The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1866-02-08

that other and insignificant cards had been
roguishly substituted for his winning ones. 81
won't play any more" he exclaimed, in fierce
Indignation, 'rheres cheating around this board,
by Georgel"
Tax on Government Bonds Sinking Fund
and Inequalities of the Present System.
From he HerGid
We have received the report of one of the
members of the special Revenue Commission,
which has been sent into Congress, recommend
ing the establishment of sinking fund for the
payment OF the national debt. 1t is proposed to
raise fund for this purpose by levyiDg tax of
one per cent upon the par value of the United
States bonds. In presenting this scheme for the
consideration of Congress the amount and
character OF our national debt is revie we'd,
together with the amount of interest and
comparison OF its value in gold and currency.
1t 10 also claimed thar the laws Of Congress ex-
emp ting Government bonds from taxation only
apply to State and municipa taxes, and that the
provisions OF those laws do not IN the least pre-
olude Congress from providing for a tax on all
bonds issued under authority of that BODY.
There is no doubt but that this is the correct
Interpretation OF the law; in fact, Congress has
already established precedent by requiring the
payment of a spec fled amount on the income
received from these bonds.
The Commissioner also reviews the resources
enormous burdens placed upon it by our late
struggle for existence. The real and personal
property OF the country is estimated to be- in
elusive of the national securities, eighteen thou
sard millions OF dollars, or upwards OF fifteen
thousand millions, exclusive of those bonds.
With this amount of wealth as a basis for raising
revenue, the argument Is deduced that 1t is
necessary that there should be an equality in
leVying the tax to meet the obligations of the
Government, or a privileged class will spring up
which will endanger the very existence OF our
republican institutions. All classes OF property,
with the exception of United States bonds, are
now called upon to pay their portion OF State
and local taxes.
This class OF taxes has become quite heavy,
and increased at an alarming rate during the
war. If, then, the United States bouds are
exempt from local taxation, there seems TO be
no just reason why they should not contribute
towards the final payment OF the DEBT OF which
they are part. The testimony in favor OF that
policy of a number OF capitalists bOndhoders,
and bankers IS given in full, which is one of the
most interesting portions of the report. The
facts thus presented are worthy of the candid
consideration OF Congress, and the present is
the'favOrable period to take action IN the mat
ter The change which is now going on in the
commercial and business interests OF the coun-
try requires a modification of the Internal
Revenue laws in order that they may be adapted
to this new order OF things. This is necessary
to prevent irritation and jealousy OF Interests
all over the Land There is, therefore, no better
time 10 readiusI the whole question OF taXauon,
and arrange il so that the burden will fail all
alike than the present. ....'..'
The evils of inequality in the apportionment
of taxes, ana the danger which threatens us in
eXemptng one class of capital from ali taxation,
is yerv clearly depicted in this report. The
power which monopolIes will obtain in the
political affairs OF the country, as well as the
direct tendency to revolution on the one hand,
or the establishment OF privileged Glass; which
will reduce the laborlng portion OF the commu,
nifty tU mere slaves, is shown to be the logical
result of exempting any particular kind OF pro-
fncna hah tl1aia nf nah Vhnp 10 M
telling the evils that may be forced upon us un-
less timely remedy is applied.
Whether the system recommended by Mr..
Hayes on behalf OF the Revenue Commission,
and his bill for its practical application, is the
best plan that can be devised to prevent this
evil, we leave it for Congress to determine.
But 1t must be apparent To every observing
mind that some important change in our re-
venue system must be made either in the
laws or their application, or both. The
public will not long submit to q system under
which one-third OF the tax is never paid nor
will they rest contented when they come to
realize that Wall street spectators and other
capitalists can go to Washin gton and get them.
selves relieved from the payment VI their portion
of the tax, as is now the case. We have hereto
fore shown how the brokers have managed to
secure an order preventing the enforcement OF
the revenue laws on their business, but that is
not the only instance OF special intercession and
success of moueyed men and corporations. The
danger which Mr.. HAYES sees in the distance in
regard to ulonopolies is already upon us.
There Is a striking Illustration OF this TACT In
the action of the Union Ferry Company o.
Brooklyn. This company has managed TO eVadt
the payment OF lis Just tax, aud, by sending it
counsel to Congress, is nov staving off the en-
forcement OF the law and thus deprIying th'
Government OF thirty thousand dollars OF reye
nue. now over due. IT one company can do this
how long win it be before every organization o
the kind in the country will secure the same
thing, and thus place the whole burden OF oul
taxes upon the middle classes and the industra
interests.
The revenue law of 1866 requires that any pei
son, hrm, company, or corporation owning o
possessing, or having the care OF management Q
any railroad, ferry, toll-bridee, or road shal
pay tax OF three per cent on the gross receipts
The Union Ferry Company undertook TO eyad
this tax, and the question was brought to th
attention Of the Secretary of the Treasury, VIII
at once decided that the aforesaid corporatio
could not escape it, and that the law must be eI
forced. ALL Of sudden the managers of tina
Company resorted to the dodge of the paymeu
OF few dollars as q tonnage tax, which the
claimed they could elect TO do under the RI
venue law and thus managed to get rid of th
lust tax. This iR turn was decided against then
but by some hocus pocus aIrane ement they haV
manau ed to obtain an order from some source
countermanding all this, the same as the broker
have done. t.lL rr H.
The result is that this Company alone hs
pocketed thirty thousand dollars which belon