The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1895-04-25

Washington, April 24-The text OF
the opinion of Chief Justice Fuller in
the income tax case, which was deIiv-
cred on the Sth inst. was made public
today. The opinion is preceded by an
elaborate review Of the history Of the
case. The opinion is introduced with
the statement. 1.-The constitution pro-
vides that representative and direct
taxes shall be apportioned among the
several states according to numbers.
and that no direct tax shall be laid ex-
cept according to the enumeration pro-
/ vided; and also that all duties, imposts
and excuses shall be uniform through
/ out the United States"
The men. says the opinion, who
! framed the constitution had just
emerged from the struggle for indie
! pendence, whose rallyinS cry had been
that taxation and representation go
/ together" The mother country had
taught the colonists that self-taxation
constituted the main security against
oppression.
Taxation and Representation.
The states were careful to see that
the taxation and representation should
go together, so the sovereignty should
not be impaired, and that when Con-
gresS voted a tax upon property it
should do so with the consciousness
and under the responsibility that in
doing so the tax SO voted would pro-
portionately fall upon the immediate
constituents of those who passed it.
More than this. by the constitution
the states not only gave to the nation
the concurrent power to tax persons
and property directly, but they sur
rendered their own power to levy taxes
on imports and to regulate commerce.
SO when the weather. states are be-
tween themselves and their less IA
vored associates. and all are between
themselves and those who were to
come, gave up for the common good
the great source of revenue derived
through commerce, they did so in re-
lance of the protection afforded by
restrictions on the grant of power.
Thus, in the matter of taxation, the
constitution recognizes the two great
classes of direct and indirect taxes.
and lays down two rules by which
their imposition must be governed.
namely: The rule of apportionment as
to direct taxes and the rule of uniform
ity as to duties, impOstS and excuses.
There has been from time to time
said the chief justice, 'intimationS
that there might be some tax which
was not a direct tax nor included IN
der the words duties. impoSts and ex-
ciSeS; but such a tax for more than a
hundred years of national existence
has remained undiscovered. now for
the stress OF particular circumstances
has invited thorough investigation into
sources of revenue"
Tax on Rents.
BY far the greater part Of the opir-
ion is devoted to the consideration OF
the question whether the tax on rents
is a direct tax within the meaning Of
the constitution. Ordinarily" said
the chief justice, in taking up this
branch of the subjects, 'all taxes paid
primarily by persons who can shift
the burden on someone else. or who
are under no legal compulsion to pay
them, are considered indirect taxes:
but tax upon property holders IN
respect to their estates, whether real
or personal, or of the income yielded
by such estates. and the payment of
which cannot be avoided are direct
taxes Nevertheless, it may be admit
ted that although this definition Of
taxes and direct taxes is prima facie
correct and to be applied in the consid-
GRAFTON of the case before US, yet the
constitution may bear a different
meaning. and that such different mean
ing must be recognized. But, in arriv-
We are at liberty to refer to the his
torical circumstances attending the
framing and adoption Of the constitu-
ton, as well as the entire frame and
scheme of the instrument and the con-
sequences naturally attendant upon
the one construction or the other.
Hence the inquiry, which, at the
time the constitution was framed and
adopted, were recognized as direct
taxes"
Discussing the qualifications of the
members of the convention, he said
they were men of great sagacity. fully
with governmental prob
lens, deeply conscious of the nature OF
their task and profoundly convinced
that they were laying the foundations
OF a vast future empire.
Authorities Quoted.
Various authorities are quoted at
length to show the pro-
cess by which the compromise by
which the convention delegated 10
Congress the power to tax the various
states, was arrived at, and the CHIEF
justice adds:
THE compromise, in embracing the
power of direct taxation, consisted not
simply in including part OF the slaves
in the enumeration of population, but
in providing that as between state and
state, such taxation should be proper
toned to representation"
Many quotations are also made for
the purpose of demonstrating that the
right of federal government to directly
assess and collect its own taxes, at
least until after acquisitions upon the
states had been made and failed, was
one of the chief points of conflict.
Discussing the Hilton case, so fire.
luently referred to in connection with
this case. in which the supreme court
N 1894 decided that tax on carriages
was not direct tax, the chief justice
says each of the chief justices. while
suggesting doubt whether anything
but capitation or land tax was a
iirect tax within the meaning OF the
distinctly avoided express
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