New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1882-06-26
RLnTCTLON OF TINES.

REDUCTION or TdXES.
The discussion and votes in the House on
the question of taxation show the position OF
the two parties quite clearly. 1t is the object
of the Democrats to make great clamOr for
a reduction of taxes. and to oppose on one
preteXt or another, every measure OF reduc-
ton for which the Republican members are
willing to vote. If all reduction can be
defeated, and yet so defeated that the Demo
Gratis can clam that they were anxious and
endeavored to effect it, but that Republicans
refused, they will have accomplished their ann.
If they fail in this, the Democrats mean to in
sist upon the repeal and reduction of taxes on
whisliey and tobacco, on the ground that these
are taxes which the poor people pay, while
resisting the repeal of taxes on banking cap
ital and deposits, on the ground that these are
taxes which are paid by the rich mOnoposts.
If dishonest demagogism is ever really shrewd,
perhaps these tactics may have credit for
shrewdness. But the cunning displayed is pre-
cisely that sort of cunning which generally
overreaches and defeats itself.
The Republicans, on the other hand, are not
AS well united as they ought to be III support
of a sound and honest financial policy, but the
votes taken show that nearly all of them are
on the right side. Thus far majority in the
House-composed mainly of .Repubcans-has
sustained the bill reported by the Commit
tee OH Ways and Means. The refusal OF the
House TO omit the tax on banking capital from
the list OF taxes TO be repealed. though con-
traIy to the Judgment Of a thinlyattended
Republican caucus, was evidently wise, not
only because, as Judge Kelley urged, the impo-
sition of special burden upon such capital is
double taxation aud contrary to the public
welfare, but also because every tax upon the
machinery of commerce is in reality tax
upon producers and consumers. On the other
hand, Mr.. Randal's strong effort to repeal all
taxes on tobacco, though supported by few
Republicans and by most of the Democrats, was
beaten on close vOte-lO5 to l07. Mr. Kelley,
though originally in favor of this measure,
wisely warned the House that its adoption as
an amendment would endanger the passage OF
the bill, and it was openly supported by some
members for the purpose of killing the bill
and altogether preventing any reduction OF
taxes at this session.
Thus far, therefore, the Republicans have
generally acted i'll accordance with sound prln-
ciples, and have saved the bill from destruc-
tive changes For public and for party inter
ests. their continued success in this course is
greatly to be desired y failure to reduce tax
alton at all at time when the surplus rev
enue amounts to $l50,000 600, would be con-
trary to the public welfare, because so rapid a
reduction of the National debt is not desirable.
1t would be used with great effect against the
Republican party, and particularly against the
advocates OF protection in the Congressional
IL fnlI NVnulb no cl al
that they were responsible for the course of
the majority. 1t is true that there is no popu
lar demand for any abatement of taxes. 1t is
safe to say that no other nation has ever yet
raised a revenue of $3S0,000,O00 in a year,
where the payment of taxes was so little felt
by the people as it has been during the past
year IA this country. The people are hardly
conscious of paying any taxes whatever to the
United States Government, and the Democratic
clamor for repeal of taxes has never had any
strong influence upon the popular vote. But
this is in part because there has been a well
founded belief among intelligent men that
the Republican party could be trusted to re-
duce taxes fast.as the public interests would
permit. This expectation it would be great
mistake to disappoint.
Mr.. Reed presented very effectively. in his
remarks in the House on Saturday, the facts
upon which this public confidence is based
The Republican party repealed taxes amount
ing to 500, 00O, 0O0 III 1866, taxes amounting
to $40, 000 600 in 1861, taxes amounting to
SOS, 100000 in 1865, taxes amounting to
So. 600, 600 in 1870, and taxes amounting to
$40, 5000 i'll 1872, thus cutting of within
a period of six years taxes which had yielded
III. Al
of business, The actual decrease Of internal
revenue from 1866 TO 1874 was only
1907 100000. Since 1874, in order to es
tablish the public credit reduce the interest
on the public debt and accomplish the great
work OF specie resumption, the rate OF taxa
ton has been substantially maintained, while
the growth of the country and the great de-
crease in expenditure required for interest on
the public debt have caused the surplus rev.
enue to increase largely. But the objects de-