, 1874-08-26
TAXATION.

exert no direct Influence on tle question.
- |
TAXATION.
Tho supporters Of our present barbarous and
o1tfayagant System of assessing and collecting
ta1cs argue against indirect taxation that 1t
makes every man pay In proportion to what ho
consumes 30 that tho rich mau docs not give tho
Government noarly as largo proportion Of bis
wealth as tho poor man. Thoy quote tho case of
two persona, with respective incomes Of $100,-
600 and o.. 900, who spend on their households
$4,000 aud 81, 900 eacl year. Tho first would
then pay, il taxation is Indirect, about five t!mos
as much as the othor, wllilo his income la fifty
times as great. So thcso mon say and then
haranguo tho people: two are tho dofondors
Of tho poor; vote for tho system Of taxation
which givos us fat sinccuros." II ,so look below
tie surface Of thia Hhnllow sophistry, we shall
ind that all taxation, direct or indirect, ID paid
by men In proportion to their consump-
tion. II this in an objoctton instead
ot favorable argument 1t ouss both
ways and initiates equally against both Bystcrns.
Technically Bpeaking, man conBumeB whatovor
he buys. 1t rnny Re s,fsteak for hia broahfast,
p!oturo for his sa:ior, plot Of laad. All Of
theso aro rockonod in his consumption. On all
OF them ho pays taxes, tudor either Hystem Of
assessment. Take tho case Of direct taxation.
The plico the butcher puts upon his boofstoak Is
made higher than 1t otherwise wonld DO by the
fact that the aellor has to got sufficient money
from It to help pay, not only for It's primo cost
and his own labor, painstakine, and akill, hut
for the rent OF Lis shop aud his house, for tho
| services Of his assistants, and for tho original
| cost Of his tools. Both the rontB arc hjgher Oh
account of tho taxos on real estate. Tho wagoa
| Of labor vary, OF COURSE with tho prico Of pro-
vialous which Is increasod by taxes Oh railroads.
landa, warehouses, and dozens Of othor things,
| The cost Of tools is raiscd By tho taxes on
land tho duties on raw md manufactured articles,
| the taxes which enter into tho cost of labor,
etc., etc. Thus the prico Of tho boekstoak is in
creased by tho incidence Of taxation In innu-
,norablo ways. It IL ovidont, then, that tho con-
aumar pays part Of lila taxes whenever he buys
pound Of ncat ue Is, undor tho present sys-
tom. taxed directly upon tho painting and tho
real ostate, and, iu buying them, ho pays the
original cost plus tho amount Of taxes since paid
| upon them. A sin1ilar train Of reasoning will
show that direct taxation iuoroaHes tho cost Of
each aud evory article represented In the con-
sumption Of avory man, rich or poor. Indirect
taxation acts In precisely tho satue way. Lot us
suppose that our mau OF $1o0, 600 income Invests
tho ss0, 900 over aud above his household sx-
ponsos in paintings, In tho capital stock OF cor
poration, and in land. In eaoh transaction lie
really pays part OF his taxos Thus In purcbns-
ing painting, although the greater n"st OF the
prico represents the work NJ tho artist aud Ia
only remotely aIeotsi by the taxes tho lat
tor PAYS, depending almost entirely upon
his aliiI, yet tho remainder Of tho
cost Is the result. in part, OF the
taxos upon matorials and labor represented by
tho colors. brushes, and general inped,n1enta Of
studio, aud by the framo. The stock bought
In q corporation sells for prico that deponda
not only upon tho capital originally invested in
1t, but upon tho taxes which, by affecting tho
price OF materials and labor, and the coat or rent
Of tho roal estate occupied by the corporation,
have Affected tho returns to tho stockholders
aud 30 the value Of thoir shares. Finally, uheu
this man buys real estate, tho price ho pays IL
higher on aeoount Of all Indirect taxes which
hive raised the prico Of tho labor employed in
surveying, Or draining, or fcncing, or buiIdiug
upon, Or otherwise improving tho land, and tht
price OF the materials and tools employed in al
theae operations. Whatever uao this man makef
Of Ills surplus income, Indirect taxation mill find
him out.
The objection to this speedy, sure, and eco
nomlcal system of assessing and collecting
taxes. which is founded upon it's supposed
fayoritism to the rich, is, thon, groundess. Nj
matter how We tux. directly or indirectly, eaot
oitizon will pay in proportion to the money hs
speuds,-in other words, In proportion to Iii
! consumption. Tho question botween tho tn.
systea,H then, resolves itself Into thls: Is /
better to havo droot taxation, with tho cum
brous and incompetent machinery Of assess
mont and collection, and the host OF petty ami
uHelees offices which 1t Involves, or Indirect tax
! alton, by which Nature plays tax~gatherer. an'
by which ono or two n,en can collect all th
= taxes Of city like Chicago, and dozen all til
, saxes Of State like Illinois7
q ..s..s..e.-z-@-@
POLITICS IN ALABAMA.
y The Ratasca! State Convention Of Alabama