Fergus County Democrat., 1909-06-29

aged $372, 100000, while for the cor
responding period beginning with 1901
after the Spanish-American war was
over-they averaged $550,0O0,0O0. In
twenty years the cost of governing
the country has thus more than
doubled.
The more the Aldrich- Taft plan is
discussed by democrats and progress
sive republicans, and the more that
is learned about it, the less favorably
it compares with an income tax. Men
that have already amassed colossal
fortunes, and have great annual in
comes, like Carnegie and Rockefeller,
are given a great advantage over
thousands of "little" stockholders in
corporations.
Complicated Matter.
"By the time we have had oppor>
tunity to air the Aldrich-Taft plan
on the floor of the senate" said far
western member, who, though a re-
publican, is leading in opposition to
the presidents program, eve will have
the country with u.s. It needs to be
understood more than anything else,
as the whole thing is very compli-
Gated proposition. The most impor-
tant matter ahead of US is to prevent
too much crystalization of opinion in
favor of the corporation tax before
the subject is understood by the coun-
try"
Another of the insurgents said: "We
are beaten; l have no doubt of that.
But we will make the fight just the
same, because our plan is the righte-
Gus one from the standpoint of the
people, and the presidents isn't"
The consensus of opinion is that
the president will not ultimately get
much credit through favoring the tax
of corporations in preference to the
tax on incomes. The tax on corpor-
atoms net incomes originated with
the friends of Senator Aldrich The
latter tested, the temper of the peo-
pie on the subject several days be-
fore the president stepped into the
fight.
The joke on President Taft and the
lawyers of his cabinet, together with
Senator Root, in connection with the
corporation tax message is still caus-
ing considerable merriment among the
progressives. The president in his
message to congress, arguing against
an income tax, used this language:
"Again, it is clear that by enact
ing the proposed law, the congress
will not be bringing money into the
treasury to meet the present de-
flcency, but, by putting on the statute
books law already there and never
repealed, will simply be suggesting to
the executive officers of the govern
ment their possible duty to invoke
litigation"
Old Law Is Dead.
That is, the president and his legal
advisers assumed that the income tax
law Of 1894 was still con the statute
books" and "never repealed" The
facts are that the income tax law oi
1894 by its own terms, was 70 run fol
one to five years, and was to expire
by limitation on January, 1900. II
has not been on the statute books fol
almost ten years; and it needed nc
repeal, because it contained the pro-
vision for its own repeal.
This is not the first mistake the
president and his advisers have made
| President Taft first recommended ar
inheritance tax in a special message
1t passed the house because of his
endorsement. 1t developed that thir
ty-three states of the union had al
ready adopted inheritance tax legis
lation. So the inheritance tax was
dropped from the tariff bill in tn,
senate. The president had in the be
ginning suggested an income tax a: