The Nashville daily union. [volume] (Nashville, Tenn.) 1862-1866, 1866-06-14
The Bankers and Brokers and the
Government Tax.


A number of the Wall street bankers
are still directing their efforts to eYade
the payment of their government tax
under the provisions of the Internal
Revenue law Three or four different
cases we're argued few days since be-
fore Judge Nelson, in the United States
Circuit Court, on application for an in
junction restraining the Internal Reve-
nue. Collector from enforcing the law.
Nearly a week has elapsed since the
cases were argued, but the Judge still
withhoids his decision. The Wall street
bankers IN the meantime are making a
common cause, not only refusing to pay
the tax on their own transactions, but
also refusing to pay to the government
the amount of tax collected from their
customers for that purpose. A joint
fund is also being raised, and it is re-
ported that from thirty to fifty thou
sand dollars have been subscribed to
general fund to be used in some way to
secure exemption from the revenue
tax. 1t is understood that there is due
the government from the bankers and
brokers about one and half million of
dollars, and if they can retain that
amount by the expenditure of fifty
thousand dollars, it will be profitable
speculation for them. Another very
remarkable fact connected with this is
that they are using the money which
they collected from their customers on
the plea that they were obliged to pay
it to the government in the shape of a
tax 10 secure an injunction against
paying it into the United States reye-
nue.. This is one of the clearest cases
of obtaining money under false pre-
fences on record Yet we suppose that
many of the bankers resorting to these
lodges are church members, who 90
into the sanctuary with long faces,
stand up and thank the Almighty that
they are not like the publicans who
pay taxes.
The query is, what is to be done with
this large fund now being raised to Sc
cure an exemption from the revenue
taxi Is it intended to purchase
judge or the revenue officers, or is the
business Of defending parties who are
trying to evade their government tax
becoming so disreputable that no
lawyer will undertake it without an
enormously large fee, sufficient to over
come the scruples of his conscience in
thus working against the interest of
the government 1t is reported that
some of the most prominent lawyers
whom the bankers and brokers have
heretofore depended upon to argue
their cases have declared that they will
have nothing more to do with cases of
that kind They declare that the
principles involved in the Just and
equal enforcement of the law are too
great for them to be lending their in
fuence to assist its evasion. The re-
suit of the litigation now pending is of
far more Importance thsn generally
supposed. Every honest taxpayer has
q deep interest in the decision; for
upon that decision rests the question
whether he, after paying his tax, is to
be protected by the legal tribunals and
the government. If the courts decide |
that the bankers and brokers shall not |
pay their revenue tax then the door is |
open for every business interest to
combine and secure an injunction |
against the enforcement of the Reve- |
nue. law. The tax is just as binding |
upon the bankers and brokers as on |
any other class, aad if one escapes by |
the other interests can also,
and the result will be that those per-
sons who cannot subscribe sufficient to |
fee their lawyers will have to pay the |
entire tax Thus the burden will fall |
upon the middle classes, and those best
able to bear it will go scott free. Let |
it be once understood that all that is
to eyade the payment of the |
government tax is to apply for an III
junction in court and raise 8 large |
fund to fee somebody and the govern
ment will very soon find ifself minus |
Of the great bulk of ita revenue In /
no instance is the tax morally and le-
gAlly more binding than upon the
banker and broker, who charges the
government tax to his customer on
every transaction. If they are not re-
luired to pay the tax under such cir
then we would like to know
Who is liable under the law 2.
Herald