San Antonio daily light. [volume] (San Antonio, Tex.) 1886-1907, 1895-04-12
HIS HEAD LEVEL
Senator Hill of New York on thu
Incoms Tax Decision.

, Senator Hill of New York on thu
Incoms Tax Decision.
WASHINGTON, April l2.-Sena-
tor Hill, OF New York while here
last Tuesday, expressed himself on
the income tax decision by the
Supreme court as follows:
81 am naturally gratified,' he
| said, Eat the decision OF the court
by vote OF six to two on two i'm
pOrtant questions involved in the
act. They are both questions |
had carefully considered and vigor-
ously pressed in the Senate among
other objections to the law. For
myself, | have never had any
doubt that the tax imposed by
the income tax law is a direct tax
in all its features. | naturally
think the opinion Of Justices Full
Ter and Field are very able and
convincing and will receive the
approval OF the bar throughout
the United States.
"Hhere never was any good rea-
son for the enactment of the in
come tax law. 1t was pressed upon
Congress by lot Of Populists and
Socialists, cranks and disturbers,
and their views were unwisely an
swered. 1t was class legislation of
the worst kind. From a political
point of view it was the height Of
folly to adopt legislation of that
character. 1t had never been laid
down as Democratic principle
nor adopted in any platform. 1t
antagonized the business commun-
ity, delayed the adoption of tar
if reform bill, and has injured the
Democratic party ever since.
"The effect OF the decision will, l
Judge, be excellent for the country.
| have no doubt but the whole act
will eventually be declared uncon-
stitutional. The first act Of the
next Congress should be to repeal
the law and atone for our blunder,
and unfortunately the Republicans
will get the benefit Of the repeal.
1t would be the most supreme folly
on the part OF the Democratic party
to attempt to again enact an in
come tax law, when the whole act
is believed to be invalid by at least
one-half OF the judges who heard
the argument. The true policy for
the country and the Democratic
party to pursue is to let the general
government collect it's revenues by
tariff taxes and a limited amount
Of internal revenue taxation, strict
ly co-called, and permit the States
to impose direct taxes.
"The invading of that part Of
the law applying to incomes de-
rived from rents is far reaching in
its consequences. 1t will materi-
ally reduce the revenues expected
and deprive the act of one of the
principal arguments advanced at
the time in favor of it's passage,
viz: to reach the receipts derived
by owners of real estate who reside
in foreign countries. The law is
unjust and undemocratic and | re.
joice it has met a portion OF its
death in due time"
Referring especially to the state
he represents Senator Hill said :
"The decision is of the greatest
| benefit to the business interests of
New York State. The municipal
bonds held by the corporations and
citizens of New York are enormous.
| do not recall the figures, but |
have seen the aggregate stated as
something more than a thousand
million of dollars. The decision
relieves them from the payment OF
tax on the income from these in
veStments. The decision relative
to municipal bonds virtually
decides that railroad and
other corporations which pay
the state of New York
a part of their earnings for
their support Of the state are not
taxable under the income tax law
But it is law. These railroads and
other corporations are created by
the state, not the general govern
ment and the taxes are special
taxes assessed for the state through
the instrumentality Of state gov.
eminent, as a state bond, mum.
cipal bond or any other means
which the state has created for the
purpose Of raising revenue"
BILIOUS CoLIC.