Richmond dispatch. [volume] (Richmond, Va.) 1884-1903, 1899-05-31
HON. JOHN W. DANIEL
nis OPINION As TO THE q. 9. IN
OBSERVATION-DISCLOSURES TOBACCO TAX.
Therefore IL f. Void Because IL IN
Not Apportioned I'm Accor"a"e"
u,..,, u.o,trcmcnts of Constitu-
tion-yioIativc Of Common Right.


az q lawyer o. flue practical sense. VIVA
he has to say about the tobacco tax, ah'
especially about the cents pound i'm
posed upon goods on which the tax hac
already been paid viii command genera
attention. His views have been given II
a letter to a friend OF his here in Rich
mond. and arc as follows;
1.ynchburs. Va, May %, 1888.
Major j. ID. Patton:
Ny Dear Sir.--The war-revcnue bill was
approved by the President on the 18Th
day Of June, 1885. which was accordingly
the date OF its passage. and under Sec
ton 81 thereof 1t took effect "on the day
next succeeding the date OF its passage -
that is to say. on the nth day Of june
1865
Section OF the act is headed, Tobacco
Cigars, Cigarettes. and Snun.' ana pro-
vices for certain taxes on these articles
Section { is headed. Tobacco Dealers and
Manufacturers" and provides for GER
tain taxes on the persons exercising these
yocations. Section provides:
THAT there shall. in lieu OF the tax
now imposed By law, be levied and col
Iected tax Of - cents per pound upon
all tobacco and snuff, however prepared
manufactured and sold, or removed lor
consumption or sale"
/ am Of the opinion that under the de-
c,sIons of the Supreme Court of the
United States this is direct tax, ana
unconstitutional I'm the respect that direct
taxes under Article l.. section OF the
Constitution must be laid In proportion
30 the census or enumeration OF the IN
habitants; and this tax is not so proper
tionately laid. 1 deduce this opinion from
the reasoning Of the Supreme Court in
the income-tax cases. for which see Pol
lock We. Farmers Loan and Trust Com
pany. Isl u. 5. S. c. Reports, ana tne
same case on rehearing, l5S L. >, w.
This is my opinion. What the supreme
Court may hold hereafter no one can
tell, and one person can guess nearly dS
well as another. II oVerruled us own
long-established precedents In holding
the income.tax Unconstitutional and IT
may change the doctrines upon wfhch II
reached that conclusion as IT changed
those which antedated II. 49,, T..
By section of the war-revenue Dill IL
AZ 10 its present judgment about taxes
on the issues and products OF lana, / give
you an extract from Chef-Justlce run
ler's opinion on 15S L. :. supreme Court
Reports. above quoted. lie asks the
question:
whatever may be the specula-
tive opinion Of political economists
or revenue reformers may pe' can
IL be properly held mat me
Constitution taken in its plain ana Cd
vious sense. and with regard TO the e'Tc
cumstances attending the formation OF
the government. authorizes general IN
arportioned tax on the products OF the
farm, although imposed merely oecause
nd Will nj
OF escape from payment as belonging 10
n totally different class from that whlch
includes the property from whence the
income proceeds
And holding that such taxes would be
direct he answered: There can be put
one answer, unless the constitutional re-
strlction is to be treated as utterly lliu-
sorry and futile and the object OF lts
trainers defeated. -. r.
the farm. The tax is on il. and under
this decision 1t Is direct tax VOID De,
cause not appOrtiOned. There are sprvlNl
taxes on manufacturers or TOBACCO. I'M
th,s tax Is on the tobacco Is plain. nor
only from the express terms of the levy
ing aGt but from its general stIuctu.t
also and. in addition. from the fact th1t
Il Is laid after the manufacture
The full provisions of sections that
am now discussing are as follows;
TOBACCO, CIGARS CIGARETTES
AND SNUFF.
"sectjon 3. That there shall in lieu OF
the tax now imposed by law, be LEVIED
and collected a tax Of y cents per pOuhu
upon all tobacco and snuff, however pre-
nared. manufactured, and SOLD, or re-
moved for CONSUMPTION or sale, ana upon
cigars and cigarettes which shall be man
ufactured~an sold, or removed Tor con,
sumption or sale, there shall De leNlSu
and collected the following taxes, 10 DC
paid BY the manufacturer thereot-nahe-
T.. Thousand C
OF all descriptions made OF tobacco; OF
any substitute therefor. and weighing
more than three pounds per thousaIiu:
and OF 81 per thousand on cigars indue u
tobacco or any substitute therefor, ana
weighing not more than three pounds per
thousand; and tax Of $3.50 per thousand
on cigarettes made or tCDacco OF any
substitute therefor, and weighing more
than three pounds per lhousan ,,,. I, "i df
$3.50 per thousand on cigarettes mAde on
tobacco or any substitute therefor, ana
Weighing not more than three POUNDS per
thousand: Provided, that In heu Oh 'hS
two three and four-ounce packages OF
tobacco and snuff now authorized by law,
there may be packages thereof contain
ing one and two-third ounces, Two ana
one-half ounces and three and one-third
ounces, respectively. ana In addluon 10
packages now authorized py law theIS
may be packages containing one OuANc VI
smoking tobacco.
And there shall also be assessed anu
collected, with the exceptions hereinafter
in this section provided for, upon al me
articles enumerated I'm this section which
were manufactured, imported, and re-
moved from the factory or custom-house
before the passage OF this act bearing
tax stamps affixed 10 such articles Tor the
payment Of the taxes thereon OIL anu VaIJIei,
Jed subsequent to April IA. 1898 and which
articles were at the time OF the passage
az this act held and intended Tor sale by
any person. tax equal to one-half the
difference between the tax already pnld
ON such articles at the time OF removal
iron, che factory or custom-house and
the tax levied in this act upon suth
articles"
.ditionai tax of cents per pound on an
the articles named in the section, includ-
ing manufactured tobacco, that amount
being equal to one half of the difference
between the tax already pald on such
articles (which was cents at the time
house. and the tax levied In this act upon
such articles" (Which is u cents).
THE ADDITIONAL TAX.
II will be observed that this additional
tax OF 3 cents per pound on tobacco Uhat
IS. additional TO the tax OF cents al
ready PAID. applies only 10 tobacco, de-
anC Manufactured, imported, and re-
moved from factory or custom-house be-
fore the passage of this act mot the
DAY next succeeding the date OF Its pas
sage, on which day the act took effect;
(2) bearing tax stamps affixed TO such
articles for the payment OF the taxes
thereon, and cancelled subsequent 10
April H. 1875. and CD which articles were
at the time Of the passage OF this act
held and intended for sale by any per-
SON"
Thus 1t will be seen that the cents
additional tax applies, respectively. TO
such tobaccos as had been tax paid at
the rate OF cents per pound before the
passage Of the act June Is, 1899. and
subsequent 10 April H. 1898, provided that
they were Eat the time of the passage
OF this act held and intended for sale
by any person" l can best Illustrate