The New York herald., 1876-09-16


be included In subsequent returns with m:f. .r
chants aud othor businsss men u was 9ln
without regard to outstanding accouuta III, Tor n.
stance. merchants books exhibited certain proh!
the years business he taxed on the full amount
of Thcn during the following year, II his pronss
diminished entirely wiped out by losses
through the last years Debtors he could deduct tns
amount from his next returns There no esliniat
ing a mans taxes. Forms were provided and the
assessments made on the statements Of ctizena
subject to the tax. The great majority of the people
fusal to.do were rare The only object any ono
could have in neeecng to comply to conceal the
actual amount OF his income In the hope of being A.
sessed for a smaller sum than he ought As rule
the assessors broke up that game by piling 1t on
In Mr. Tllden's there neglect o,
duty both on his part and on the pari
the district Mr.. TiIden l believe. made two
after that stopped und assessed by the
chief OF his district Il was the assistant as
SCISSORS duty Mr. Tden, but It does not ap.
pear that he did SO. In my opinion The chcr assessor
and Mr. Tidcn were In coluson and fixed matters be.
tween them. Mr. Tden had excuse for not making
his returns the rs or any other citizen did"
BLEkcKER's REcoLLEcrIONs
Mr. A. J. Blocker appointed assessor OF the
Eighth district 1862 aud held the Office until 1863
Mr. rden resided in his district as did also Hamilton
Fish and many other prominent aud wealthy men.
The returns from tho district we're larger han
any other in United States. The reporter called OF
Mr. Bleeckcr and questioned him concerning tho prnc
tcc OF failing or refusing to make income returns -
his district Mr. Bicecker sald It was by no means the
exception TO do So There were many INSTANCES oI IL
especially among lawyers and professional men, who
were not systematic in :hcir accounts ana
with whom it was almost impossible TO
mako accurate returns 'Yes there wore hun
drcds OF such cases. remarked Mr.. Blseckers
sou, who was present at tho conversation aud who
formerly assisted his father in his duties AZ assessor
IL IS eight years continued Mr nleecke., M s o.,
have passed out Of my hands. There were about
twentysx divisions IN the district ana AS many as
To do with Mr. TiIdeu's affairs II ho failed 10 make
hls returns 1t was my assistants business TO assess
such cases bdt / do not recall Mr. Tdpns case Il s
very likely was consulted In his case. We treated
them all alike, and generally made the assessment
largo enough to remedy tho trouble tho next tmc
would gladly give you further Information II could,
but the details OF tho business were attended to by my
chief clerk
x.orIsIox THAT IS LAW.
Mr.. William Orton, President OF the Western Union
Telegraph Company, was amcng the first OF the coll
that capacity IN the Sixth district IN this city. He
aterward went to Washington and was appointed
Commissioner OF the revenue. reporter called on
him with series OF questions concerning tho inter-
prca.on Of the law enacted in 1862 aud his expert
cnco It's workings NJ. Orton reluctantly entered
The subject did not wish to express his opinion
matters which were not within his Jurisdiction. The
following is tho substance OF the Interview
REPonrER-Were not moneys realized by the sale ct
Stocks property &c, considered part oi PERSONS
income though Tho same was Intended for immediate
Mr. ORroN-Tt Is years since was con-
neced with matters relating to The revenue, and what
ever opinion might express would only be my rec0l
lection OF the law then existing, tho expression OF
fact which was known and published at that sime.s
REroRrER-Dd not the receipts Of any one year,
though representing tho earnings OF that year,
enter into its taxable incomcS
Mr.. ORroN-Questions Of that nature were as
| said before, subject to the law Interpreted
by superiors In their instructions TO subordi.
mates. Tho institution OF the law was a trouble
lnquisOn into the private affairs of every per-
son with an income exceeding $780, and to properly
conform to II matter OF great difficulty and one
requiring nicely OF judgment For instance II
physician had charged during tho course OF year
$40 90 Tor visits and only collected $6OOO would be
fair in HIM 10 return the latter amount as his income.
provided II in tho following year he added to his re-
turns whatever Of the remaining $4,000 he subse-
quently received; because II he returned the first
amount ana failed to collect the S4 900 he would be
paying taxes on loss The will apply to
chant who, balancing his books al the end OF the
year, nnds profit OF $4,000 He has say a tho
same time debtors to the amount OF $40 000 Every
prudent business man will classify such accounts &C
coralng 10 tho standing OF those who owe him. One
fully good and another d0ubtuIly bad Thus he estab-
lshos approximately correct condition OF his bust
ness and II IN making his returns TO the government
he treats Il fairly lao does himself, think
. ception shOuld be taken.
REPoRrxn-Did many persons pay taxos on their
supposed incomes or upon actual returnsY
Mr. ORToN-My Office was that OF collector, and
had nothing whatever 10 do with tho assessments
The amounts payable by individuals were determined
by tho assessor, and came TO me accepted by him.
REPoRrRR-Whcrc individuals neglected. declined or
refused TO make returns, what was the official inicr
eucef
Mr. ORroN-I do not thinx It would be dceorous for
now 10 express my opinions. Allegations OF such
u
be gracious in to speak Of tho matter especially
not in sympathy with the same political par
ties The question Is ono OF law and II thcro has
been any mlsnterpretaton Of the courts can adjust
the matter
Tho following conversation took place between
HERALD reporter and Mr. Marshall B. Blake the pros
ent collector OF The Thirty second district In this
city
stocks iarms houses, sc, though intended for imme
dste reinvestment enter into persons income BY de-
csion OF auth0rtyy
Mr. BLAxx-Certniny The law did not consider for
swhat purpose the money realzcd-whesher squan-
dered or invested 10 better advantage
REroRrER--Dd not the receipts Of any ono year,
though not the earnings OF that year. ente: into the In
come all the sameY
ers and traders that the nvarate rule, but among
professional men in tho habit OF receiving fees II
optional. Thoy were gwen their choice between their
earnings and receipts basis for making their
turns and having made tho selection not allowed
to change their course but assessed accordingly
do not remember at present any personal instances,
but that was tho manner in which II was done
RKroRrER-were many in the habit OF paying damage
on their supposed incomes or did they return their In
MIR. BLAKE-In the confusion which attended the in
PRODUCTION OF an entirely new and intricate system Of
taxation the returns at first of course per
feet; but in short time the business thoroughly
systematizcd and the returns then thorough
specific There was no supposton AS to tho amount OF
Persons income All tho different sources OF earn
ngs were gwen separately, and whatever exemptions
existed were allowed lor and deducted.
REPORrRR--Was II common among the people to
neglect to make their returns for several years. TO
decline or refuse and accept thu penalty and what
the Official inference In such cases.
Mr.. BLAKx-lt was not n common thing either to de-
cline neglect refuse to make regular returns Such
exceptional easily cured In cases where
returns MADE and the penalty accepted II was
lett with the assessor to estimate tho amount the
donquents income, and II the first attempt did not
produce the desired effect the second assessment
generally made large enough to bring out the required
returns The object OF refusing declining to make
them was the hope OF small assessment. but even the
few instances there wero soon disappeared under such
treatment