The Seattle star. [volume] (Seattle, Wash.) 1899-1947, 1909-07-06

Nv hilAhN tNNRNtNf
WASHINGTON. y e. July O
TIE nearest thlne To a crime that
congress has yet undertaken To com
mlt Is this proposed corporation
tax"
Tho speaker was senator norah
nf Idaho These new senators and
especially the uugH from tho west
have d trans way Of calling q spade
Ia spade I was looking Tor d little
frank opinion an The subject OF The
administration tail to the tariff
hlll suggested that tho language
was ruthcr strong
no. IL Isn't. said he IT'S "a.
clouH The measure IL vicious Il
isn't honest Il isn't frank Il Isn't
what ID protenda to be Il Ia bad In
seyon different pays. and ! am
against d 10 all seven
Can yon tell briefly and In
words OF one syllable why Il ie
hadf'
The Tax Explained,
The Idaho senator said
NO 1 It is not a tax on wealth,
though Il preienda 10 be
No 2 The burden OF the tax
eau and Will be transferred lmms.
dlatoly 10 the consumer. and viii
not DO paid BY the corporation
no 3 Il IL Of unluoaliouable
conailtutionaliif Al the nrEu.
mouts against fu4enactmrut Of the
Income tax are valid against this.
aud then some
mo. & The law will add moth.
ms To the publicity Of corporation
business Il Will not oulargu the
powers which the government nuw
h.s under the Interstate commerce
net and tho act which created the
bureau Of corporations
No O. Il dIaeftullnaiea between
the various small corporations tax
las some and e1empllng. others
mo 6 Il places q certain logal /
sanction on the holding company.
and the holding company h one pf
the Instruments for creating mo- 4
nopolies and trusts.
no. 7 Il Is brought IN 10 de
feat a legitimate and proper tax On
wealth that Is. tax on Incomes
Those are some Of the reasons
against the paasase Of this proposed /
law
Which do you consider the most /
Important
Not Up to Corporation,
well. ihiuk the most important /
one Tor the public To keep 10 mind /
IL the fact that the corporation vii I
not pay the tax that q. the bis !
corporation sill not The lltilo cor
pofaiion will Ia the competitive |
fold II Will moi bo pnsalhlc Tor the /
corporation To transfer the TAI lot /
me Illustrate SUPPOSE Il ID little 1
creamery company out In Wisconsin 1
earning fs.ea0 q year Thcre are a
Tot VI little creamery companies aud 1
some N them are not Incorporated 4
The ones not Incorporated won't /
nay any tar under the Law iucnf !
pofaied onea will have 10 pay But ]
how about the United States ~
prcaa company and the Western /
Union Telegraph company and the /
railroad oorpuratiunuf DO you sup /
posi- they Uill pay the mxf ~ no
means They will simply transfer /
Il.
4 am not lndaisinE IN prophecy /
am simply calling attention 10 /
what has iaken place under similar /
circumstances ia The past IN 1895 /
this qus@ilau came up 10 that year i
certain war taxes we're placed on /
certain u the large corporations. 4
like the war revenue STAMPS % .
kilograms. express fetripie and 80
forth Did the telegraph companies .
pay Not IN the lenai The p.raan /
sending the telegram put the stamp
on. and Il whs 50 vlih all the stamp .
taxes levied through those hlE
quaslpnblic corporations heing .
practically mnuopaliea. ihry we've .
able 20 do this They ssrc not IN /
competitive fields Their situation
was different from that " The /
creamery company or The little cor.
porailon whose prices are Kept down
by competition.
Ruling Of Congress,
hut more than that The big
corporations even vent 10 the 50
prcme court and got a rullng that
congress- could not keep them from
transferring the tar 10 the con.
sumar They got ruling that u
would BE- an infringement u the
freedom Of contract Now, do you
aaa ,uhN the H.lss .saFtt..e. lion - 200