The Washington times., 1895-04-09
NEED NO EXTRA SESSION
President Cleveland Fails TO See
Any Occasion for II.
MR.. CARLISLE CoNcURs IN THIS
Treasury officials Dispioited at tha In
come Tax Decision-Thsy Think It Will
Cause Falling Off in Estimated Reve-
nue. of Fifty Per Cent-Attorney- General
olney Surprised at the View as to Rents.

The President on being asked yesterday
afternoon whether, in view of the decision
OF the Supreme Court on the income TAX, an
extra session of Congress would be called,
said that neither he nor the Secretary of
the Treasury saw any necessity for such ac-
tion, and that unless there was an unex-
pected change in conditions, he had no
idea that Congress would meet again before
the time appointed for its regular session.
Treasury officials are greatly dispirited
over the Supreme Courts decision in the
income tax case, and while admitting that
they have no reliable data upon which to
form an accurate estimate, they express
the belief that the net result of the decision
VII be a loss of at least fifty per cent. in
the receipts from incomes.
In some cities the loss will be far greater
than this. notably in the city of Washing
ton. where the loss is expected to reach
seventy five per cent Washington, how
ever, is exceptionally renting city.
RENTED HOUSES ELSEWHERE
The proportion of rented houses in other
cities of the country also is very large. In
1890 the rented houses in New York city
was nearly ninety-four per cent of the
whole. In Boston it was eighty-one per
cent, in Brooklyn eighty-one, in Cincinnati
eighty, ana in Jersey City eighty In
other large cities the percentage ranges
down to fifty-six at Rochester.
In New York city there We're 292 $50
rented houses; in Philadelphia, 1877 800:
in Chicago, 156 ,566; in Brooklyn, / 80 ,O40
The total number OF rented house in the
United States in 1890 was / ,120 .4S7,
which, during the last five years has un
doubtedly increased very materially.
Dwelling houses, however, represent
only small part OF the capital invested
in buildings of every character which
produce enormous rentals.
Comparatively little was expected from
interest on State, county and municipal
bonds. but the total loss, IL is thought,
will not fall far short of SIS 900 900 or
$20, 600 600 for the first year, and this
loss is expected TO increase rather than
10 diminish in succeeding years should
the law remain unrepealed
The loss of this revenue, however is
not the only cause of regret among the
officials. The fact that the court was
evenly divided on the main constitutional
question, IL is expected, Will result in
almost endless litigation, thus very ma
teriaily adding TO the expense of col
lecting the tax.
REFUNDS TO BE MADE.
Nevertheless, the internal revenue Off
cials will proceed at once TO prepare sup
Elemental regulations to conform to the
decision, and from now until next Monday
when the time expires within which re-
turns may be Inde, any returns in which
incomes from rents and bonds are deducted
viii be regarded as a full compliance
with the law.
Persons who have already made the
returns and paid their tax will be advised
OF the change in the regulations and as
soon a S possible the proportionate amounts
of tax paid by each on rents and bonds
will be refunded 10 them under the general
law, which authorizes the Commissioners
of Internal Revenue TO refund taxes wrong
fully collected.
Attorney General Olney was much sur
prised at that part OF the decision which
eXempts rents under the income tax. As
to the section Of the act relating TO bonds
the Attorney General rather expected
an adverse decision, but he regards the
action OF the court on the rents proposition
as having been taken on technicalities,
which he believes Will not stand the test
OF time, and cannot remain the permanent
la W Of the land. on all other points the
government, he believes has no serious
cause for complaint.
It is universally regretted that there
was not n full bench to hear the case, and
should Justice Jackson resign, his sue
SCISSOR, there is very good reason To be-
leve, would almost certainly be favorable
TO the law, in which event another test
case very soon would be brought To the
court for determination