The Washington herald., 1914-05-18

BY Representative Warren Worth
Bailey, of Pennsylvania.
Longer strides have been made by the
Sixty-third Congress toward q rational
system of taxation than the country has
ever before witnessed since the enact
Underwood tariff in itself is tremendous
advance along rational lines, the free
list being the largest and most important
ever written into a revenue measure,
while the income tax provision, reaching
incomes at their source, is revolutionary
in its possibilities. Through the free
list indirect taxes are measurably cur
tailed; through the income tax direct
taxation is being secured on a larger
scale than nod been contemplated be-
fore in the United States
/ cannot say that the Democratic party
in the Sixty-third Congress has gone as
far as IT should have gone in the d.
rection of lessening the burdens on the
consuming masses and in shifting from
indirect to direct methods. But it has
made a long, long step away from an
old and vicious system. a system fraught
with almost endless possibilities of evil.
a system which infaIibly tended to build
up monopolies. to restrict production and
TO crush the masses under unrequited
burdens. -;
No sCompetitivco Tariff.
Mr.. Underwood has called his sched-
ules Competitive but in my language
there is no such thing as competitive"
tariff. Any tax on imports at all must be
protective in its effect on the home pro-
ductions Of like character. This is one
of the objections even to strictly
revenue tariff. unless such tariff be
laid upon articles not produced at all in
this country, such as tea and coffee.
According to my view of the Under
wood tariff is weak in those schedules
where relatively high rates are provided.
II is strong in those schedules where
the rates have been made low. 1t is
strongest in those schedules where in
reference with imports has been elimi-
mated altogether.
Until We arrive at the stage of direct
taxation. We must expect continuance
of the monstrous extravagances which
We are about to continue under a Demo
cratic administration. OF course, / real
izeis thar the activities of the Federal
government are being rapidly extended,
not always, it seems to me, with wis
dom or with a proper regard for true
economy. Little by little local self-gov-
ernment is abdicating to the Little Faith
er at Washington. Even the States are
in the way of surrendering their rights,
long jealously guarded, in order to pro-
mote the extension of Federal power
and Federal enterprise.
Old Landmarks Gone.
Many of the old landmarks for the
preservation of which We fought many
hard battles in the past, are being swept
away in the new movement, which aims
at the Capitalization Of all authority in
the nation This movement was stimu-
lated and encouraged by indirect tax
alton. Had the people who supported
this movement been apprised of its real
cost, as they would have been under
direct methods such as prevail in the
States and in our municipalities, it would
have been halted long ago and never
permitted to reach its present stage,
where millios are being appropriated out
Of the public treasury for the improve
ment of ordinary highways, for railway
building in Alaska, for the protection
of certain lands from overflow, for the
reclamation of arid regions and for many
enterprises, the pecuniary advantages of
which must infallibly accrue in enhanced
value to the owners of the lands af-
fected.
However, i am more than pleased with
the progress made by the Sixty-third
Congress toward what I conceive to be a
Just system. The people will not go back
to a high protective tariff II the low
tariff now in effect can be given a fair
chance to vindicate itself, as 1t will sure
ly do if not disturbed by a political con-
vulsion this fall We have not yet real
lied and we shall not for some time fully
realize the benefits of the lower rates
which became effective only six months
ago. Some relief, of course, has already
been experienced and greater relief will
follow as readjustments are made, and
as the grip of monopoly is gradually re-
laxed through the force of freer and
wider competition.
Effect of Income Tax.
And it is my belief that the income tax
is going to have a wholesome influence in
deterring some of the extravagances
which have long challenged thoughtful
public opinion Income tax bills have
not yet been presented and therefore the
income tax is in a sense an unknown and
an unfelt quantity. But II will make it.
self keenly felt when the bills are pVe-
scented and when payment must be made |
When taxes are paid unwittingly. a little |
here, a little there and a little somewhere
else, whenever a purchase Is made. slight |
complaint is heard. We hear only of
hard times" without appreciating the
cause, with realizing that the hard
times" are hut another name for oppres-
sive and destructive taxation. But when
the hill comes in as direct levy on the
Individual purse il is very different
thing. and there will be the same pro-
test agains. lavish expenditures on Fed
eral account as we are all familiar with
where local expenditures are concerned.
So. altogether. am highly pleased and
greatly encouraged. Here in the District
of Columbia serious consideration has
been and is being given to propositions
looking to the untaxing of industry.
Whether any actual Accomplishment
along this line shall be reached or not
is relatively immateriaL The important
and vividly significant fact is that serious
attention has been given by Congress.
by the people of Washington and by the
local newspapers to the idea Of appro-
priating land values to meet the public
charges rather than levying upon private
property for this purpose. More and more
clearly II is being realized that land
values are public values and by every
law Of reason and morals these values |
should be taken for public uses, allow |
ing private property to remain In the |
possession of those to whom 1t belongs |
Capt. E. L. Mills. of the sharpshootss. |
sailing from Ocaia. Fla, In planning TO |
name his new steamer the HeIkat. . COM |