New-York tribune., 1878-05-11
LETTERS FROM THE PEOPLE.
HASTY LEGISLATION.
REPEAL or THE BANKRUPT LAW AND RESTORATION
OF TIRE INCOME TAX.


OF TIE INCOME TAX.
70 fhe EDITOR Of The Trfouhe
SIR. To a close observer of the current OF
events IL must appear strange tBat such Important
measures ss the repeal OF the Bankrupt Act and he res
toratiOn Of the Income Tax attempted 70 De rseu
through Congress without half the consideration Dc
slowed upon the appointment OF Doorkeeper Tor the
House the confirmation OF suDOfuna'S oihcef VI 'o
Customs by the Senate.
The first Of these important measures by which uni
form system for the management Of insolvency was
established after the most exhaustive debates upon us
merits and necessity framed under the direction OF the
best legal talent which could be brought into requstion
upof so important a subject is 10 be swept away bg
momentary impulse OF popular sentiment without que
reflection upon the condition in which We shall be placed
where this law is thus suddenly abolished The pnnci
pe that person finding himself nsOlyent, who yoiun-
tary surrenders all mis- property for an equal dstrDu
ton among his creditors shall not Thereafter De he4u III
bonds by them, is deeply eDgrafted upon the hears
and minds of tine people OF this country, that no tgs
atou to prevent this can endure for any considehoe
period.
The present Bankrupt Act il duly enforced Is all the
protection the creditor demand. s provisions
are stringent in OF fraud and 1t furnishes at the
same time an uniortun1te but honest deOlor Ihe
means of clearing himself OF what would be otherwise
hopeless burden and OF beginning the world aue" III
may be urged that the continuance Of this law would
prove benefit instead OF an injury. The undue expan-
sion OF credit has to for large portion OF the
reckless extravaganza and habits OF luxury which have
ended in embarrassment and ruin. The Introduction OF
cash payments ali the smaller transactions OF Dusi-
ness would be most heaihful restorative for our pres
ent condition n been truly said that ready cash
is great destroyer OF illusions" II certainly imposes
a great barrier to extravaganza, and would promote
economy n all the walks OF liie.
II il quite evident that the unparalleled number OF
suspensions and failures has alarmed the pubic and the
opinion may prevail that they are encouraged the Ia
ciltes afforded by the Bankrupt Law for swindLlng
creditors by unnecessary suspensions Of payment but
the repeal OF this law under existing circumstances VIII
not it put stop TO these failures and suspen
sons. The oldest firms, composed Of well-knO"n ct
zens OF the Understanding, aud most uhqueotloheum III
tegrity are falling all around This is the result O
the great shrnkage Of values OF all kinds Of property
the effect o. the dry rot" which, for the past five years
has been destroying the strength and substance OF the
foundations Of the business men Of the whole community
although for time the outward show Of paint and var
nish concealed the decay underneath, and gave the
structure Of commercial credit the appearance OF con
tmued strength and endurance. At last the continued
storms OF adyersity have shattered the fair aorc OF IN
questioned credit and exposed the WORK OF
silent decay The repeal Of the Bankrupt Act cannot
prevent the coming o the day OF settlement and the
pUsre inability OF Thousands 10 meet all their OBJ
gaous The huge indebtedness Of individuals and cor
and the these skeletons Of assets disappear e
sooner shall again established upon sure IOuhd-
,lOuS."
Asregards the tax" though It would appear
L. be- the most just and proper method OF adjusting tue
burdens Of the State and distributing these DuIuehs
among our citizens according 20 her means of sustain
iny them. yet the manifold evils connected Win Us
assessment and collection an lusupefdD!e OlJecuOn
o. the propuety Of her trial 0f the income TAX.
With ts ri Iry r.ckrry and shameful CouuSon, Whlch
are now known have existed dung the snort term OF
previous As regards mon OF business Tue
general exposure the public public OF the result ct
their transactions is totally rcpu-nant 10 their teehgs
a, well as uiaIluus most Instances, 10 tue interest,
aud uf 80 benefit the annuity, excepting 10 saIy
mOrDd curiosity OF those disposed 10 pFN mo 'ue
affairs o their lshDors Il VIII result ~ Il" ~
viii ryadc t by peEiury and many VIII iuT the purpose
of establishing uIdeSclyed credit, Ifts4t incomes
without touudst II would bc supposed lAtt the
many shameful transactions ready brought 70 li-nt IN
connection WITH tins ucom. TAX ana the perfect de
moIlZttlJn connected with It's assessment ana collcc
tut world De ,u!i.lcn make majors aud X p
resrutltyes give mature dcLD-aloA 10 TINS sun
i,ct before again tudctu- law tat La- been gally
ii brown of a. an uuwise p CO OF EslatOu, tnactcd
under extra ordinary circumstances thrown Un as mis-
cradle and offensive nuisance 10 longer 70 be tolerated
yS,g IgrE Ma 3. 1878. NEW YORKER.