The times and democrat. [volume] (Orangeburg, S.C.) 1881-current, 1909-06-29
NEGRO WINS
They Win Out Ia the Georgia
Railroad Strike
BOARD FINDS RULES

FROM GStrnS tlie \reuit lux III
ting Such just and Equitable
Tax Gathering Measure OH the
Statute Books.
In his letter from Washington TO
The State Zach MCGEE says the cor
| poration tax, as in the case of the
| income tax. is now on 11H lIlicwI
sea and it has it's ups and its downs.
Just now it is IL its ups Following
the presidents message on the sub
ject Senator Aldrich has introduced
it and there are those he WHO act
ually think it is going to pass. Well,
there are others, and you may just
wait till this session adjourns before
you decide to get ready u pay your
corporation tax.
1t is believed by the as.ute here,
and hoped for by the Democratic
politicians, that it would be good
thing for the Democratic party and,
therefore, for the country, as the
Democrats reason, if the Republicans
did pass this measure, for it is brim
full OF injustices all up and down
the line. And yet the Democrats
IL lc II NJ
pears at this writing.
When it comes up on the floor, II
it gets in ahead of the income tax
amendment, then Senator Bailey will
offer the income tax as substitute
for it. Then the vote will be- made
direct upon the income tax. II, en-
the other hand, the income tax comes
up first. it is believed that Aldrlch
will offer the corporation tax as
substitute for the income tax.
The Democrats will then vote
against substituting the corporation
tax for the income tax, or in the
other case they will vote to substi-
tute the income tax for the other
1t looks now as If there is going to
be q vote direct to one form or anoth-
er upon the income tax. But what?
The Democrats seem now to be deter
mined to vote for the tax on corpo-
rations if they can not get the in
come tax; and right there is where
they are going TO fall down. too, il
they don't watch out.
II they will point out the iniustices
in it, vote loud, long and united
against it on the ground Of these in
justices, then they will make an
issue for the party which will serve
them in good stead in the next cleo
ton. The question is whether they
| will have the nerve, and the sense,
to do this?
1t will take some nerve, Tor the
reason that corporations are believed
to be unpopular institutions, and not
many men in politics are willing
| to be put into the position of not
doing all they can to hit a lick at
these unpopular institutions. ]; will
take sense to see that corporations
are not unpopular. The business af-
fairs Of the country. large and small,
are done through corporations, and
nearly every man who wishes to do
anything worth while in the CONNER
cial world these days, organizes a
corporation and does his work
through corporation. 1t does not
take a millionaire, as some suppose,
to be interested in corporation.
The man who has saved up $50, the
country school teacher. the store
clerk, and even the mill hand, Invests
his little savings in bank, factory,
a Joint stock store, or some other
corporation.
Now how will this corporation tax
affect these? 1t will tax them .
per cent on every dollar of dividends
which comes to them. The man who
has 500 worth Of stock in a sawmill
concern which earns rs much as
S5, 900 and who gets now in dividends
per cent, or 81 year will be tax
ed IA cents. And Mr.. Andrew Car
negie. whose income from the steel
trust is 100000 Il yrar-how
much tax would he pay? Not one
cent. Mr.. Carnrgic'S interest in the
steel trust is in bonds. Interest on
bonds is "tiErd charge. and all
fixed charges must hr paid before
met earnings ar" reached. And 50
| it is with large number OF other
plutOcratS, while til" small Stockhnld-
er will hav" to pay The income tax
would TAX Il man according 10 what
he has. The corporation tax does
not. and there is no justic" in it.
4 corporation. whrr" there are Il
few stockholders. could ESCAPE the
tax by simply dividing mp III" earn
ings in salaries. which are also
fixed charges. The small stock
holder. in that ca>r. wOuld escape
without having TO pay The tax on
his dividends for the very good and
easy reason that he would not get
any dividends. it I'LL hrins used up
in salaries Ii any is left after the
salaries" are paid. then III" small
shareholders would get his divil"ndS
after the tax is deducted.
Now this is the beautiful little
scheme Mr. Taft has devised for the