The southern enterprise. [volume] (Greenville, S.C.) 1854-1870, 1863-08-20
PopUI.AIs IEX TEfl,Iss
pa tie asion asenI noulfdse anlona III 81
MORNING. AUGUST 2oi


the lss Duly, 1868, there is no. ;eIicep.
ton in .shsT Act; al money will pay q
tax OF per cont, then If this money
be iaoome for the year 1868, or part
for that ysar, Il will pay on: lst Janus
ary, 1864 ,atax Ne income. =. 3
3. The salao Of ell credits in which
tho interest has not been paid will be
taxed at per cent. 1. BY "credits "
are meant bonds, notes, judgments, ex,
ecutions, decrees, stocks, open accounts
due and unpaid, and all obligations or
liabilities whatever for tho payment Of
money Q. II any are wofthlcss, the
tax payer will be exempt upon proof be.
fore the assessor Of such fact. s. BY
the words ION which the interest han
not seen paid" ~ qualifying " credits"
is meant that il. the interest has been
psid this will DO taxed as income if IN
terest has not been paid, the =" credit"
itself will be taxed as so much property
st per cent. on it's value. 4. If any
Of these credits are daily used in due
course of registered business, , or where
the income from them will be taxed i'm.
der another class. such credits will not
be taxed under fbis class. S. Tho LIST
Section Of the Act which imposes tax
on credits must be construed in conuec-
tion with the 9th Section which taxes
income. The scheme Of the law is to
lay an alternative tax of per cent. on
capital, or 8, 10 or Is per cent. on in
comes. 1t is not designed to levy a
tax upon the capital and agsin upon
,he interest aud this idea thewords Of
the law are intended to convey when
they speak OF credits upon which the in
terest has not been paid. The income
tax is laid upon all interests and profits
received during the year 1868 and
consequently the capital tax is not dc,
signed to be laid upon the credits which
produce that interest. We are thus
furnished with rule for our guidance,
and it follows that the tax Of one per
cent. is not imposed on credits upon
which the interest due prior TO tue lst
July has been paid and on the. other
hand, il such interest has not been paid,
then there having been no income to
be taxed, the tax falls upon the capital.
In this connection would also remark
in respect 10 the value Of credits, that
this means the principal and interest
not paid of all solvent credits, and the
estimated value when tho holder will
swear IL at such credits are not believed
by him to lie, worth the principal and
interest. And next as to credits en-
ployed in. business the income of which
is taxed under the Act. These are also
exempt from the capital tax of one per
cent. But 10 entitle them to such ex-
,emp,ion the credits must actually form
a pat Of. and bo exclusively used in
carrying on such business. They must
grow out of the regular transactions Of
the business on account Of which ex.
emption is claimed and the money de-
rived from the credits when paid must
be used in such business, otherwise they
are not exempt. o. The same opin.
ion will apply to Confederate bonds or
stock. In case Of credits where the in.
terest is payable at stated periods, and
has been paid up to tho period when il
last fell due, aud the lst Of July inter.
venes before the next stated period for
paying interest arrives then all interest
which the holder has legal right 10 de.
nand has been paid, and The credits 40
situated are not taxable under Section Ist.
This applies to all corporate or State bonds
and stocks upon which the interest is pay.
abte, and has been paid at stated periods.
But theinterest derived ,om such bonds
during the whole year Of 1868, will be
taxable as income on tho lst day oi
January next, subject 10 the conditions
Of Section 9Th Of the Tax Act. The
tax upon interest when paid rs income
is deemed and held rs an equivalent
for the tax upon the credit a. capital
when the interest has not been paid
All of The ta1es in Class Lwill be col.
lected on the lst day Of October. 1868
II. CLAss.-A Tax on certain call.
ings or business. Under this class are
taxed twenty five different calIiDgs. com.
mencing with g" Bankers" and ending
with ".Confectioners." LIST. They have
10 be registered as the Act directs. 2
Under this class, a first. class Hote
would pay q specific tax Of $500, and ,
! tax ON profits under sano,hss class, a
t.income. .".'S. IL the hotel building b,
I not owned by the proprietor, hissren
fwilf be deducted from the profits
/ II owned by the proprietor, the esti
mated rental will. be- added in unde
\ auother cIass of taxation, a. "income.
This rule viii apply TO all hotels 10 th
4 Act. 4. In al! registered business. wher
there Is uothing but the specifi, tax i'm
posed and no per centage named, (suci
ss on bankers, lswyers, brokers, physi
clans, DC, their q profits will Be tax
ed under another class. as 50 much add
ed TO their H"income." s. Uuder 49,;
| ciass IL any person seils. and buys cattl,
and also kilh for The tmarket, he,
deemed both q butcher, aud . cattle brc
kss, and taxed accordingly. 8: TIL
lar IA due and will be ooFlectsd imm,