The Corvallis gazette. [volume] (Corvallis, Or.) 1862-1899, 1879-10-24
NO TAxATIoN-N0 PROTECTION.

Ed. GAZETTE 1t is not the government
bondholders alone who avoid taxation.
Tax-dodging has grown to be an art, and its
practice is general. Vanderbilt, known to
be worth nearly hundred millions, swore,
not long since, that he was pauper, to
that persons who hold state, county, munic.
ipal and railroad bonds, withhold them
from taxation. Usually it requires perjury
to do it, but it is done.
This is one of the reasons why real estate,
formerly considered the soundest and safest
investment, is not sought after, and has but
few buyers. Land cannot be hidden from
taxation. Very little real estate pays per
cent. on its value, over and above taxation.
Men with money find that they can get
from seven to ten per cent. on municipal
and railroad securities, and generally escape
taxation.
This is one of the reasons why the real
estate market is comparatively dead, and
the bond market is lively. The true design
and end of government is protection to per-
son and property. To enable governments
to afford this protection, they must be sup
ported, and society has long since settled
down upon the theory that it is necessary
for every man to give portion of his
property to furnish means for the protection
of the balance" Some men have nothing
but their persons tc protect, others have
person and property. 'The amount that
each person is Justly required to contribute
to the protection of society depends upon
the amount of protection he requires" The
man who has ten thousand dollars to protect
should pay ten times as much as he who has
but one thousand. A farmer who has lands
and property to the value of ten thousand
dollars, requires no more protection OF the
government than the man who has that
amount invested in bonds, mortgages, green
backs, or twenty dollar pieces.
The farmer receives the title to his land
from the government, and he contributes
his annual pro rata to enable government to
protect him in the possession and enjoyment
Of his investment. VIM. Fl. Vanderbilt,
August Belmont, and other millionaires,
who reap fabulous harvests annually from
government created and protected invest
ments, pay nothing for such protection. Is
not government protection as essential to
them as to the former? Unjust and I'M
equal taxation will sooner ALLEVIATE people
from their government than anything else.
Equal and exact justice to all, and exclu-
sive privileges to none, is as correct In
principle now as when first spoken. There
are two classes of property in this country
that afford incomes to their owners. One is
unproductive and untaxed, the other is pro-
ductive and taxable. The first consists of
the inflated, interest bearing credits OF the
country, in the form of national, state, mu-
nicipal and corporation bonds and farm
mortgages. The country has been unneces-
sarily and wickedly burdened with these in |
terest-bearing obligations in order that capi- |
tai might have something to invest in that
would yield its owners larger and surer re-
ward than the productive industries. These
investments equal in value and Importance |
all others. They were created by the gov
enment for the benefit of their owners.
They receive the protective care of the gov
ernment and their annual crops are har-
vested by government reapers and at gov
ernment expense, while their owners 60 tax
FREE
The other.class consists of lands. mines,
and other property, whose increase
is the result of their cooperation with labor.
The value of this class Of property is no
greater CQdn Cuab OF GQ6 Quiet. 1bb duHudA
increase is not to- exceed one-third that of
the other.
Adam Smith lays down three maxims of
taxation. Ist. "The subject of every state
ought to contribute towards the support of
the government, as nearly as possible in
proportion to the revenue which they res
pectively enjoy, under the protection Of the
state" I'd. The tax which each is bound
to pay ought to be certain, the time, man
ner and quantity ought to be clear and
plain to the contributor and to every other
person. 3d. Every tax ought to be so
coatrived as to take out and keep out of the
pockets of the people as little as possible
over and above what it brings into the pub
lie treasury"
The only equal taxation is that which is
evied in proportion to the revenue or in.
come of each person under the protection OF
The state. The farming, manufacturing and
producing classes throughout the country
receive an annual income not to exceed one
;hird of the amount received by those
whose investments are IN securities, still the
orrner pay all the taxes, and the latter pay
,one In: case of war the tax-paying pro-
lucers do all the lighting and foot all the
pills, while the non-taxed usually reap all
he benefits of victory. Il
II taxation without representation was
ust cause for the rebellion Of FITS, the rep