The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1913-02-03

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In 1910, Georgia, Illinois. Kentucky.
Maryland, Mississippi, Oklahoma, South
j Carolina and Texas voted to ratify the
amendment. In 1911, Arkansas, Cali
! fornia, Colorado, Idaho, Indiana, Iowa,
| Kansas, Maine, Michigan, Missouri,
Motana, Nebraska, Nevada, New York,
North Carolina, North Dakota, ONO,
| Oregon, Tennessee, South Dakota.
| Washington and Wisconsin gave their
approval In 1912 Arizona, Louisiana
and Minnesota voted for ratification.
Thus "a states had acted affirmatively
on the proposal. Connecticut, New
| Hampshire, Rhode Island and Utah by
this time had rejected the amendment.
A notable incident occurred in Ar
amendment. Both houses of the leg
| islature passed a resolution of ap-
prevail, but Governor Donaghey
vetoed" it. This veto at once
raised a nice constitutional question.
Representative Robinson of Arkansas
made a speech in the house at Wash
ington, in which he challenged the
right of governor to pass upon the
measure. 1t was said to be the first
time governor had attempted to veto
ratification, although it had been GUS
tomary for governors to add their APP
prevail The state department has in
cluded Arkansas in the list of states
ratifying the amendment.
Contest in New York.
One of the most bitter contests over
ratification took place in New York
state. Governor Hughes, now a MEM
Der of the supreme court of the United
States, sent a message to the legisIa-
ture in opposition to the measure. He
expressed himself in favor of giving
congress power to enact an income
tax, but declared the amendment sub
naitted gave the federal government
the power to strike a fatal blow at
state credit and state independence by
taxing the income from state and mu-
nicipal bonds. Six prominent lawyers
of New York led by Joseph H. Choate,
former am bassador to England, sup
ported the attack by ringing me-
mortal, denouncing the amendment as
having been rushed through the SEN
ate and house almost without de-
bate" and as giving congress power
to hinder, eff not prevent, the proper
of the states" by a tax on state and
municipal bonds. They pointed to the
$20,00O,0000 New York state bonds
and the $S0O,00O,0O0 New York city
bonds as being within the power of
congress to tax, if the amendment
were adopted. Senator Root took an
active part in favor of the amend
ment, which was finally approved IN a
resolution in the form of a bill, but
only after a similar bill was defeated
in the first attempt to approve the
amendment.
Legislation must now be enacted by
congress before an income tax may be
collected, the present amendment
merely giving congress the power to
lay such tax. Only the most gem
eral kind of estimates are being in
dulged in as to what the government
may receive under such a tax, as all
will depend upon the rates to be fixed
by congress. In 1866, under the Civil
war income tax measures, $72,000,000
was collected. The income tax of
1894 was estimated to raise S3O,OOO-
net
passage of the amendment resolution
by congress in 1909, Senator Bailey
had introduced an income tax bill,
estimated to yield probably $4,000
drich tariff act. Senator Cummins
introduced a measure, estimated to
yield s40,000,OO0. The corporation
tax measure has yielded in the neigh
borhood of s30,000,000 a year.
Amount of the Tax.
The amount of the tax will depend
largely upon the style of income tax
levied. The 1894 law provided for a
flat tax of two per cent on incomes /
over $4,000 The Bailey bill author |
lied three per cent tax incomes |
over $1,000. The Cummins bill pro- |
vided graded tax, on incomes over !
$4,000, highest tax being six per cent |
on incomes of over 100000. Massa-
chusetts, Oklahoma, South Carolina,
North Carolina and Virginia are states
NOW possessing income TAX systems of
varying details. /
Agitation over income taxes has ex- t
listed in the United States since the |
Civil war. The Civil war measures
were allowed to stand among the
statutes without being stricken down
by the courts, largely on the ground
of being emergency measures. In
1870 a fierce debate occurred in con-
gross over the continuation of the in
come tax inherited from the Civil war.
Senator Sherman led the defense. I
claiming the tax was the most lust
and equitable tax levied by the United
States The tax expired by its own
limitations in 1872
During consideration of the tariff in |
1898, the income tax question again .
arose. President Cleveland suggested
an income tax on the income of cor
porations. Representative Mcmillan, of
Tennessee, introduced the measure
eventually adopted as an amendment
to the Wilson tariff bill. The author
of the measure declared that under the /
customs tariff the taxes had been
placed on what men need while under !
the income tax, it would be placed /
more on what men have, and less on /
what they need.
Opposed by Hill.
In the senate, Senator Hill OF New
he Of