The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1894-03-08
TAX EXEMPTIONS.

m Ia llONCs
The bill which has passed the House
exempting from taxation for a definite
period certain manufacturing estab-
lishments may please certain classes
Of the population. and may be sup
ported by the plea that it has been
done. before and is for the encourage
ment of home industries. all Of which
is very plausible But it is incorrect
in principle and therefore cannot be
right in practice.
This has been decided again and
again in the courts of this country. It
would work all right until some objec-
ton was made by a taxpayer with
determination enough TO carry q con-
test into the courts. Then if prece-
dents are all ignored and the very
fundamental principles of taxation for
public revenue are not set aside, the
law would be found without a sound
leg to stand upon.
It has been decided that taxation to
be legal must be equitable There
must be no inequalities or favoritism
a manufacturer cannot fairly be ex-
empt from taxation any more than
the farmer. Property is taxed, how
ever. rather than the individual The
tax follows the property and only that
which can be classed as public CT for
a public purpose can equitably be ex-
empt. Mil, the great writer says:
"Taxes are in effect sacrifices for the
public good, equality Of sacrifice being
the rule dictated by justice"
BY exempting property Of a, certain
class from its share Of the burdens of
taxation, the property Of all the other
classes is made to bear more than its
quota. That is inequitable; it is IN
equal and therefore in violation of
principle essential to Just taxation. In
effect it compels the rest of the people
10 add 10 the gains of the exempted
class. People engage in manufacture
as others engage in any lawful occupa-
ton. They expect to make it profit
able If it promises to give returns,
it may be wise to engage in it and it
should be given its fair chance. If
not. the state should not in any way be
drawn into the support of an unprofit-
able enterprise, nor should the people
be compelled to support it out Of the
4,--1, it'll, H.. -x-.,,f5 IL -. -. -
emption from the common burden.
As courts have decided: Every hon
est employment is honorable; it is
beneficial 10 the public; it deserves en-
enlargement. The more successful We
can make it, the more does it generally
subserve the public good. But it is not
the business Of the state to make dis
elimination IN favor Of one class
against another, or in favor Of one en-
ployment against another. "The state
can have no favorites. Its business is
to protect the industry Of all and to
give to all the benefit Of equal laws.
It cannot compel an unwilling minor
ity 10 submit to taxation in order that
il may keep upon its feet any business
that cannot stand alone"
The benefits arising from yianufac-
lures are undoubtedly great, if they
can be self-sustaining and contribute
to the public good without support
from the public treasury. But the
principle must be maintained that "a
public good must be something which
is beneficial to the community and
through it to the individuals and not
merely to individuals and through
them to the community" We do not
believe that the exemptions in the bill
to which we refer are within the legl-
innate power Of the Legislative AS
sembly to make and for that reason
we expect to see it handled in lively
style when it IS considered by the
Council