The watchman and southron. [volume] (Sumter, S.C.) 1881-1930, 1895-04-24
0lney's Succient Brief.
The Government Fakes Tn
expected Action on Income
Tax Rehearing.

General Olney this afternoon fled 10
the Supreme Court Of the Unasd
Sessss . heia upan the :pessiea $N =
rehesripg Of the income tag cases Il
yss DOT expected at The department. 81
justice or at the court that the govern.
ment would respond to the notice by
MI. Gu.brie Of the intention Of counsel
to ask q reheariog, and some surprise
was expressed at the appearance of the
document. The Attorney Generals
brief wss as follows
The United States respectfully re-
presents, that if q rehearing 10 granted
it should ? sIl the right and consti-
sutional questions, involved, and not
merely those as to which the conrt are
equally divided.
II. Whether q tax on incomes gene
ralv. Inclusive Of rents and interests or
dividends from investments OF all kinds,
is or is not 8 direct tax within the
meaning of the Federal Constitution. is
a matter upon which, as an original
question, the government has really
never been heard. Its position at the
argument wal that the question had
been settled by an exposition Of the
constitution practically contemporan.
o q With its adoption by a subsequent
uubrokeo line Of judicial presidents. BY
the coocurripg and repeated action of
all the departments Of the govern ment
and BY the conceDsus OF all text writer's
ADD authorities by whom the subject
has heretofore been considered.
20. The importance to the govern
meut of the new views Of its taxing
powers. announced in the opinion Of
the Chief Justice. can hardly be exag-
gerated First. Pushed to their logical
conclusion, they practically exclude
from the direct operation of the power,
all the real estate of the country aud all
it's invested personal property. They
exclude it, because If realty aud per-
soualty are taxable only by the rule
of apportionment. then the inevitable
inequalities resulting from such a plan
of taxation are 80 gross and fragrant as
to absolutely debar any resort to it.
That sach inequalities must result is
practically admitted, the enly sugges-
tiou in reply being that the power to
directly tax realty and personality vas
not meant for use as an ordinary. every
day power !; that the United States vas
expected to rely for its customary rev.
snues upon duties, imports and excuses
aud that it vas meant It should impose
direct taxes only 10 extraordinary emer.
gencies aud as q sort Of deraier .resort.
It IL submitted that q construction OF
the constitution of such vital import
ance IN itself and requiring in its sup
port sn i~mputation TO its trainers Of a
specific purpose which nothing 10 the
text of tho constitution has any ten.
dency Co reveal, cannot be too carefully
considered before being finally adopted
Second. Though of minor conse-
qnence. it is certainly relevant to point
cut, that if the new exposition of the
constitution referred to is to prevail, the
United States has. under previous in
come tax laws, collected vast sums OF
money. which on every principle of JUS
tioe, it ought to refund aod which it
must be assumed that Congress will
deem itself bound to make provision
for refreding by appropriate legisla-
tiou."