New-York tribune., 1909-07-20
BENNET. OPPOSES TAX.
Belieres Corporation amendment
HyiH Be Defeated.
p-.nn IN. rr;hun. Rureau.l

washington. July Is.-Reprcsentative Bennel' W
New York openly expresses the belief that ties'-
dent Taft-s corporation tax amendment VIII ="
defeated. How he hopes this will be accomphsneu
is secret but he gives his reasons for opposing
the measure,
Personally he said to-day. 'I believe in Keep
ing faith in preserving our party honor uh'4I-
ni.hed and in sticking 20 old friends before We
revise oHc party, position We must "o'S'"
mandate from the people. We have never oeceiNed
them Our duty IL this special session IS plaln
and imperative II is to pass tariff blll ana so-
iearn We promised no new. form Of taxation nor
did ue urge as a reason for continuing Us N
porer that we would levy any ne" TAX II is
proposed enact new and aud'uonal 'aA 0i
character utteris foreign 10 Repuphcah pia'-
FERNS and precedent. is time of peace
ssW3;h the greatest respect for the opinions.
n,-t, LOYALTY and patriotism Of my fellow Repup-
licans uho are urging the corporation tax.
desire 10 call attention 70 a few OF IT'S more aP-
parent defects
Tt Is unduIy. burdensoTne. To meet con-
j,ctt,rsl deficiency which n il exists can be but
temporary, with an elaborate system of taxation
Of Z permanent character imposes on the business
of tbf country only new and unnecessary
tax but the unnecessary expense Of instaiiateh
and Of operatiosi.
II viii produce revenue when needed IL
there is am defciencv in the current revenues. IT
-iil be in tie next few months Not single dol
lar can De collected under the terms Of this pro-
vision unt:: June 1910
1t will not give corporation publicity. though
IL promises it. BY terms Of Section no IN
formation concerning corporation he made
public except BY express direction Of the Presi-
dent of the United States. The lodging OF this
terrific power in any Office is gravely unwise.
TT unJustiy discrfminates The small stockhOld-
er in the large corporation pays his share of the
tax: the large hondhoIder does not The few large
industrial corporations shift their share OF
the tax on 10 the consumer. while the ordinary
corporations must pay theirs from the profits due
10 their own stockholders The thousands OF in
surance companies and associations must pay the
full tax on every dollar of receipts. less losses
snd the comparatively small, salaries paid 10 the
teu Officers while tie large Industrial corporations
pay only on that portion Of the income remaining
after the deduction of all operating cost inolud-
ing labor. The holder of every insurance policy is
affected. but the holder of every bond. nor the
preferred stockholder. Holding corporations, the
fscfle instruments Of monopoly, told
shall pay nothing
In our state IL is double taxation. That the
right 10 do business q corporation is property
Tight which can be taxed by the :tate admits Of
no doubt Our state has imposed this tax. both
as an organization and annual tax on
dividends. We have also enacted statutes tending
yesrly toward The better regulation OF corpora
tions Nevertheless, corporations organized in
states having annual tax pay no more than our
already state-taxed corporations.
Its constitutionality doubtful The distinction
betpeen The doctrines Of the SpreckeIs and
that Of Pollock against the Farmers Lean and
Trust Company IS SO finely drawn TO leave a
this character always doubt until it's con-
stitutiensity has been passed upon by she Supreme
Court
1t is Republican and un-American. So far
n the history of party and of nation our
national government has levied taxes in times
ef peace based class distinctions express or i'm
Piled