The Washington herald., 1909-07-01

Senator Cummins. OF Iowa. and Senator
Borah. Of Idaho. occupied all Of the time
Of the Senate yesterday in debating the
corporation tax amendment. Senator
Cummins took the floor shortly after the
Senate met. at 10 o'clock, and held It
until 4.SO o'clock. with the exception Of
= recess OF thirty minutes. which was
taken about l o'clock TO permit the Sen
ator from Iowa 70 get little rest
When the Senate met at 10 o'clock there
was a demand for a quorum. and it re-
Quired some difficulty and nearly a half
hour OF time 10 muster It, Then Mr..
Cummins took the fioor and resumed the
speech he had begun Tuesday afternoon.
Nearly all OF the Senators disappeared
from the chamber and very few listened
10 the speech
seldom Interrupted.
The Senator from Iowa was seldom IN
terrupted- The temperature was not as
high as Il has been several days previ-
ously. although It was sufficiently hot 20
compel the speaker to frequently mop
his face 70 remove the perspiration. II
was about 4:30 o'clock when the Senator
from Iowa yielded the floor TO Senator
Borah, OF Idaho. who continued the de-
bate.
The Senator from Iowa assailed the
proposed corporation tax and said that he
did not recognize any obligation on the
part OF a Senator 20 follow the recon-
mendations OF the President unless he
could conscientiously do so.
Presidents Message Not "A Command.
7 do not consider the Presidents mes
sage as a command and do not believe
the President desires any Senator TO vote
for the amendment unless he finds that
It IS in harmony with his judgment 10
do so"
The Senator from Iowa defended the
consUtutionality 9f an income tax.
Twice since the Supreme Court declared
the income tax law unconstitutional in
the Pollock case. that court had given
opinions that tended 20 reverse the con
clusions reached IN the Pollock case.
one OF these was the case OF Knowltou
VS.. Moore Q7S L. S. 40. which dealt
upon inheritances. The second Of the de-
cisions was Spreckels Sugar Refining
CO. VS.. McClain Q92 L. s. 3g7) This was
another case arising out of the war rev
enue act OF 1898 and imposed a tax on
the gross receipts Of persons. firms, com
panies. and corporations engaged IN re-
fning petroleum, sugar. or maintaining
a pipe line for transportation.
Attacks Corporation Tax.
The Senator declared that although this
was specific tax on incomes, it was held
TO be an excise tax and entirely constitu-
tionaL After defending the income tax
and declaring that # was a more righteous
imposition that any other form Of spe-
cial tax that had been suggested, the
Senator from Iowa made an attack or
the proposed corporation tax. which he
declared violates the fundamental prin-
ciple OF taxation and repudiates the most
vital obligation Of our social compact"
The Senator declared that while the
President had suggested that a tax OF
corporations would afford a more effective
method Of regulating them. the pending
amendment was barren Of any sug.
gestion Of means with which 70 do II, re-
ferring to the omission OF the publicity
feature
Weak COnstitutiOnaIIy.
AS 20 the legality Of the corporation
tax. the Senator from Iowa said:
Il believe that # is not only IN con
nict with the Pollock case, but I beIiev,
that Il has a constitutional weakness,
peculiar 20 itself and that its validity &
much more doubtful than that OF "a,
pending income tax amendment
He declared that the joint resolution re
ported by the Finance Committee author
lzing the submission Of a constitutions