New-York tribune., 1874-05-21

NAV be taken By States for public uses have been
whether these are principles sufficiently Fundamental
to ente them to general acceptance ana ths serve as
basis for system OF taxation adapted to every com.
mnnity is a matter upon which political economists
even are agreed Thus NJ Say the celebrated French
economist whose dcta have been adopted by some
writer's OF repute In England desparng apparently OF
finding an yIgeneral available basis laysdown the maxim
that he Of finance IL to spend little, ana the
best tax that which Is least In amount whe tue
real truth the contrary is that there probaoy no
act which can be performed by community which
brings large retorn to the credit OF cyizaton
public purposes OF percentage OF the general weath'
raised by an equitable system OF taxation.
ECONOMIC AxIoMs.
To confess bo that tho case is hopeless Is 10
confess that human knowledge, In at least one depart
ment has reached its highest limit and that class OF
Transactions which, more than almost any Other are
determnative OF the distribution Of wealth and the
forms in which industry shall be exerted. are best d
rected by accident caprice To enter upon discus
sion OF this question, with view Of proving NEGATIVE
within the limits of paper proper To be presented on
mi, OCCASION H. however impossble and therefore
will content myself with briefly referringt to low points
which, IL to me. may be regarded III tue Rht vi
economic axioms from which sound deductions are pos
sble. . ,,o. ....o,
attain its highest development unless its machinery or
methods OF taxation are regular and permanent indeeo
fem OF taxation that permanent works less evil to the
state than good systen that IL perpetually changing
The curse OF tan legislation OF the United states
has been rather its instability than its theory should
be remembered that order that there may be stability
Second any system by which the sovereignty discrim
mates in in respect TO the same articles or
classes OF property owned by different INDIVIDUALS,
whether be done Intentionally as In tue case
OF wholly dcspotic sovereigntes or by code o, laws
which human nature, seflnterest, and the CONDITIONS
of business make impossible of honest ana eutaoe eH
ecutlon has 10 claim TO De Termed 'aTaron, 1o o w
of the State of NewYOrk 0rdan that all debts due from
faxed et their full value to the resident and not
otherwise report for the year 1873 states, however
that not than per cent Of the value or such mort
| m he
termorc, that this tax is only an odious dlscrimind
ton against resilient o"ners Vi @ iSnOce
and is IN no way different from a discriminating tax
against coored. jewish Catholic mortgages III the
determination had been made in respect TO color or
religion who doubt that the subject would long ago
| have received attention at tho hands OF the political
Champions OF freedom IA IL is, however, the Oldest
luhabant Is without deen Ter. The laws or all the
New-Eu gland states require that all State, city, munlc
pal and railroad bonds ne taxed at their full valuation;
but prices at which these securities are daily bought
aud sold all these states cOnci,iyey proves that
tney are taxed La the days OF old Rome was said
that two augnrs or OWNERS could not meet profession
ally without laughing. How can two State assessors
meet proic ssionaly without admitting that their admin
siraon as TsSd. slaS nS S ars m Rsh it Is pe
yond the power OF man to contravene, though
| he make the diffusion for a time unequal IN tne
same proportion as the tax Is unequal or wanting III
uniformity the articles subject 10 the tax Ihro mas
been much written on TINS subject, out single nusr
tion. which came to me III my eAp5rlenSe ns ools
siOner for revising the tax laws New ofk enooies
the City OF New-York million OF people The laws OF
the State subject all their property WIN sinal GAcep-
| to
only four per cent are subjected To primary TAXA
ton while in Boston. where the laws are executed III
more ARBITRARY manner tue idtiO dSide roh 'ho poaA
Mo- the taxes do not dlfise themselves. and with
great degree OF 'qaty %h"s ineret can tre
what in honest administration OF the Guy anu re-
benefited by exorbitiut assessment on other pfoPery
and distribution OF the money collected even II stOen
by corrupioniss but spent with lavish hand III giving
| him employment
| DETECTIVE METHODS OF ASSESSMENT.
II would however, be mistake to infer, that because
all taxation duses itself and ultimately falls on con-
sumption, it matter OF indifference what methods OF
assessment adopted II all methods resulted in per-
feet equality OF and economy In collection
and were equally free from personal annoyance then 1t
wonld indeed be a matter Of Indifference. But the
trouble is that ali methods are not equally perfre ana
the methods. general rule which nave been adOpted
| in this country, and which commend themselves 10
popular approval. because they appear and claim to
effect equality. the most imperfect In this particular
Thus tnke for example, the sO-called system adopted
in Massachusetts, that all property, subject TO few ex
cepOns, real within the state. ana personal II oeong
@ a M law h
executed. The advance in civilization. the changes
| in the methods OF doing business the basIng OF vast
transactions upon credit rather than upon actual own
ershp OF capital Tue ohsettng OF deDts against deos,
and the facilities Of intercommnneaon have, within
last half century, changed in very great degree
the character Of the property OF all highly enteprSing
Much and by far the largest portion OF the personal
property Of the country Is invisible incoporea or ln-
tangible, and To determine its value, and to assess it,
would require that the persons CHARGED with such duties
cannot be seen, and to know what except ~ superna
Therefore establish the truth OF the ayerment that
law providing for the assessment OF ali property Is an
| abslrdity. even in the absence OF all experience
Take also the ncome-tax. which is advocated by many
economists OF repue. Theoretically what be farer
than that each person should pay in proportion TO his
annual net gain income. But practically an equitable
assessment based on the known Incomes OF each man,
| enacting laws for tho collection of revenue We must
take human nature as We fad IT. our laws, which are
directly antagonists to the two most powerful inilu-
ences that can control human acton-lOve OF gain and
the desire avoid publicity in regard to ones private
Illustration Is sufficient. In 1868, with federal law as
sesslng all $1,000. ana with trained corps
OF population OF near 4O0JOO). hayo any taxable IN
come Again. unless an income tax Is an exclusive tax
or N II forms proposed in the country an element
OF general system of taxation 1t must necessarily IN
yolye double iaxatIOn-1rst the property yielding
the income and second the income itself. II the
property yielding the income were Under the jurlsilc
the income resident Of some other STATE the du
pcaon could hardly BE- avoided as 1t Is not avoided
property and IL follows that the taxation OF
Income from property outside the territory ana Jnrlsdc
on of the taxing power is arbitrary pretense Of
| afOrding protection
THE MORAL INFLUENCE OF DEFECTIVE TAX LAWS.
Letus for a moment consider another, but no less
important phase OF the subject, namely, the moral nau
ence on society OF unequal tax laws Thus, TO take a
portion the property OF man for the benefit OF the
State because he honest ignorant unable to
ceal its possession aud to allow the prosperity OF
another escape because he Is dishonest cunning
| and willing 10 forswear himself, Is In effect
| to impose penalty for honesty or ignorance,
| and to encourage dishonesty and dupicity
Again, II manufacturer. specific instance, evades
the payment OF excise tax the material OF his
| manufacture, or an importer the duties on
| the goods he imports, 1t is clear that they
thereby acquire advantage their competitors
the way OF profit IL they sell their wares at general
prices or have their power to damage ruin their
competitors II they sell at less They all the
injustice such instances but there Is no more effective
machinery for demoral alizng whole people than a law
which just creates opportunity for all the dishonest
and unscrupuous obtain by fraud advantage over
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