PROBLEMS OF TAX BURDEN 297 
be included in the computation of the franchise tax, and 
the tax would be assessed on $1 million at the rate of $0.50 
per $1,000. The corporation franchise tax would, therefore, 
amount to $500. Since the state bank is required to pay 
$1,500 more than the $15,000 that the national bank must 
pay, it follows that under the assumed conditions the state 
bank would pay taxes 10%, greater than those paid by the 
national bank. 
It is obvious that a 109 difference in taxes results in a 
competitive disadvantage. The extra taxes paid by a state 
bank cannot ordinarily be shifted to the customers of the 
bank in the form of higher interest rates charged on loans or 
lower interest rates paid on deposits, since in most cases 
state banks are in direct competition with national banks. 
Other things being equal, the extra taxes would result in 
smaller dividends or smaller total capital liabilities. 
Tue Burpex oF Moror VericLE TaxaTION 
Motor vehicle taxation in Missouri is lighter than in many 
other states. The rates for the license tax are moderate, and 
the two cent tax on gasoline is low compared with the aver- 
age for the United States. Motor vehicles are assessable as 
personal property, but many of them escape assessment 
each year, and the valuations of those which are assessed are 
ordinarily small as compared with their value to the owners. 
In addition to the state motor vehicle license and gasoline 
taxes and the general property tax for state and local pur- 
poses, a number of cities levy a tax on gasoline and collect 
motor vehicle license taxes in accordance with authority 
granted by the state. As a result, the burden of motor 
vehicle taxation varies throughout the state. 
Table 88 shows the average license tax per motor vehicle 
collected in 1929 in each state in the United States. The 
basic data used in making these computations were the total 
registrations, including trucks, and the license tax receipts, 
including the amounts that revert to the local governments. 
The receipts from licenses levied and collected by local 
governments are not included. According to this table, the 
average license tax per motor vehicle in Missouri amounted