New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1895-02-23
INCOME TAX INEQUITIES.

nrrrERENr BURDENS UPON THE SAME INCOMES
ACCORDING TO THEIR SOURCE.
To the Editor of The Tribune.
Sir The following questions or points ''e 49,
does not recall having seen mentioned previously
by any one; but, II they have been the income iaA
law in actual practice brings them INTO especiat
prominence at this time. Slice. as matter oi
fact the owners of shares alone, through the'r
shares and by each shares gain alike pay all VI
CORPORATIONS legitimate expenses before cIea'
nrodts are reached II is clear that the Income lax
law by levying its tax upon the pronts OF assoc'S
tons corpora tons etc, jumps clean over the cor
poraton and all its usual and legitimate expenses
and comes down upon the dividends due to snare
owners for each share taken severally. thus tax
ing two cents out OF every dollar OF diVioehu'
all are fined, rich and poor alike
Further to emphasize the gross inequity, this
same Income Tax law. under its personal side.
specifically exempis all annual incomes OF less than
q 0Co but under the corporation side OF the same
law takes the full per cent income TAX Inc
changes may be rung upon this 10 Advantage
Were a person to derive his entire annual income
from corporations and to the amount OF 1888 :" ne
would be compelled TO pay the full per cent IN
come tax upon very dollar of it-and more; wniie
the next person with an annual income OF A'V"
hut nor owning shares, would pay no income tax
nj all Another view: {. with his annual income
of 1899 49, all drawn from dividends on shares Is
fined about $50 while D. with an anhuai income
of all drawn from any other soofSe, pays
no more Here have class { ana CLASS ~
Rut further and worse: Exact data are not al
hand but mere proportion makes no diiere, nc
with the right at stake. Inc wI'eI ,h,S 81 oil
the shares of stock corporations In the s an
States is owned or held IN piocks p aans and ~
small incomes. presumably by persons whose an am
nual incomes are each far less man c I persons as
school-teachers thrifty workngmen and workins-
xomen clerks. wards minors, cnliurer WHOM;
benefClarleS
estates the superannuated, etc'' Oh tnVse w.
sne nseV rs nnarmfactnrns Business have scraped
together by years OF hard work anu c1se 'a''s "a
shares of stock hoping thereby TO help them.
selves and families TO exc out an on;n
mon them each and all the full direct per cent
income tax and that, TOO by nuary iSs own.
ing a few shares each Of stock In corporations,
snecol nrovisIon in the same law all other per-
sons of the same financial level. but NOT oWiins
exsr, class "A sort OF non-union interest among
the Congressional walking deiegates-must pay .nc
il: class is mot required to make report; ana
paws no income tax If the proportion or Class a
81 me- fbe income tax Obtained from corporations
by a direct per cent tax upon the dlV1d oTrss
nothing at ali from the favored class b. or II tns
proportion of one-thrd be TOO hish, !" m S, Is
enormoms and their forced contrlbuiionsIalt
snatched after sPesc nl1srs eNe"p''o"-
to mllllOns VI uo'i"'"' - iooisIa,ad in.
This is literally the topmost OF legisis'ea IN, IN
;,,,irc ,yougine, and wrong yet apparent III thee
JSoIo income tax affair and absolutely withoni
mtlo' and II any adjustment OF the matter ~
h,,, ~ should be effected at once. Nhetnei
his adjustment could be made by n instr
" tho . ner cent tax. in any case. wnere the
owners OF the shares had an annual income OF 'ei
man sf'"TY ,ut a lawn 1884, A. D.-that exempts
and taxes the persons on me same same s ,,,
p,, Seem 10 be out OF place outside OF Turkisn
Armenia. . , r.A 90 100,