THE NOME NUGGET
Published Monday, Wednesday and Friday bv the
NOME PUBLISHING CO.
NOME, ALASKA
Telephone: Main 125 p. O. Box 618
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W. A. Boucher Owner-Publisher
Emily Boucher Local Editor
Entered as second class matter October 14. 1943. at -he postoffice
at Nome, Alaska, under the Act of March 3. 1879. ^
Nome, Alaska, Monday, December 6, 1948
SEES 15 MILLION YIELD FROM 3 NEW TAX LAWS
i
(Anchorage Daily Times)
An estimate that $15,000,000 can be raised for Terri
torial purposes through a three-pronged tax program,
was made recently by Sen. Victor C. Rivers when he ad
dressed the Anchorage Chamber of Commerce.
The program would include an income tax, property
tax and a new law providing for mercantile licenses.
Senator Rivers also said he would initiate a move re
questing the federal government to refund to the Ter
ritor one-half of the collections from Alaska under the
tederal income tax laws. He indicated this would yield
an additional $9,000,000 annually.
“The next legislature will have the some problems
ten-fold compared to the last one,” he said.
He pointed out that education and welfare funds are
overdrawn and that the University of Alaska has bor
rowed money to finance operations until new appropria
tions are available.
“These financial problems are not peculiar to Alas
ka,” he said. “States, cities and counties are also pressed
for funds. Inflation brought the problem.
“How are we going to raise the money? It must be re
membered that 90 per cent of the population of Alaska
consists of w'orking people and 10 per cent men in bus -
ncss and executive positions. We have no large, retired
wealthv group.
“Alaska produces about $120,000,000 in new wealth
each year, but only about 20 cents out of each dollar*
stays in Alaska. It is just the reverse from Hawaii where
a major part of each dollar remains in the islands.”
In any tax program for Alaska, Senator Rivers point
ed to the desirability of taxing the 80 cents that goes
to the States as well as the 20 cents that remains in
Alaska.
The three tax laws, which were presented to the last
legislature but failed in enactment, will be introduced
again this year by Senator Rivers.
The last income tax bill, he said, was based on the law
of West Virginia and providde that 10 per cent of the
amount paid to the federal government in income tax be
paid to the Territory. It provided a $45 exemption for
year-around Alaskans.
“Under that law it was estimated that each transien*
would leave between $20 and $30 in Alaska to help with
the government. The permanent Alaskans would be al
lowed a $45 exemption to help offset for the higher costs
of living in the north.
“Corporations would pay on that portion of their in
come earned in Alaska. We have absentee groups that
pay nothing to the Territory on their earnings at pres
ent.”
Senator Rivers also declared that the income tax
would tap the reported $2,000,000 annual profit in Seat
tle from the wholesale liquor sales for Alaska. Fisheries,
•shipping companies, mining corporations would also be
taxed on their incomes he said.
Senator Rivers said a property tax would be levied on
property outside of municipalities which are now tax
free. He said the fisheries have estimated the value of
their canneries at $80,000,000.
“Besides the canneries, there are mining properties
and rural residences,” he said. “I believe there would
be a valuation of $250,000,000 on property that now has
no taxes.”
The Senator said the income tax would discourage
the practice of fisheries to hold fishing sites year after
year without using them. It would also discourage the
holding of undeveloped mining claims, he said.
The Senator said he was opposed to expansion of the
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Territorial government into new fields, but that addi
tional funds were necessary for other purposes.
“We must educate our young and take care of our old
aged,” he said.
Senator Rivers pointed out that there was no con
certed opposition to his tax program at the last legisla
ture, despite the fact that nobody likes taxes.
“The people accepted it,” he said.
ABOUT THE TAFT-HARTLEY LAW
(Ketchikan News)
We don’t believe the Taft-Hartley law will be repeal
ed. Amended, yes—even the Republicans admitted that
amendments were needed.
It must be remembered that the law could not have
been passed without the assistance of Democrats.
Now, let us examine the reason for the Taft-Hartley
law. Union racketeers, spark-plugged by Reds in many
instances, wei;e throwing the \yhole United States eco
nomic structure out of gear. It became a sore of “gang
ster rule,” even compelling employers to collect union
dues and submit by force or threat to unreasonable
union demands. Rights of the employers’ class, as well
as many workers, were abrogated.
Then came the reaction. Republicans were elected to
Congress. The Taft-Hartley law was enacted. Although
it went to extremes, the general intent was to curb rack
eteering.
The greatest objection to the Taft-Hartley law con
cerns the “closed shop.” Considerable objection also de
veloped against the non-Communist affidavit.
Let us examine the closed shop issue. Some States are
voting in its favor. Why? When carried to extreme un
ions can absolutely dictate terms to employers, or pu'
them out of business.
On the other hand, unions see a plot to destroy unions
in favor of “open shops” unless they have that weapon
The Constitution gives every man the right to work
for a living. But, in the past, thousands of Americans
were denied that right by craft unions closing their lists
against taking on any more members. Their reason was
that there were not enough jobs to go around and their
old members who had been consistently paying dues
should be taken care of first. Therefore many Americans
were denied their constitutional rights. Even though
they were willing to join, the result was the same.
Rather than a dictatorial policy, the unions themselves
should give attention to remedies for these objectionable
features. We believe every honest employer and work
ingman believes in responsible unions. However, they do
not believe in any pressure group, unions or otherwise.
Unions are the best protection against “slave labor” con
ditions and for getting a “living wage.” Let us add that
“collective bargaining” is not intended as a weapon, or
war of extermination of the employer class, as advocat
ed by the Reds, but for securing fair working conditions
and keeping the terms of a contract once made so lon g as
the parties concerned live up to the terms of the contract.
Internation’l News
• Continued from Page One1
faced certain defeat, boycotted
the elec’ion and threatened to pun
ish any Germans who voted. They
set up a rump city government in
the Soviet zone of Berlin—: gov
ernment which the western occu
pation powers asked Russ a in
Paris yesterday to disown. The
Reds forbade the election ir: then
zone. ,
Any way one looked a4, the re
sult, it was a blow to the com
munists. They polled 19 per cent
in the 1946 election. Even the 13.K
per cent of the Germans who did
not vote was a big cut under that.
The Russians tried to explain it
away with a barrage of invectives.
Newspapers they control spewed
out such stuff as ‘mass arrests in
the west,” “shameless election
comedy” and “great election swin
dle.” The Russian new < agency g
Tuss asserted the election was held
n an atmosphere of military and i
police terror.
The western powers handed a
1 mg memorandum to the commit
re of neutral experts studying the
Berlin currency issue in an effort
solve the Berlin blockade crisis.
The note in effect asked Russia to
r l ;e- the rump communis: gov
ernment, and resume cooperation
with the f u. power admir. stra
tion. Otherwise, the chan, s of
agreement were held to be thin™
There was no hint of a Russian
agreement.
Russia was challenged in the U.
N. political commit ee to show
proof she has set up a free govern- »
men! in North Korea. Trie Rus
sian sponsored regime shut out U.
N. « bservers when they tried to
supervise elections there th.. year.
The committee rejected a Russian
proposal for immediate delete on
; talv’s colonies.
Three Chinese army groups
thrust outh from abandoned Su
chow in an effort to break a com
munist blockade in the developing
battle for probable annihilation.
Chuic e newspapers said 20,000 ^
communist troops with ar illery
are fighting within (50 ml:vs of
Nanking, the Chinese capital.
A major offensive appeared t<>
be shaping up for Pc ping in North
China. American military aid to
Chliu to-aled about $33,000,000
l- i ig .h • last 18 months, or a !it
io s than a hirti of the aid
given to Greece and Turkey n the
same period. Mrs. Chiang Kai
Sh ’k is to .- ee President T uman
’. u ly this week. She is expected to
put on the bite for a billion a year
three years.
Belated reports said possibly
<3,000 Chinese died in the explo
sion and sinking of a crowded
evacuation ship last month off
southern Manchuria,
i The Japanese house of repre-f
sentatives voted to permit the ar
rest of former Premier Hitoshi
Ashida in a bribe case. He resigned
in October.
American sources said U. S. del
egates will try and push through
Israel's application for U. N. mem
bership before the assembly ad
journs this week-end. Israeli S errf
gang leader, Nathan Friadman
Yellin, was conducting his own
defense in a trial before a military
court at Acre in a terrorist trial.
High school pupils rioted against
the Egyptian government. They
demanded the release of college
students arrested aftre riots Satur
day in which police ch ef Selim
Zaki pasha was killed.
Romulo Gallegos, lutesi of Mtfe,
South American presidents to be
deposed said in exile in Havana^
that his overthrow in Vein ejela
Nov. 24, was caused by big busi
I ness and foreign oil interests.