New-York daily tribune. [volume] (New-York [N.Y.]) 1842-1866, 1860-01-16

oh tho character and value Of his property and tbs
similar provision in the tax laws Of several Of tb
| property.
= should be inclined to favor this proposition pro
Vided the principle OF deducng from the valuation o
personsl property the debts Of the owner was abol
lSnedi Tor while good citizen could reasonably OBJ
Jeet to the proposed discovery Of all property pos
sessed by him under the protection Of the laws,
oosition OF his financial condition, made compulsor,
| H. The penalty which It's omission would infct, would
| =. many cases be ruiDous 10 his credit, and might
| f-n be regarded as understandable interference
| with ,7is private affair.
Hsiel further citations from the Controllers report
ably sus suDs the position above taken the assessors
continue:
Their. car hs no doubt as TO the inherent defects OF
the present laws ard Of the absolute necessity Of
radical change IN whole system Of taxation. As
well remarked ~ the Controller " the laws Of no
other State or country impose so great burdens upon
real estate "a this" AND though the "sOnrces of in
come" have not yes been seriously impaired yet il
suffered much longer to 90 unchecked, that evil far
the real estate ID coreerned will certainly be
encountered.
change then, is imperiously demanded, and should
be accorded at the earliest moInent
If we seek for the principle OF the distribution OF
taxes which OuEh. 10 serve at the time a
Judgment of the prcprery of the distribution this
he other than the net income Of the pc son the
net produce Of the property.
Net income or net profit, is thai part OF income or
profit which remains after the portion necessary for
the property which produces the income the profit,
have been subtracted.
An income aud profit are produced either from
1. Land;
9. Capital or
3. Labor.
And all taxes viii be Just nnd usefnl only FAR
they part of the produce from these sources,
ana imposed and distributed after this principle
Tie great difficulty in ehecting Iust distribution OF
taxes If to jnd the clear income of any INDIVIDUAL or
to adopt plan that shall be an equitable substitute
therefor.
In a State whose industrial resources are 80 varisd
ar our own, il is by certain that more nse
full principle may be adopted the basis OF dstr
button than that of net income To obtain the sum Of
the net income of each individual in the present state
OF society would be morally mpOss BILE, IT there did
not exist nsuperable objections to any system that
would render undue inquisiton into the private Pc
cuniary affairs OF the taxpayer necessary.
The Assessors, therefore, recommend the adoption OF
plan which shall reach the gIoss rather than the net
income.
taxes can be draw each of these represents
different classes in the State, by when they are to be
paid.
Land represents all taxable real estate, and is used
actively, as IN
Farming lands; or passvely, AS in
Town lots by which term meant all real estate OF
cities and villages, and lots under ten acres.
Capital IL presented IN tie commercial, mercantile,
and manufacturing csses and their kindred branches
as banks and other mOneyed corporations.
and all who live upon incomes derived from their per-
sonal services, independent OF land or capital
Into some one of these divisions all taxable mhabis-
ants NAV be csssed. Zach is in the possession OF
an annual income from the property possesses or the
business he follows, which Is affected more or lees By
his prudence, MS industry, and his economy And ali
owe share thereof 10 the government which protects
them in the peaceful enjoyment OF their means oil sub
sistenee. an
But how arrange plan for the equitable distribu-
ton of that share 10 each one! -,
Taking all real estate at s par value IN Iis locality
il represents much capital and Il Is 10 be presumed
IL Days the current rate of Interest upon the invest
ment So all evidences OF debt and cash supposed
TO he worth and to produce the legal rate OF Interest,"
and all other kinds OF personal property represent ia
their current value capital which is also producing the
current rate of interest.
n then ali the personal and real estate be capital
Jed given sum total is obtained, which, it IL ss-
sumed paws the legal rate of interest, and that beng
seven per cent this percentage upon that sum should
form the capital upon which to levy or assess ne pro-
portion Of the tax Thus A. owns farm valued at
81 GEO. ana his stock and personal property amount 10
Vi O0O more and he has debts due him TO the amount
OF - coo more making capital OF - 900; seven per
cent of this sum would he $780, and this would form
the capital urOn which to levy bis tax. H. owns
town lot which is valued al SlO,OCO, ana personal
property in horses and carriages worth s2UOV mahlng
sam Of 1906 per cent OF this Is SoiU, winch
would torn capital for bis taAaton'
So far then L. operation of the system would b,
eoua subject oiy TO the contingencies Of erroneous
valuations Tue chances for error, IN tins regard
would he rendered small, by compelling every man TO
give list OF his property aud the valuation he put7
upon it, subject 70 the OPINIONS OF the loe Assessor
the whole detail TO be properly regulated by and
through blanks prepared at the proper departmen
and furnished 10 the local Assessors and penalties pro-
vded for those who refuse or who give false state
ments. .,.
mercantile transactions which il would be maniiestly
unust a. we'll mpOitic TO bring INTO the foregoing
Category. Because recognize as rght the rule thit
taxes must be 20 LEVIED not 10 nure the sources OF
income a. would be the case II meTchindlse was
treated as capital. and taxed - such wnlle IN tae
hands of the merchant For in the course Oh trade,
merchandise must pass through many han's peiore u
comes 10 the consumer. IL taxed Ii ebcn tle cafilai
woud he materially lessened, and hence the source oil
income reduced Ii may also be thst the merchant has
but small amount of capital embarked III his business,
aud that while he has large amount OF property
RAISING through his hands IN his posseHsion ye, ms
capital il principally IN hlr character ol ~ v'Is
words his character constitutes the foundation Oh his
business Hence if he be taxed upon the capta NOM
usllv in his pOsseesiOn do him injustice OF Jon
fail 10 make him contribute his iust share.
The mercantile class then, should be reached by
process different from that applied 70 euer lauu ..
capital They in the receipt of certain amount OF
cross income varying from year to year. ana tnat IL
resented by their sales. certain per cent oil thelr
saes then should be taken az pronts ana TINS should
form the capital upon which their share Of the taxes
should be assessed.
And As il has been assumed that land and accumulated
cpita should pay upon per cent so Tor the pu
noses of uniformity, the like sum OF their sales rhoud
be taken And considering the hazardous ana uncef,
tain nature OF all commercial pursuits that sum would
seem to lie equitable and reasonable, because tneir
accumulated profits are reached under the mead OF
personal property real estae. Inc operation OF Ho
principle may be- illustrated this: G. IL wholesale
mercbsnt and his sales reach 500 OOO per year seyen
ner cent of this il assumed profits which Is u OOO
spd this forms the capital upon which hrs taxes are
assessed. ID. il a country merchant, ana may nave