St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1895-04-09
IT HITS FIELD HARD
One Judge Declares the Law
Invalid in All It's Feat
ures.
1T TAXES JUDGES, SALARIES
And Does Numerous Other
Things Which Shouldn't
Be Allowed.
1T TAXES JUDGES SALARIES
He SAYS 1T DIscRIMINAsEs
And Is Therefore Class Legis-|
lation, Contrary to the
Constitution.

WASHINGTON, April S.-The dis
senting opinion delivered by Justice
Field, the Oldest member of the
court, was an exhaustive review of
the case and the principles involved
in it.
The decisions of the court, he said,
had thrown doubt upon the meaning
of direct taxes" but in the discus
sions of the British. parliament, the
income tax had always been consid-
cred indirect tax, while the tax upon
real property, its rents and income,
had by universal consent been recog-
nized to be direct tax. In this con-
nection he said:
"One may have the reports of the
English courts examined for several
centuries without finding single
decision or even a dictum of their
judges in conflict with them. An
incident which occurred in this
court room twenty years ago may
nave become precedent To a DOW
erful argument then being made
by a distinguished counsel on a pub
lie question, one of the judges ex1
claimed that there was a conclusive
answer to his opinion. Those who.
decline to recognize the adjudica-
tions cited may likewise consider,
that they have conclusive am
swer to them in the fact they also.
are of a different opinion. 1 do not
think so. The law as
EXPOUNDED FOR CENTURIES
cannot be set aside or disregarde
because some of the judges are. now
of different opinion from. those
who, a century ago, followed it in.
framing our constitution
Justice Field said further exenp-
tions from the operations of a tax
always create inequalities. Those
not exempted must, in. the end, bear
an additional burden or pay more
than their shares. A law containing
arbitrary exemptions can in. no just
sense be termed uniform We do not
think that congress has rightfulIy
the power at the expense of others
owning properly of the like charac-
ter to sustain private trading cor
porations, such as building and loan
associations, savings banks and NUT
ual life, fire, marine and accident in
surance companies, formed under
the laws of the various states.
which advance no national purpose
or public interest, and exist solely
for the pecuniary profit of their
members
Where property is exempt from tax-
alton, the exemption, as has been just
ly stated, must be supported by some
consideration that the public and not
private interests will be advanced by
it. Private corporations and private
enterprises cannot be aided under the
pretense that it is the exercise of the
discretion of the Legislature to exempt
them.
The income tax under consideration
is marked by
DISCRIMINATING FEATURES
which affect the whole law. 1t dis
eliminates between those who receive
an income of $4,000 and those who do
not. 1t thus vitiates, in my Judgment,
by this arbitrary discrimination, the
whole legislation. The legislation in
the discrimination it makes is class
Legislation Whenever a distinction is
made in the burdens a law imposes, or
in the benefits it confers on any citi-
zen by reason of their birth, wealth or
religion, it is class legislation and leads
inevitably to oppression and abuse, and
70
society. 1t was hoped and believed
that the great amendments to the con-
stitution which followed the late civil
war had rendered such legislation i'm
possible for all future time. But the
Objectionable legislation reappears in
the act under consideration. 1t is the
same in essential character as the
English statute of 1891, which taxed
Protestants at a certain rate, Cath
olics as class, at double the rate of
Protestants, and Jews at another and
separate rate. Under wise and consti-
tutional legislation every citizen should
contribute his proportion, however
small the sum, to the support of the
government, and it is no kindness to
urge any of our citizens to escape from
that obligation. If he contributes the
smallest mite of his earnings to that
purpose he will have a greater re-
gard for the government and more self
respect for himself, feeling that though
he is poor in fact, he is not pauper of
his government. And it is to be hoped
that whatever woes and embarrass-
ments may betide our people they may
never lose their manliness and self-re-
spect. Those qualities preserved, they
will
ULTIMATELY TRIUMPH
over all reverses of fortune.
AS to the mutual savings banks,
under income tax laws prior to 1870,
these institutions were specifically
taxed. Under the new law certain in
stitutions of this class are EXEMPT
provided the shareholders do not par
ticipate in the profits and interest and
dividends are only paid to the deposi-
tors. No limit is fixed to the property
and income thus exempted, it may be
100000 or s1oO,00O,0O
AS to mutual insurance corporations
these companies were taxed under
previous income tax laws. They do
business somewhat differently from
other companies; but they conduct a
strictly private business in which the
public has no interest and have been
often neld hot to be benevolent Or
charitable organizations.
The sole condition for exempting
them under the present law is declared