The Hawaiian gazette. [volume] (Honolulu [Oahu, Hawaii]) 1865-1918, 1901-08-30
NOW PAY
YOUR TAX
Income Must Be
Paid to COlIec-
tor Pratt.

TIE income tax having been held legal
and valid by the Supreme Court of Ha-
wall preparations for its collection are
1 already being made by Assessor Pratt
Returns have been made by seventy-fve
per cent of the people of Honolulu who
come within its provisions according to
the estimate of Mr. Pratt and the re-
turns yesterday.
No decision has been reached as to the
possibility of an appeal from the deci-
sion and the attorneys who made the
test expect the collector to now proceed
with the collection of the tax, this hav-
ing been one Of the agreements In the
submission of the case. As the Supreme
Court has held the law to be valid. moth
ing remains to be done, but the payment
of the tax, which 1t Is expected will be-
gin Immediately.
The income tax law was taken serious
ly by but few people Most of the men
liable to the tax made their returns. not
with the anticipation Of paying the tax,
but because the law said they should
make return, and they were Of the opln-
7 ION that the tax would not have to be
paid in any event. The decision of the
Supreme Court puts an entirely new face
on the situation. The men who made 20
return now find that they are muth
worse off than If they had complied with
the law. The assessor is given the pow
er to make the assessment himself and
from his decision there is no appeal. Re-
turns are still being received at the tax
office, but they cannot be sworn to,
though they will be used in a measure
as n guide by the collector in making up
his books. Vhe tax is payable on or
before November 18th, after which time
penalty of ten per cent is added, the
whole tax drawing at nine per cent until
paid.
AS TO THE APPEAL.
A. Lewis, Jr., who was one of the at
torneys in the test cases before the Su-
preme Court said yesterday that further
action In the matter was still question
of doubt. we have not considered the
matter at all he said, there has been
no meeting as yet of the parties inter
ested in the test Of the law, and until
they have met and discussed the ques-
ton, our course as to future action will
not be known. If an appeal is taken it
must be to the Supreme Court of the
United States.
NO, this is not the only place in the
United States where an income tax is
held to be constitutional; there are four
States i think where similar law Is in
force. do not think that our Supreme
Court answered the chief contention
made in the argument that the law dis
eliminates between the property of an
individual and that of a corporation
J PREPARING TO COLLECT TAN.
Collector Pratt began yesterday to pre-
pare for the collection of the income tax
and is shifting his office force about to
best take care of the rush when 1t comes.
Very little extra help will be added but
promotions will be made within the office
of clerks who have proven their ability.
The new clerks to be added will take
the, places of those who are promoted
The books will be made up as rapidly as
possible, and payment of the tax can be
made at any time now up to November
18th, when IL becomes delinquent.
We will go right ahead now and col
lect the tax" said Assessor Pratt yes
terday. THE force will be increased
slightly to take care of the extra work
by promotions within the office; and the
subordinate positions will be filled by the
new appointees. The blanks and books
required are now being prepared, and we
VIII be ready to receive the money as
fast as 1t Is rendered. We have collected
several hundred dollars of the income tax
already, and i expect payment of the tax
TO begin Immediately Some of the peo-
pie who are going away have paid the
general tax already, and no doubt the
income tax will now be paid by persons
who are about to leave the city.
About seventy-five per cent of the
people liable to the tax have made re-
turns. and the remainder are rapidly
coming to time. quite a number of re-
turns were made today. OF course these
cannot be sworn to- under the law, but
they are accepted and placed on file,
not as sworn statements, but to be used
as guide In making up the books. Per-
sons who make no returns of any kind
Will have the assessment fixed by the
assessor upon what evidence he can find.
For instance, it Is easy to learn the
amount of salary paid a man, from his
employers return Of exemption, and he
will be assessed On the entire amount,
while in fact he might be entitled to some
exemption under the law. There Is no
appeal in case of this kind from the
action of the assessor, as there is where
voluntary and sworn statement was
| filed.
IF an appeal to the Supreme Court of
the United States is to be taken, I hope
We are notified Immediately, as prepare
lions are in progress for the cole ,tion
Of the tax. Books are being prepared.
extra help is required and a considerable
amount of preliminary work is to be
done. getting ready for receiving the tax.
This extra expense and work will not be
incurred IL a further test is to be made"