The spirit of democracy. [volume] (Woodsfield, Ohio) 1844-1994, 1846-07-25
Dr. Olds On the Tax Law.

Dr. Olds on the Tax Law.
We invite the particular attention Of our readers
to the following Communication Of Dr. Olds, Of
Pickaway county, on the tax law. DR.. olds was
ssmsmber of the last legislature, and Is, without
doubt, thoroughly acquainted with the subject:
,ls5 From the CircIeville Watchnan.
ss Mn. EDIToR-- Your readers are well aware that
tits cardinal doctrine Of the democratic party,
that all species Of wealth should be subjected 10
the same system of taxation. If, therefore, our
state authorities shall determine to tax the profits,
or increase property, all kinds Of property should
thus be taxed If they determine to tax actual
capital. without regard to its profits or increase.
then all kinds of property should thus be taxed
Equal laws and equal privileges" is democrat
ic maxim, and one which, as party, we can new
er depart from, without maring the beauty and ex-
cslsncs of the democratic creed. Gen. Jackson
has beautifully expressed this sentiment in the fol-
lowing quotation, namely. g The blessings of
good government, like the dews Of he aven, should
descend alike upon the rich and the poor"
Tho wings, in adopting the tax law of last win
ter. have departed from this democratic equality,
and subjected one portion of the property Of the
state to be taxed according to its true value, with
out reference to its productiveness, and another
portion to be taxed upon its profits only, without
reference to its actual value Now, then, Mr..
Editor, it ismy object in this communication, to
show that this law 10 anti-democratic, and subvsr
size Of one of the great fundamental principles OF
our government--the principal of equality
sa Our political opponents, in the tax law Of last
winter, have imposed upon US a system Of taxation
that taxes our farms, our merchandise, our work
shops, cattle, our horses, hogs, our sheep,
our household goods, our money, our credits, &C.,
&c., according to their actual value, without any
reference to their profits or productiveness; at the
same time it taxes banking capital only its pro-
fits.
Now, sir, in order that we may fully understand
ths injostice, the inequality, and, permit me to
say, the iniquity of this whig measure, propose
to examine briefly its practical operations.
4 Ten men in this community, may invest dne
hundred thousand dollars in merchandise, or in
manufacturing. or in farming. It is no uncommon
thing for the merchant to meet with losses and at
the end Of the year find that he has made no pro.
fit. The mechanic and manufacturer may find an
overstocked market for the sale of their manufac-
tured articles, and instead of profit, find them
selves compelled to sell at an actual loss; and in
stead of having made money, they may find at the
end of the year, that they have actually lost por
tion of their capital The farmer may find the
season unfavorable for his crops, his wheat may
have been destroyed by the rust fly, his cattle
may have died with the murrain, or his sheep with
the rot; or an over productive season, may have
depressed the price of his produce, as is likely to
be the this season; and at the end of the year
he may find that he cannot get enough for his pro-
sduce to pay for the tllage and the keeping of his
farm in repair; yet under this whig system of tax
alton, all these classes of citizens must pay much
2 tax, when they lose, as when they make money.
Again: another ten individuals NAV own one hun.
dred thousend dollars worth of stock 10 the Bank
of Circleville This bank may have done large
amount of business upon bills OF exchange drawn
upon Peter /. Nevis s. Sons who have failed, or
they may again be deceived, and loan another
twenty thousand dollars upon the forged paper of
Bsnjamlp Rathbun and thus at the end of the year,
they too may have made no profits upon their cap
ital; and this wing law would consequently exempt
them from taxation upon their one hundred thous-
and dollars and in order to make up the deficiency
in the amount of the public revenue, increases the
amount assessed upon the farmer, the merchant,
and the manufacturer, in the same proportion. Am
/ not right them in calling this law anti-democrat-
ic.unequal ,unjusi, and iniquitous? And one which,
as party, we must seek 10 amend or abandon our
democratic principles. #GM
How do our whig friends justify themselves in
upholding and maintaining this law! To my mind,
sir, their Justification even if true, much outra
geous and subvers our cardinal doctrine of equal
iy, as does the law itself Their papers, and Stun
pers, and especially their candidate for Governor,
are constantly informing US, and they peryert facts
and figures in order to prove TO us, that the bank
ersTay more tax on their capital, than we pay on
our farms, our merchandise, our cattle, &C. l ask,
them in all fairness il it be true that bankers gay
more tax than other individuals, is it not doing
them injustice ,and subverting our doctrine ofequa
privileges and equal taxation! And are we not
justified in seeking SO to amend the law as that
bankers shall be taxed the same as other indvdu-
ais, and no more?
And again. admitting their arguments, and facts,
and figures to be true; in what position would II
place the two great political parties OF This State!
The democratic party, which, by our opponents,
is called the antbank, the bank destiuctuive, the
bank hating party, would be seeking and advoca-
ting such an amendment of the tax law, as would
reduce the amount OF tax paid by the bankers
While, on the other hand, the whig party. and
even the bankers themselves, would be found jus.
tifying, maintaining, and defending law, that now
taxes bankers more than other individuals! And
the bankers, when importuned, and beseeched for
their consent to have their tax reduced, absolutely
and indignantly refuse to be taxed low as other
individualss Surely, Mr.. Editor, If this position
Of the whg party be true, the political parties of
this State are greatly out of place. @
endeayored, last winter, while representing
this county IN the House of Representatives, to
prove that the present system of taxing banks, did
snottax them any thing like as much as it taxed
other kind df property; and will now advert to
some OF the facts tnen USED, 70 prove my Posiuon
The banks in existence in Ohio, priorto the pas
sage Of Kelleys banking law, were the Lafayette
Bank OF Cincinnati, the Crceyille Bank the Xenia
Bank, the Norwalk Bank, the Bank Of Sandusky,
the Wooster Bank, the Bank OF MassiIon, and the
+ Clinton Bank of Columbus. Their aggregate cap
ital was two millions three hundred and four thou
sand seven hundred and seventy-five dollars and
sixty-three csnts and from 1885 to lS43. inclusive,
period of nine years, they paid into the State
~. of
senty-four thousand five hundred and eighty-four
dollars and twenty-eight cents, making an average
of eight thousand one hundred and seventy-six
dollars three cents and one mill per annum-ma.
king three and half mills and very small frac-
ton Of mill per dollar, upon their capital stock
This calculation, you will perceive, Mr.. Editor,
was based upon the Report of the Auditor Of State,
published ln the volume Of Public Documents for
ls4s. Itextended through period of nine years,
md n afora La frn ne our