The morning call., 1890-04-04
SAME AS A SALOON.
The Clubs to Be Notified to
Pay Revenue Taxes.
Federal License for Selling Liquors and
Cigars-Unpaid Back Taxes VIII b
Sued For-Club Opinion.

To pay or not to pay?" will be the ques-
ton that will agitate the clubmen of this
city this evening when they meet at their
resorts to discuss the events OF the day and
while away the hours, wooing.fortune with
chips and cards.
For many years, and in fact ever since
clubs were inaugurated in this city, these
organizations, social and otherwise, have
been exempt from the payment of license,
either municipal or internal revenue, on
the liquors or cigars sold to members within
their doors They have never been asked
to pay licenses Of any kind, and the fact
that there is such a thing as an internal
revenue tax has probably passed out of the
minds of a majority of club members.
The majority of those who belong to
clubs regard them as their home to a GER
tain extent and would scout the Idea of the
organizations, through whose portals only a
privileged few can pass, being considered
in the same class as liquor saloons.
These members would be as much sur
prised if an Internal revenue agent asked
them to pay license taxes on the liquors
and cigars consumed in their clubs as they
would if the same individual asked them to
pay license for the wines they use on their
private tables.
The fact remains, however, that the new
internal revenue agent on this Coast,
Charles W. Eldridge, will ask thirteen
clubs OF this city TO pay regular tax such
as saloon-keepers pay.
NIB. ELDRIDGE's VIEWS.
In conversation with reporter yesterday
Mr.. Eldridge said: " 1t is IL mystery to me
why the clubs of this city where LIQUORS
and cigars are sold to members have not
been required to pay an internal revenue
tax. Eastern clubs do, and see no reason
why clubs OF this city should not be re-
quired to do so. Internal revenue laws GER
tainy provide for such cases, and | shall
at once proceed to levy the tax and also to
collect what back taxes are now due the
Government, which in some cases will
amount to considerable. l now have thir-
teen clubs on my list and may add more.
In case of a refusal to pay the tax the law
Will be resOrted to.
The law referred to is as follows:
A social club or any other organization or as
ISOLATION, whether Incorporated or unincorpOr-
ated, that sells wine, spirits, etc. TO It's members
Is required TO pay special tax therefor, as
liquor dealer. under The internal revenue laws of
The United States.
THE statute then cites large number of
cases where the matter has been brought
before the courts and the decision been in
favor of the Government.
shall serve notices on the thirteen
clubs, said Mir. Eldridge, land take meas
ures to collect the tax at once. The tax
amounts to SO per year on liquors and
s. 80 per year on cigars"
\ visit was paid several prominent clubs
last evening to ascertain the views of the
members and officers on the point raised by
Mr.. Eldridge.
WHAT THE CLUBMEN SAY.
At the San Francisco Verein Director
EXPRESSED himself as greatly surprised that
any such thing should be attempted with
private clubs. why. they might as we'll
try to tax us for the liquors we drink at our
tables at home. IL is ridiculous, and am
sure this club will resist such measure
We might pay the tax for the future ii il
were shown cOnclusively that it was legal.
but as for paying back taxes, which were
never demanded of us, we shall do no such
thing. Why, the San Francisco Verein has
been IN existence for thirty years, aud back
taxes for that length of time would amount
to large sum of money. guess that In-
ternal revenue man will have lively time
collecting from us"
AT the Pacific Union Club the Secretary,
Mr.. Crawford, said that the club had re-
ceiyed no official notification of the tax, but
he had heard it mentioned. He thought
that the idea of collecting back taxes was
ridiculous, and that the club would refuse
to pay. The tax itself did not amount to
great deal, but the principle of paving a tax
as though the club was common saloon,
where any one could go in and purchase
drink, was repugnant. Everything used in
the club was bought in The clubs name,
and the members called for what they
wished and paid for it by card. The club
was like a private family where every
member called for what he wished, but
where the visitor could not pay for any,
thing. If a revenue tax was exacted why
not a municipal license also?
THE CERCLE FRANCAIs.
The President and Several Trustees of
the Cercle Francois, the most prominent
French club OF this city, were very much
surprised when told of the tax they were
expected to pay. The President said that
he could not see how tax could be exacted
when nothing was sold except to members
of the club.
This club" he said, sis as private in
that respect as mans family residence.
The stranger within our gates cannot pur-
chase anything and is in the same position
as he would be at our houses. We do not
expect to make anything on our liquors and
cigars and shall certainly object to the tax,
though we will, of course, pay If it is de-
elared legal. As TO the back tax that is
preposterous. The idea of asking us to pay
something which was never demanded is
out OF the question and l believe all the
clubs win resist it,"
A Trustee thought it would be a good
idea Tor the clubs TO join in resisting the
payment OF the back revenue taxes A
legal luIninary of the club said that while
he had not consulted any authorities. he
was OF the opinion that the payment of ar
rears, If they existed, could not be enforced.
Other prominent clnbmen gave it as their
opinion that the tax could not be collected,
and that legal fight would result in vic
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