The National tribune., 1906-12-06

ment, the pro rata of the tax ShOuli
increase very heavily with the increas'
of the amount left to any one individual
| after a certain point has been reached
1t is most desirable to encourage thrif,
and ambition, and a potent source ot
| thrift and ambition is the desire on the
] part of the breadwinner to leave hi:
| children we'll off. This object can bt
attained by making the tax very small
| on moderate amounts OF property left
| because the prime object should be tC
put constantly increasing burden or
the inheritance of those swollen for
tunes which it is certainly of no benefit
to this country to perpetuate.
There can be no question of the
| ethical propriety of the Government
thus determining the conditions upon
which any gift or Inheritance should be
received. Exactly how far the inher-
itance tax would. as an incident, have
the effect of limiting the transmission
by devise or gift of the enormous for
tunes in question it is not necessary al
present to discuss. 1t is wise that prog
| ress in this direction should be gradual.
At first permanent National inher-
itance tax, while it might be more sub
stantial than any such tax has hitherto
been, need not approximate, either in
amount or in the extent of the increase
by graduation, to what such a tax
should ultimately be.
IncOme Tax.
In it's incidents, and apart from the
main purpose of raising revenue an
income tax stands on an entirely differ
ert footing from an inheritance tax.
because it involves no question of the
perpetuation of fortunes sw ollen to an
unhealthy size. The question Is in its
essence a question of the proper ad-
justment of burdens to benefits. AS the
law now stands 1t is undoubtedly diff
cult to devise a National income tax
which shall be constitutional. But
whether it is absolutely impossible is
another question, and If possible it is
most certainly desirable. The first pure
ly incOme-tax law was passed by the
Congress in 1861, but the most impor-
tant law dealing with the subject was
that of 1894. This the court held to
be unconstitutional.
1.-The question is undoubtedly very in
tricate, delicate and troublesome. The
decision of the court was only reached
by one majority. 1t is the law of the
land, and, of course, is accepted as such
and Loyalty obeyed by all good citizens.
Nevertheless, the hesitation evidently
felt by the court as a whole in coming
to a conclusion. when considered to-
gether with the previous decisions on
possibility of devsing a constitutional
income-tax law which shall substantial
ly accomplish the results aimed at. The
difficulty of amending the Constitution
is so great that only real necessity can
justify a resort thereto. Every effort
should be made in dealing with this
subject, as with the subject of the
proper control by the National Govern
ment over the use of corporate wealth
IN J,tn To Irc 70 Iavica 1epiS1a
tion which without such action shall at
tain the desired end; but If this fails
there will ultimately be no alternative
to a constitutional amendment"
Other Recommendation.
Strong recommendations are made
for technical and industrial training,
for better irrigation and forest preser-
vation, for the Memorial Amphitheater
at Arlington. for uniform divorce law,
for subsidy to American shipping,
with an Endorsement of the bill now
before Congress, for currency reform
in which the National banks should be
permitted to issue notes in proportion
to their capital.
The Philippines.
The President most earnestly hopes
that the bill to provide lower tariff
for or else absolute free trade in Phil
ippine products will become law. He
believes that no harm will come to any
American Industry. and while there will
be some small but real material benefit
to the FilipinOs, the main benefit will
come by the showing made as to, our
purpose to do all in our power for their
welfare He believes that our action
in the Philippines has been a5undantly
justified, because of the added dignity
1t has given us as Nation by proving
that we are capable honorably and efii>
ciently to bear the international bur-
dens which a mighty people should
bear, and also because of the immense
benefit that has come to the people OF
the Philippine Islands. I'm these
islands," he says, 1--WE are steadily in
Producing both liberty and order, to a
greater degree than their people have
ever before known. We have secured
justice We have provided an efficient
police force, and have put down ladron-
ism. Only in the islands of Leyte and
Samar is the authority of our Govern
ment resisted, and this by wild noun
tain tribes under the superstitious in
spiratiOn of fakirs and pseudo-religiousI
leaders. We are constantly increasing
the measure of liberty accorded the
islanders, and next Spring, If conditions
warrant, We shall take great stride
forward in testing their capacity for
if-government by summoning the first
Filipino Legislative Assembly. and the
way in which they stand this test will
largely determine whether the self
government thus granted will be in
creased or decreased: for if we have
erred at all in the Philippines it has
been in proceeding too rapidly in the