Democratic messenger. [volume] (Snow Hill, Md.) 1869-1973, 1909-04-10
Mr.. CONVICTION SPEAKS.

Hon. James Harry Coving-
ton, Representative in Congress
for the First Congressional Dis
srict, made his maiden speech
in Congress last Friday. The
Tariff bill was under discussion
and Mr.. Covington made a
forceful speech, which demon
strated to his colleagues that
he is a man of more than ordi-
nary ability, and representa-
tive of which the Eastern Shore
may well be proud. Mr.. Gov
ington paid special attention to
the proposed inheritance tax.
He said in part:
''In my own State, Maryland,
there has been for years a col
lateral Inheritance tax, and the
legislature of 1908 increased this
tax to a straight 5 per cent.
upon the market value of the
property. Upon the faith of
that tax as a certain source of
state revenue So, 000, 900 of bonds
have been authorized to pro-
vide the money to construct Il
system of permanent state
roads, and | doubt not that in
every State in the Union where
form of tax obtains the
ue from it has been looked
a as certainty for future
hs.
~ he States already have the
tsachinery through the or
lan's courts or probate courts
for the easy and certain col
lection of this tax, and, more
over, inheritances have been
very generally regarded by law
yers and experts in taxation as
an object of state taxation.
Prof. Richard I. Ely, one of the
foremost American authorities
on taxation, devoted a chapter
in his recent book, Ely and
Wicker on Economics, to bal
anced revenue system in which
federal, state and local revenues
are placed in the right relation
one to another. In this system
he includes an inheritance tax
as a natural source of state reve-
nue., and he says it is a form of
state taxation to which, very
properly, increasing resort has
been had in recent years.
1t is certain that no double
taxation by competing authori
ties, which will amount in the
aggregate in many instances
TO a tax OF 81 900 upon an es-
tate of $4,000, can hope to
stand. Such a tribute levied
upon small inheritance is so
nearly confiscatory that even
the good-natured patience of
the American people will rebel,
and if that situation does arise,
then either the federal or state
authority must give away.
When we reflect upon the fact
that some States have no in
heritance tax, and that it is
easier for the people of those
that have to relieve themselves
of their burden by concerted
action in their Legislature than
to wait the hazard of fight in
Congress, it must dawn upon
us all that the adoption of this
inheritance tax by the Federal
Government as prominent
feature in it's revenue system
at q time when we are at peace
with all the world will sound
the death-knell of that form of
taxation as a source of revenue
to which all the States may
look as of right in the future,
as many of them have already
done.
The power to tax is not mere
ly an incident of sovereignty in
government. 1t is an absolute
necessity to its existence, as
we all know. This is as true
of the States as it is of the Fed
eral Government. The ordinary
objects of state taxation, such
as inheritance, can not be taken
hold of by the Federal Govern
ment without actually under
mining the doctrine of the re-
served rights of the States. The
General Government and the
States. although both exist with
in the same territorial limits,
two separate and distinct sover-
eighties, acting separately and
independently of each other
within their respective spheres.
In respectto the reserved powers
the State is as sovereign as the
General Government, and the