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to create correct conditions applicable to all timberland, without disrim- 

 ination. To these special conditions have been tied numerous special 

 requirements of procedure, or red tape, often accompanied by a burden 

 of inspection, penalties for failure to comply, or regulations of methods 

 of management. The cost of the proposed systems to the owner far exceeds 

 the privileges granted, and the cost of administration by the state is too 

 large in proportion to the benefit derived. 



The initial mistake was to grant bounties, tax rebates, tax exemptions, 

 or low fixed valuation of forest lands as a reward for planting or growing 

 trees. The reasons for failure lie in the general system of assessment of 

 taxes. Such lands seldom form more than a small portion of any taxable 

 unit. Local assessors resent such exemptions, and nullify their effects 

 by adjusting other assessed values so that there is no saving to the owner, 

 who is put to the trouble of complying with additional formalities to 

 secure a fictitious gain. The general underlying principle of such laws is 

 wrong, for if we are seeking to correct an injustice or inequity in taxing 

 timber, all such property is equally entitled to the benefits of this reform 

 rather than to attempt to set up an elaborate system of separating sheep 

 from goats, in which the goats being numerically superior will ultimately 

 see that the special privileges are wiped out. 



Private property is not usually taxed according to the intention of the 

 owner as to its future use, or his actual method of handling it, but solely 

 on the basis of the material values present. Yet every law for forest tax 

 reform has disregarded this fundamental fact, probably confusing the idea 

 of possible public benefits with that of public ownership and use. 



This error has created insuperable diflSculties of which a few may be 

 cited : 



1. The effort to fix and reduce the assessed value of forest land has 

 required : 



(a) Clssification of land. 



1' on basis of intention of owner to practice forestry. 



2* on basis of suitability of the land for forestry. 



3' on basis of the value of the land, to prevent misuse of the 



law by speculators to avoid taxation. (This factor has 



caused the vetoing of some such laws.) 



(b) It has at the same time threatened to so reduce local revenues 



that its final overthrow would follow its widespread appli- 

 cation. It is self-defeating. 



2. The effort to require the practice of forestry on such lands as a 

 condition of receiving this privilege has required : 



(a) The parceling of holdings into separate lots, with maps, de- 



scriptions and legal forms, special blanks, listings and 

 assessments. 



(b) The compulsory incurring of expense for planting or other 



measures, not required of other forest owners. 



(c) Special provisions for penalties in shape of back taxes on 



withdrawals of lands from the special class. 



(d) Limitation of maximum areas to receive the supposed benefits 



of tax reform. 



