The News-Herald. [volume] (Hillsboro, Highland Co., Ohio) 1886-1973, 1907-07-11

"ls Our Present System
Of Taxation Correct
and Equitable 7"
"a Paper by Henry w. Naegele
of Middletown, o.

Round Table club of Middletown, o.,
on March 2, 1907, Mr. Henry w. Nae.
gele of the Middletown Journal dis
cussed Taxation" in an interesting
manner Mr.. Naegele is prominent in
labor circles. After pointing out that
the tax system Of Ohio Is unjust, he
considered income and inheritance
taxes as follows:
"Of all nodes ,of taxation, the IN.
come tax is the most Just and equit.
able. Every man can afford to pay
according TO his income and ought to
do so. There is no other perfect
standard of taxation; none other
which does not inhict more or less
hardship and injustice.
"The tax comes upon the pri.
vate revenue of each year. out of
which the government should receive
its share for the annual revenue of the
state. If the private revenue is in
creased so should be the contribution
to the public revenue; II the former
is diminished, the latter should be
also. This is fair and just. Were 1t
to supCrsede all other forms of taxa
tion. perfect equality would be estab.
lished; property and labor would bear
each its just share of the public bur-
dens. To 90 this. II would be neces-
sary to ascertain the income of every
man; Of every laborer, whether his
wages amounted to one hundred Or
one thousand dollars a year: of every
professional man; of every operative,
male or female; every capitalist.
banker, merchant and mechanic. Upon
the gross income thus ascertained.
the income, thus ascertained, the gen.
eral tax should be levied. pro rata.
THAT many men are dishonest
there can be no doubt; but when the
law taxing income is regularly en-
forced from year to year, the difficulty
Of concealment, on the part of the tax
payer, is constantly increasing. His
neighbors aud competitors in business
Eave an eye upon him, II they believe
he is making false statements, and he
can not long escape detection.
Another oDJection made Is that
men do not always like to have their
incomes known. But why should they
not? We have already said that, in
the matter of taxation, all are co.part.
ners. having a pro rata interest. What
one does not pay, others must. All,
therefore, may rightfully demand such
information as shall furnish the
means of assessing a correct tax.
Besides this, an income tax well
u,tl Ia k1 -
ing a large amount of Information
most important in regard to the cred
its which business men are required
to give. The position and ability OF
every man will be better understood.
This is an important consideration.
I'VE do not advocate the adoption Of
the income tax as a substitute for all
other modes of taxation; our purpose
is to show that so far as practicable,
1t is the most just and economical
mode OF raising revenue
inheritance Tax.
ITO whom does the world belong,
the living or the dead?'
Men die. and the property they
have acquired or held during their
lives must pass into the possession of
others. May the person who is about
to leave the world say to whom his
wealth shall Immediately descend?
May he go farther and say to whom
1t shall desc nd for all coming time?
May he go farther still and determine
what specific use shall be made of his
wealth forever? Or shall the laws OF
fnA
whom, for what purposes, and for how
long, the wealth of the deceased per.
sons shall descend? Does the world
and its wealth belong to the living or
the lead, or to both in common? II
to both, what portion should belong to
each? II the dead are allowed to con.
troll part. why not all? Which party,
the living or the dead, will most in
telligently decide how wealth can be
advantageously employed In produc-
tion, or in any other mode for the ben.
eft of the living?
These are points involved in the
subject of inheritance. and the tesla
mentary disposal of property, and are
important In an economical point OF
view, irrespective Of all other consid-
erations. These questions have prac-
tically been decided by the laws and
institutions of society in different ages
arc countries. Governments have al.
ways interfered in regard to the es-
tates OF deceased persons, to such an
extent as to prescribe limitations and
conditions. So far as these laws have
been in harmony with instincts of hu.
manity, and the laws Of value, they
have been beneficient in their opera
tion. But all the wealth, all the in
stitutions, all the interest of society,
should ever be regarded as fully un.
der the control of the existing genera
tion OF men. This should be funda-
mental principle In civil polity; and,
II law may interfere In this matter at
all, II may do so to any extent the