Vernon County censor. [volume] (Viroqua, Wis.) 1865-1955, 1906-12-12

tobacco and sugar trusts) as 70 the mid
alive OF big railroads. Often railroads
preventing q big shipper from m1intain-
Ing Improper advantages at the expense
81 small shippers and of the general pub
Hc Such = combination. instead of being
fcrbidden by lew, should be favored. "a
other words, IL should be permitted to
railroads TO make agreements. provided
these agreements were sanctioned By the
were published With these two condi-
tons complied with 1t Is impossible to
see what harm such = combination could
do to the public at large. II 10 q public
evil to have on the statute books a law
incapable Of full enforcement because
both judges and turies realize that ita
fun enforcement would destroy the bust
ness OF the country; for the result IL to
make decent railroad men vioiators Of
the law against their will, and to put q
wrongdoers. Such a result in turn tends
to throw the decent man and the wilfuI
wrongdoer into close association. and In
the end to drag down the former 70 the
q lawbreaker In one way unhsppily tends
to lose all respect FOR law and to Be
willing 70 break II in many wayE- No
more scathing condemnation could Be
visited upon q law than is contained In
the words OF the interstate commerce.
commission when. in commenting upoo
associations do technically violate the
law, they say: The decision OF thu
United States supreme court in the
franc assoeission cas-. Sas prosues s0ins
sons Of the country. sueh assoessHens,
z fact so sSss n :Ds a. Sts sA e. eS before
srsl effect In justice @ all parties No
ought probably 70 add that It ia difteult
to see how our interstate railways could
be operated with due regard to the inter-
est OF the shipper and the railway
without concerted action Of the kind az
forded thru these associations"
This means that the Law a. construed
by the supreme court 10 such that the
business CT ths country cannot be con-
Quoted without breaking It recommend
alton to tkis subject. and Il you ana he
opinion OF the interstate commerce com
mission Justified, that you amend the
law so as TO obviate the evil disclosed.
Inheritance and income Tax.
1t was expected that the president
would refer In some way to his belief
In the necessity for the curbing Of enoe-
nous fortunes. and he has done no BY
come and an inheritance tax He BE-
lieves the government should impose q
graduated inheritance tax, and, II posi-
BILE, a graduated Income tax. he says:
II am well aware that such q subject
as this needs long and careful study in
order that the people may become farnil-
mar sy w cear Shas 4 70 Of BE Ssn
ing with wisdom and Bslf-restraint, and
may make up their minds Just how far
they are willing TO go IN the mattsr;
while only trained legislators can work.
out the project in necessary detail. But
/ feel that In the near future our nation
al legislators should enact law crowd
ing for a graduated inheritance tax by
which a steadily increasing rate Of duty
should be put upon all moneys or other
yaluables coming by gift, bequest, or
devise to any individual or corporation.
II he wall 10 DOaEe the tar hanvW
in proportion as the individual BENEFITED
is remote of kin. In any event. In my
Judgment the pro rata of the tax should
increase very heavily with thf increase
of the amount left to any one individual
after a certain point has been reached.
It is most desirable TO encourage thrift
thrift and ambition is the desire on the
part Of the breadwinner to leave his chill
dren well off. This object can be attained
by making the tax very small on noder-
ate amounts of property left: because
the prime object should be to put con
stantly increasing burden on the inner
ltance of those swollen fortunes which
II is certainly of no benefit to this coun-
try 10 perpetuate.
There can be no question of the eth
ical propriety Of the government thus de
ter.!lining the conditions upon which any
gift or inheritance should be received.
Exactly how far the inheritance tar
would, as an incident, have the efect o.
limiting the transmission by devise or
gift of the enormous fortunes in question
II is not NECESSARY at present to discuss
II Is wise that progress In this direction
should be gradual. At first a permanent
national inheritance tax, while 1t might
be more substantial 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
tax should ultimately be.
Inheritance Tax Constitutional.
This species OF tax has again and gain
been imposed. altho only temporarily, by
f mpos .aG BY ,hs sst of July m @
the makers Of the Constitution were
alive and at the head Of affairs. II was
the rate was increased with the amount
left to any individual exceptions being
made in the case OF certain close kin. A
similar tax was again imposed by the
act OF July !, 1862; minimum sum OF
$1,000 in personal property being excepted
from taxation. the tax then becoming
progressive according to the remoteness
Of Kin. The war-revenue act Of June 10
1898 provided for an Inheritance tax or
any sum exceeding the value of SO, 900
the rate of tax increasing both in accord
ance with the amounts left and in &C
cordance with the iegatee's remoteness
Of kin. The supreme court has held that
the succession tax imposed at the time
of the civil war was not direct tax but
an impose of excise which was both con
stitutional and valid. More recently the
court, in an opinion delivered by Mr.
Justice White, which contained an ex'
ceedingly able and elaborate discussion
of the powers of the congress to impose
death duties, sustained the constitution
atty of the inheritance tax feature of the
war-revenue act of 1893
10 income Tax Constitutional
In its incidents. and apart from tn,
main purpose of raising revenue, ar
income tax stands on an entirely differ
emit footing from an inheritance tax, be-
cause it involves no question OF the per
petuation OF fortunes swollen to an I'M
healthy size. The question is in its
essence a queston Of the proper adjust
ment OF burdens to benefits. Az the
law now stands IL is undoubtedly diff
cult to devise a national income tax
which shall be constitutional. But
whether it is absolutely impossible 10 an
other question; and u possible II is mos;
come tax law was past by the congress
in 1851, but the most important law deal
ing with the subject was that of 1884
This the court held to be unconstitu-
tional.
THE question 10 undoubtedly very in
tgioate delicate, and troublesome The
decision Of the court was only reach 4
by one majority. II is the law of the
land ana Of course, 10 excepted as such
Amd Loyalty obeyed by all good citizens.
Nevertheless. the hesitate evidently
felt by the court as a whole in comm
to sonclusiS7. when considered to-
xether with the previous decisions on
thu subject may perhaps indicate the
possibility Of deVisinE a constitutional
Income tax law which shall substan-
tally accomplish the results aimed
at. The difficulty of amending the con
stitution 10 so great that only real ne
csssity can justify resort thereto.
Every effort should be made in dealing
with this subject ar with the subject
Of the proper control by the national
government over the use of corporate
wealth in Interstate business, to devise
legislation which without such action
shall attain the desired end: but II this
fails. IN ere will ultimately he no all
ternativ- to a constitutional amend