The Guthrie daily leader. [volume] (Guthrie, Okla.) 1893-1996, 1901-07-20
PORTO RICO'S
TAKE LIGHT
Burden Of Taxation Falls
Lightly on Shoulders
Of the People
scrIpps Mckne TO- 49,.

who arrived yesterday on
the steamer San Juan. from San Juan.
was Jacob II. Hollander. treasurer Of
Porto Rico. Mr. Hollander who holds
the chair of assistant professor Of
finance at Johns Hopkins University
was sent to Porto Rico by the presi-
dent 20 formulate reverae system.
Mr.. Hollander said hat he had come
home to attend to personal business.
and made the folljwrg statement
concerning his work ia Porto Rico
"The present financial condition Of
Porto Rico compares favorably, / /
think. with that of any state or terri
tory In the union. The island is free
from all funded or floating indebted
ness; the burden OF taxation upon its /
people is less than upon the residents /
Of any other part of the United States I
and the insular treasury begins a new /
fiscal year with resources Of revenue /
that should supply all necessary ex.
pendltures and with a surplus large |
enough to afford security against any
unforeseen contingency These are the
conditions which made 1t possible
for Gov. Allen 10 convene the insu-
lar legislature in extra session on
July 4 and for that body to pass the
joint resolution as to the adequacy Of
its present revenue system, which It'll
is hoped will soon result in free trade
with the United States
The annual expeditures of the ISL
and are about $2.OOO,OO0, of which
about one-half is devoted to schools
and roads Necessary revenues are
supplied by customs duties on goods
imported into Porto Rico from coun-
tries other than the United States by
excise taxes and by direct tax of
one half per cent upon real and per
sonal property Any deficiency in cur
rent receipts will be supplied from the
reserve funds of the insdlar treasury
of which one item alone, customs col
lections on Porto Rican exports into
the United States since May I, 1900,
aggregates 100000, no part of which
the insular government has found it
necessary TO draw upon up to the pres
ent time. These results have been
made possible by the generous action
of congress in appropriating customs
duties on Porto Rican trade to the in
sular instead of the Federal treasury,
and by exempting the island from the
operations of the United States in
ternal revenue laws. thus leaving the
way clear for local system of ex-
else taxes. OF the S200O,O0O that Por.
to Rico spends annaully $1,5OO,OOo
acorues from sources, customs duties
and excise taxes that in every other
part OF the United States are appro-
priated by the Federal government.
In other words as compared with ey-
cry other state and territory in the
union. Porto Rico is enabled to ex-
pend for it's own use and benefit four
times the amount that IL derives from
insular taxes proper
"The actual operation Of the new
revenue system of the island has been
as satisfactory as its results. In the
beginning unfamiliarity with the law
and the spirit in which it was to be
administered excited some alarm that
.-.ts4f..t ...,fo.arto,t, ,yt.1cftoI 10 tho
utmost But as feature after feature
of the system has been put into oper-
alton, the intelligent sentiment Of the
island has accepted It cordially, and
at the present time the only criticism
proceeds from those who are opposed
not to any but to an taxation or arc
immovably attached to the old Span
ish system OF heavy indirect taxes up
on necessary consumption and made
luate taxation or entire escape OF
property and capital The excise
taxes are limited TO articles of lux
furious or injurious consumption and
are less In number and in amount than
the United States internal revenue
taxes They have neither injured the
producer nor buriened consumer
Thus rum. tho most Important item
in the schedule, is By product OF q
thriving and highly favored industry
and the effect OF the tax upon con
sumption has simly been If anything
to cause II to be drunk ia more dilute
and less harmful form. Exported ar
ticles are exempt from the excise an'
the production OF cigars and cigaretteI
has advanced by strides with the open
ing OF the American market So gen
eral has been the popular acceptance