The spirit of democracy. [volume] (Woodsfield, Ohio) 1844-1994, 1846-08-01

to the state six per centum on the
profits, deducting therefrom the ex-
penses and ascertained losses of the
company. for the six months next pre-
ceding; which sum, so set of, shall be
in lieu of all taxes, to which such COM
pany would otherwise be subject
The same Legislature changed the
law taxing merchants, and directed the
merchant to give in his capital under
oath, and then directed the County
Auditor to tax the merchant only on
one-half of his capital. Now ask, in
all fairness, did not the Legislature as
much make bargain with the mer-
chant. that he should only be taxed up
on one-halfhis capital, as they did with
the banker, that he should be taxed
upon his profits? The only possible
difference is this: the law relative to
the merchant, has no definite termina-
ton, while the bank law expires at the
end Of twenty years. If the bank char
ters had not expired at the end Of twen-
ty years, but had been an indefinite
charter, the two cases would have been
precisely similar. The last Legsla-
ture changed the law relative to taxing
the merchant, and hereafter he will be
taxed upon the full amount OF his capi-
tai. Will onr whig friends please ex-
plain to the comprehension of COM
mon people, the difference in the two
cases? and failing to do this, in COM
mon sense and satisfactory manner,
let them acknowledge, like honest men,
that the Legislature has the po wer to
change the tax law upon bankers, as
well as upon merchants and others.
My other proposition was, that the
leaders of the wing party would not
consent to change the system of taxing
banks, even if they had clear and un-
doubted right to do SO. In proof ofthis
position, wish 10 call the attention of
your readers TO the course of the wings
in the last Legislature, upon this very
question; and in case exactly in point.
one where they themselves acknowl-
edged that they had the right.
In the House Of Representatives,
January %, 1916, while the bill giving
banking powers to the Ohio Life In
suiance and Tlust Company, and re-
viving the Lafayette Bank Of Cincinnati,
was under consideration, offered the
following amendments:
"Provlded, that the capital stock Of
the banking department Of the Ohio
Life Insurance and Trust Company,
and the Lafayette Bank of Cincinnati,
shall be placed upon the tax duplicate,
and subject to the same rate of taxa
ton as merchants capital, or money
at interest"
In my remarksupon that amendment,
and for the purpose Of bringing the
whig party to direct vote upon the
simple and and naked question, OF tax
ing banks, / used the following strong
and emphatic language. which will be
found in my published speech, made
upon that occasion:
SIN all our efforts upon the democrat
ic side of this House, TO engrait some
provisions upon the banking law ollast
winter, to tax bank capital the same as
other kinds of property, we have been
uniformly met with the objection, on
the part Of the whig members, that we
have no power to change the system OF
taxation, SO far as the banks already in
existence ere concerned; for, in grant
ING their charters, we have agreed with
them 10 only tax themupdn theirprofts,
and now we cannot tax them rs we
tax other property, without having first
obtained their consent to the change.
| am not one of those who believe
that any Legislature has the power to
bargain away the rights and privileges
of the people, especially such power as
the taxing power, being the very prerog-
aive Of sovereignty, which, in our gov
ernment, can only rest with the people;
but as our whig friends are particular
ly wiling to yield obedience to such an
opinion, have offered this amendment,
that may have their recorded vote
upon the naked proposition, to tax
banking capital the same as other prop,
erty, divested OF all such shields and
subterfuges. The gentlemen upon the
whig side, | presume, will not, for a
moment, seriously contend, but that SO
far as these two banking institutions
are concerned, we have this power;
We have not yet bargained it away.
These institutions are now asking this
Legislature to give them banking pow,
ers; it is our prerogrative TO either give
or withhold from them, the privileges
they are seeking at our hands. We
can, most undoubtedly, grant them
banking powers, subject only to the
restrictions of the law of last winter
| which will fay them unon their profits