New-York tribune., 1910-06-22
NO ESCAPE.

The pregramme which Governor
Hughes has laid out for the Legislature
effectually blocks any plan it may nave
entertained of speedily defeating direct
primary legislation and then adjourning.
The Legislature has serious work before
it, work that plainly must be done and
work that cannot be done in hurry.
The duty of providing additional reVe-
nue. to meet the requirements OF the
budget is not one that the Legislature
can neglect. and it is not one that can
be performed in few days. The faults
Governor Hughes finds with the in
heritance tax measure which the Legls-
lature sent to him are such as to COM
pei an entire recasting of it if gradu-
ated inheritance tax is TO be adopted to
provide the additional revenue required
Its great defect cannot be cured by SIM
ply providing that the tax shall be
graduated in accordance with the size
of the bequest and not in accordance
with the size of the total estate OF
which the bequest is part.
If that change is made then to obtain
the same revenue from the tax the rates
will have to be raised or the minimum
amounts upon which the different rates
in the scale of taxes are to be levied
will have to be reduced. For instance,
we will suppose that an estate Of $500
600 is left in equal parts to five chill
dren. AS the bill now stands that
would be taxed as an estate exceeding
$3.50. 900 in value, the rate upon 1t would
be 3 per cent and the tax would amount
to $1,000 But if the gradat1on is
made according to bequests, the rates
and amounts remaining the same, then
there would be five bequeStS of 100000
each TO tax. and they would fall i'll the
class between $4,000 and 100000 and
be taxable at l per cent The tax col
lected upon the Inheritance in this case
would amount to only $1,000, and the
states income would be reduced by the
change in the bill from $4,000 to
$4,000. Obviously, if the bill is to be
recast it must be recast with its prob
able revenue producing capacity In
mind.
Indeed. the whole subject of providing
adequate revenue needs a consideration
which it plainly has not yet received
from the Legislature The Governor re-
marks that from such information as he
has he doubts whether the provision
made by the inheritance tax bill would
be adequate for the eXigency. This sug-
geSts that the bill itself was passed
without any such consideration of its
revenue producing capacity as it should
have received. The practice of adjust
ing appropriations TO income hardly
exists in the state Legislature, as this
years budget. which with S5,O00,000
lCpped off is still far in excess of the
e.timated revenue. sufficiently demon
strateS.
The Legislature has its work cut out
for if. In no way can it escape doing
something. In no way can it avoid re-
manning under the public eye and hav-
ing its motives and purposes subjected
tn extended scrutiny If il fails to sat
isfy public opinion. if the direct NOM
nations bill and the proposal to confer
sufficient power on the graft inquirerS
I, enable them TO reach the truth are
beaten by cabal of bosses. the fact
cannot fail to he vividly impressed upon
the public mind The deficiencies of the
Legislature. if they are permitted TO re-
main. are going to stand out in sharper
relief after the special session is over,
and the legislators know it,