Omaha daily bee., 1909-07-03

Cumber, Sutherland, Raynor and others
Joined In the discussion Of the constitution
atty OF the language objected to. Senators
Root and Rayner declaring that to strike
out the words under discussion would
greatly weaken the measure.
for Measure.
Saying he preferred voting for an in
come rather thar q corporation tax. sena-
tor Raynor declared he would vote for
the pending corporation tax II he could
not have his first choice.
1T believe" he added, that this is an
absolutely constitutional measure. This
bill is unjust and lnequitable, but when
l cannot obtain an income tax I will be
forced 10 vote for this amendment or
leave the government bankrupt"
Senator Cummins replied briefly to the
speech made yesterday by Senator Root
in favor of the corporation tax. Mr.. Cum
minis said there was no prejudice against
wealth in Iowa, but that his constituents
insisted on the taxation OF wealth In all
its forms. and not merely in some of its
forms.
In the course of a colloquy with Senator
McCumber as to the distinction between
taxing a business and the right to conduct
a business, Mr.. Rayner said:
II am not in any wise responsible for
the obiter dictum OF the supreme court;
I am not responsible for It's calamitous
decision and illogical conclusions in the
Pollock case. I have always thought the
income tax question should be resubmitted
o the court and that the court should
have another opportunity to say whether
its decision in that case, in which It over
ruled the presidents OF a hundred years,
should be allowed to stand"
Estimate of Revenue.
Senator Elkins asked II 1 per cent would
not be a sufficient corporation tax.
Mr.. Aldrich replied that he had estI-
mated that the revenue from the corpora
ton tax provisions would be at least twice
the amount inns by the president, or
$4,000. 900. He said there was no way of
telling what the revenue from this source
would be. II there would be enlarged ex-
travagance" there would not be enough
revenue, but IL an era of economy was
to be entered upon, he declared that the
bill "as it now stands will be sufficient TO
meet all expenses of the government"
Volclng his opposition to the corporation
bill, Senator Hughes of Colorado declared
that the measure contained a class Of mu-
Nudl lhslltulionS winch were placed thef0
for the purpose OF insuring its repeal.
Opposes TafTs Attitude.
W ave reached a point when the
president can direct his attorney general
to draft a law and then can point to us
as committing sacrilege II senators of this
body endeavor to correct errors that we
may detect in it's phraseology," declared
the Colorado senator.
This is not a tax on the business OF
corporations declared Mr.. Hughes. 1T
is a taX on incomes. That is what the
president said in his speech of acceptance.
That is what he told his attorney general
to W income tax law that will meet
the construction Of the constitution that
has been upheld by the supreme court"
He claimed hat the pending measure
was on an equality with the income tax
law that had been set aside by the SUI
preme court, and said that unless the
court should reverse itself, II would be
obliged to declare the measure unconsti-
t~utional. Call this a substitute or subter-
fuge for the income tax amendment, said
the Colorado senator in conclusion, II an
against it."
Senator Newlands spoke in opposition tC
the corporation tax. taking the position
that II would not meet the requirement.
OF the supreme court. subsequently, how,
ever, he voted for II.