The Portland daily press., 1890-09-24

road itself is taxed in like manner, all the
property there is is taxed IL the stakeholder
or bopdholder conceals the fact Of his own
ership of stocks and bonds he is not avoiding
just taxation. but trying to avoid paying
second tax upon property which has already
paid its equal tax with other property.
The same holds good in case of ordinary
notes of hand. The most usual loan is to
business men. who take the money to pur-
chase goods to increase their stock and en-
bought is visible and can be taxed. Indeed
1t usually Is. What would be the result If
all money at interest could be actually
taxed? OF course II any is taxed 1t all should
pc, ana this means the taxation of all evil
dences Of debt. The result will be that the
wholesale merchant, who by hiring money is
able to purchase stock worth twice or more
the amount of his capital, must pay tax on
all the goods purchased with his money and
that Of his creditor; the creditor In turn pays
an extra tax on his money in the business;
the goods are sold to jobbers and retailers,
who in their turn pay a tax on them; the re-
taller, instead OF paying cash often, gives his
note to the wholesale merchant, which the
latter discounts and then these tax reform
ers are crazy to tax him again for money in
the bank, Grill he doesn't discount the notes,
for money at interest. 1t is computed that
II all this alleged concealed property" that
IS to say, evidence of Indebtedness in the
form OF notes and securities, should be as
sessed for taxation, the same property would
De taxed from three to five times, and the
greatest portion of this burden will fall upon
the hustler or energetic man, who pushes his
credit.
Undoubtedly the desire to tax credit arises
from the idea that each individual ought to
pay in proportion to his actual worth in
dollars after striking balance between his
debts and credits and accounting for prop
erty 10 possession. Perhaps such method of
taxation was practical In former times, but
az the present, when men invest their money
= thousand enterprises, and scatter 1t
from Maine to California, when the property
Oh each enterprise is taxed in some form to
some person or corporation, and In some
State, where the increase in the use of
credit and the completely attending 1t is so
great that the entire amount of circulating
medium called money In the country does
not constitute five per cent. of the real
rency In the form of credit, to say nothing
Oh the more permanent forms In which 1t is
used to increase the efficiency of capital,
there Is no just and practical method of
taxing by which each resident of a town shall
pay 10 that town as tax a fixed percentage
Of his net worth as settled by trial bal
ance.
1t should be always borne in mind that
taxation should be upon property, not upon
and that II all the real estate
and all visible goods and chattels in the
State are taxed either specifically In rem, or
to the person in possession, the amount
which can be concealed win form no appre-
ciable percentage of the whole, and there
fore much inequality and injustice will be
prevented. The debtor class paying taxes
upon property which they have purchased
or secured possession of with the money of
others will be equally benefited for they
will actually pay no more than at present,
while a more just system of taxation will
give him access to m OF ey lenders fromiwhom
he is now debarred.
GEO. G. HOPKINS.