Perrysburg journal. (Perrysburg, Wood Co., O. [Ohio]) 186?-1965, 1895-04-13

come, had by universal consent been
recognized to be direct tax. In con-
clusion Justice Field said: Here close
my opinion. / could not say less In view
of questions of such gravity that go
down to the very foundation of the gov
ernment. If the provisions of the con-
stitution can be set aside by an act or
congress, where is the course of usurpa-
tion to end? The present assault upon
capital is but the beginning. 1t will be
the stepping stone to others, large and
more sweeping, till our political con-
tests will become q war of the poor
agaist the rich; war constantly
growing in intensity and bitterness.
am of opinion the whole law of 1894
should be declared void and without any
binding force-that part which relates
to the tax on the rents, profits, or in
come from real estate, that in so much
as constitutes the direct tax because
not imposed by the rule of apportion-
ment according to the representation of
the states, as prescribed by the con-
stitution, and that part which imposes
a tax upon the bonds and securities of
their municipalities, as being beyond
the power of congress to impose, and
the law so far as 1t imposes duties, i'm
posts, and excuses as void in not pro-
viding for the uniformity required by
the constitution in such cases."
There are many and grave questions
yet to be decided. The Supreme court
has not declared the income tax law to
be unconstitutional, nor has it declared
it in accordance with the legislation. So
far as the circuits in which the original
suits were brought are concerned the
law with the two exceptions stands as
valid and the taxes can be unquestion-
ably collected. There is a serious ques-
| ton as to what will happen in other cir
| cults.
The decision of the Supreme court on
| the subject of rents and bonds is more
far reaching than is generally supposed.
| Hitherto it has been a settled principle
of law, fortified by a statute, that no in
| junction can be granted to restrain the
collection of tax. In the decision
| handed down yesterday the prayer OF
the complainant foran injunction to pre-
vent the making of the returns and the
| payment of the tax on rents and bonds
is granted. This principle laid down
| by the Supreme court, Circuit courts all
| over the country will follow They may
| legally go further and decide the whole
4 law unconstitutional, and under exist
| ing circumstances their decision would
| stand as law because the Supreme
court has not and can not at present
| reverse 1t.
If in the original cases the lower court
| had decided the law unconstitutional,
| the decision of the court handed down
yesterday would have affirmed that de-
cision by a divided court, so it will be
| seen that other suits may be brought in
other parts of the country, and other
| circuit judges may so decide as to pre-
| vent or delay the collection of the tax,
or at least permit its recovery after 1t
/ has once been paid. Discussing this
point Assistant Attorney-General Whit
! ney said: "One Circuit court has de-
| clared the law constitutional. and the
Supreme court has not upset that de-
| cision. Hence l believe the courts wiz
| generally decide that the existing law
stands as whole, and that taxes must
be paid on all incomes not derived from
rentals on real estate or interest on
state and municipal bonds l so under
| stand the decision, and we are satis-
fled to let the matter rest for the pres
| ent."
The Supreme court was divided ex-
| actly as had been rumored, Chief Just
ice Fuller and Justices Field, Brewer,
and Gray believing the law as whole
unconstitutional, the other four, Just
ices Harlan, Brown, Shiras, and White,
sustaining the law as a whole.