Deseret evening news. [volume] (Great Salt Lake City [Utah]) 1867-1920, 1910-03-12

couspicuous service in the war OF indie
rendence II would be an astonishing
result n. years after that independence
had been won, II should be found thsl
the government established by the CO
lonials themselves had become an in
strument for taking away our char
ters
That Is the climax in the brief Of
Maxwell Everett and Henry s. Ward
ner. counsel for Stella =. Flint OF Wind
sor. VI, filed today In the supreme
court In opposition 70 the constitution
ality Of the corporation tax.
Their main point Is that the law, as
far as 10 affects the Stone-Tracy com
pany rs unconstitutional because II IN
vadcs tho sovereignty Of the state or
Vermont. II is also claimed that ne
company would be deprived Of its prop
erty for public use without Just com
pensation. and that the tax Is direct
one on the franchise. and. therefore
unconstitutional because not apportipn-
ed
Mr. Everett started the litigation over
the constitutionality Of the tax, and ne
is relied upon largely to present the
views Of the corporations 70 the court
In the oral arguments Of the 100 cases
next week
'sTho Invasion Of state soyereignty
through the corporation tax Is actual
and real" says the brief. mo person
OF tho slightest business experience can
doubt that the imposition OF the tax
and the forced publicity Of corporate
affairs as distinguished from the priv
acy OF the affairs OF partnership aud
individuals and their exemption from
a like tax. will drive 10 the wall this
defendant corporation and all similar
small corporations which compete with
partnerships and individuals.
1T may not seriously affect the larger
and stronger corporations. All the re-
serve power Of the state 10 create these
small corporations would be rendered
as useless as n II never had existed"
The court Is told that 70 declare the
law unconstitutional involved no dim
mutton OF the potential resources Of the
national government, as was urgei
would be the case IN the income cases
"The taxing power of the federal
government" say the attorneys. may
reach the business Of the defendant
CORPORATION for per cent. for 10 per
cent. for 80 per cent, II necessary. n II
will hut seek out all who are engaged
In the same business and not attempt
20 tax the corporate franchise. II Is
that attempt 10 tax franchise created
BY the state and not the general power
10 tax that makes this argument
The brief claims that the law was
only superficially considered In Con
gress.
1--WE assert that no novel revenue
measure ever passed through Congress
with less scrutiny on its constitutional
itv." 10 rs said in the brief. Not a
single demonstration Of its validity as
d franchise tax was ever made, or even
ATTEMPTED by any senator. Senator
Roots paragraph skins lightly over the
thfunost ice He mentions Neazle
Bank versus Feuno and offers no rea-
son. Senator Rayner. mlsled against
his Instinct and better judgment. by a
hastv reading OF the case. conceded
without argument the vital points.
Senator Brandegee and Senator
Overman doubted. and again and again
pleaded for light and reason. No Hight
was shed No reason WIS given. ex-
cept for senate Bristow's short speech.
Senator Cummins alone vigorously at
tackled the measure as unconstitution-
nj upon the grounds we now urge, but
his argument was unhceded, unans-
wered, and perhaps unhcard. That
there was no answer Is not remark
able"
The novel spectacle OF a corporation
pleading with the supreme court or
the United states 20 be allowed to be
taxed was presented today when coun-
Sci for the Coney Island & Brooklyn
Railroad company asked the court 10
uphold the constitutionality Of the tax.
So far this corporation is the only
one OF the IS organizations that has
! presented a brief IN favor Of the law.