The Hawaiian gazette. [volume] (Honolulu [Oahu, Hawaii]) 1865-1918, 1881-04-13

EDITOR GAZETTE: have read with some
thought Mr. S. n. Castles able plea in his at
tempts to convince your readers and the Govern.
ment that the great money lender A. has no prop
eyty and that it is trr0Hg and double tanatioH &c
make him pay taxes. That b. has all the prop
erty and should pay all the taxes to support the
Government; in other words money invested in
the industries Obs positition) should pay all the
taxes and money loaned, (A's position), nothing
We presume in the illustration used by Mr.,
Castle that A. represents the creditor or non-pro
ducing class, and B. the debtor producing class
We will so consider them, and wish to say a
word IN BIS defence and viii do so by telling Mr..
Castles story over, and tell the ,rhole story.
Suppose A. loans B. 100000 on bond and mort
gage, dralriHg 10 per cent. per- aJuWm interest," ~
ferest payable half yeayly B. establishes planta-
ton with the money, by this simple transaction
A. has established net yearly income of $1,000,
while i. has certain net income, and 1t is
quite predetermined whether he will have any for
some years TO come over and above the $1,000
interest he pays yearly to A. The Assessor makes
his appearance and politely asks B. about his
property B. answers honestly, Il purchased this
property upon my own judgment seven months
ago for $4,000. which borrowed of A., / think
the property worth what l paid for it, have al
ready paid The first six months interest. y
The Assessor puts B. down upon the books for
100000, taxable property, plantation and APP
purtenances. The Assessor calls upon A. for a
statement CT his wealth. A. answers honestly. . l
have 100000 loaned to B. on mortgage, for which
receive 5000 interest every SIX months. u. has
paid the first SIX months interest and having no
use for the money have loaned it to B. and took
his personal note for $1,000, drafaiHg per cent.
per month interest, interest paygJls quarterly"
The officer taxes A. 100000, cash loaned con-
graduating A. at the same time by remarking upon
iona md his no Driurplv
income.
Yes, says A. "If | can compound my income
every six months in twenty years, shall be a
richer man than Sam Brannan."
Il don't do anything but look after'my money l
have no plantations, houses nor merchandise, and
Mr.. Castle. my attorney, says 1t Is wrong TO tax
me- but if the law says must pay taxes, all right,
4 an ale
We have given A. credit for willingness to pay
taxes which may be questioned, but aside from
that can anyone look upon the story as now told
and say that either A. or B. is wrongly taxed, or
unequaly taxed or oyer-taXed or doubly taxed.
Each CONTROLS about the same amount of property
and enjoys its income without let hindrence,
and each have been once taxed. We deny that
both have been taxed for the same property.
The Assessors book say that A. S property con-
sists of "S105,0O0 cash loaned" and BIS property
consists of a plantation and appurtenances )"
which makes them two distinct properties.
The laws of the Kingdom protect the person
and property of each and establish Recording
place Courts Sherffs and other officers to defend
them and their property and tits right both should
Jeara part Of the expense.
But A. simply having :" claim " says Mr.. Castle
it should not be taxed, but B. . should pay all
the taxes why, the very word claim in this
case indicates ownership of property. A. claims
S1O5,0GO in money and enjoys its income, no one
disputes his right if he claims the money, none
disputing he owns it, else he is rogue, claim
ing what does not belong to him. b. =" claims a
plantation and appurtenances, he owns and en-
each is based upon the principle of ownership
and if one Is taxed for what he claims" both
should be. There ro elains, hro properties tico
incomes, and tto0 tared t0r their property.
That Is right.
To make b. pay all the taxes would be double
tdrdti0R unequal fargii0H unjust t1JatioH, a
trJoRg and an outrage against the rights Of man
purpose in his plea rs we claim for ours. There
is another item or so in Mr.. Castles communlca-
ton which We may notice some other time.