The Washington herald., 1906-12-14

] New 1UTk. DcC- 10 ~ ne NduGudI CIVIC
Federation heard Andrew Carnegie. ".
| D. Guthrie. Melville r. Ingalls,. and
others discuss the income and Inheritance
taxes to-day. at the Park Avenue Hotel.
/ IL reelected August Belmont president
and adjourned.
Mr Carnegie sharply attacked the in
come tax declaring his agreement with
Mr.. Gladstone when he said that it tend
ed 20 produce a nation CT liars He was
especially severe upon the income tax
from the point Of view Of its inqulsitorial
features. asserting that il could only be
enforced by a system of inquiry into
and publicity regarding the private af-
fairs of citizens that would be anything
but undesirable.
How TO Treat ShyIOcks.
When it came to the Inheritance tax.
however. Mr.. Carnegie took the opposite
view, declaring that he is strongly in
favor Of a graduated Inheritance tax.
Most large fortunes. he declared. were
not the result of individual work or
brains. but Of the country's growth and
development The country produced them
anu SllNhiu snare III ANffl.
The modern shylock should be treated
as the old shylock was" he said. You re-
member the laws Of Venice-how # was
that II an alien sought 10 injure q
Venetian. one-half Of his wealth went to
the Golfers of the state. This is what I
hold to-day"
To the income tax Mr.. Carnegie thus
objected:
There is no tax so pernicious as n
tax that requires the struggling young
business man. fearful whether the bank
directors viii pass his note for s1.Oo0
tomorrow, to explain all his private busi-
ness in the community to some man in
the community who may be himself
bank director, or who is connected with
the banks The nation will never regret
anything SO much as attempting 10 collect
tax upon men engaged in business
bees making honey for the national hive,
trying to penetrate into all the ninutia
of their business liable to have com
petitors made cognizant of his position
1 differ strongly with the President upon
that.
Good Way to Redistribute Wealth.
But the graduatd inheritance tax Of
fers a better chance OF properly redis-
tributing wealth than any other means.
The subject Of wealth distribution will
not down. It is obviously, strangely un-
equal"
Mr.. Carnegie then illustrated how two
sons Of the same father might live on.
one in wealth and the other in poverty,
not by any merit or demerit Of their own.
but because pure chance developed the
of one and degenerated that
of the other.
What made the wealth of ne?" he de-
nanded. Foresight, authority labor?
Nothing Of the kind. 1t grew while the
man slept l say that the community is
the long partner that made the wealth I
am not in favor of touching the bee while
It is making honey Let the bee work.
But when he passes away, then. I say.
the silent partner-the community that
made that wealth-shOuld receive its divi-
dend
May Leave Competence, Not Millions
THE man who has made money may
usually be trusted with it. But his chill
dren are usually not 50 constituted They
have never known what it is to figure
means to an end, to live frugal, or do any
useful work
THE American public is the partner in
almost every enterprise where great for
ptn,..- Decorat4or,s s-c a c,oot,1.