The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1895-04-01
INCOME TAX pEcIsioy,
Likely Tint twill Declare Fart OF tho Law
uhconstitutlonni-siny Cause nu E,trr

WASHINGTON. D. c., March 3l.--Thu
treasury officials have had no thor
anxiety about tho suits in tho aupromc
court assallinc tho cons.itu.iouality Of
tho income tax law. than tha. q decision
ahould bo rendered promptly. Thoy
have lclt no sort OF doubt tho decision
would uphold tho law. but In tho laut
low days thoy havo received iniorma.
hon, apparently reliablo, which has illl.
ed thom With apprehension regarding
mo view tho supreme court will take OF
tho law. Naturally, thoy aro exceed.
incly 10th to talk about tho matter, and
low OF them will oven admit tho posses.
Sion Of any knowledge OF tho courts at-
titudo. But that thcy havd such knowl.
edge there Is no doubt. Nor isit to bo
wondered at, that tho prospect OF losing
tho rovenue counted on from tho income
tax should greatly disturb them. Ita
loss will create fresh flnauclol enbar.
rassment, and render necessary either
ana extra session of Congress, or an-
other,issuo OF bonds before fall.
1t appears that from very careful in
quiry that tho facts which have leaked
on! regarding the supreme courts atti.
tudo do not warrant statements already
published That tho entiro income tax
will bo declared unconstitutional. But
that tho court will pronounce unconsti.
tutional That portion OF it imposing q
tax on incomes derived from rents
seems we'll assured. aud 1t is possible
the oatlre law may bo upset. L.
AT tho treasury no data arc obtain.
ablo showing how much Of the cstimat.
ed total rovonue expected from tho tax
will arise from incomes from reuts. No
estimate on this point has ever been
made, and tho treasury officials admit
they would be puzzled to know how TO
go about making such an estimate from
tho statistics 1t had relating to tho SUBJ
lecs But others. who have given tho
question attention, claim that if incomes
derived from rents aro exempt from the
tax, by the decision OF the supreme
court, the total estimated revenue from
the tax will bo cut down at least one.
Ealt. Tho highest estimate ever oil.
cially put on tho revenue expected from
the tax is $50. 100000. But it is felt that
il the court knocks out the portion OF
the law taxing incomes from rents, on
tho ground that tax on rents is q tax
on land, aud therefore diroct tax, the
difficulty OF enforcing the remainder OF
the law will bo greatly increased.
The income tax regulations, so caro-.
fully prepared by Secretary Carlisle nnd
Commissioner Miller. md now in tho
hands OF the revenue collectors, will
have to be practically made over to fit
the now conditions. The thousands OF
returns already made TO collectors by
prospective taxpayers will have to be
sent back 10 them for revision, and end
less confusion and embarrassment will
ensue. Indeed. 1t is probable tho treas.
ury officials would prefer to hayo the on.
tire law upset than that It should be
riddled in the way that seems likely,
according to information now e1taut.
No decision in the case Is expected on
Monday. cor hardly on the following
Monday. The questions involved in
tho case arc 30 important, and the de-
clsion, II averse to tho law, will have
such grave consequences, that whoever
writes the opinion will take ample
time to make it comprehensive, com.
p'ote and unassailable.
Contrary to the expectations OF tho
officials, the treasury receipts for the
month Of March will again fall below
tho expenditures. Tho amount, how.
ever. is only about 1924 200. Tho oexcess
| OF expenditures over receipts for the
nine months OF the presen. year, is
over S36 500, 900, and this amount will
almost certainly be increased by SIS, ,000..
900 or more during April. which will
leave a deficit OF about Si2.000,000 on
Nay ]. During May and June, how,
over, great things are expected from the
income tax, but tho most conservative
estimates now place the deficit for the
fiscal year at S25 100000, or 100000
greater than Nj. CarlI.le's estimate
sent TO Congress with his last annual re-
port. The outlook for heavy receipts
from tho two great sources OF income
customs and internal revenue, arc no,
encouraging, particularly from tho lat.
| ter.
All things considered, much depends
upon the decision OF tho supreme court
on the question OF the validity Of tho in
come tax. Should the law be upheld
the treasury officials look .or fair sailing
from this time on, but should tho Law
be declared unconstitutional, an extrt
session OF Congress, called to provide iol
revenues suiliciant to meet the noods O
the government, is regarded by the ofli
cials MS at least probable.
!