The record-union., 1895-05-22
INCOME TAX DECISION.
GOVERNMENT TAXING POWERS
IN STATE OF WRECK.
Possibility of an Extra Session to Pro-
vide for the Deficit Discussed In
Political Circles.
Special to the RECoRD-UNrov.

|
| WASHINGTON. May 21.-The income
tax decision, its effect upon the revenues
and the probabilities of an extra session
Of Congress to provide means for supply
ing the deficit were the chief subjects of
discussion in official and political circles
| to-day. Senator Morgan of Alabama,
one of the ablest constitutional lawyers
in the Senate, said to-day that the deci-
sion leaves the taxing powers of The
Government in a state of wreck.
1T will require long time," said he,
''for US to gather up the fragments.
Principles OF taxation which were con-
sidered we'll settled are torn up by this
decision.o
"How will the question come up in the
Senate 2''
I'm connection with the question of
refunding the $4,000 already collected
and the refnnding of the cotton, whisky,
beer and tobacco taxes. All these taxes
are as much direct as the tax on person.
ality, and as unconstitutional according
to yesterdays decision of the Supreme
Court"
'.What can Congress do?"
'Of COURSE" replied Senator Morgan,
Congress will have to accept the de-
cision, but an amendment to the Consti-
tuition is always possl ble."
Senator Faulkner of West Virginia
said he thought there was no danger of
AN extra session, aud no earthly chance
for one. He added: Even with this
loss OF income there is comfortable con-
ditlon of the Treasury. 1t has to-day
800. 900. 600 surplus i'll addition to the gold
reserve, and l am sure that will be suf-
ficient TO last until the meeting of Con-
greSS. The country will not suffer SO
much from lack of legislation as it
would from session of Congress-"
Members of the Administration who
are undoubtedly fully acquainted with
the Presidents views and purposes state
unhesitatingly that an extra session is out
of the question. Nor is there the least
likelihood OF another bond issue. The
Treasury has now q balance of over $751;
Co., 200, which is available for all pur-
poses, and this amount is more likely TO
be increased than diminished during the
next three months.
1t is argued that the approaching fruit
canning season is certain to make
largely increased demand for sugar,
which, owing to the small supply on
hand, must be imported. The revenues
from this source are confidently ex-
pectcd TO reach several millions, and this,
added to the large amounts which will
soon begin to come in from renewed
liquor licenses, will largely augment the
revenues. even should the customs not
meet present ex xpectatiOnS. All licenses
expire on June Both OF each year. and,
judging from last years revenues, the re-
| ceipts this year from this source will sx-
ceed S9,OO0,000. which must be paid within
the next forty days. In the meantime
| the expenditures will be kept down to
the lowest point consistent with good
business principles.
Commissioner Miller of the Internal
Revenue Bureau will dismiss at once
every unnecessary person in connection
with the income tax at the earliest possi-
Die moment, aud as soon as the returns
can oe classified and tabulated, so that
the amount to be refunded to each person
who has paid his tax is made apparent,
| the bureau will be closed.