Federal-State Tax Relations

March 19, 1953

Report Outline
Federal-State Functions and Tax Questions
Overlapping Federal, State, Local Taxes
Proposals for Separation of Tax Sources
Means of Coordinating Overlapping Taxes

Federal-State Functions and Tax Questions

Plan for Broad Survey of Federal-State Relations

Prospects for carrying out a comprehensive survey and reappraisal of the functional and fiscal relationships of the federal and state governments, as repeatedly advocated in recent years, received a strong boost Feb. 26 when President Eisenhower moved into active support of the proposal. Following a conference of the President with several state governors, a group of Senate and House members, and various federal officials, the White House announced that legislation would be sought promptly to authorize appointment of a bipartisan commission to study and recommend measures “to eliminate hodge-podge duplication and waste in existing federal-state relations affecting governmental functions and taxation.”

The President observed, in a separate statement, that “The existing systems of taxation, both at the federal and state level, contain many gross inequalities insofar as the tax burden between citizens of different states is concerned.” He added that “There is often a pyramiding of taxation, state taxes being superimposed upon federal taxes in the same field.” In press interviews after the White House conference, Gov. Kohler of Wisconsin foresaw a “shifting of the burden” from the federal to state governments, and Gov. Driscoll of New Jersey commented that a shifting of functions might result in lower taxes because “we contemplate that the same services could be performed for less money.”

Sen. Taft (R., Ohio), another participant in the conference, said the discussions had covered the whole field of federal-state activities, including social security, health, welfare, education, housing, and highway construction. He suggested that the first job of the proposed commission should be “the development of a philosophy of action on the entire question of federal aid, perhaps imposing definite limitations on what the federal government should do.” Taft had said two days earlier, at Ohio Wesleyan University, that the underlying philosophy of the new administration differed from that of its predecessor in that it was “trying to do the job at hand with as little government action as possible.”

ISSUE TRACKER for Related Reports
Feb. 07, 2020  Hidden Money
Jun. 28, 2013  Internet Shopping
Jan. 16, 1998  IRS Reform
Mar. 22, 1996  Tax Reform
Apr. 06, 1990  How Fair Is the Nation's Tax Burden?
Aug. 28, 1987  Taxing Business Services
Oct. 17, 1986  Tax Reform In The States
Sep. 28, 1984  Tax Debate: 1984 Election and Beyond
Mar. 19, 1982  Tax-Exemption Controversy
May 19, 1978  Property Tax Relief
Apr. 07, 1978  Tax Shelters and Reform
Feb. 10, 1971  Property Tax Reform
Mar. 26, 1969  Tax Reform Pressures
Mar. 24, 1965  Excise Tax Cuts and the Economy
Feb. 15, 1961  Flexible Taxation
Apr. 02, 1959  State Tax Problems
Apr. 23, 1958  Tax Reduction, 1958
Aug. 14, 1957  Fast Tax Write-Offs
Apr. 10, 1957  Federal Payments in Lieu of Taxes
Sep. 12, 1956  Corporation Profits and Taxes in Prosperity
Mar. 16, 1954  Shares in Tax Relief
Nov. 21, 1953  Revision of Excise Taxes
Mar. 19, 1953  Federal-State Tax Relations
Oct. 01, 1952  European Taxes and Tax Evasion
Nov. 03, 1950  Excess Profits Tax
Feb. 01, 1950  Tax Loopholes
Jun. 04, 1949  Excise Taxes
Oct. 27, 1948  Postwar Sales Taxes
Aug. 29, 1947  Taxation of Family Income
Apr. 09, 1947  Income Tax Relief
Jan. 11, 1946  Taxation of Cooperatives
Oct. 16, 1945  Federal Taxes on Business
May 08, 1944  Postwar Taxes
Sep. 20, 1943  Sales Taxes
Dec. 05, 1941  New Taxes for Defense
Apr. 05, 1941  Taxation for National Defense
Feb. 28, 1941  Taxation of Alcoholic Beverages
Jan. 11, 1941  Exemptions from Taxation
Dec. 04, 1940  Federal Taxes and Defense Financing
Feb. 01, 1940  Sharing of Tax Revenues
Feb. 02, 1939  Turnover Taxes in the States
Nov. 05, 1937  Broadening of the Income-Tax Base
Jun. 17, 1937  Exemptions from Income Taxation
Apr. 05, 1937  Coordination of Federal and State Tax Systems
Dec. 19, 1936  Revision of Federal Tax on Capital Gains
Nov. 02, 1936  State Taxation of Natural Resources
May 26, 1936  Assessment of Property for Taxation
Apr. 17, 1936  Federal Taxes on Consumption
Mar. 19, 1936  Taxation of Undistributed Corporate Profits
Dec. 17, 1935  Reduction of Tax Burdens on Real Estate
Oct. 21, 1935  Tax Delinquency in the United States
May 21, 1935  Comparative Tax Burdens in America and Britain
Feb. 01, 1935  Federal Taxation of Corporations
Nov. 27, 1934  Elimination of Conflicts in Taxation
Jul. 25, 1933  Taxation of Excess Profits
Jan. 25, 1933  Tax Burdens and Tax-Free Securities
Nov. 23, 1932  The Beer Tax and the Sales Tax
Dec. 19, 1931  Sales Taxes: Federal, State, and Foreign
Sep. 18, 1931  Death Taxes and the Concentration of Wealth
Mar. 18, 1931  Federal Taxation of Large Incomes
Jan. 10, 1931  Taxation of Capital Gains
Nov. 09, 1929  Federal Tax Reduction-1930
Aug. 08, 1927  Federal Tax Reduction—1928
Sep. 27, 1926  Tax Reduction and the Public Debt
Jan. 16, 1926  Taxation of Estates and Inheritances
Nov. 07, 1925  Federal Taxation of Small Incomes
Nov. 28, 1924  Social, Fiscal and Legal Aspects of the Inheritance Tax
Apr. 07, 1924  Causes and Effects of the Tax Return Blockade
Dec. 12, 1923  Tax Exempt Securities
Dec. 10, 1923  Taxation
Federal Taxes
State and Local Taxes
State, Local, and Intergovernmental Relations