Evening star. [volume] (Washington, D.C.) 1854-1972, 1906-12-13
LIMIT TO FORTUNES
M. E. ingalls, Discusses income
and Inheritance Tax.
CAUSES OF GREAT WEALTH
Sources Responsible for Accumulation
of Millions.
REMEDIES ARE SUGGESTED
Speaker Notes a Great Awakening Of
Public Conscience in the Country
MT. Belmont Explains.

CINCINNATI, December 13.-The princi-
pal speaker today at the National Civic
Federation meeting was Melville E. ingalls,,
who devoted his attention to a discussion
of income and inheritance taxes. Mr.. In
gals said in part:
81 was invited to address you today upon
the policy or ACCESSIBILITY of an income and
inheritance tax, especially with view Of
limiting the large accommodations Of wealth
in the possession Of individuals.
1.-THE subject has been brought before
the public by the Presidents message. and
it has set all our citizens thoughtfully and
seriously to considering it. The real
thought, I think. running in the minds of
the people is. Are the large individual for
tunes which have been and are being made
today a menace to the prosperity Of our
country, and, If 80, how can they be lin
tied?
This involves. as 1 understand it, no
individual criticism for there are many
large fortunes which are held by people
who consider the obligations they owe to
society and their fellow-men and endeavor
to so manage them as to benefit the COM
munity: but there are others which are
used for selfish purposes, and the Increase
of multi nillionaires has been great in
the last few years that it has caused serious
alarm among students of political economy.
'"There have been in the last few years
three prolific sources of multi-mlllonaires
which are open to criticism.
THE first in the minds of some of us. is
the tariff. 1t has made possible combina-
tons which have produced colossal for
tunes, and the first thing to do, as we look
at it. is to modify it. 1t is use to talk
against large fortunes derived from combi-
nations and how to prevent them, when you
keep the mother that breeds and nurses them
alive in full force 1t is not a question of
protection or free trade, but 1t Is a question
off, in hn IN r. O.
Ultimate business and prevent eXtortion and
unfair combinations
The Second Cause.
'The second cause of the growth of these
large fortunes has been Illegal favors and
contracts given to shippers by railways In
many cases they have been wrung from the
railways by the shippers. This also has
been used in combination with the tariff.
The high tariff and railway rebates in the
last few years have produced more multi
millionaires than any of us dreamed could
exist in any country. This cause-illegal
favoritism by the railways-I trust is hap
PLY ended. The end is more welcome to the
railway managers than to the people:
1.-The third cause of the production OF
large fortunes has been the securing by
means which were questionable Of contracts
at nominal prices for the use of the streets
of various cities for the purpose of trans
portation and lighting. There has been.
in the last few years on this subject, and
they are now alive to the fact that they
must not give away their streets-that cor
rupt officials who attempt to do so must be
turned out of Office and punished. There are
two remedies. One is to make contracts
such as private individual would make for
the use of the streets. reserving proper
rentals and proper division Of the profits
for the future; and the other is for the mu-
inequalities to take possession of the light
ing and street transportation and manage
1t the same way as they do the waterworks
and sewerage system-for the benefit of the
people
with these three changes, the number of
multi mllionaires in the future would be
much lessened, although the increase of
property and growth Of fortunes by legiti-
mate means Is to be found all over the
world and I do not suppose it is the thought
of any one to limit the increase of wealth
by proper and honest means.
with reference to limiting these fortunes
by an income tax. After considering the
subject carefully, l have in the last few
years come to the conclusion that it is the
best and fairest tax that can be levied-but
as a tax. like other taxes, for the support of
this government-not for the purpose of
destroying property-that would be social
istic-for the purpose of making wealth pay
it's share Of the burdens of the people. They
will tell you that 1t Is tax difficult to col
lect, but no more than any tax on hidden
or unseen property.