The times. [volume] (Washington [D.C.]) 1897-1901, 1900-04-26

Now. as TO the dealer. Does he pay the
tax? He pays a part of il, no doubt but
the brewers do not succeed in collecting
| the whole amount of the tax in any case !;
in many instances attempts TO do 30 only
| result in augmented book accounts; in 9TH
ers, compromises must be effected in order
| TO hold trade. The dealer might pay a
| larger proportion of the tax, if he were
not overburdened by State and local taxes
| for the payment of which he must in a
! considerable measure depend upon the
brewer. The pressure arising from COM
petition naturally operates along the lines
of least resistance and hence, in both cises,
the smaller establishments are the great
est sufferers All strive in some way or
other to make ends meet and 10 avoid ut
ter ruin. All look forward hopefully to
| the redemption of your promise to reduce
! the war tax, and in the meantime all
brewers. dealers, and consumers-are
heavy losers by reason Of this tax
Mr.. Brown. of Brooklyn.
Mr.. John W. Brown. of Brooklyn, n.
| Y. trustee of the United States Brewers
Association, said:
| THE effects of excessive taxation are SO
well known throughout the civilized world
| that, outside of acadmenic discussions, an
| argument upon the subject would almost
| appear puerile. The sum of human ex
perience is crystallized in the economic
! axiom that taxation beyond a legitimate
revenue standard can have but one of two
effects, namely, it either defeats its own
object by melting TO tax evasions on
! grand scale, or, by enhancing the price, 1t
decreases the consumption of the over
taxed commodity.
You know, gentlemen, and II you do
| not know the Revenue Commissioner will
! tell you that evasions of the beer tax do
not occur Even If they were not almost
/ impossible, the American brewer, as his
tory amply testifes, would not perpetrate
them From the same official source we
! learn, however, that the other effect of
( excessive taxation is painfully manifest. A
| decrease of LOCO, 900 barrels within one
| year-and that year one of uncommon
| prosperity-cannot be accounted for in any
| other way.
Now, what will be the ultimate result,
so far as the drinking habits of the people
and the cause of temperance are concerned,
| If with the present exceedingly low tax
upon ardent spirits, this exorbtant tcer
tax should be continued for any length OF
time? The history of our own couDtry-
not to speak of that of many European
countries-furnishes an irrefutab,e ans yer.
Wise tax laws favoring a broad dis
elimination in favor of fermented bever-
ages have within forty-seven years sue
ceeded in completely changing the drink
seven years ago We were unenyiably con-
spicuous among civilized peoples as a
ton Of hard drinkers. we hold today the
foremost rank among temperate nations.
Reverse the conditions which brought
about this marvellous change and you in
evitably reverse the results There is not
today single European country where an
attempt to impose a comparatively higher
tax upon beer and light wines than upon
ardent spirits would not be considered an
objectionable mistake. In Belgium, in the
Netherlands. in all the Scandinavian coun-
tries, In France, and in Russia, the law
makers earnestly strive TO minimize the
evils of intemperance by reducing the taxes
upon malt liquors TO a minimum. Switzer-
land has its governments alcohol monop-
oily. supplemented by a very high spirit
tax, but mat liquors are scarcely tax
ed at all. The Scandinavian countries have
their Gothenburg system. with its restric-
lions as TO the sale of spirits. but this sys-
TEN does not apply TO malt liquors. In
France and Belgium and in the Neither
lands the tax lever is freely used TO in
crease the consumption of malt liquors and
TO decrease the use OF spirits.
in 1885 Gladstone Was driven out Of Of
fee on account OF his proposition to in
crease the beer tax. and his opponents,
supported by the British people, dwelt
with particular force and emphasis upon
the effect the proposed tax increase would
have had upon the cause of temperance
and the comfort and wel-being OF the
workmen. II WAS argued that beer and
ale were the drinks of the common people
and that the Ministerial Bill proposed 10
put on them the expenses of the Egyptian
war. That was quite sufficient to give
Gladstone's Office to the Marquis of Sails
bury, and to change the political complex
ion OF the Government Great Britain is |
at present engaged in war requiring a
much greater amount of money than we
expended in the Spanish American war,
yet the tax upon malt liquors, infinitely
lower than our beer tax, was increased by /
a few pennies only; while on the other I
hand the British spirit tax exceeds the .
American spirit tax by sl.40. The objects I
of this policy require neither explanation /
nor commemnt: they are quite as much Of /
a moral as of q fiscal character and they ]
are universally understood and appreciated. |
IF any evidence OF the efficacy of light !
wines and beers as promoters of temper /
ance were required, | might quote Copi-
ously from recent official reports upon our
canteen system. all showing with convince
ing force that wherever our soldiers can
easily obtain these mild beverages drunk /
enness occurs but rarely. discipline and |
good order are improved and the guard
Under this system the mild stimulants
take the place of ardent spirits, and the !
result is such an amelioratfon of the physi
cal and moral we'll being Of the troops as
no other single agency could possibly pro-
duce.
The tax rates which were in force up
TO 1888 produced the same results through
out our country. The War Revenue act
reversed these conditions and the final re-
suit. if the tax be continued canno, but
be reversal OF our achievements in the
direction of true temperance.
We do not believe that any statesman, |
having at heart the welfare OF his people
can afford TO experiment any longer with
this serious and most important question.
now that the effects of the tax, predicted
by us two years ago, are beginning TO make
themselves felt in so palpable a manner.
1T is for this and other reasons already
stated that we confidently rely upon your
sense OF justice for speedy redemption of
the promise made by your honorable com
mittee in the report accompanying the War
Revenue bill
Mr.. R-hTs Argument.
Edward Ruhl of Boston. chairman OF the
vigilance committee was the last speaker.
He said:
THE principal reasons upon which the
United States Brewers Association base
their expectation that the beer tax will be
reduced to the former rate are the follow
Ing:
i. Because j: was unjust to impose ad-
ditional burdens upon an industry that has
and uncomplainingly
borne the old war tax ever since its first
imposition taiding the Government in de-
vising and maintaining means for its
prompt collection, while many legitimate
sources of internal revenue remained I'M
he 'arlar I