Alma record. (Alma, Mich.) 1878-1928, 1895-05-31

Special Correspondence.
WASHINGTON, May 2S.-The Income
tax law, which has received so large a
share of public attention since the be-
ginning of the first regular session Of
the Fifty-third congress j. thing Of
the past, having been declared uncon.
stitutional 10y the supreme court The
justices stood five 20 four against the
law. Justices Fuller, Field. Gray.
Brewer and Shiras opposed the law,
and Justices Harlan, White, Brown
and jackson favored IT, lua>much as
one of these dissenting opinions was
handed down by Justice Jackson, and
as he was absent AT the drst hearing II
the case. when the court divided evenly
on the question Of sustaining the law
on all points except those As to the tax
on incomes from rents and bonds, il Is
evident that one OF the members 81 the
court who first pronounced for the law,
except on those two points. changed
his opinion after the second argument.
And il is generally conceded that JUS
tice Shiras j. the one who revised his
opinion Of the law. The dissenting
opinions are couched in vigorous
language.
The opinion was read by Chief JUS
ticc Fuller. The action Of the court is
based upon the argument that the pro-
visions Of the law regarding the tax
upon rents and bonds were SO essential
a factor Of the whole question a to
render all other parts OF it dependent
upon them, and that in accordance
with the well known principle Of the
law bearing upon this question, the law
a. a whole must bee declared invalid.
Justices Jackson and Brown lie
lvercd the dissenting opinions. JUS
tice jackson said that he could not
understand what difference there wa,
between that class Of incomes decided
by the court to be within the rule Of
apportionment and the other classes
decided To be not within the rule Of uni
formity; nor could he understand why
the valid portions could be inyalidated
because Of the unconstitutonality OF
other portions II the principle upon
which this decision was made was
sound it could he extended SO as 70
render the entire act OF 1894 invalid.
The two portions OF the income tax
were wholly separab.e. and 10 hold
that one invalid portion broke down
the valid portion was, he thought with
out authority and without law. No
rule or canon. Justice Jackson said,
was better settled than that the court
should not declare unconstitutional an
enactment from the legislative branch
of the government unless lis repug-
nance to the constitution was clear be-
vond reasonable doubt. He objected
to the decision OF the majority because
he thought the court had adopted
wrong method in arriving at the con-
illusions as to what a direct tax was.
Commissioner Miller Of the internal
revenue bureau at once began sending
out notices 10 collectors Of internal rev.
enue all over the country, informing
them Of the decision of the supreme
court. ordering all work on the income
tax stopped. and that all books. assess
ment lists. returns and records bearing
upon the income tay law be sent, under
seal. to the internal revenue Office in
Washington.
The effect Of the supreme court de-
cision in the income tax case Is the one
topic of conversation in all circles,
nolitical and otherwise, in the city. and
its effects on the treasury, is not diff
cult TO determine The decision
knocks the government out OF reve-
nues variously estimated at from $50
OOO. 900 to $50. 600. 900, of which Sl5,-
OOO. 600 was included in the lS94-95
estimates of the commissioner of inter-
1
revenue for the year ending June 30
next was Sl6j.0OO.000. II viii lose
5000. 600 from the income tax. and
indications point 20 an So.oOO,OuO
further disappointment that much OF a
falling of being already in sight, SO
that instead of SlG5. 900 600, the inter-
nal revenue receipts will approximate
$4,000. OO0-a loss of S25,OOO,OOO.
The customs receipts for the year will
approximate 1913. 900, 600, instead of
Si6O. 600 600. leaving a shortage OF
$1,000. 900 from that source Then
the expenditures promise to exceed by
another s. .OO0. 600 the estimates. max
ing net result of S37,000,0O0 in eX-
cess Of the $40. 00O, 900 deficit estima-
ted by the secretary of the treasury
last December or total shortage for
the year Of S57,0o0,000.
There are rumors that the president