The Worcester spy. [volume] (Worcester, Mass.) 1898-1904, 1898-10-10
WAR TAX.
It's to Remain
with Us
------------------ ------------------
FOR SOME TIME.
In Fact, It's Regarded as
Quite the Thing For Revenue


some time to come. 1t seems appar-
ent that there is to be no indemnity ex-
! acted from Spain as result of the
recent war, and it seems that the $780,
100000 of war expenses will be largely
raised through this channel
The law in it's essential features will,
according to the opinion of Deputy Col
lector of Internal Revenue Oscar j.
Winslow, remain the permanent inter-
nal-revenue law. In the shore time since
it went into operation it has proved it's
efficiency and thoroughnnss. 1t is con-
sidered the fairest and most equita-
Bile revenue law that the country has
ever had.
Although the war was the direct
cause of it's passage, it was neverthe-
less step forward in the system of
raising revenues to meet the expen
SEES Of the government. Those who
have studied it's workings carefully
agree that 1t marks a transition in the
governments economic policy. 1t
means that the burden OF taxation is
to fail more within the country and
less on the imports. Other nations
have tried with marked success the
system Of internal taxation, and it
seems likely that this country will de-
pend more than formerly en- this means
of raising revenue to meet the expen-
ses of government
If it is to remain in force, it will all
low more latitude in reciprocity trade
relations with other countries. 1t is
growing more and more apparent that
if all of the money required for the
running of the government is to be de-
rived from a tariff on imports. it will
in time become oppressive.
On account of the war the expenses
of running the government have been
largely increased. and as an outcome
of it, the nation is likely to enter more
into the society of other nations. 1t
has made the country's power more
strongly felt abroad. 1t has brought
to other countriessa better idea of trade
opportunities in this country, and 1t
is more than likely that trade relations
will be considerably changed. All or
these things tend to show the desira-
bility of greater dependence on in
ternal taxation, or, in other words, a
dependence on the country itself
Business men who have been APP
preached upon it's continued enforce
ment seem almost universally pleased
with the war tax They think that in it's
essential points it is a just and equit-
able law. Much confusion attended the
early enforcement of the war tax law.
| There were many misrepresentation as
to its scope and workings The mere
matter Of the disposition of stamps and
the getting of them into circulation
caused no end of trouble.
For, several weeks after the law went
into effect no stamps were to be OBJ
tanned here, yet dealers who were sell
ing articles included within the tax
law schedule were liable under its pro-
visions. They have, however been re-
lieved from the fifty per cent penalty
for noncompliance with its terms, but
have been obliged to file sworn item
lied statements of all sales made with
out stamps, and have been obliged to
pay the tax due on the same. Neyerthe-
less there have been numberless viola
tions of the law, and many schemes
have been tried to evade II.
1t is claimed that the tax on proprie-
tary articles is not paid in its entirety
by any means. In many of the drug
stores cosmetics, toilet articles and
drugs are said to be freely offered for
sale unstamped. If the merchant is
asked why the articles are not stamped,
he probably claims that the law re-
quires him to stamp the article when he
sells it, and that he has not yet sold
it. There Is no doubt, however, that
the owners of proprietary articles and
medicinal preparations are making a
persistent and combined effort to evade
the stamp tax law. Almost every day
instances are reported where firms in
the trade are preparing new labels for
their goods, on which, while the pre-
paration is not designed as a specific
for any special disease, the name and
trademark are retained.
91f - Nr~nI1 rot inI1s
maintain that as they are advertised
and sold as specifics, they cannot be
taxed as proprietary medicines. The
collector. however, holds to the con-
trary and says that the law will be
strictly enforced. If the contention of
the medicine manufacturers should be
upheld, of which he has no fear, the
collector says that they will gain little
profit. fer the law will be so amended
that a still greater tax will be imposed.
A thorough inspection of the stocks of
all manufacturers of proprietary medi-
cines is to be made, two deputy collect
ors having been assigned to each store
in some of the districts. and com
plete inventory of the goods on hand
will be made.
With a view to ascertaining the feel
ing in different sections of the country
in regard to the stamp tax, the COM
missioner of internal revenue has adj
dressed the following letter to all the
collectors in the country;
Treasury Department, Office OF the
Commissioner of Internal Revenue,
Washington, d. Co
Sir:-I desire to obtain your views,
based on your experience as collector, as
to what amendments should be made to
the war revenue act. You are requested
to report your recommendations or sug
gestions in regard to this matter 1t
may be that there are some taxes
which hamper business, are yexatious
and annoying. difficult to collect and
yield but little revenue. After giving the
matter some attention, please state
whether there are any special articles
or things which, in your opinion, ought
to be omitted from the list of taxable
articles or whether the law should be
amended in other respects where the
meaning Is uncertain, or where further
legislation is desirable to facilitate it's
enforcement.
Respectfully yours,
N b. Scott Commissioner.
AS soon as the commissioner receives
replies from the revenue collectors, he
will begin work on his annual report
to the treasury department. While he
firmly believes that certain features of
the law should be eliminated. he is
opposed to a repeal of the main fea-
lures of the tax Inc law III tns, az
gregate, he thinks, is a good one and
should be allowed to stand at least un-
iii the war debt has been paid.
The revenue receipts for the last fis-
cal year were $24,249 925 in access of
those for the previous year. The ex-
pense incident to the collection Of this
immense tax was something over $780,
GOO. 900.
4 recent decision from Collector Scott
is to the effect that nothing is cider
except the juice Of apples. fermented or
unfermented. The question was raised