Rutland weekly herald. [volume] (Rutland, Vt.) 1859-1877, 1865-11-09

embraced Ill lHt NiONlNlOhH VI lhlo bllls
would exceed the sum of two thousand
and two hundred millions OF dollars.
Estimating from the Grand List and
other sources, the amount held by the
people of this State is twenty millions
of dollars. This sum equals one'sixth
in value of the entire property of the
State as determined by the census of
1860. From this comparison ii Is appa-
rent our taxation Is unequal. One.siXth
part of the property pays no tax. Bond
holders are exempt, while those whose
property is invested in other securities,
are compelled TO sustain the expenses OF
the State Government, pay the interest
on our State debt, build school houses,
support schools, repair highways and
bridges, and provide for other incidental
expenses. Such are the relations exist
ing between these classes but a law,
paramount to any authority possessed
by the State, makes the distinction. The
law is innexible-the effect unavoidable
submission necessity.
The Comptroller of the Currency, in a
late communication on this subject, ad-
dressed to the State OF Connecticut holds
the following language: "Ihe law cN-
empting from taxation government Sc
curities is SO specific and clear, that 1t
cannot be questioned. The bonds were
disposed of and purchased with the pro
vision of law as a part of the contract,
that they were to be exempt from taxa
tion, and the country has received an
equivalent for such exemption, in the
additional price received for the bonds.
Can any one believe that the obligations
of the government wOul6 have sold for
anything like the price realized, if it had
been supposed possible that they could
have been taxed by state laws directly
or indirectly? If your Legislature can
impose tax of fifteen per cent. on the
income derived from government securi-
ties it is just as competent for it to i'm
pose tax of fifty, or one hundred per
cent"
There is one other view, to which the
committee would call your attention.
By the 9th article of the Declaration of
Rights in the Constitution Of this State,
it is provided that every member of Sc
ciety hath right tCebe protected in the
enjoyment Of life, liberty and property,
and therefore is bound to contribute his
proportion towards the expense Cf that
protection. &c." implying q uniform or
proportionate rule Of taxation and as
sessment. This principle Of uniformity
or equality, it is believed, is provided
for in the Constitution of al the States.
The provision of the bill discriminates
against incomes derived from stocks,
bonds and other securities, and in favor
of another class of income derived from
other sources. In the case of KnOwltOu
against the Supervisors of Rock county,
Wisconsin, the Supreme Court of that
state holds the following language -
THE Constitution of the State REQUIRES.
| as rule in levying taxes, that the val
| uat on must be uniform and in all cases
alike or equal operating alike upon all the
taxable property throughout the terri
torial limits OF the state or municipality
within which the tax is to be raised
and when the legislature prescribe
difeyeat rule, the act is departure from
the Constitution, and therefore, void"
That Court further say, "All kinds of
property must be taxed uniformly, or be
absolutely exempt"
In the Ohio State Reports-Exchange
Bank of Columbus against Hines-the
Court says, under the Constitution of
that State, Taxing is required to be by
uniform rule. Uniformity in taxing
implies equality in the burden of taxa
tion, and must extend to all property
subject to taxation, so that all property
may be taxed alike-equally-whiCh is
taxing by uniform rule These prin-
Cipcs are affirmed by Mr.. Justice Swayne
Of the Supreme Court of the United
States, in the case of Gilman against the
city of ShebOygan-and are applicable,
in the opinion Of your committee, to the
provisions of the Constitution of this
State, already referred to.
1t is not regarded as the province Of
this committee to determine whether the
exemption Of United States securities is
just or politic-Or whether q more equit-
able method might have been devised to
cqualize the public burden They have
confined their attention to an eXamina-
tion of the proposed amendment of the
Statutes, and have presented their views
aided by published authorities and after
mature deliberation.
The committee therefore report, as the
opinion OF n Dsgortg, that the proposed
amendment, taxing the income of United
States bonds, if adopted, would be tal-
constitutional and Coid.
A