The Minneapolis journal. [volume] (Minneapolis, Minn.) 1888-1939, 1906-04-16
TAX EXPERTS INTERESTED
Helliwell and Wallace in Doubt as to
ConstitutionaIity.

President Roosevelt's suggested fed
eral inheritance tax, which was feat |
ure Of his muck-rake'' speech deliv |
cred in Washington on Saturday is of |
more than usual interest to former Min |
neapolis members Of the legislature who |
were in the sessions at which the Min !
nesota inheritance tax zills were passed. |
The Minnesota law and the proposed |
tax offered by the president have one
poitn in common, a sliding scale increas-
ing as the amount Of the inheritance in
creases. y
The president IS proposal Is much
stronger than the Minnesota law in that
he evidently has in mind much heav-
Ter tax and certain limitation, beyond
which no requests may be made, two
things that would be impossible in
state law under the state constitution.
The object of the president g plan is
evidently to prohibit the handing down
of immense fortunes intact and might
be construed, it is said, to amount al
most to confscation, either in increased
tax or penalties for violations.
Opens Vast Fields.
It is said that the presidents sug-
gestions open up vast fields Of thought
and discussion in Inheritance taxation.
There is also said to be some doubht as
| to the constitutionality of such a fed
eral Inheritance tax, the income-tax law
| passed some years. ago having been
dents idea is evidently to split up
immense fortunes rather than to allow
them to be bequeathed entire. This
would be done first by an increased tax,
the higher the amount Of the inherit
ance, and by limit beyond which it
may not pass. There is said to be much
room for difference of opinion as to the
Legality OF some features Of the plan.
The president g suggestion, which
follows, is believed to have been offered
more in personal than in an official
capacity. He saidc
"As matter Of personal conviction.
and without pretending to discuss the
details or formulate the system, I feel
that we shall ultimately have to CON
slider the adoption of some such scheme
as that of progressive tax on all for
given in life or devised or beuueathed
upon death to any individual-a tax
SO framed as to put it out of the power
OF the owner of one Of these enormous
fortunes hand more than a certain
amount to any one individuals; the tax.
! OF course, to be imposed by the national
ana aaaa+ not the tn state government. Such
merely at the Inheritance or transmits.
sion In their entirety of those fortunes
swollen beyond all healthy limits.
Helliwell on the Plan.
PERSONALLY favor rigid provisions
, for Inheritance taxations," said Arthur
[. Helliwell, who framed the first bro.
posed bill in the Minnesota Legislature
. and was active in, preparing tie meas
3 ure that finally passed. "Students Of
taxation are generally united in say
ing that it is one of the fairest an6
3 most just forms Of taxation in that il
! is borne by those who can best AFFORD
t 1t and should bear it. It is also fail
l because it is On wealth that come.
easily rather than as the reward Of
e labor. Minnesota could not pass sucl
4 law as the president proposes be
= cause OF the state constitution, and ]
f do not know that congress could. There
is some doubt as to the authority of the
federal government to pass such a law
:, A state law might be possible under {
: state constitutional amendment, how
' ever.'
2 c. L. Wallace, who was also interest
: ed in the passage Of the bill in tn,
i legislature, holds much the same opin
Y ion as Mr.. Helliwell. "There is n,
e doubt that such a federal low would b,
Y a good thing said Mr.. Wallace, "ant
/ tend to offer needed protection.
do not know that the federal govern