CC - 1962 - 26 - Opposition to Federal Taxation0
A RESOLUTION
OF ROSEMEAD
OF INTEREST
RESOLUTION NO. 62-26
OF THE CITY COUNCIL OF THE.CITY
IN OPPOSITION TO FEDERAL TAXATION
ON STATE AND MUNICIPAL BONDS,
WHEREAS, the State of California and the political
subdivisions thereof have in the past and are now currently
engaged,in financing, through the issuance of bonds, needed
public improvements such as the building of schools, highways,
water and sewer distribution systems and other projects for
the promotion of the health, safety and welfare of the people;
and
WHEREAS, the interest income which the owner derives
from such bonds has in the past and is now currently exempt from
the imposition of any federal income tax; and
WHEREAS, the federal taxation of the interest of such
bonds, as income, would result in the impairment of financing
and the curtailment of construction of needed public improvements,
further resulting in an increase in taxes imposed by the State
of California and the political subdivisions thereof in order to
pay higher interest costs or possible assumption by the federal
government of the responsibility of financing such improvements;
and
WHEREAS, there is currently a national movement to
permit the imposition of the federal income tax on the interest.
income from the bonds issues or to be issued by the several
states and their political subdivisions;
NOW, THEREFORE, the Council of the City of Rosemead,
California, respectfully memorializes the President and the Congress,
of the United States to oppose any amendment of the Constitution
of the United States, or any other action by the Congress of
the United States, or the executive branch thereof, which would
have the effect of subjecting the income from state and local
bonds to a federal tax or of causing federal tax to be increased.
because of such bond holdings by a taxpayer, whether or not the
increase is in fact titled a tax; and
BE IT FURTHER RESOLVED, that the City Clerk is hereby
directed to transmit copies of this resolution to the President
and Vice President of the United States, to the Speaker of the
House of Representatives and to each Senator and Representative
from California in the Congress of the United States.
ADOPTED AND APPROVED this 27th day of March, 1962.
P
MAYOR OF T TY KUbtMtAU
ATTEST: