PRINCIPLES OF TAXATION. 201 



$400,000 accrued through the operation of this agency. It is prob- 

 able, however, that through its moral influence the taxpayers were 

 induced to make larger returns of personal property than they would 

 otherwise do. On the other hand, the commission report as a gen- 

 eral effect of the " tax inquisitor law " in city counties that when a 

 man of large wealth is made to pay through its agency he leaves the 

 State; but in the country counties, as the man of means is not able 

 to sell his property and remove from the State, he is forced to remain 

 and pay the tax. 



Again, the laws of Ohio require that all moneys owned by its 

 citizens shall be annually returned for taxation. For the whole 

 State the tax commission reports that there was on deposit in the 

 year 1892 to the credit of individuals in national, State, and private 

 banks, and exclusive of moneys redeposited by one bank with others, 

 at least $190,000,000, " and probably a much larger amount." Of 

 this $190,000,000, there was returned in 1893 for taxation a little 

 over $38,000,000. In connection with this experience the commis- 

 sion calls attention to the following other extremely significant facts: 

 " Of this estimate of $190,000,000, about $128,000,000 was de- 

 posited in the banks of the five counties containing the cities of 

 Cincinnati, Toledo, Cleveland, Dayton, and Columbus. These same 

 counties, however, returned for taxation only $6,088,096, while the 

 remainder of the State, having about $70,000,000 in bank deposits, 

 returned over $32,000,000." In the spring of 1892 there were on 

 deposit in the various banks (national, State, and savings) of the 

 city of Cleveland about $63,000,000. Of this money there was 

 returned for taxation in that same year only $1,800,593; and about 

 half of this sum was derived from the townships outside of the city." 



The final conclusions of the commission were that " while in the 

 country counties " (of Ohio), " where the assessor is personally ac- 

 quainted with the circumstances of the taxpayer, and knows his 

 wealth, the taxation of intangible property is perhaps feasible, it is 

 in the city counties an utter failure. The general property tax has 

 become in the city counties " (of the State), " to a very considerable 

 extent, a tax upon tangible property only; and that no appreciable 

 part of the intangible property existing in the city counties is reached 

 by our method of taxation." 



The net result of all the comparisons made by the Ohio com- 

 missioners between city and farming districts finally goes to prove 

 that the tax upon personal property makes farmers pay from four 

 dollars to seven dollars where it makes the residents of large cities 

 pay one dollar. 



Speaking generally of the effect of this Ohio scheme of taxation 

 the commission further says: 



