The Seattle post-intelligencer. [volume] (Seattle, Wash. Terr. [Wash.]) 1888-1914, 1895-04-25
TAXES ON INCOMES.
Summary Of the Decision OF
Chief Justice Fuller.
A STUDY OF THE CONSTITUTION,
Money Collected Prom Land a Direct
Tax. and Therrfore Forbidden by
Founders of the Republic.

Washington City. April 3a-The text q
the opinion OF Chief Igstice F1Galer n Ile
izcorae tax ease. which wzs delivered on
this so inst. was maize public to-day the
opinion u preceded BE- al elaborate re-
viaH q the history of the case me
opinhsn proper Il introduced with the
statement. "The constitution provinces
that representative and direct taxes sn@4l
De appoFtioned among thu several STATES
according 70 numbers. and shat no diFect
TAX sbal be Lasd except according % fhs
enumeration provided. and also mat ali
duties. fuaposfs ana exeisss shall Dc UNI
form throughout the United states
The uaen." says the opinion. who
framed fhe constitution had just emerged
from the struggle for independence. Who-e
r~zilyEnx cry had been that the taxation
M representation 80 together n
mother country had taught the colonists
that s~eff-tzxatnn constituted the main
security agslnst oppression The states
were careful 20 see that taxation and rep
resentztIon should 70 together. 80 the
so~gerefgntv should not be impaired, and
that. when congress voted = tax upon
property. h should do SO with ths con-
~sciousness and under the responsibility
thai IN 80 doing the tax SO voted would
pF0uortkaua tely fall upon the Immediate
- Va sHtFN tA~8 A@-
than this. BY The constitution the states
not only left 20 tire nation the concurrent
power 20 lax persons and property direct
~, but they surrendered their own power
10 levy taxes on Imports and - regulate
commerce. 50. when the wealthier states,
As between themselves and their less IA
vorsa associates. and all. as between
themselves and those who were 70 come,
gave ny for he common good the great
source Of revenue derived through COM
msrce. they did 80 in reliance on the pro-
lection afforded 10y restrictions on the
grant OF power
THUS. in the matter OF taxation. the
constitution recognizes the two great
CLASSES Of direct and indirect taxes, and
lass down two rules 10y which their Inn
position must be governed, namely: The
rule OF a-pportionment IS TO direct taxes.
auf the rule % uniformity as 10 duties.
imp0sts and excuses.
There nave heen from time 10 time in
situations" said the chief justice. that
there might be some tax which was not
q direct tax. nor included under the words
duties. iTupOsts and excuses, but such a
tax for more than 1875 years OF national
existence has remained undiscovered
Now. however. the stress OF particular
circumstance has invited thorough in
vostigation into the sources OF revenue"
BY far the greater part Of the opinion
49, So ~ ~ AAL &9AA&AAt- ~ "a EAA@
question whether the tax on rents is a
direct tax within the meaning Of the con-
stitution.
Ordinarily said the HE Justice. I'm
taking up this branch Of the subject, all
taxes paid primarily by persons who can
shift the burden on some one else. or who
are under no legal compulsion TO pay
them. are considered indirect taxes. but
taxes upon property holders in respect TO
their estates. whether real or personal. or
of The income yielded by such estates. and
the payment Of which cannot be avoided.
are direct taxes. Nevertheless. Il may be
admitted that although this definition Of
taxes aud direct taxes is prima facle cor
rect. and 10 be applied ia consideration
of the question before Us. yet the COnsti-
tuition Inay bear a different meaning, and
such different meaning must bc recog
ntZed. but In arriving a. any conclusion
upon this point We are at liberty TO refer
To the historical circumstances attending
the framing and adoption Of the coIssti-
tuition. as We'll as the entire frame and
scheme OF the instrument and the conse-
quences naturally attendant upon the one
construction or the other. Hence. the in
quiry into what. at the time the coasti-
tutlon vas framed and adopted. were rec
0gnized as dire Z taxes"
Discussing The qualifications OF the
members Of the convention. he said they
were men Of great ~saEaclty. fully con-
versant with governmental problems.
deeply conscious OF the nature OF their
task. and profoundly convinced they Mere
laying the foundation o. a vast future
empire. Various authorities are quoted
at considerable length 20 show the process
hy which the compromise BY which the
convention delegated 70 congress the
power 70 tsx 5hc various states was ar
rived at. and the chief justice adds:
"rhe compromise. ia embracing the
po"ar OF direct taxation. consisted not
simply H. including part OF the slaves tn
the enumeration Of population. but in pro-
viiiag that, as between state and state.
such taxation should be proportioncd TO
! representation"
Many quotations are also made fer the
| purpose II demonstrating that The right
! OF the Federal government 70 directly as
scss ana collect its - taxes. at least
until after regulations upeu the states
had beer made and failed. was one OF The
| chief points OF conflict.
Discussing fhe Hilton case. So fra
/ queutly ret"rrci 70 in connection with
this ease. "a which the supreme court IN
1924 decitej thtt "a tax on carriages was
| not q direct FAX. the chief Justice saws
each NJ the justices. while suggesting
doubt whether anything but a -apltatior
! pr a land tax was q direct tax within the
ucaajuE Of fne constitution. distinctly
avoided expressing an opinion upon that
/ question or laytHE doV n a comprehensive
! definition. hut confined mis- onlnis, q,
the case tefcrr their court.
Tee ats az Jul, - tstS. aua ~ Angus,
6. l@L arc reviewed after which the fri-
towing propositions are Issf own:
II THAT the distraction between direct
! ana Indirect ;a xat.a0 vas weii understood
by the frawnrs OF me Constitution and
thass Who adopted 1t.
= That urfer the state systems az
8 tHN4t.nn an ~M Yes on real naFssu r- .~