Staunton spectator. [volume] (Staunton, Va.) 182?-183?, 1832-07-20

right 10 follow which is not originally de-
rived from the laws. Every citizen, and
every company ofcitizens, in all oil our States,
possessed the right until the State Legisla-
lures deemed il good policy TO prohibit pri-
vate banking by law. If the prohibiiory
State laws were now repealed, every citizen
would again possess the right. The State
banks are qualified restoration Of the right
which has been taken away by the laws u
gainst banking, guarded by such provisions
and limitations as, in the opinion Of the State
legislatures, the public interest requires
These corporations, unless there be an ex-
emption in their charter, are like private
bankers and banking companies, subject to
State taxation. The manner in which these
lakes shall be laid, depends wholly on legis-
lative discretion. 1t may be upon the bank,
upon the stock, upon the profits, or in any
other mode which the sovereign power
shall will.
Upon the formation OF the Constitution,
the State guarded their taxing power with
peculiar jealousy. They surrendered it only
as it regards imports and exports. In rela-
ton 10 every other object within their juris-
diction, whether persons, property. business,
or professions, il was secured in as ample
manner as it was before possessed. All per
sons, though United States officers, are La
BILE TO poll tax by the States, from whom a
greements that they will not tax unsold lands
are eXacted when they are admitted into The
Union: horses, wagons, any beasts, vehic-
les, tools, or property, belonging 10 private
citizens, though employed in the service OF
the United States, are subject to State taxa
ton. Every private business, whether car
ried on by all officer OF the General Govern
ment or not, whether it be mixed with pub
ic hn ed
by the Government Of the United States il
self, separately or in pa, tnership, falls with
in the cope Of the taxing power of the State
Nothing comes more fully within it than
banks and the business OF banking, hy
whonlSoever instituted and carried on. o.
yer this whole subject matter, il is just as ali
so!utc, unlimited, and uncomfortable, as il
the Constitution had never been adopted, he
cause in the formation of that instrument il
was reserved without qualification.
The principle is conceded, that the States
| cannot righiiully tax the operations Of the
General Government. They cannot tax Il
money of the government deposited 10 tho
State bank, nor the the agency Of those
banks in RENTING il; but will any mar
maintain that their mere selection 10 per
form this public service for the General Gov
eminent, would exempt thu State hanks and
their ordinary business from State lax
alton? Had the United States, instead ot
establishing bank at Philadelphia, employ
| ed private banker TO keep and transmit
their funds, would it have deprived Tenn.
sylvania of the right 10 tax his bank and his
usual banking operations? II will not lie
pretended. Upon what principle, then, are
tho banking establishments OF the Bank oi
the United States, and their usual banking
| L.. I'd e.
IL is not their public agency or the depoSiCs
of the government, which the States claim
right 10 tax, but their banks and banking
powers, instituted and exercised within
State jurisdiction for theft private emolu
ment-those powers and privileges for which
they pay tonus, & which the States tax in
their own banks. The exercise Of these
powers within State, no matter by whom
or under " hat authority, whether by private
citizens in their original right, by corporate
bodies created by the States, by foreigners,
or the agents oftoreign governments located
within their limits, forms legitimate ebIect
Of State taxation From this, and like sour
ces, from the persons, property, and husi-
ness, that are found residing, located or car
ried on, under their Jurisdiction, must tia
States, since the surrender of their right 10
raise a revenue from imports and exports,
draw all the money necessary for the cup
port of their governments, and the manten-
ance of their independence. There is no
more appropriate subject Of taxation than
banks, banking, and bank stocks, and mono
TO which the States ought more pertinGcious-
ly to cling.
Ii cannot be necessary 10 tho character Of
the bank as fiscal agent OF The government,
that its private business should DO exempted
from that taxation 10 which all the State
banks are liable nor Can conceive il "pro-
per" that the substantive and most essential
powers received by the States, shall be thus
attacked and snnihiated as a means of exc
cutting the powers delegated 10 the General
Government. 1t may be safely assumed,
that none Of those sages who had an agency
m forming or adopting our Constitution
ever imagined that any portion Of the taxing
power Of the States, not prohibited 10 them
nor delegated 10 Congress, was 10 be SWEPT
away and annibiaied as means Of executing
certain powers delegated 10 Congress.
flour power over means is so absolute, that
the Supreme Court will not call in question
the eons.itutiQnality Of an act Of Congress,
The SUBJECT Of which "is not prohibited, snd
IS really calculated to effect any OF the objects
entrusted 10 The Government" although, as
IN the case before mo, il takes away powers
expressly grarted 10 Congress, and rights
scrupulously reserved 10 the States, it be-
comes us TO proceed in our legislation With
The utmost caution. Though not directly
our own powers, and the rights ofthe States,
may he indirectly legisIsted away IN the use
Of means 10 execute substantive powers
we may not enact that Congress shall not
have the power Of exclusive legislation over