Rock Island Argus. (Rock Island, Ill.) 1893-1920, 1895-05-22
BIG POSSIBILITIES
Hanging on the Edge Of the In
come Tax Decision.
MUCH WORK FOB THECLAIM AGENTS

Provided Those Who Paid Income Tax in
for Their Great GraudehIldren-Mor
Ean's Comments On the Decision-Enect
IN the National Income as Viewed by
Faulkner and Others.
WASHINGTON, May 22.-The income
tx decision-its effect upon the revenues
and the probabilities of an extra session
OF congress to provide means for supply
ing the deficit are the chief subjects Of
discussion in official and political circles.
Senator Morgan said the decision leaves
the taxing powers Of the government in a
state Of wreck. "It will require a long
time for US to gather up the fragments.
Principlcs,.cf taxation which were con-
sidercd we'll settled are torn up by this
decision
'.How Will ;he qu>stion come up in the
yenate!"
"In connection with TIE question of re-
. 'unding the $50, 90 already collected, and
Die refund of cotton, whisky, beer and
tobacco taxes. All those taxes are as
much direct taxes as the tax on personal.
ty and as unconstitutional, according to
yesterdays decision of the supreme
court
what can congress do?'
"Of course" replied Morgan, congress
will have to accept the decision, but an
amendment to the constitution is always
possible"
Opens Up q Big Line Of Refunds.
Oi course the $1,000 collected OF the in
come tax this year will be refunded, but
rs Morgan hints the decision may reach
back to the war income tax-indeed, as
Morgan and many Others hold, it does. II
that tax is to be refunded it means that
rhc treasury will have to pay S35O, ,OO0, ,O00
back to the people, for that was, approxi-
mately, the sum collected from incomes
during the war. These who are going to
make claims however, need not expect to
handle the money. Uncle Sam is notori-
ously slow pay in matters Of this kind.
He will haggle and dicker until the orig
inal claimants have sold their claims to
brokers and then object to paying the
brokers on the ground that they are
''Inoney sharksI' vide French spoliation
claims
Effect Uncle Sans Income.
Senator Faulkner said that he thought
there was no danger of an extra session
and no earthly chance for one. He added:
'Even with this loss Of income there is a
comfortable condition of the treasury. 1t
HIS today $50 0OO,C0o surplus in addition
to the gold reserve, and am sure that
will be sufficient to last until the meeting
of conf gress. The country will not suffer
SO much from a lack of legislation as it
would from session of congress"
representative Updegraff said: "The
tax was not an unpopular one in the west.
However, l think the court did well to
declare the whole act void after it had
been devitalizcd by the first Judgment. 1
see no necessity Tor an extra session o;
congress now"
Neither Extra Session Nor Bond Issue.
Members of the administration who
arc undoubtedly fully acquainted with
the presidents views and purposes state
unhesitatingly that an extra session of
congress is out of the question. Nor is
there the least likelihood of another bond
issue. The treasury now has a balance
of over SiS2 COG, 600 which is available for
all purposes, and this amount is more
likely TO be increased than diminished
during the next few months 1t is argued
that the approaching fruit canning sea-
son is certain to make a largely increased
demand for sugar, which, owing to the
small supply on hand, must be imported.
The revenues from this source are conf
IDENTITY expected to reach several millions,
and this added to the large amounts
which will very soon begin to come in
from renewed liquor licenses will largely
augment the revenues, even should the
customs not meet present expectations.
"Leaky" Employees viii ise Punished.
No uneasincss is felt ut the internal rev.
enue bureau as to the danger of the con-
tents OF income tax returns being divulged
10y employees. Should, however, any employe
be detected in making public any informa-
ton he may have obtained while in gov
ernment employ no time or expense
would be spared in bringing him to
justice. 4
NEW YORK WORLD CHARGES.