The national Republican. [volume] (Washington City [D.C.]) 1866-1870, 1868-07-16

DUNG this excessively hot season lis much
easier to copy what other people VIDE than
to write yourssif, and fading tie doilowiag
weiI-co nsidered srsicie In the New York
Ercsfng Post, - tsks the liberty to transfer 1t
to our ooinmns. n
:. There are sttil a Tow homes, ~ inquiring Why.
The nAtiopai debt should not be taxed BY Con
proposed by the New York platform, which
demands that there shall be no difference
whatever in taxation between the national
InS n nee one Tor
would enable each state, acting singly, to
override the General Government by taxing
Its debt, and would violate the compact under
which the bonds were sold. But they do not
see why Congress may not, while exempting
the debt from State taxation, lay Especial
duty upon II for the national treasury,
that this, too, would be wrong; though not
so scandslous = violation Of law and honor As
that proposed by the Democratic convention.
The United states cannot levy direct tax
iion i Il among Ike State. according 10 popn.
istiop. Such 4 clumsy method cannot be
thought OF in rrne'icei so that the General
tion. .r IL ..-.
II taxes manufactures; thus taxing eonsu.
mets Indirectly; It leries license dues, thus
age upon incomes, thus taxing the property
which yields them Indirectly. All this II can
perhaps oonstitutionallyd do. The goods made,
joyed BY its own citizens or upon its own ter.
rltory are parts Of Its resources, elements OF
the national wealth. .a.
Where Incomes must contribute to support
the Government the income fIom the public
funds has no right to exemption. It Is Justly
all other sources. II is just as much a part OF
which the national revenue is drawn, as any
other income, and ought to be taxed just as
much and no more; and 30 u 70 BY our ereite
lar.
But, Il Congress should levy an exceptional
or special tax upon this kind of income, and
should thus lay upon II more than Its equal
share Of the general burden, this would be
Of the interest on the bonds. II would be
violating the contract Of the nation with Its
creditors. The tax would be NO longer an
income tax, but partial population OF the
So much Is true In relation to the citizens
OF the United States. But more than a third
Of our debt 10 held b. foreigners: The cred.
France, and England. The bonds are their
property, as much so as their farms, houses,
or clothing In their own lands. They have an
come from the bonds in question: fight as
independent Of the United States Government
as the right to till their soil or occupy their
homes.
The relation Of the United States to those
men is not that OF ruler aid subject, not that
of government and citizeni but simply and ex-
elusiyely that Of borrower and lender. They
have lent the United States money, relying
on the promise OF the latter TO pay a certain
interest for its use.
Bywhat authority can the United States tax
the citizens Of England, France, or Germany I
Within those countries our Government 10 a
debtor; superior in dignity, credit and char
aeter as debtor, perhaps, TO any mere indi-
vidual, but still debtor, and not a sovereign,
1t has no more right to diminish the interest
bargsined for, under the name OF q tax, or
under any other name, than the New York
importer has, under n similar pretence, to
deduct part OF the bill due toa foreign ship
per.
II is true that the United States have the
power to withhold part OF this interest.
They have the power to withhold II all. So
has nearly every man In business the power
to swindle his creditors. But neither In a ma.
tion nor In private life does the power to
cheat imply the right to cheat, And even the
power is one which generally brings unpleas-
ant results when exercised.
There Is probably no instance In history in
which q national crime has been followed by
more terrible than such an act OF reputation
would bring upon the United States.
We have nine hundred millions of bonds In
Europe. 1t Is safe to assume that more than
half would be sent home In panic, to be sold
for gold, at the hrst clear indication that such
course would be pursued. The immediate
consequences of this are obvious enough.
yet unheard of. All the necessities OF life
would gradually but certainly follow it. Our
currency would fall to merely minal value,
and our national credit fail. The owners, not
only OF the bonds, hut of all debts, psblic and
private, would be ruinedj general bankruptcy
and widespread distress would be the begin
ming OF al long era Of commercial ruin and finan-
clal anarchy.
There Is no single aim to which national
btatesmanship ought now to direct its energies
more resolutely than that OF providing against
European panic In our bonds. Any step
which looks towards Mr.. Seymour's platform
Is sure to produce such panic. The taxation
Of our bonds would therefore be, not only as
shown above, crime, but fatal blunder.
The one sure way to prevent such a panic,
and to save at once our material interests and
our honor, is the payment Of the principal and
interest "of the public Indebtedness In the Ut
most good faith to all creditors, at home and
abroad"
Duty and policy join in this noble demand of
the Chicago platform. II cannot fail TO re-
ceive the approval of the American people, for
he who can imagine 1t rejected, and the dis
honest doctrine OF the New York Convention
preferred, must assume that the people of the
United States have lost alike their sense OF
national honor and their capacity for self-goy.
ernment.