The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1900-03-03
THE RIGHT TO TAX.


Those members of Congress who are
maintaining the constitutional right TO tax
the inhabitants of Porto Rico in whatever
manner Congress may see fit to adopt are
wasting time. The right is unquestiona-
Bile: the only question is as to the manner
of its exercise from the standpoint Of JUS
tice and policy. AS to the right, Congress
has never hesitated to exercise 1t
in all the Territories of the United
States as far as internal revenue
by customs duties. During the civil
war the Territories OF the United States
were Nebraska, New Mexico, Utah, Colo
RADIO, Nevada and Washington. The peo-
pie of all these Territories paid internal
revenue taxes the same as those of the
States, and as those of New Mexico and
Arizona do at present. The power to i'm
pose taxes is an attribute of sovereignty,
and 1t extends, as of course, over every
port and possession of the United States.
Chief Justice Marshall asserted it as early
as 1920 in a decision of the Supreme Court
relative to the power of Congress to i'm
pose direct tax on the people of the Dis
trict Of Columbia. He said:
The eighth section of the first article
gives to Congress the power to lay and
collect taxes, duties. imposts and excises
for the purposes hereinafter mentioned.
This Srant is general without limitation
as TO place. 1t consequently extends to all
places over which the government extends.
IL this could be doubted, the doubt is re-
moved by the subsequent words which
modify the grant. These words are, but
all duties, imposts and excuses shall be
uniform throughout the United States"
1t will not be contended that the modifica-
ton Of the power extends TO places TO
which the power itself does not extend.
The power, then, to lay and collect duties,
imposts and excuses may be exercised and
must be exercised, throughout the United
States. Does this term designate the whole
or any particular portion OF the American
empire? Certainly this question can admit
of but one answer. 1t is the name given to
our great Republic, which Is composed of
States and Territories. The District of CO.
lumbia, or the territory west of the Mis-
souri,, is not less within the United States
than Maryland or Pennsylvania; and it Is
not less necessary, on the principles of
our Constitution, that uniformity in the
imposition of imposts, duties and excuses
should be observed in the one than In the
other.
and possession of the United States. The
argument carries with II the conclusion
that all tax laws enacted by Congress,
whether direct. internal revenue or tariff
laws, apply to every Territory and posses
sion of the United States. unless Congress
provide otherwise by special laws. To what
extent Congress can enact exceptional tax
laws for any particular Territory or pos
session is an open and doubtful question,
but as to its unrestricted right to tax any
and all of them there is no doubt
But 1t is not always just and expedient
to exercise an unquestioned constitutional
right. Admit for the sake Of argument
though the admission represents an ex-
IRENE view OF congressional power over
territories-but admitting that Congress
has the right to impose a special tax on
the people Of the Territories. either greater
or less than that imposed on the people of
the States, IL would be extremely unwise to
do so. In the case of Porto Rico the I'm
commerce with the United States would be
not only OF doubtful constitutionality, but
exceedingly unwise. unjust and ungener-
Gus. Because Congress may have the
power is no reason why IL should exercise
II. Practically the same question arose be-
tween Great Britain and her colonies in
the time OF George III and before. The
exercise of the right of imposing duties
on goods imported into the American colo
mics brought On the revolution. The tax
on tea was the straw that broke the
camel's back. In the latter part of the
seventeenth century. when the inhabitants
Of North Carolina. then a feeble colony
were carrying on small trade with New
England. they were surprised when agent: