Marshall County independent. (Plymouth, Marshall County, Ind.) 1894-1895, 1895-04-19
INCOME TAX MIDDLE.
THE PRESIDENT URGED TO CON-
VENE CONGRESS.
People Are Confused Over the Supreme
Court DeCision-Treasury Officials
Will Be Surprised If the Whole
Community Does Not Dodge the Tax.
Unjust to Business Men.

Unjust to Business Men.
Washington correspondence:
The President is being importuned per-
sonally by men of highest influence in
public affairs and avalanched with
weighty letters and kilograms urging him
to cOn7ene Congress i'll special session
for the repeal or correction of the income
tax law. These appeals are grounded on
the broad proposition that the law in its
present emasculated shape discriminateS
with brutal injustice against the mercan-
tile manufacturing and bustling business
interests in general and in favor of the
coupon clippers and heavy owners of real
estate, who We're especially aimed at.
They contend that the law rs it now
stands is so rankly and cruelty wrong
that common justice requires either its
immediate repeal or its amendment in
some form that will reach the rich classes
who are exempted from the payment of
their share of the taxes. How the Presi-
dent will act in the premises cannot be
stated. He has permitted the statement
to be made with authority that he would
not call an extra session If the Supreme
Court annulled the act. but that was to
quiet the fears that the Government
might not have enough money to get
through the calendar year if deprived of
the revenue from the income tax.
The situation as it is now presented to
him is an altogether different one. 1t is not
now question of revenue, but one OF
grave injustice to hundreds of thousands
of men, who represent substantially ali
there is to the business push. energy and
brain of the country. This is phase OF
the question he had not previously taken
into consideration, and there is no telling
how he will look ut it.
Curtai1s Government Revenues.
High treasury officials turn brave
front to the world and publicly insist that
the income tax will yield Il large revenue
in spite of its horrible mutilation 10y the
Supreme Court. In confidence they will
tell you that the law is as good as killed,
and that, instead of S1o,0OO,OOO to SO
600. 900 revenue, they do not really expect
to drag iii more than So,OOO,OOO or $lO,-
100000, and will not be greatly surprised
If the amount should drop below the in
side figure named. They admit that bust
ness men will be assaied by strong temp
tation to dodge the payment of tax that
imposes burden on them and relieves
those who are better able to bear it. They
will be pleasurably disappointed if the
whole community does not turn i'll and de-
liberately beat the tax by the discovery
of convenient offsets
And then, again. here is a possibility
that confronts the revenue bureau: Sup
pose legal proceedings are instituted i'll
Federal Courts in several States TO enJ0ln
the collection of taxes, new points beng
raised. And then suppose the judges of
the lower courts should uphold the con-
tention and the Government take an ap-
peal to the Supreme Court. The Supreme
Court is tie on the main question of the
constitutionalty of the law. Reverse the
position and let the Government be the
party making the appeal. The appeal
would fail in that case as it did in the
case Just heard. That would leave the
remaining remnant of the law dead in
some parts of the Union and alive III 9th
ers If not. why not? Altogether the
situation is full of completely and CON
fusion.
Instructions have been sent TO collectors
of internal revenue all over the United
States to withhold returns made under
the income tax law until regulations can
be prepared at the Treasury Department
in accordance with the decision of the SUI
preme Court of the United States. 'Our
work is going to be much more difficult,
said the Commissioner of Internal ReIe-
nue., in consequence of the action by the
Supreme Court, and it may be quite a
while before we get matters Strengthened
opt. Hence it was deemed advisable to
let the returns accumulate in the collec-
ton districts rather than have them pile
up on us here at Washington and necessi-
tate double labor upon us. Advices re-
ceiyed from the collectors office for the
District of Columbia and vicinity show
remarkable increase of returns of in
comes. There has been a crowd of people
asking for blanks and information in re-
gard to the proper construction of the law.
We have experienced n sort of overflow
here at the department, too, and the mail
from all parts of the country has been TN
usually heavy. Particularly is this true
of the biz cities in the East, where the
largest corporations are located. There
will be no difficulty encountered about
collecting the tax, inasmuch as the law
makes provision for n levy against the
property of persons failing to comply with
the regulations issued by the Internal
Revenue Bureau. OF course there is q
remedy by an injunction, but pending
such procedure the taxes much be paid"
Views of Attorney General OIney.
$50 far as the lower courts are concern
ed,' said Attorney General Olney, "tht
division of the Supreme Court upon the
income tax law is as binding as if tn,
whole court had been unanimous in its
favor. | cannot believe any judge would
grant an injunction to prevent collector
from collecting the tax on incomes derived
| from other sources than rents or State
and municipal bonds in the face of the
| Supreme Courts action. The only way
can see by which persons who object Il
paying the tax can secure judicial actor
| is by their paying the tax under profess
and entering suit for its recovery"