HomeMy WebLinkAbout46 of 1969 - A resolution urging reciprocity of tax immunity between federal and municipal bonds and securities t plIV • i _________ ,-___ti-
Resolution No. 46
` • By Mayor J. Bracken Lee
COMMISSIONER
Urging reciprocity of tax immunity
between federal and municipal bonds
and securities thereby rejecting the
imposition of federal taxes on mun-
' icipal bonds.
Presented to the tleett of Commissioner%
AND PASSED
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SEP9 1969
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September 9, 1969
The Honorable Wallace F. Bennett
United States Senator for Utah
1211 New Senate Office Building
Washington, D. C. 20515
Dear Senator Bennett:
Here is a resolution passed by the Board of Commissioners of Salt
Lake City, Utah, urging reciprocity of tax immunity between federal
and municipal bonds and securities.
This is a very critical matter for Salt Lake City and it is respect-
fully requested that you do everything in your power to see that the
proposed measure, now before Congress, taxing municipal bonds
be defeated.
Respectfully,
City Recorder
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Encicsue -1
September 9, 1969
The Honorable Frank E. Moss
United States Senator for Utah
Senate Office Building
Washington, D. C. 20515
Dear Senator Moes:
Here is a resolution passed by the Board of Commissioners of Salt
Lake City, Utah, urging reciprocity of tax immunity between federal
and municipal bonds and securities.
This is a very critical matter for Salt Lake City and it is respect-
fully requested that you do everything in your power to see that the
proposed measure, now before Congress, taxing municipal bonds
be defeated.
spectfully,
City Recorder
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Enclosure-1
ROLL CALL September 9 1969
VOTING Aye Nay Salt Lake City,Utah,
-
Barker . .' •
I move that the Resolution,be adopt i
Catmull . . •
Harrison . . •
///
Mn Chairman . ./
RESOLUTION
Result . . . •
WHEREAS, the exemption of municipal bond interest
from federal income taxation is critically important in
enabling the cities to discharge their mounting burden
of responsibility at the lowest possible cost, and
WHEREAS, suggestion has been made that indirect
federal taxation of municipal bond interest be sanctioned
by disallowance of a prorated portion of otherwise allow-
able expense deductions of investors who receive part of
their income from municipal bond interest, and
WHEREAS, by Revised Statutes (Section 3701) Congress
has expressly prohibited such indirect taxation of federal
bond interest by the states and cities, and
WHEREAS, the exemption of public securities--federal
obligations from state and local taxes and state and local
obligations from federal taxes--has traditionally been and
of right ought to be reciprocal,
NOW, THEREFORE BE IT RESOLVED by the Board of Commis-
sioners of Salt Lake City that the Congress of the United
States is urgently petitioned to reject all measures allow-
ing direct or indirect taxation of municipal bonds.
Passed by the Board of Commissioners of Salt Lake City,
Utah, this 9th day of September, 19 .
MAYOR
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CITY E viER