The Greenville journal. [volume] (Greenville, Ohio) 1850-1918, 1911-09-07

The right to impose taxes Is leg
islative power, inherent in organized
government. In the absence Of con-
stitutional limitations, a legislature
may enact such tax laws as it sees
fit, subject only to the restrictions
| contained in the constitution of the
| United States. Everything over
which the authority of the state
reaches may be the subject of taxa
J ton, whether it be person, property
or occupation.
Taxes may be imposed so as to
| render powerful assistance in the
| growth, upbuilding and development
| of communities, or they may be i'm
| posed so as to exert exactly the op-
| poslte influence. The first require
ment of just taxation is that every
person who enjoys the protection and
benefits of organized government
shall be compelled to contribute to
| its maintenance and support in pro-
| portion t" the financial benefits he
enjoys under it. The test of taxation
should be ability to pay. In order to
face conditions fairly we should not
be carried away by the idea that it
| is property which owes the duty of
| paying taxes. 1t is not property, but
| the individual, ands he should be COM
| PEELED to contribute in exact proper
tion to his tax paying ability, and the
experience of the world has demon
strated that every attempt to measure
this ability through the imposition
| of an equal and uniform rate of taxa
| tion upon all property, regardless of
/ it scharacter or taxpaying ability, has
| utterly failed. 1t has always resulted
in placing the heavist burdens of tax
alton upon the common, everyday and
ordinary forms of property-the farm
er, the owner of the modest home, the
small merchant, and upon industry
generally-while vast and complicated
and predatory forms of wealth have
escaped, either entirely or with com
paratively small taxes.
Uniform Rate Unreasonable.
This condition can only be obviated
| by recognizing the fact that different
forms of property require the appli
cation of different methods and diff
ferent treatment. Ali successful leg
| islation is based upon a reasonable
discrimination between the things
with which it deals. Laws that fail
| in this respect are either inefIicacious
! or evil in their effects. A uniform
punishment for all crimes, uniformity
in the treatment of persons without
| regard to age, sex or condition, are
not less reasonable than is a uniform
rate of taxation for all property, re-
gardless of its character or condition.
Railroads regulate their freight
charges according to the character
of the property carried; federal i'm
port duties impose high tariff upon
one class of property and low one
upon another; the internal revenue
system recognizes this principle.
Such distinctions are not only reason
able, but for the welfare of the peo-
pie and to accomplish the best re-
suits are absolutely necessary.
Social and economic conditions are
of wealth and new forms of property
are being constantly created; consti
| tutional provisions should be framed
| with this fact in view, and the legis
lature accorded freedom Of action
that will permit them to deal with
the conditions as they arise. A con
stitution should not attempt to point
| out the details of taxation, but should
| confine itself to a declaration of pgin
ciples. Any attempt to prescribe the
| methors and details of taxation is
but undertaking to fasten upon the
future habits, customs and business
methods of a present and decaying
generation.
There are certain safeguards, how
ever, that should be provided:
| First: The legislature should be
| prohibited from contracting away the
right to tax anything or person what
soever, or from making any ilrepeal-
able grant of exemption.
Second: 1t should be prohibited
from discriminating between persons
or property similarly situated.
Third: 1t should be prohibited
from imposing any tax whatsoever
for the benefit of any private or cor
porate interests
Fourth: Property Of strictly pub
lie character the instrumentalities of
government and property which COM
pels contribution from the general
public for it's support, should be ex-
empted from taxation.
In addition to these things, a consti-
tuition should contain provision, now
conspicuous by it's absence in most
constitutions, prohibiting the expendi-
ture of public funds except for strict
Iy public purposes. Beyond this 1t
should not go.
The best systems of taxation in the
United States today are in those
state unhampered by constitutional re-
strictions. The most unjust, unfair
and inequitable taxes are imposed in
the states whose constitutions con.
tain provisions commencing, prohibit
ing and directing their legislatures as
to an infinite variety of details rela-
tive to taxation.
The constitution of Washington,
like Ohio, requires uniform and
equal rate of assessment and taxa
ton on all property in the state ac-
cording to it's value in money No