St. Paul daily globe., 1895-05-22
GOVERNMENT CAN GET ALONG
WITHOUT REVENUE FROM
INCOME TAX.
BIG SURPLUS NOW ON HAND
WHICH WILL BE LARGELY IN
CREASED DURING NEXT
FEW MONTHS.
SUGAR AND LIQUOR REVENUES
Will Add q Vast Sum to the Treas
ury Fund-NO Uneasiness as
to Income Returns.

WASHINGTON, May 21.-The in
come tax decision, it's effect upon the
revenues and the probabilities of an
extra session of congress to provide
means for supplying the deficits were
the chief subjects of discussion in Of
fetal and political circles today. SEN
ator Morgan, of Alabama, one of the
ablest constitutional lawyers in the
senate, said the decision leaves the
taxing powers of the government in a
state of wreck. 1t will require long
time for us to gather up the fragments.
Principles of taxation which were con-
sidered we'll settled are torn UP by
this decision.
"How will the question come up in
the senator
'In connection with the question of
refunding the S75, 900 already collec.ed
and the refund of the cotton, whisky,
beer and tobacco taxes. All those
taxes are as much direct taxes as
the tax on personal property, and are
unconstitutional according to yester-
days decision of the supreme court -
what can congress do?"
"Of course replied Senator Nor
gan, congress will have to accept the
decision, but an amendment to the
constitution is always possible"
Senator Faulkner, of West Virginia,
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 treas
ury 1t has today $9O,O0O,0C0 surplus
in addition to the gold heserve, and 1
am sure that will be sufficient to last
until the meeting of congress. The
country will not suffer SO much from
lack of legislation as it would from
a session Of congress-
Representative Updegraff, Republi-
can, Iowa, said: "The tax was not
an unpopular one in the West. How
ever, think the court did we'll to de-
clare the whole act void after it had
been devitalized by the first judg-
ment. see no necessity for an ex-
ira session of congress now"
Members of the administration who
are undoubtedly fully acquainted with
the presidents views and purposes.
state unhesitatinsly that an extra ses-
sion of congress IS ogt of the cues
ton. Nor is there any Likelihood of
another bond issue The treasury now
has balance of over $1S2, ,00O,O OO,which
is available for all purposes, and this
amount is more likely to be increased
than diminished during :hc next few
moThs 1t is argued that the approach-
ing fruit canning season is certain to
make largely increased demani for
sugar, which, owing to the small sup-
ply on hand, must be imported. The
revenue from this source are conf
IDENTIFY expected to reach several mil
lions, and this, added to the large
amounts which very soon will begin
to come in from renewed LIQUOR Ii
censes, will largely augment the rev.
enues, even should the customs not
meet present expectations. All licenses
expire on June 20 IN each year, ard.
judging from last years revenues, the
receipts this year from this source will
exceed $6,OOO000 which must be paid
within the next forty days. In the
meantime the expenditures will be
kept down to the lowest point con-
sistent with good business principles
Commissioner Miller, of the internal
revenue bureau, will dismiss at once
every unnecessary person employed in
connection with the income tax at the
earliest possible moment, and as soon
as the returns can be classified and
tabulated so that the amount to be
refunded to each person who has paid
his tax is made apparent, the bureau
will be closed. No uneasiness is felt at
the internal revenue bureau as to the
danger of the contents of income tax
returns being divulged by employees
Should, however, any employe be de-
tected in making public any informa-
ton he may have obtained while in
government employ, no time or ex-
pense would be spared in bringing
him to justice.