Spirit of Jefferson. [volume] (Charles Town, Va. [W. Va.]) 1844-1948, 1906-12-11
.MiIIes''s PhNs.msNcu.

was IL not more manly tor the Court to
stand by what they regarded as the law
and the justice in the case, content that
when the whole facts were made known
to the public. they would be acquitted Of
any wrongful intent or act3
In passing, we may say that even in
this era of 'frenzied finance, we do not
believe that the editor of the Free Press
could find merchant in Charles Town
who would attempt to evade taxation in
the manner in which he has exempllfied
Quoting from his editorial IF this holds
good here is what can be done A man
wants to go into business, has $40, ooo.-
90 and wants to evade taxation. In
vests his money in government bonds
then borrows $40. 900, 90. giving the
bonds as security. With the borrowed
money he buys stock of goods and
starts operation. When the assessor
comes around he states his capital is IN
government bonds and therefore not tax
able. whereas ne is doing business on
the borrowed money. merely using the
bonds as security" If the above mer-
chant would buy government bonds and
proceed In the manner he has stated. we
think he would get tired of the opera
tod as soon as he could get his pen and
pad to figure the results. He would In
vest his money in government bonds, re-
ceiving per cent. interest thereon. He
would then borrow money, paying per
cent. interest thereon, thus losing per
cent. in order to evade taxation of per
cent, thereby losing per cent. on the
whole transaction, and in addition 10
this. he would lose the premium which
he would be obliged to pay for the
bonds.
One word more. as there seems to be
an idea prevalent that the National
Banks. by having their government
bonds exempt from taxation. thereby
eyade taxation to that extent. Let us
follow the example Of the Editor of the
Free Press and figure little on this
proposition The State. County and
District School Taxes under the levy of
this year are So cents on the 800, The
municipal tax this year is 50 cents. max
ing total of all levies little over 1 per
cent. or 81 .o6 on every $Ioo of property
1t has been estimated by National
Bank experts that the tax on the circula-
ton, the interest on the redemption fund
and other charges by the U United States
Government on National Banks, when
government bonds are used as a basis
of circulation amounts to per cent. or
81 on every SIoo of value. The exemp-H
ton of government bonds from taxation
by State and County cannot be said to
evade taxation. but to rather equalize
taxation and charges. OF course the
National Banks would have to pay State
and County taxes on their surplus and
undivided profits. Uuder our present
levy Estate, County and Municipal). by
National and State Governments Tex
empting the United States bonds from
taxation). taxes and charges are nearly
equalized as to State aud National Banks
State Banks pay their taxes to State
and County. National Banks pay in adj
dition to their tax paid to State and
County, certain taxes and charges in the
nature of taxes to the y. S, Government
amounting to per cent. and the amount
thereof against State and National
Banks is very nearly equal under present
assessments, allowing exemption of "a
S. bonds; but if such exemption was not
allowed the taxation and charges against
the National Banks so far as the amount
invested in government bonds would be
nearly double the taxes against State
Banks. Yours for square deal.
ATTORNEY.