mr. Ellis had to run the gamut of a quickfire of interruptions when he first spoke in support of the bill. His contention that there were 422 mu-- nicipalities not now enforcing the income tax impost brought forth the objection that many of these mu-- nicipalities were rural and the num-- ber of taxable incomes negligible. Varying Rates Unfair. Brig.--Gon. D. M. Hogarth (Conser-- vative, Port Arthur) read a com-- munication from the City Clerk of Port Arthur deoclaring that "the in-- come tax is the most vexatious we have. Those on a rogular wage are caught. Others escape." Basis for Opposition. Opposition to the bill from various members of the committocs was based mainly on the necessity of this source of revenue to municipalities in view of their present commitments, espe-- clally in such abnormal times as the presont and the undus burdon the abolition of income would throw on the proporty--ownors. Mayor W. J. Stewart of Toronto saild the city appreciated the fact that Ontario had allowed this source ol revenue to municipalities, whereas in some other Provinces it was levied A mecting of the representalives of municipalities held prior to the com-- mittes meeting elocted Mayor Peeblies of Hamilton as Chairman. He intro-- duced the other speakers. He pointed out that abolition of the income tax would mcan a loss of $300,000 rev-- enue to Hamilton. as a Provincial tax. Removal of in--| come tax would mean an increase of 2%, mills in Tcronto. 'His Worship| explained that Toronto already ex--| empted the small home--owner, which | meant a loss of $60,000,000 in assess-- ; ment. Removal of income tax would | mean a loss of another $80,000,000 in : assessment. He suggested a thorough | study of the tax question by com--| mittece or commission before action is | taken. | Assessment Study Also. This study should include not only taxation but the basis of assessment. George Hurst of the city's Assessment Department, stated that of 27 cities in Ontario only one did not levy income tax and of 145 towns only 28 failed to tax on incomes. The municipali-- ties which did not tax incomes were nearly all rural townships. He depre-- cated the proposal to shift the bur-- den of taxes from those with ability to pay to others. Instancing Forest Hill Village he declared that 80 per cent. of the income tax was paid by 200 people. cent. of the income tax was pald DY Following the decision of the Ap-- 200 people. $ pellate Division of the Supreme Court Mr. McéIntosh of the Canadian of Ontario handed down yesterday Manu{acturers' _ Association _ stated morning, declaring that six of the ten that a canvass conducted among brokers arrested in the sensational members indicated that 30 to 1 were raids on the morning of Jan. 30 of in favor of Mr. Ellis's bill. The main last year had been properly tried and objections to the present law were convicted in the Criminal Assizes be-- based upon the inequalities in differ-- fore Mr. Justice Jeffrey, the appel-- ent communities of the mill rate ap-- lants, William J. Smart, Maurice Z. plied to incomes. F. D. Tolchard of Young, Donald S. Paterson, Austin R. BPe ie ennnmnonm mm mmnmitnitiinte uces , m Campbell, Malcolm Stobie and Charles the Board of Trade presented. thiJ. Forlong, during the afternoon were resolution passed by that body askinj taken to Toronto Jail to await re-- for a commission to investigate th moval to Portsmouth Penitentiary to Mr. McéiIntosh of the Canadian Manufacturers' _ Association _ stated that a canvass conducted among members indicated that 30 to 1 were in favor of Mr. Ellis's bill. The main objections to the present law were income tax. ) 9 s telue pfie en le e c on e in en ns | begin serving their sentences of from h two and one--half to three years. For some time, such action is said to have been under consideration b the Government. Two years ago, D1 J. W. S. McCullough, Chief Inspec-- tor of Health, made a Province--wide survey of the neglected cometeries, and the conditions he found to obtain and reported upon, are said to have figured largely in the step the Gov-- ernment is now taking. Little change, if any, will, it is un--| derstood, be made in cther sections of | the old act, for it is not required,. The Globs is informed. What is | needed is adherence by the munici--| palities to the law's provisions. The proposed administrative commissions | are for the purpose of securing thatf adherence in future. Appointment in every county, and in any other municipal area over which the department may see fit to extend its jurisdiction, of a com-- mission, or administrative body, to administer the cemeteries in its par-- ticular territory--to see that the re-- quirements of the Cemeteries Act are fully carried out by the municipalities involved--and to determine what penalties should be imposed for failure of the municipalities to live up to regulations, is, it is reported, author-- ized by the new legislation. Dsfinite action toward a general clean--up of the hundreds of noglected cemeteries to be found in the Prov-- ince of Ontario has, it is understood, been set in motion by the Depart-- ment of Health under Hon. Dr. J. M. Robb. Legislation amending the Cemeteries Act--a bill of which the Health Min-- ister has already given notics and whose appsarance is expecied in the Houss at an early date--provides, it is understocd, th»> machin»ry tha«. will insure for the future the propar care and maintenancs that these burial--grounds have lacked in the past. COUNTIES TO HAVE IWN COMMISSIONS Amendment to Cemeterics Act Wiil Provide Ma-- chinery for Proper Care and Maintenance in the Future Represented by S. J. Robbins and Fred McBrien, M.P.P., the Toronto Hotelmen's Association appealed to the board for exemption from busi-- ness tax. Mr. McBrien stated that private homes operated as tourist hotels during the summer months were securing business which should go to the hotels, and that the Royal York Hotel enjoyed an exemption which was greater than the taxes paid by all other city hotels The board decided to secure a report from the City Solicitor and the Assessment Commissioner on the request of the deputation. Exemption Is Asked.