Oxford Democrat. [volume] (Paris, Me.) 1833-1933, 1878-07-23
Tar The Bonds.

raised by pack OF young hounds. who
are as likely to be upon last years trail
or following ground hog. as to take .
fresh fox scent. Inequalities OF station
in life have always existed, do exist. and
must always exist, despite our pationsl
declaration that all men are destined to
be free and equal. But in this country
all are alike before the law; there is no
class legislation, no distinction oil race
color or condition, and thore ia less cause
for complaint by the poor than csn be
found 10 any other nation on the footstooi'
Yet We are so jealous n people, that the
cheapest demsgogue may lead us Tor
time by simply pointing out some faneied
act OF oppression.
One OF the most potent cries for few
years has been thai our government bonds
were not taxed, and that the rich thus
escaped Just share of the public burden
This idea has misled many who have
given the matter simple superficial con-
sidera,ion.
The bonds are not taxed, first because
the government in the hour Of peril. said
to the capitalist. lend US money on ouI
bonds, at moderate rate OF interest, anc
we will, in consideration of the risk taker
by YOU, and the small rate OF Interest
given by US, allow your bonds to 20 IN
taxed. II there was any unisirness II
that contract. Il is not apparent to lh'
thinking mind. A nation put 10 hrs'
trial With Itself; racked By terrible dis
sension; torn by the most distressing wal
OF modern times; destruction imminen
by the hand Of traitors al home. encour
aged by The enemies OF liberty abroad =
sucb a nation. 10 sIch cOndili u, Cal
hardly be said TO have afforded very In
wiling held tor the investing oi capita
even with all the inducements ther
offered. Seven or eight per cent inter
eat WAS not much " an iuducemenl, II
those DAYS, when men doubled their cap
li,nl in iew days. and then proceeded sC
double 1t again. II was fair trade s.
the time. snd II circumstances have
altered. 20 AS TO make II appear eN'r'
Advantageous to-day, i, is because We az
not .ook at the facts in their true hight
which is the light OF the day on whict
The contract was consummaIed.
Again. it would be almost Impossible
tor the government to tax It's bonds
About two-diths OF the bonded debt Il
held by foreign capitalists. The only
way 10 reach them would be for the gov
eminent 10 retain portion OF interes
money, as il becomes due---lhss IS, re
duce lis rate OF interest. This u Is now
doing, rapidly as possible. Four ant
tour aud halt per cent. bonds are oeins
issued IS rapidly as purchasers can 81
found. Four per cent. untaXed bonds are
eoasl 70 Elk per cent. bonds With t"'
per cent. tax on them. Who would pur
chase tour per cent. bonds with tax o
one or two per cent. on them IL Nou!t
De too low a rate OF interest for any kline
OF trust funds or Investment. IL w
were 10 tax bonds in America and alio"
ioreigu holders to 20 free, we should Inc
the same demagogues who now shou
"tsx the bonds" crying abou. the dis
Termination in favor OF foreign capital
isls." Then, too, Americans who wished
20 Own bonds, would purchase through
and deposit with foreign bankers, thus
defrauding the government OF IT'S TAX
and causing nearly the whole debt TO be
located abroad. II We tax all alike. b
Withholding share OF the interest. Tor
eigners might discourse with freedom
and pointedness OF a people Who rebelled
with the cry "No taxation without rep
resenta,ion," bu, who were rs ready u:
any other to Inaugura.e like system oI
oppression when time and circumstances
bad given them power.
In Just one way can these bonds ot
made to pay tax TO the gov rument
There is an Institution in this country
now called monopoly" and "au in
strument in the hands OF the mouiec
minions'-iormerly known as the Ms
tional Bank" This institution deposit:
with the Treasurer at Washington, say
500. 90 IN U. S. Bonds. ~ security
against los 10 the people. Tbr govern
ment assists the bank 10 $50. 600 worth Of
bills for circulation. aud taxes the bank
one per cent. on its circulation. II also
taxes the bank fraction Of one per ceot
on its deposits. Thus the bonds, pay &
small tax directly to the government
But, in order for the bank to purchase II:
500, 600 worth Of bonds, il has 10 secure
that much money This il does by issu'
ling bank stock 10 the full amount OF ii:
capital. Every year the cashier OF each
bank is obliged by law 10 certify 10 the
town sf each stakeholder the amount u
stock said holder possesses. Bank stock
is taxed by the towns st It's full face
value, one, two three, four per cent, 8:
the rate OF taxation may be. Thus,
again. the bonds pay sn indirect taxa
municipal tax. This municipal and
direct tax, paid TO the government was
"a per cent in 1876, and over s16. 900, OOC
were Contributed by the bonds, through
tho nAti.nhl hanks danouneed sO stronp lv