The herald., 1895-05-23
Are They Also Killed With the
Income Tax Law?
JUDGE HOUGHTON SMILED
When Shown Knoxville, Tenn,
Dispatch
He Would Not Be Surprised II the Internal
Revenue Tex Went With the Other.
The Interview

telegraphic dispatch dated Knoxville,
Tenn, May %. was received yesterday.
which read as Follows:
Colonel Noble Smithson. Knoxville
attorney who has had much practice be
fore the United States supreme court, that
the decision on the income tax has also
killed the internal revenue laws. In a
carefully prepared opinion Colonel Smith
son says: Justice Fuller in his opinion
says the constitution divides federal taxa
tion into two classes-fifst. direct taxes;
second, impcst and excises; and that d,-
rect taxes mustbe apportioned among the
several states in proportion 10 their repre-
sentation In the house of representatives.
The apparently logical result OF thi
opinion is that all federal taxes except
duties on imports-that is to say. taxes
collected under the tariff-must be ap-
portioned among the states according to
their representation in the house of rep
resentatves. The act of August 81, 1894
(Wilson bill), section As, provides; There
shall be levied and collected on all dis
titled spirits. etc., tax of $1.01 on each
proof gallon The statutes of the United
States levy tax of cents a pound on
tobacco, etc. 1t seems clear that accord
ing to this opinion of the chief justice
these are direct taxes on personal prop
erty. ana not being proportioned among
the several states according to representa-
ton, they are unconstitutional and void.
If this view be correct, the supre.l
court has not only wiped out the income
tax. but has practically repealed the IN
ternal revenue. as it affects tobacco,
whisky. brandy, etc. If this construction
of the OPT nion be correct, all direct taxes
including those on iedl and personal
property, must be levied according to rep
resentation; so that the rich people OF
Nnrly MaSsochuSatfs and nfhar ct-
ern states will pay no more tax Der capita
than the poor people of the western and
southern states. Of course. this is not to
be thought Of 1t would result that
practically all the revenues to support the
government must be raised by duties on
imports. and instead of reducing the
tariff. it will necessarily increase it mate
rally
Wien Judge s. 0. Houghton was shown
the above dispatch at his home on South
Pearl street by Herald reporter last
night he uttered an amused little laugh
after its perusal.
on the subject said the learned lawyer,
''haa had an opportunity of reading
the supreme court opinion in full. 1t
will be some days. of course, before that
can reach us. l was reading the synopsis
of the opinion in the tslegraphic columns
of The Herald this morning, but the re-
port Is very meager. AS you are aware
it took Chief Justice Fuller over one hour
to read it.
~ should not be astonished, however,
if the internal revenue tax had been killed
also by the opinion which disposed of the
income tax-and l should be heartily
glad if such were the case.
Leaving aside the constitut ionality of
the enactments which brought forth the
internal revenue. as well as the income
tax, l have, with many others. always
been opposed to a policy which permitted
certain individuals to pry into the con-
Germs of others and VIII ch have produced
a horde of spies who mix themselves be-
yond endurance in the private affairs OF
citizens of this country.
II am not acquainted with Colonel
Noble Smithson of Knoxville. but
should Judge from this dispatch thaG he
has had an opportunity to fully digest the
opinion. Had l the whole text of it
within reach should be very glad indeed
to tell The Herald what 1 think of this
new and unexpected phase in the situa-
tion."
The Hon. Stephen NJ. White was too
busy when called upon to discuss the
question.