The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1879-09-11

lgnugspA pTEA q q 81. ts (
raging the Bonds.t

sr,., f,,ns,itu,ton of vsrginsa provides
49,, s,ss.,;on shall be- :equal and uniform,
( md nat no one kind os propsfty sna'' z
sax,d higher shan another. But tbis p pc. y
ss !, IA STATE ccrst llIsion IS dominated
asa ,ss controlled By nd older and aupsster
n,,oyIsion in al older and superior con-
stitusion namely, the Constitution g tae
United States. This latter instrunleeS pio'
vif.es that no Stare shalt Tass any NV 1T
nairlnc the obligation Of CONTRACTS. ~ +
ss The Supreme Court OF alie Unaeeu' Ssas
n.s decided both that this pfoy : !,
re,ers 10 ceHtracts aEade by iss sess -.
States of the Union, and also Anas "usf
+ .,,.h = Statss nas,es contract lt pu.s
]. s.s.,s nm 4 hsyei with individual persons. Y
snI,ows that the provision in the Virgins
rcpstitntacn cannot confer spon Virginia
taArIaht 10 repudiatc an isenest debt. Il "
an individual were to attempt to nola on y
". 3 mart Of the interest due upon bis tos'u
unou the plea that he had right to levy =
sax uson the bend, he woSld at once DC se1
s,owa MS dishonest, and bis plea wousa ec
sso,,,ed in every court in the land. 80 ~ %
the State Of Virginia. when net 'So Nv.
ANTON demands that oil the properly
ia the state shall DC taxed u inesns
a; course all the property that ought 70 ei' De
tsxed. II doesn't mean that the Governor
d to nav lax upon the Executive man
sion, nor that the fund for the sappors OF
the pub.ic schools Is to be cut Gown 2! =
tax upon all the school-houses In the 'ota'e.
: Tn word. it doesn't mean that any piop-
or,y uh;ch the Constitution itself eltber
&excsnr,ts from taxation or percnles TO We
exempted from taxation, must necessarily
he taxed. OF course, then, it doesn't mean
that any property nust be taxed "h'cn sne
Constitution OF the United States says SUIT
not be taxed.
So far, all persons OF all parties Will agree.
The only question left, then, as 20 the rlshe
OF the State to exempt. her bonds from Taxa
.ion must depend upon whether either the
State Constitution or the United states Con-
st;tut;on allows them to be excepted. Ine
State Constitution provides that "the Lee
gisla,ure may exempt all property used ex.
clusiyely for State" purposes. But It can
not he commended that the bonds are OF ibis
kind Of property, though in certain sense
they are to be used Exclusively for state
purposes.'' Nevertheless, under this pro-
vision. the exemption of the State bonds
might we'll be justified as morat"-not as a
icgai-proposition. ....'...,
But there is no occasion to come doWnto
the State Constitution to search for au'
thority for exempting State bonds from
taxation. The provision Of the Federal
Constitution which prohibits a State from
passing any law impairing the obligation OF
contracts clearly prohibits Virginia from
taxing her new bonds under the MCCULLOUGH
bill as much as per cent. upon their race
value. Nobody will deny that proposition.
The Legislature has no power to tax The
new bonds, 8 per cent. Why not? Be-
cause to do that would be to destroy the
contract-to tear it up by the roots. For
the same reason the Legislature has no
power to tax them 2 per cent, nor per cent.
So rs as to one half OF per cent. 10 allow
to the State the right to tax her own bonds
one nan OF per ceut. - W SonSeue L"NO soS
has the right to determine for herself what
rate Of taxation she shall impose upon her.
own obligations. 1t is, in brief. to give her
the power to pass law impairipg the obli-j
CATION OF her own contracts. II. she is, as
to this matter, upon the same plane with
individuaIs, then clearly she has no such
power; and that she is upon the same plane
we have the authority OF the Supreme
Court OF the United States for declaring.
Just think Of the question: How much
can State tax her bonds without impair
ing the obligation Of the contract? How
much can she honestly tax them? is the
same question in another form. We leave
the question to the decision OF honest men.