New-York tribune., 1909-04-29
PACIFIC GERMANY
Burdens Of the Tarpayers-4 Var
Not Wanted.
Lubbock, April 10


Of the naval duel with England. Taxation in
the Fatherland is already al the breaking point,
and the strain cannot be increased without COM
llete exhaustion of the mercantile and industrial
classes. Take my own business as an exam
pie ny informant said. Il have made
! careful calculation. and find that 80 per cent
Of my annual earnings as a merchant are
dropped in imperial state and local taxation.
II is not an exceptional case. Every business
man in these northern shipping towns is bled
in the same way" This is in time OF peace,
when the empire is borrowing money for its
Dreadnoughts and steadily running behind in
the balancing of its budgets. II cne-third OF
what everybody earns is eaten up in taxes when
there has been no fighting in thirty-nine years,
what is to happen when there is an eXhausting
struggle with the strongest naval power and |
The richest country in Europe? The cautious
ship owners and merchants shrug their shoul-
ders when the question is asked They assert
that Prince Buow must discover sources for at
least S125OO0o0o of additional revenue on a
peace basis before there be any serious dis
cussion Of war with England.
A leaf is likely TO be taken from the English
book and death and succession duties mate
rally increased. That is the principal addition
TO direct taxation which seems probable
in Germany. Income taxation has already been
carried as far as is practicable, and the system
are forced TO be honest" said my friend the
sstute merchant. Not only honest, but aCcu-
rate. The inspectors enter our counting rooms
with expert accountants and examine our books,
and Il incomes are underestmated or partially
reported heavy fines are imposed. 1t is useless
for any one TO attempt to defraud the govern
rlent respecting his income Il viii he found
out sooner or later, and penalties will be eXacted
out Of proportion to the default We are COM
r,i-,c~S md
even TO keep special books for determining our
taxable incomes" Inquisitorial methods are
not resented in Germany, because they fit in
with the general system of administration, and
every one IS accustomed TO them 1t is the husl-
ness Of the inspectors and collectors TO hnd out
how much money everybody makes IN the
course Of a year They do II with as much pre-
rision as inspectors supervise the sanitary con-
dition OF house drains or keep street pavements
clean and in proper repair.
The burdens of taxation are largely Increased
BY the rapid growth Of towns and the necessity
for improving, sewering, paving and lighting
new streets in outlying sections. When city
like Kiel trebles its population in thirteen years
and attracts swarms of workingmen from adja-
cent towns and villages local administration
becomes most expensive. and taxpayers are
overwhelmed with burdens In the old town or
Lubeck, which is entered by the same gates as
series OF medieval Gothic churches in glazed
brick. the growth Of population has not been SO
rapid; vet it has nearly doubled in twenty-five
wears II has been necessary TO modernlze
streets 70 provide a costly drainage system, TO
deepen the harbor, TO lengthen the qGays' u
connect the Trave with the Elbe by shallow
canal for barges and to build outlying suburbs
outside the island which was Hanseatlc
stronghold The expense Of local improvements
and administration has steadily expanded ana
1sxpavers are heavily rated TO provide for them
4-,-ary- rrogressive German town has been en-
la~red and improved during the last thirty
,-azrs 70 meet the requirements Of a heavily in
rreasirg population. and the levles Of local tax
alton have become more oppressive In these
circumstances the pressure Of state and impe-
-5sI taxation is severely felt Germany, WIN all
its remarkable progress, IS so Ill prepared 10
hear the burdens of enlarged naval and military
ornaments that the government - forced into
The market as q borrower, with issues at 3t2 or
/ ,ar cenr 10 suit every class Of investors.
German system makes work and costs money.
local and imperial administration from the
rho-oughness Of its processes requires the ser
vices Of an army Of officials. and is source OF
increased expense. The efficiency Of this horoe
OF officials and inspectors Is not 10 be hshuy
questioned HousehOldeTs are forced TO keep
their drains in order and their premises IN re-
pair. the triple system OF insurance AO4 WI
ing people is supervised with painstaklng care
taxpavers are compelled 70 tell the truth ABOUT
their incomes and administration IN town ana
cor,,-,- is as well ordered and scientific as Is
-,oszft,IA IN faIlible world. The system sup
niles employment for a large body OF civil ser
wants and in an empire which is increasing III
population with extraordinary rapldlty TINS u
2 considerable advantage The taxpayers now
ever. have TO pay the wages OF TINS S'@i4uiis
er, % o47cials which is constantly recruited
with fresh reserves. Salaries may De Io"' p"'
pbsn organization is carried to so fine point
with so many checks and balances more iiiei'
have N he employed for administrative func-
tons than are needed in foreign couh'iieS' Inc
gvsterr becomes more costly every year. ana
there IS 10 practical method OF relIeiicliiiie
Considerations like those which have been
discussing tend to make the 5eIiiaI P9'P''
Trofor,nily paciae. Overburdened as they are
with imperial and local taxation IieS "io -
WINGED that they cannot afford TO undertake
~ -,.5 so powerful a rival as England, with
IT'S overwhelming superiority in sea power ana
- -r.ssas ~ canital. Not only would the risks
or defeat be r,linous but the suspension OF com
,,s-oa ,-,,,ld ne absolute so far the shipping
ports were concerned. Even in these times OIL
had trade the steamship lines are operated al
loss. and al least . third Of the immense san
inc &C.. is living idle II there were war with
T-rglsrs .t,e North Sea and Baltic ports woud
he bioo1-.daa =be merchant feet would be per-
r,anar,l,- disabled and the export ana import
trsdae ,ro-,la be diverted 10 neutral harpoTs
Ike Fo,terdar, Taxes would rise and resources
for having them would shrink; and large sec
tons % the nopulation would be thrown out OF
-. costlv war for supremacy on