The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1913-04-26
Proposed Income Tax Will Re.
Iieve Big Burden.
Poorer People Contribute More
in Nearly Every State.
NO FEAR To HONEST MAN
Representative Hull Explains
Bill in Congress.
"It Will BE Permanent" He
Promises the Nation.

Washington, April 26.-A comprehen-
sive analysis of the income tax by
Representative Hull, of Tennessee, its
author featured today's general con-
ference on the tariff in the house. 9th
er speakers were on the program for
discussion of the tariff itself
Mr.. Hull replied today to humorous
comments upon provisions of the in
come tax. To the suggestion that If is
class legislation and a distinction be-
tween citizens of large means and
those without particular means. he an
swered that its purpose was to reach
for taxation those who have escaped
taxes and who are most able to bear
them.
He declared the masses of the peo-
pie were paying most of the $312, ,0o0,-
600 tariff taxes and most of the state
and local taxes save in a few states.
Where, then,' he asked, lis the in
justice of requiring the receivers of
incomes more than $4,000 to equalize
in some measure these tax burdens
by contributing less than $100, 900, 900
to the federal treasury?
1T would be monstrous," he said,
ito say that the receivers of great in
comes, drawn from every section of
the country, may segregate themselves
and upon the plea of segregation or
sectionalism, successfully exempt their
entire wealth from taxation They
should invoke the plan of segregation
and not sectionalism.'
Fair and Productive Tax.
The tax, he said, is fair and produce
tive, responsive to changes in rates,
and cheap of collection. No honest tax
payers had anything to fear he said.
was upon THRIFT, industry and profits.
Mr.. Hull replied that the tariff was a
tax upon consumption, want and even
poverty and misery, and added that the
proposed income tax was measured by
net profits or gains and not imposed
upon gross income nor capital nor
other property.
He characterized the income tax as
the outgrowth of centuries of tax leg
islation throughout the world. Vic
Tins of intangible and invisible
tariff taxes with all their features of
spoliation and plunder, will welcome
the proposed tax. The receivers of large
incomes and owners of great wealth
should prepare to accept it as per-
manent tax, for it has come to stay.
Its effect will be to displace about
$70,000,00O derived from vicious Gus
tom taxation to the end that this
country may have in the future JUS
tice in taxation, flexibility and stabil-
ity of revenue and economy in expen-
diture." Mr.. Hull said he had receiv-
ed from policy holders of mutual in
surance companies circular letters is
sued by the companies designed to
frighten them into the belief that the
proposed one per cent tax upon the
net incomes of the companies would
10 the policy holders injury and carry
ing veiled threats to increase the pre-
nliums.
"These companies" said Mr.. Hull,
well know there is no purpose to tax
the proceeds of life insurance policies
nor the return of any amount of the
principal invested in insurance during
life for business purposes but only the
gains and profits that arise from the
same. The tax would not in the least
include the amount of the premiums
under any theory of fair dealing