New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1898-03-29
SOURCES OF INCREASED REVENUE

Since war Is not improbable, and in any event
some increase OF expenditures may result from
preparations for war, at least for a time to
come It Is proper that Chairman 'Dlngley and
other Legislative leaders begin to consider what
special emergency tax may best he imposed,
If additional taxation becomes necessary to meet
the exceptional expenses. There Is no difficulty
whatever In finding available sources of revenue
which can be relied upon for a heavy return If
necessary. Nor is It at all difficult to find
sources OF revenue upon which the Government
may draw without rendering Industrial produc-
ton more coctly or adding to the necessary ex-
penses Of living. But It is litte more difficult
to determine which OF several sources OF reve-
nue. may be drawn upon with least economic or
political disadvantage at this time
Nearly all whose minds are turned to the sub
ject are at first disposed to increase taxation Of
fermented liquors. tea or coffee The tax on
fermented liquors is one Of the few which have
remained substantially unchanged for more than
thirty years. and as the consumption has grown
in that period from 100000 900 to over l. 100 600
600 gallons. and the revenue from So 100000 TO
$50, 100000, 1t is a common suggestion that an
amount as much larger can readily be realized
by increasing the tax to SO per barrel. It is
doubtless true that this increase would involve
less risk Of losing revenue than almost any
other change. When the tax on whiskey has
been raised the Government has always lost
heavily by increasing evasion and fraud but an
Illicit distilery can be hid, though a concealed
brewery will hardly be doing business In these
days. tax OF only about three cents per
gallon, or less than half cent per pint, is so
small that It practically cannot be added to the
sum paid by the consumer, and would actually
be felt almost exclusively by the producers and
dealers. At that point question arises rs to
the expediency of tax which can be practically
avoided by the producers through, deterioration
of quality, and which would otherwise be borne
by few thousand persons who have consid-
cradle political influence
In the sixties considerable revenue wns de-
rived from the taxes on tea and coffee The
consumption has since extended so much that
the same taxes would now yield large sums.
The tax on coffee was five cents per pound, and
yielded over 100000. but the same tax on
SO80O0000 pounds imported last year would
yield over S40,0O0.0OO, though It Is likely that
the consumption would be somewhat reduced by
the increased cost. The tax on tea was for
merly % cents per pound, and yielded in one
year over s100000O0. Last year the imports
about 1OO,000.OOO pounds were swelled by ex-
ccptional circumstances, but similar tax
might now yield more than $2OOO0OOO diff
Guilty Is that these taxes would In fact be paid
almost wholly by the wage-earners, and would
add to their actual II not to their necessary cost
Of living. To take s2OO0OOOO or $4,000, 900
yearly from the earnings Of labor. II 1t can with
propriety and safety be avoided, Is not IN har-
mony with the policy which has distinguished
the Republican party. Such a tax would as
suredly be made pretext for a larger advance
In the retail cost Of tea and coffee to consumers
and unless such taxes are clearly necessary
they are likely to be resented Because other
sufficient sources Of revenue do exist. these
would be apt to excite much antagonlsm
1t Is a suggestion often made In these days
that the speculative exchanges might he re-
quired to pay part Of the expense Of govern
ment. In the estimation Of most producing
citizens these exchanges do lot render to the
public any service Of the highest value, and
while the service which they do render is In fact
quite commonly overlooked or underestimate, It
is also true that they do no little harm by cult
waiting gambling spirit, by exposing industries
and trade and banking to spasms OF disturb
ance, and by absorbing at times a considerable
part Of the available capital that Is needed for
production and commerce. A tax on such a
branch Of business, II 1t could be strictly con
fined TO purely speculative or optional dealings
would impose no hardship upon any depart
ment Of productive industry upon the millions
of Industrial workers. But there are practical
difficulties. 1t Is not the easiest thing In the
world to devise tax which can he collected on
transactions Of this nature To devise one
which can be collected on purely speculative