The representative. [volume] (St. Paul, Minn.) 1893-1901, 1899-10-12
A POPULAR FALLACY
THE SINGLE TAX OR A TAX ON LAND
VALUES CANNOT BE SHIFTED.
BY David H. Waite.
(For the Representative

Tue OeILcT pTOIeCCIOu VI ZIG AA6At0 oAu
property of the individual. A just sys-
tenn Of taxation would be the payment
by each citizen for public use Of tax,
greater or less, according to the value
of the property protected, but, mas
much, as in republic all citizens are
equal in rights and every man, rich or
poor, can be compelled in the last resort
to sacrifice life, if necessary, to defend
the nation; the poor in such cases con-
tributing the same services as the rich,
an equitable system of taxation in time
of peace, would be to exempt the prop
erty of all citizens to a reasonable ex-
tent from execution and taxation. The
public expenses to be paid by those IN
possession of property in excess Of the
exemption. The right to issue money
ohould be taken from individuals and
aanks and restored to the government,
that the interest for the use Of money
should not be in excess Of all legitimate
earnings and profits, and tax should
also be imposed on all use Of public
franchises by private corporations. At
present two-thirds of the value of all
property Is unassessed for taxation, and
at least one-half of the remaining one
third, which is assessed and upon which
taxes are paid by the owner, are shifted
upon the consumer.
That tax upon land values cannot
be shifted, is maintained as an axiom
by all single-taxers, although they
admit that all other taxes, save the land
value tax, can be shifted and always are
shifted finally upon the consumer. The
chief injustice of a tariff Is in the in
creased cost to the consumer of the arti-
Gle protected. The original tax paid
to the government by the importer or
manufacturer is often doubled by the
tolls of the middlemen, through whose
channels the taxed goods reach the con-
sumer-the importers, manufacturers
and merchants not only shifting their
just proportion of the burden Of tariff
legislation, but reaping large profit In
the operation. There are taxes which
cannot be so shifted, and if the land
NdIu0 LAX Is vi LIS CLASS, lAdI A1SC dlOAC
is a great argument in it's favor. The
single tax system as a substitute for all
other forms Of taxation, direct or In
direct, would relieve from taxation all
improvements upon land and personal
property of any kind, do away with all
poll taxes and license taxes for the con-
duct Of business, and abolish all taxes
upon commerce, goods and the con-
sumption of wealth. This new system
was discovered and formulated about Is
years ago by the late Henry George.
The annual amount Of the national,
state and municipal taxes levied in the
United States is about $1,000, 100000, or
about SIS per capita ION each man,
woman and child. Of this burden Of
taxation the greater portion paid by the
wealth of the country is shifted upon
the consumer. But, say the single tax
ers, abolish the present system and
raise upon land values this $1,OO0,OOO,-
900 per annum Tor whatever less
amount may be necessary to pay the
public expenses), and the entire tax
would be paid by the land owners or
the landlords, and they could not shift
this tax upon the consumers or tenants.
And for what reason?
Mr.. Mcguire of California, a member
from that state Of the United States
congress, and an acknowledged au-
thority upon the single tax, says: 1.-The
hot 10 1oiI
or upon wealth produced by labor can
always be shifted is that such a tax
burdens production and constitutes one
of the expenses of production, which
must be paid out Of the price charged
for the product, or production of that
community will be checked, the supply
of the commodity will be limited in the
market, and by the operation of the law
of supply and demand, the supply being
diminished, the price will increase until
it covers the tax. II land were produc-
ed by human labor, the heavy taxation
of land would tend to discourage the
production Of land, until the price Of
land would rise sufficiently to cover the
tax-but no one is engaged in the pro-
duction of land.
The statement of Mr.. Mcguire above
quoted, so far as it relates to the taxes
upon the products Of labor. Is true, but
the distinction attempted to be made
that only those taxes can be shifted
which burden production and constitute
one of the expenses Of production or
labor, but that tax upon land values,
for the reason that land is natural
product, cannot therefore be shifted, is
wholly fanc!ful.
The end and aim of capital, and every
year with increasing success, has been
to shift all burdens Of property of what
ever name or nature, upon the should
ers Of the consumer, and all legal modes
OF taxation are being more and more
especially calculated for that purpose.
All civilized governments are controlled
by property interests The vested