Evening star. [volume] (Washington, D.C.) 1854-1972, 1880-08-27
AbOuf Taxation.

At The recent Bankers Convention at Sara
toga the subject OF taxation was discussed in
all its bearings and especially In regard to the
effect OF heavy tax upon money. Ex-ASseSsor
James 4. Briggs gave IL as the result OF expe-
rience and extensive observation that the least
possible tax upon money Is the best possible
policy fer the people, the most conducive 10
tier prosperity; especially 10 those who would
borrow upon mortgage. What our country
needs Is cheap money. IL cannot be had when
the legal rate Of interest Is only six per centum
and the rate OF taxation from two to three per
centum. The laws. he held, should be OF such
a character as to invite mOneyed capital and
capitalists; and he brought forward the Data
showing how disadvaDtageously the present
laws taxing money ia New York worked In the
competition OF that city as financial center
with Paris and London, where the influx of
money Is 81 dulOusly encouraged. IJ was argued
that tie country part OF the state made great
mistake IN bandicapping the cities by an On
eTCus tax uTon money. The.growth OF cities, it
was maintained, is the prosperity OF the coun-
uy. aid they should De left 10 be subject to
such revenue laws as their wants. their inter
ests and the well-beiBg Of their people require
and demand, without any let or hlndrance from
the country.
While these may be characterized as the
views OF q class interest, there is undoubted
truth in them, especially as regards the injuS-
tiee Of applying a rural or country Idea of tax
elton TO the entirely different business condi-
lions OF q city. This is precisely the point
made by the people Of Washington in regard to
the congressional tax legislation for the Dis
trict devised by members from rural districts,
who persist In iDf1cting upon US tax laws such
as agricultural states. like Ohio and New York
have loaded upon money, the tools OF business
for the cities The result Is, that capitalists,
widows, executors and others seeking to invest
money, give Washington the go-by and resort
TO Maryland and other states, where the tax
upon money does not absorb so large portion
OF the interest. as Is the case here. In the same
way Washington bankers and other business
men find 1t worth their while to establish their
residences over the boundary In Maryland. to
avail themselves OF the lighter system OF taxa
tton,-personal tax, &c.,-there. The city of
Washington should have a system Of taxation
adapted 10 Its business needs, and that viii In
vlte capital instead OF repelling 1t. The city
Will never have commerce or manufactures to
any great extent, and for It's future growth and
prosperity il needs 10 encourage people of
wealth and culture to come here and build
houses and set up their homes Our tax laws
should lot be Of a kind TO drive people living
upon money income, great or small away
from the city, or TO enable other localities to
outbid Washington as place of residence for
those seeking an agreeable home. Probably
every real estate operator Ia this city could give
instances where our tax system has served to
send investors and would be citizens away from
Washington.