The Washington herald. [volume] (Washington, D.C.) 1906-1939, 1913-04-27
HULL EXPLAINS
income TAXLAW
Member Of Ways and Means
Committee Delivers Speech
on Floor of the House.
SAYS IT Is EQUITABLE
Objection Raised BY New Workers Re-
ceives Reply that Segregation
Is No Excuse.


author of the proposed income tax law.
yesterday delivered a speech on the
floor of the House explaining the pro-
visions of the measure and clearing up
some MISUNDERSTANDING which have ex-
listed in regard to its details and meth
DDS of operation. 1t was the first de-
tailed statement in regard to the in
come tax section of the tariff bill that
has been made by any member OF the
WAYS and Means Committee
While there are wide differences OF
opinion among Republicans and Demo-
Gratis over the customs feature or the
Underwood bill, the income tax section
of the measure apparently has the sup
port of most of the members on both
sides and will have absolutely clear sail
ing.
Mr.. Hull contended that the income tax
was the most suitable excise that could
be levied II laid the burden of taxation
on those best able to bear il. All other
forms of taxation, he asserted, grossly
Disseminated in favor of the wealthy.
Mr.. Hull cited statistics tending to show
that men of large means in New YORK
and other big cities evaded just share OF
their financial responsibility to the gov
eminent by undertaking. their property.
Mr.. Hull said that the State tax commas
sion of Massachusetts estimated the value
Of personal property in that State subject
10 taxation at over s.. 500 100000, OF which
less than one-fifth is taxed. The commls-
sion found also that the greater part or
this remainder 81, 646. 100000, was Intangible
personality, subject to taxation, but not
taxed because its disclosure never has
been compelled
BY the United States census inquiry
of 1904" said Mr.. Hull, New York had
$500, 900, 900 of personally. where as by the
tax returns she had only $500, 600 600.
Mr. Hull declared that the special tax
commission of New York State in l9Ud
had come to the definite conclusion that
1.-The richer a person grows, the less ne
pays in relation to his property or in
come" The Tennessee Representative
called attention to the fact that Mr..
Andrew Carnegie for many years paid
taxes only upon personal assessment
of something over $5.0O0O00. although 1t
has recently been raised to sloooo,ooO
Quote. Census Figures.
Mr. Hull pointed out further that the
report of the Census Office for 1904
showed that the true value of all prop
erty was s107, 1O4, 100000. while the ad
valorem assessment Of this property
was only s3s, 1853, 600 900. and that the true
value of personally was $A, 162,0ooOoo'
while il was assessed at only sS,S13,oOo-
600.
MIR. Hull declared that the present
revenue laws were based not on the
ability of the individual to pay, but
upon his need and practically his pow
erty In contributing s3o0.0oO.O0, to the
Federal Treasury, the American con-
sI.Iner, so Mr.. Hull commended, is COM
PEELED at the same time to hand over
81 500 600 900 as Il bonus to those select
individuals who have been given especial
favors by the high protective tarfn tax.
mo civilized or humane people, SAID
Mr. Hull. can longer tolerate this sys-
TEN of diabolical extortion.'
Mr.. Hull added that fifty-two countries
and states have adopted the income tax,
and wherever it has been given rea-
sonable trial this form of taxation never
las been repealed, save in the United
States, Mr. Hull, in speaking of the OBJ
ie otion that has been raised to the ex-
emption of income of $4,000 and under,
said:
THE masses of the people are now
having the most of our ST., 100000 tarin
taxes and most of our State and local
taxes save in few States. Then. where
is the injustice of requiring the receivers
of incomes over $4,000 to equalize In some
measure these tax burdens by contrlout-
ing less than 500, 900 to the Federal
Treasury?
In regard to the objection that States
like New York, where great wealth has
been amassed, will be called upon to pay
an undue proportion of the tax, Mr.. Hull
said:
ut would be monstrous to say that the
receivers of great incomes which are
drawn from every section of the country
may segregate themselves, and upon the
plea of segregation or sectionalism sue
cessfully exempt their entire wealth from
taxation. They should invoke the plea
of segregation and not sectionalism.