The States and Union. [volume] (Ashland, Ohio) 1868-1872, 1869-02-17
Taxing Bankers.

Bankers who have not paid their
fare will please call at the Captain S
Office and settle" Assessor Webster
has done very naughty thing; he
has rung his. bell, and straightway the
bulls and bears and bumble-bee of
Wall street start up alarmed, and send
their messenger post haste to Wash
1 ington, to inquire of the Commission
er of Internal Revenue whether it is
to be supposed for one moment that
the call is meant for them, and wheth-
er 1t is supposable that this country,
after all it has passed through, could
stand the further shock of tax on so
respectable a business, and so respec-
table a body of Christian gentlemen
as that which is represented by them
selves.
Mr.. Webster finds capital en-
ployed in the business cf banking in
Wall street and its vicinity which is
variously estimated by the bankers
themselves at from $500, 600, 900, to
81 ,000,000,O00; while the returns
made by the bankers at his Office
would only indicate the existence of
some S15, 100000, nearly one-half of
which is invested only about sS,000,-
000, of capital subject to tax. ''Tall
oaks from little acorns grow" He
finds a leading banking house doing a
business of from $500, 600, coo to $780,
000, 900 year on a reported taxable
capital of less than 100000. "Great
streams from little fountains fow."
l. kl..-4 IL Ii L.
maker walks up like a man and pays
his penny to the hundred for all the
Iuciters he manufactures-but then he
is only plebeian pine splitter, and
can poorly afford to fight Uncle Sam
while near one hundred bankers in
Wall street, and those the most gifted
in financial pyrrotechnics, whose daily |
exploits in sending this or that stock,
at their pleasure, sup like rocket or
down like the stick" are telegraphed
across the continent, who hoard or |
emancipate- at will, to the detriment |
of all honest trade, tens of millions OF |
greenbacks at a time-make no re-
turn, and pay no tax on the capital by |
which these wonderful feats are ac-
complished. ..s-sat.f
"Millions of capital" say they, ''in
employ sir, but not one cent for
tax" -- fe. =
Mr.. Webster asks the banker deal
ing in stock for the tax of one twenty
fourth of one per cent. per month inn
passed by him on his desposits, and a
like tax i'upoh the capital of any
bank, association, company, or cor
poration, and on the capital employed
by any person IN tho business Of ba,ikng,
beyond the average amount invested
II United States bonds" the law hay-
ing previously defined "every incor-
porated Or other bank, and every per-
son, firm, or company having place
of business, whose credits are opened,
Z x X or whose money is advanced
Or loaned on stocks, bonds, bullion,
bills of exchange, or promissory notes,
Dr. where any Of these are received for
lise ount or sale" TO be Ha bank or
banker" .-- rs all. 30
At this point be is met by the stock
broker, doing business as a banker,
! I'd under a BANKERS license, who at-
'ures him, s'pon his honor" that he
las no capital employed as aforesaid t
-only credit, nothing more, 81 ieSl c
E That the vast sums of money he
,mploys in his business is derived from i
wo sources: ''--' ..
1t is either bot. owed, by the hypo-
hecation of stocks, &C., or it consists i
f margins" deposited by his Gus v
omer. and used by him, if used att
H. only in.the purchase and carrying q
f stocks for and on account of suetf
ustomer. Sc , esss,.y q
That borrowed money used by q !
'anker in his business is not capital,
or deposits. sS q
The Conn rni- ;o.,a,s ~ HFaah;zors.azluiu1