Evening star. [volume] (Washington, D.C.) 1854-1972, 1894-06-21

binary working or operating expenses"
This provision allows nothing to be deduct
ed for fixed charges. interest on bonded
debt, extraordinary expenditures incurred
by reason OF fire, accidents. or otherwise
1t is most extraordinary provision which
could not be justified even I'm a time of war
1t will cripple. embarras and throw into re-
ceiverships hundreds Of corporations now
struggling for existence.
But II is said that the policy OF making
this tax a part OF the permanent financial
policy Of the government has been absn-
doned In the Vest amendments and that
this tax Is now to be imposed for five years
only. The amendments mitigate the wrong
but little. 1t Is another misera BILE compro-
mise between principle and policy, in which
principle. as usual, II sacrificed.
The law can be just as easily repealed
whether the provision for the income tax
is permanent or temporary. No law which
enacted, even though the power of repeal
always exists.
No Time for Dangerous Experiments.
This Is no time" said Mr. Hill. Ito
yield honest convictions In order to make
dangerous experiments I'm revenue legisla-
ton. in the vain effort to satisfy a dis
contented class who always want a griev-
ance and who will clamor against your
government and your administration and
against property and against riches just
loudly and persistently after this sop shall
have been thrown to them as before
In their mad haste TO attack the rich the
champions Of an income tax either inten-
tionally or inadvertently assailed the poor.
Until the amendments relating 70 savings
banks were offered yesterday I'm the Senate
the program Of the majority here seemed
to be TO place such Institutions on SUBJ
stantially the same level with business cor
porations and TO subject them to the
per cent tax. IL there was any other in
tention IL was not apparent.
Il have not had time TO examine those
new amendments. which are for the first
time printed and placed upon our desks this
morning, TO determine whether they contain
an absolute exemption Of mutual savings
banks or not but from hearing them hastily
read at the secretary's desk yesterday
fear they are not sufficiently broad TO &C.
complish that purpose.
They should be made so plain and clear
that there can be no possible doubt of their
sary to sustain the proposition that mutual
savings banks should be absolutely ex-
empt from any income taxation.
This government cannot AFFORD to permit
the savings Of the poor to be taxed through
federal income tax. 1t would be the
crowning infamy of this bill"
The same reason. said Senator Hill. why
savings banks should be exempt from this
tax applies to the mutual insurance compa-
MES and he was not sure that the amend
snents offered yesterday went far enough in
this respect. This class Of insur ance COM
panies were exempting Great Britain. He
come tax. he continued. objections he had
pointed out In his former speech. its in
quistorial features and the inevitable ex-
posture OF the private affairs of business
men. None Of these objections have been
removed. They could not be eliminated be-
cause they must lie against any Income tax.
Voting by Order Of Caucus.
Why should he detain the Senate or his
party associates longer with argument he
asked. Some of the democrats OF the Sem
ate at this matter. as in others. seemed de-
termined to vote not according to their con-
victions. but according to the decree of
their party caucus.
Ii Was even said by some that this in
come tax provision was the best and most
merito-fSue in the bill IL that were So
God help the democratic party. Mr. Hill
proceeded to enumef ate some of the changes
made in the text Of the tariff bill: changes.
he said. that repudiated the democratic doc
trine of free raw materials and ir some
cases increased the Mckinley rates;
changes that hal made the bill a disap-
pointment to the country.
NJ. Hill declared emphatically that these
changes had been the result Of the demo-
cratic opposition to the income tax and he
wanted the country to understand n. The
income tax had been the pet scheme Of the
finance committee and OF the subcommittee.
because the sections represented by the SUBJ
committee Uhe three great states OF Ar
kansas, Missouri and Texas were commit
to give IL up. They chung TO IL with fatuous
folly. They would yield Anything but IT,
There never had been an hour, MIR. Hill
said. when tariff reform bill prepared
only on democratic lines could not have
passed the Senate IL the income tax had
been eliminated. Who would dare to vote
against tariff reform billf
But the income tax was desired and popu-
listic votes preferred to democratic votes.
That was a true statement and the coun-
try was entitled to 1t. Mr.. Hill said he ex-
pected defeat on this question. But he was
used to defeat in the Senate, and another
was a matter Of supreme personal indi.rer-
ence to him. But he felt for his state and
his party, which he desired &c preserve
from the destruction that threatened f.
He had been reared a democrat his ira
ditions were democratic and his life had
been spent in an effort to build UP the
democratic party. His hopes and aspira-
lions were all within its lines. But now
he believed, he said I'm conclusion. that q
great party mistake was to be made, one
that might prove disastrous Tor many
years. 1t was mistake on the very TIRES
hold of power. and SO believing he would
be recreant to his duty and false to his
country. his party and himself IL he did
not raise his democratic voice in protest
at this crisis In his country and his party's
history.
Mr.. Hill finished his speech at %, after
a on a