The Caucasian. (Clinton, N.C.) 188?-1913, 1909-06-24
MOREHEAD FOR GOV.
Some Progressive Republi.
cans Favor Him N the
Next Nominee.


Many Objection. Ia the New s~h~sne
fur Lrvylng q Two Per Cens rax
Upoa thu Net fmsome. af oc~Jvora-
tioa.--s.y That 1. weaid Bear Tn
escaiy upan Them and That %
woaid Fcree Them Co Make Pub
lie Their Basinezs foe the B-neas
Of Rivals.
Washington. ID. C. June 3. 1893.
Special to The Caucasian.
The one topic of discussion here
among the tariff makers for the last
few days has been the new scheme
for levying : per cent tax upon the
net incomes of corporations. Al first.
the proposition met with some favor.
but day after day objection after OBJ
lection has arisen OF more or lssA Sc
rious nature TO this new and untrled
scheme of taxation. II Is being crit
icised by the press of the country and
has met with much less favor among
Congressman than was anticipated.
Some OF the leading objections.
briefly stated. are as follows:
% That this tax on over a mil
lion corporations would bear very
unequaliy upon them.
CD That the amount OF bonds is
sued by every corporation varied diff
ferently in relation TO the amount of
it's stock. and that under this tax
every stockholder would be taxed
while every bond-hoider would get
the full amount due on his bonds and
be exempt from this tax.
CD That this would require a ual-
form system OF bookkeeping with
all corporations, which Is practically
impossible.
(D That IL would require some
government regulation as to the
amount of mcney paid for salaries
and for other purposes that would
be !ncluded in fixed charges. and
thus eat up all the net dividends.
(5) That IL would encourage cor
porations To have less stock and lar
ger bonded capital. unless they were
all overhauled and regulated as to
the amount of their stock and bonds
by the government.
(e) That It finally would put a tax
upon q corporation doing any kind OF
business. while a co-partnershfp or
individual running q similar busi-
ness side by side would be exempt
entirely from taxation.
CD That 1t would force a corpora
tion to make public its business for
the benefit Of Its rivals who might
not be Incorporated.
(s) That there would be a thou
sand ways of evading the tax which
such law would encourage.
These are only few OF the OBJ
jections that one hears every day and
the number continue to multiply.
Finally. the objection that all.
who favor a downward revision of
the tariff, also make. is that IL the
Aldrich bill had some of its prohibit
tive rates lowered that the tariff bill
itself would raise sufficient revenue
without forcing the country TO sub
init to a new and additional form OF
taxation.
This new tax scheme will probably
prolong the extra session a month or
more, and, in fact, the end is no
where in sight yet. It il thought
that the new tax scheme may be put
through the Senate, but that 1t viii
never be acceped by the House. II
will be remembered that the House
had an inheritance tax provision In
its bill, and IL may be that the Sen
ate will yield to the House and agree
to the inheritance tax. or IL may be
that both will be dropped in confer
ence and some other means devising
sufficient revenue inserted.
Morehead for Governor.
For several weeks there has been
constantly coming here from the
State suggestions from Republicans
who do not belong TO the patronage
machine crowd that Congressman
Morehead is rapidly growing in fa-
vor as the next Republican nominee
| for Governor. Some have also sug-
gested him for State Chairman.
The information which comes here
Is that these suggestions are not
looked upon with favor by the Adams
and Duncan machine.
A prominent Republican from the
State, on yesterday. commenting up
on the situation. said: No one who
wants to build MP the party and make
the State Republican is surprised at
the action OF Adams and Duncan In
opposing the suggestion OF Morehead
! for Governor. 1t Ii generally be-
Iieved that they did not want him
elected to Congress. and that If they
did not actively try TO beat his cleo
ton that they did nothing effective
to help him."
| The outlook is for some interest
ing political developments. The pat
ronage machine must go when once
the people thoroughly understand the
4 effuaf{0n