Essex County herald. [volume] (Guildhall, Vt.) 1873-1964, 1910-09-23
The Proposed Amendment.

The Proposed Amendment.
The trusted representatives of the
people are, in all probability, devoting
much thought to the question concern
ing Federal powers of taxation. Should
the necessary consent of the legislatures |
of three-fourthS of the states be given |
aud the amendment be incorporated, |
the vexed question as to whether the
national department should be given an
unreasonable right to tax the incomes
from Investments other than real estate
will be Justly determined. The Presi-
dent proposes to limit the tax on in
comes from investment in corporations
to two per cent on such incomes as ex-
coed $4,000 a year. Unless the proposed
amendment has been amended since ii
appeared in the Congressional Record a
party in power would not be restricted
to the two per cent rate, and they could
abstain from imposition of that power
in any degree. 1t seems very unlikely
that the amendment will be so written
that nothing will be left to the discre-
ton of those who will use the power
contemplated in the far future. The
privilege of taxation must be planned
with a view to the convenience of sue
ceeding generations who may have to
deal with as wide difference in affairs
as is the business affairs of our times
compared to those considered in the
first constitutional convention. Now
the very necessity of an adaptable
amendment gives-in the event of con
sent to the proposition to amend at all
a great increase of power to politicians
and tue people.
Of course many will "view with
alarm" such a direct and important con
tradiction of the time-honored ideas as to
the right tOlamass fortunes running up
to hundreds of millions, which may be
used wisely as it often is, or unwisely,
at the discretion of the owner, as will
be given if the proposed amendment be
written in our fundamental bill of
rights. But each of the other fifteen
amendments We're also "viewed with
alarm" as will be every proposition to
limit in any considerable degree the
privileges of distribution of the earnings
of capital and labor But all viewing
with alarm and all impassioned argu-
ment as to the innovation contemplated
will be accorded due amount of con.
sideraton, no more and no less, since
such level headed man as our Presi
dent favors the adoption Of the amend
ment. He, of all others, is in position
to Judge of the fitness of the people tt
use at discretion the increase of power
that can be given by the just determine
ton of the question. The radicalism O.
the times is hardly likely to obtain for
any considerable length of time, prob
ably at the end of the term of the pres
ent administration reaction will hav,
set in. There is no reason to dread
misuse of an amendment that SHOULD
have been written in the constitution ii
the outset of our plan of government
True it was necessary to encourage in
vestors in every possible way but i
seems as though such IL safe and san
body of men as those who fathered tn
constitution could, collectively, be en-
trusted with an unlimited power of tax
alton. 1t is a case where prevention
might be better than cure. And tn
cure of evils due to certain uses of swol
len fortunes is contemplated as well a
the real need of the power to increas
the revenues of the national power a
readily as possible in case of the nee,
of funds over and above those derive,
by the tariff and the tax on intoxicant
and tobacco
None of the old arguments of fhos
who discussed the income tax clause O
the Wilson law in 1894, or the judicia
decisions given at that time need be con
sidered by students of affairs, as the
dealt mostly with the doubt as t.
whether the Federal power could legal
impose a tax on incomes or inherite
fortunes. No doubt the matter will b
given the careful and unselfish consider
alton necessary before the opportunit
to take step i'll advance has passe
away for many years to come.
All will read with much interest tn
arguments to be offered by our publ
men, entrusted with the most importan
question Oh The times. ESSEX.