The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1894-06-29

THE DEATH WARRANT OF THE
DEMOCRACY.

Democratic Senator Hill in the debate
on the income tax frankly told his party
that IL they threw this bone TO the hungry
dog Of PopuIism the Democratic party
will be beaten IN the next election.
The first income tax section provides
that from and after January !. 1885. every
citizen aud resident of the United States
with an income Of more than $1,000 should
pay tax OF 2 per cent. annually upon his
income. gains. or profits over and above
$4,000. whether such income be derived
from any kind OF property, rents, interest.
dividends, or salaries. or from any proies-
sion, trade. employment, or vocation, or
from any other source whatever.
The Vest amendments TO the bill do not
change the odious character Of the tax in
principle Mt ali; they merely seek TO pro-
tect the individual against paying the tax
twice over. The general effect of the Vest
amendments is TO make the income tax
more odious than in its original form, so
fer Is the exemption Of the premi ums re-
turned by mutual life insurance companies
70 their policy holders and Of the interest
paid TO depositors in savings banks and
savings institutions goes
The income tax, with the Vest amend
ments, remains a socialistic, Popnlistic
measure and 10 denounced on this ground
by Democratic Senator Hill, and IN his
reply Senator Vest defends the tax as
socialstic and PopuIistic, claiming that
large property holders and incomes should
pay the expenses of the country, because
that The people pay protective taxes under
the Wilson bill. OF course this is no
answer from any point of view. but IL is
essentially absurd when we remember that
the small investors in corporations, mu-
tual life insurance companies and loan and
building associations pay practically 2per
cent on their small dividends. Senator
Hill, OF New York. and Senator Smith, of
New Jersey, both Democrats, say in sub
stance that the tax is both inquisitorial
ADD inequitabse; in its construction sec
tionai: in its origin foreign: IN practice a
device of monarchy. II Is an un-American
tar and is presented today to the Amer
lean people as a device of socialism and
Populism.
Almost everywhere in E1rope the prin-
ciple of universal suffrage Is recognized as
incompatible with an income tax. and in
most cases in Europe the classes paying
an income tax are invested with exeep-
tional political privileges. The Federal
government of the Swiss cantons. based
upon universal suffrage. is not authorized
by it's constitution To levy an income tax.
In Germany the ieyying OF an income tax
Is not included in the powers with winch
the Imperial or Federal government is
clothed by the constitution of the empire.
In France tho Republican regime has
never ventured to impose an income tax
of any kind. lest IL should seem TO justify
those saddled with extra burdens in de-
handing extra political rights. and no
Republican ministry in France has yet
dared to lew one.
The Federal government of the German
empire can impose no income tax, but in
the kingdom OF Prussia an income tax is
levied under conditions which apportion
political power according 10 the amount
% this tan paid. The deputies to the
Prussian house of representatives are
chosen by an indirect method analogous
10 that By which we choose . president Of
the United States. That is TO say, the
primary voters choose secondary voters or
electors. aad these in tnrn meet together
and elect a deputy for a given district
But The power Of primary voters il proper
tsonsse 10 the direct taxes which they pay,
aud IL has been found expedieni to levy
direct taxes principally IN the form OF an
income tax, that Is 20 say, tax upon the
earnings OF individual labor aud OF active
eanttal.
The practical effect OF this apportion-
ment Of political power 70 income tax was
illustrated at 8 recent election in Berlin.
where il turned out that the highest class
Of primary voters. who paid one-shird Of
the income TAX and chose one-third os the
secondary electors. constituted only ner
cent. Of the voting population. In Essen,
where the Krnpp iron and steel founaries
are situated, one-third Of the secondary
electors were 20 be chosen by inst thres
men, who Between them paid one-third
shs sam total % the income tar. As q
matter Of fact. emily one Of these three
primary voters exercised bis privilege. and
he. therefore. single-hsndsd returned one.
third ef al TIE secondary voters allotted
o. the toNn.
Ia Prussia shtse who pay no incorse tax
81 al arc entirely eisgranehised. In tue
kasdoga q Sweden aa income tax Is
Isyied. but the classes which pav il possess
a monopoly Of political pawcr. Ne ons
can vote for member q shs upper house
81 the riksasg. or parliament. unlesS he
ovns real properly 81 TIE saxel vAine q
nesysy s. - ~ has al annual income Of
ti,tiA Neither can any one vote FOR a
naeisesr u Ito second. OF gsopzisr nasiouAl
Legislature, unless he oWns rcAl estate IN
te~ns et lie iaxsd value Of szSl. az fasn.
snx sAnd worth 81. 6ss. or pays an iac0ms
sAK on an aanasi ineoma Of S22s Ths
rssass II tAAs qaa1lGsasioa = sA.s IA ISss