New-York tribune., 1868-04-09
THE INCOME TAX.
Is THE TAX CONSTITUTIONALf
MIR. RARTLETT's ARGUMENT.

ticle section ~ provides that Representatives and
direct taxes shall be apportoned among the several states
which may he included within the Union according to
their respective numbers" This is plain Its meaning
is unmisrakable According the established rules OF
legal Interpretation II orbids by necessary implication,
the eyyDg Of any direct tax not so apportioned Hut
trainers Of the Constitution particularly jealous
OF the exercise OF the power OF direct taxation by the
General Government They 1T TO surround 1t with
extraordinary safeguards They did not trust the proh
bion TO lay direct taxes In the manner specined
to inference, however clear the implication might
be- In the ninth section OF the same article
they state this prohibition in terms as follows
mo capitatiOn other direct tax shall be laid
unless proportion TO the enumeration hereinbefore
directed TO be taken" The income is not appOr
toned direct taxi 1t is direct tax not being
so appOrtioned, IL must be unconstitutional.
An is not Of recent origin that there has
not been sufficient time and opportunity for Its nature and
character and the description OF tax to which belongs
20 become fully understood We have but 10 open the
book Of history study in the light Of centuries More
than thousand ago 1t was one OF the chief causes
Of destruction Of the mighest earth The
Roman empire fell under the oppressive weight Of direct
taxes and OF all those captaton tax proportoned
20 revenue or income to have been the most alb
horred and the most dreaded QIume's Essays" l., 1885,
356 Gibbons Decline and Fall Of the Roman Empire,
vol. II, li9, l5O; Zozmus, j. H., y. 1l5)
Rulers in former times clung to this species OF tax as
ally. nations gained their freedom they shook 10 of
II may well retire before the march OF civilization for
everywhere II is the prolific Of fraud and perjury
and the dutful handmad OF the father Of lies Prying,
inquisitoria impudent, offensive odous in It's nature
not with liberty. An official investigation into
the operation OF the income tax In England discovered
ap e1sent q fraud extending s COLLECTION ThSh shocked co
elasticity OF conscience far exceeding the proverba at
tude Of customhouse oaths. few made scrupulously
correct returns under the law but the great majority
exhibited degree OF modesty in stating their incomes,
which would have been more becoming in sefmade es-
timate Of their virtues while many an insovent debtor
q bolster
exaggerated representation Of the profits OF ms psl
ness The law had worked as If 10 special device
Of satana broad aud road leading both ways INTO
temptation 49,
McCuOch-not our Secretary Of the Treasury, but the
distinguished English writer on political economy--re-
marks:
and tbose o@eaonsJ iss individual, m either
wi,h though richer really desire quiet
n, suspicious n their creditor return their incomes oond sheH S
the vast majority edeavor to eonee' and
nsuu examination into the state Of Their sa.. 10 ss S,J
'ueb examination can lead 20 10 ,a;o % I;'u & az, % W.
those parties whose evenus, are not derived iro os aa
saibo to them according notion Of what night
psad on - bsnor o The par win be f si,b
s1 well - escape il .tosher Heuce may truly said TO be
too Aos'ty a'd toHB on Deary and yraga 42Ie' on
lrire .d inquiry the Affairs
,9d ~ tbs Nf, Independently Of ntga. asp up g'fs=rs fs = ss
CTrestse OF 1pisuon, ~. ". l2s, l1)
1t might well be urged that nation has no right 10
adopt or retain system Of taxation the inevitable ten
1ency Of which 70 corrupt the moral sense OF me people
do not however propose TO pursue nj length the moral
bearings OF the subject but chiefly 10 discuss the question
whether under onr Government an nc1Ge tax, not aI
CONSTITUTIONAL Is the income tax capltation OF other
direct taxi This inquiry involves the whole question VI
Is fIiE INCOME TAX a oArTArIox rtx.
Isit captation taxi What a csmation TAX IL ls
thus defined in Bouyier's Law Dictionary:
CapsriioT-A poll tar. inpoion slcb yearly laid each
DR. Adsm smith. than whom there is no higher author
u 70 o ssr9s t sS - 'lisd,d .or ail ndtg,ny on ,y
srf. 9 eapdtn >s ADD taIes upon con'uHAbr con-
poss.s from their land ron the pro Of
their stooi. or ron The wages Of their labor ,.
This certainly seems TO De accurate and complete
description o income tax and II is pertinent To re-
mark that Adam Smith IN great repnte as writer
upon political economy at the of the formation OF
our Government and Is often quoted IN the speeches ana
writings OF the architects of the Constitution, 80 that
they were likely To have reference 20 his work IN the use
OF The phrase "odpai'o" or other dIfect TAX III at
The popular prevailing idea in this country OF CAPT
taton poX, seems 10 be that II always equal-so
much aud II has been the practice OF the States
which levied such taxes Ia make them UNIFORM upon
the classes Of pefons which they were imposed But
uniformity is necessary ingredient or characteristic OF
a c,pitatlou or potaX. In the Old World capltation
taxes have not generally been equal or UNIFORM His
torans inform U.s." Hume III his Essay on Taxes,
that one the chief of the destruction OF the
Roman state the alteration which Constantine lli,
troduccd INTO Tie finances, 10y substituting universal
polay IN lieu Of almost all the tithes customs, ana eN-
cises which formerly composed the revenue ot the en-
pre- Yet whai are mere spoken ol as potaAes were
propOri0ncd To the gains lunts or Incomes or persons
U,tbbou'. Decline and Fall OF the Roman Empire,
anoye I'm England poltaNes were at first levied upon
certain classes al three Slngs ~ the pound of thelt
supposed Income. and subsequently upon tue Same ana
other classes according !" ihelr rank. tSmhs neath
of Nations, p 1867 la France during nearly an the lsth
century captatiOn taxes were levied on the higher
classes according 10 their rank anu on the ioNtr oihes
according their supposed fortune. by an ssInent
1925 The capiation tax varied from about five
10 about four hundred dollars journal du Paais,
have raised the question. hut do deem IL
say determine whether or not within the meaning OF
the CONSTITUTIONS the income tax Is captato TAX Inc
larger branch O the inquiry u direct tax W
dispose Of the point of It's constiiuuonality Isl
direct taNi If IL direct tax, whether or not It be
capaton not being laid In proportion TO the census,
il must stu be- unconstitutional.
In order TO decide correctly this queston-which IL
really the only ISSUE propose TO refer to the following
sources OF information
secondly: The doctrine OF France country fam-
lar from NpcricDcc, with tins kind of tax.
Thirdiy The debates In the British Parliament
TotrthIy The understanding OF the meaning OF the
term diTco hiIcs by the trainers OF the Constitution.
Eyhy The decisions OF the Supreme Court OF the Uni
ted States.
authorities: aud II We fnd that thry all substantially
agree may We not consider the matter settled
what then. Is direct taxi Adam Smith sets forth
tax upon persons rere'lne-whch Is but another name
for bis iacOmeto DE direct tax Weath OF Nations,
McCulloch divides his work ON taxation into two
parts: Part l. direct taxes ana Part IL on indirect
taxes; and rnder the head OF Direct IaIes lie treats Of
taxes on property and inoom,."
James Min under the title OF Direct which
designed to lall upon all sources OF income says; A.
.cTipton." elements Of Political Economy. p. 2cIJ
say defines direct tax 10 be the absolute demand OF
specific portion of individuals real or supposed rev.
rnue." NOtcal Economy, D. 4GG)
John stuart Mill says: TAXES either direct or In
direct direct tax is which In demanded from the
very persons who II is intended desired should pay IT,
Direei either income expenditure. Most
taxes On expenditure Indirect but some direct,
being imposed producer seller of an article,
but Immediately tho consumer" And this writer OF
kno lodged authority, s!s elaborate discus
sion OF the subject OF under the head or Direct
Tares (Political Economy, vol H., 37l 10 Ss2)
Ur Ieber referring 10 the different modes OF leyying
taxes says: "he first way is dlrect-to determine from
the statement OF the parties concerned from official In
foruaion the net income OF This kind OF taxes
- Had direct (EncycloDcdia Americana vol vii, ID,