Evening star., 1909-04-16
MAY TROUBLE LEADERS
Belief in Congress Regarding
Income Tax Proposition.
FAVORED By RADICALS
Thought That It Would Come Near
Carrying Senate.
LITTLE DOUBT ABOUT HOUSE
Much Will Depend Upon Whether
Amendment to Tariff Bill Can Be
Made Party Measure.
LITTLE DOUBT ABOUT HOUSE

The belief is strongly held in both
houses OF Congress that the income tax
proposition formally broached by sena-
tor Bailey Is likely to cause the leaders
great deal of trouble. Many congress-
men think that If straightaway issue Is
presented on this subject, with a show
down vote. it will come pretty near car
rying In the Senate. There is thought to
be little doubt that an income tax
amendment would receive a substantial
majority vote in the House.
Sentiment is strong among radical re-
publicans in both houses in favor Of a
tax on incomes as a revHue producer,
and unquestionably, as the case now
stands, the sentiment OF the middle west
in favor of this proposition will and re-
Election in the attitude OF some republi-
can senator's. The democrats are united
in favor Of it. this being one of those
rare occasions when the democratic party
gets together.
A great deal will depend it is said. upon
the way the question comes up ana
whether Mr.. Bailey's plan can be tagged
as strictly party measure and there
fore to be opposed by the opposition party
on political grounds. 1t will be the play
VI tic IcpUUICdu lchuCIS " VI oho ShO
fort as democratic and thus hold their
forces to oppose it.
OF course great stress will be laid upon
the fact that the United States Supreme
Court has held an income tax unoonsti.
tutional, but 1t is fact that q great
many lawyers in the House and Senate,
and In the country at large, believe that
an income tax provision can be framed
which will meet the objections of the
court and that upon another trial diff
ferent decision might be forthcoming.
Attitude Of Administration.
Especial account is taken of the con-
sideration that favorable decision might
be obtained II the administration should
be earnestly in favor of an income tax
and If the Department Of Justice should
go into the trial with q mind to uphold
the tax rather than to nullify 1t. Presi-
dent Taft is popularity supposed to be-
lieye in an income tax and IL that as
sumption should be correct his Attorney
General would reflect his views and work
for a favorable decision rather than
against 1t.
The fact is not forgotten that conditions
were different when the last case came
to trial. 1t will not be denied that there
was much dissatisfaction with the course
|of the Cleveland administration In that
case, and the memory of certain circum-
stances in connection with 1t still rankes.
1t has been persistently charged that the
Department of Justice as then consti-
|tuted viewed with complacency. IL not sat
|isfaction. the decision adverse to the tax.
Neither is the fact overlooked that there
was complete reversal of the attitude of
one member of the Supreme Court be-
tween the rendering of the first decision
and the judgment Of the court upon the
rehearing Of the case a short time after
ward. Only four members Of the present
court sat in those cases-Chief Justice
Fuller and Associate Justices Harlan.
Brewer and White. -
Procedure Much Criticised,
The manner in which that case was
brought to the Supreme Court has fire.
quently been criticised, and it has been
charged that the appropriate bureau of
the government which should have ap-
peared in a case to test the constitu-
tionality of the act was entirely over
locked and the case brought in through
suit in which all the parties to the
suit were charged to have been aiming
at the same result.
The income tax law. In the act of Au-
gust %, 1894, was passed in President
Cleveland's second administration. John
g. Carlisle was Secretary of the Treasury.
commissioner of internal revenue, Felix
NJ. Reeve was solicitor Of the treasury
and Robert T. Hough of Ohio was So
licitor of the bureau of internal revenue.
sion Of the bureau dealing with the pro-
posed collection Of the tax.
This was an internal revenue matter,
pure and simple. and II has been claimed
that the internal revenue bureau was the
proper agency to handle all dealings with
the subject. Judge Hough has stated
since then that he and his associates In
the bureau were besieged by lawyers In
all the great cities to agree to a plan to
have a suit brought to test the constitu-
ti0n21itv nf the hut fhav limo
Judge Hough. solicitor of the bureau
insisted that there was only one legal
way to resist tax imposed by Congress.
and that was to pay the tax under pro-
for it's refunding. He resisted the idea
that the tax could be resisted by an in
junction, and called attention to the por-
ton oil the Revised Statutes which pro-
restraining the assessment or collection
OF any tax shall be maintained in any
court
One Pollock brought a suit to restrain
company in which he was stockholder
from paying the tax. The United States
circuit court decided against him and
he appealed to the United States Supreme
Court. There was one decision In which
there was tie vote, Mr.. Justice Jackson
not sitting. Then there was a rehearing
before the full bench, when it is claimed
that one member of the court changed his
opinion and the suit went against the
tax.
A Neglected Opportunity.
It has been charged that the Depart
ment Of Justice, which intervened in the
case. did not utilize the opportunity of
raising the plea of jurisdiction against the
case and that but for this omission the
case would not have been tried. Three
possible pleas against Jurisdiction were
said to have been open to the govern
- -
Indeed, the Department Of Justice then
headed by Attorney General Olney, and
represented in the case by Assistant At
torney General E. B. Whitney. admitted
in court that the complainant had re-
course at law by paying the tax and SUI
ing the collector: that no Injunction had