The Lancaster gazette. [volume] (Lancaster, Ohio) 1863-1886, 1865-09-14

our republic. In war, when the hon.
or, the safety, the independence Of the
nation are to be defended, when all its
resources are to be strained TO the ut.
most, credit must be brought in aid Of
taxation, and the abundant revenue
of peace and prosperity must be antc-
ipated to supply the exigencies, the ur-
gent demands Of the moment. The
people, for objects the most important
which can occur in heprogress of ma.
lions, have empowered their Govern
ment to make these anticpations-to
borrow money on the credit Of the
United States. Can any thing be
more dangerous or more injurious
than the admission Of a principle
which authorizes every State and ev-
cry corporation in the Union which
p assesses the right Of taxation to bur
den the exercise Of this power at dis.
cretion2
"If the right to impose tax exists
it is a right which in its nature ack-
nowledges no limits 1t may be car.
ried to any extent within the jurisdic-
tion of the State or corporation which
imposes it, which the will of each
State, and corporation may prescribe.
A power which is given by the whole
American people for their common
good; which is to be exercised at the
most critical periods, for the most i'm.
portant purposes, on the free exercise
of which the interests certainly, per.
haps the liberty of the whole may de.
pend; may be burdened, impeded, if
not arrested by any of the injured
parts Of the confederacy."
ANOTHER CASE IN POINT.
This subject was again brought be
fore the Supreme Court of the United
States, as late as 1912, in the case OF
DObbns against the Commissioners Of
Erie County, Pennsylvania, and it was
held by the Supreme Court, then q
Democratic machine, every Judge con.
curing, Taney among them, that any
tax upon any agent in the employ.
ment ofthe United States or any &c.
curity ofthe United States, by any
State, was unconstitutional and void
These decisions have been repeated
and acquiesced in, in every form, by
the Supreme Court of the United
States, and if any thing can be settled
by the decision of that tribunal, it il
settled that no State can tax bonds OF
other securities of the United States
If, therefore, the Democratic party
should convince you that it is right tc
allow the State of South Carolina, OF
the State of Georgia, and other rebe
reconstructed States, when they come
into the Union, to tax, at pleasure
the securities of tho United States
and thus not only to destroy their val
ne but to destroy also the credit of thu
! United States still the supreme Court
of the United States, will stand in the
way of their de, ion, and vii
hold these securities exempt from al
taxation, except that which is imposed
by the United States itself. The pro
vision of the law is, therefore, insert
ed in the various loan laws, to Civ,
additional sanction to what is now tht
established law, and confers no righ'
or privilege in the holders ofthe stocks
of the United States, that is not con
ferred by the Constitution OF the Uni
ted States.
The question again occufs whethel
it was necessary to insert this provis
ion in the law My opinion is that j
was not necessary, but still proper
enough to give to the citizen notice o
his rights, and as O means by which
the bonds could be moro readily ne
gotiated. If however, the question
had been settled by the decisions 0
the Supreme Court, acduiesced il
J since the foundation of the Govern
ment, and if the question were now
new one, l, for one, should be in favo
of procuring to the United States, tn
unimpeded and unlimited power t
borrow money when necessary t.
maintain the authority Of the Govern
ment.
1t is impossible for any Govern
ment to maintain its existence, espcc
tally in time of war, without havin.
this power unlimited and unrestrain
cd by any other community. The eff
feet of State taxation upon Govern
tnent securities would be to. drive then
out Of the country, where they are nov
held and boarded as the savings funt
of the poor, as well as of the rich
Our securities are so distributed
among the people as to furnish tn
strongest bond of union. If they coo
be taxed one per cent. they could b
taxed siX per cent. and thus their val
ue would be entirely des troyed. Re
pudiation might be accomplish
ed under color of law, without tn
odium that would otherwise rest upol
it. There is no way but for us just.
and to the last to observe every pro
vision of the contracts made for the
nation during the war. We have tn
ability, the means and the resource
to pay every dollar-principal and in
' terest and our craftsmanship shoulC
be directed to the ful6llment of ou
: obligations, and not to the Reputation
of any portion of them. This effort o
the Democratic party is the cry Of tn
demagogue, based upon the genera
3 idea, which is right in itself, that al
taxes should be equally assessed, ant
that all property should bear an equa
burden Of taxation. But when prop
erty has been consumed or used by tn
United States and now exists either il
the form of United States bonds; o
| u a..