The Washington herald., 1914-12-08
Taxation and the Constitution.

Ex-senator Depew IN recent address said that
when the income tax amendment was before the
Senate he asked some of its advocates why they
wanted If. Their reply was: Because with an
income tax we can make your State of New York
pay one-half the expenses of the Federal govern
|ment, and New England, New Jersey, Pennsyl-
vania, Ohio, and Illinois pay the other half"
Whether those Senators spoke in jest or in earnest
they did not miss the figures very far as recorded
by the Commissioner of Internal Revenue New
York paid more than one-fourth of the whole in
come tax and one-half the individual income tax.
New York and the other States named paid two
thirds of the whole income tax, or $47,oooooo out
of total of $7I.ooo.ooo.
Had the Senators substituted Indiana, Michi-
gan, Wisconsin, Minnesota and Missouri for Maine,
New Hampshire, Vermont Rhode Island and Con-
necticut, and then added California, to make one
fourth of the States which might not want an in
come tax, but would be compelled to bear the
principal burden of taxation by that method, the
figures would have been more nearly in keeping
with the expectation of the advocates of the income
tax. Those twelve States, Massachusetts,, New
York, New Jersey, Pennsylvania, Ohio, Indiana,
Illinois, Michigan, Wisconsin, Minnesota, Missouri
and California paid $57oooooo of the total income
tax or more than three-fourths, leaving less than
onefourth to be paid by the other thrtysix States.
income tax leaving S. of that tax to be paid
by the other thirty-six States.
Wisconsin is the only State in this group which
has an income tax to raise revenues for the State,
and the people in the other eleven States have their
incomes taxed only for the support of the Federal
government. The agricultural States of the South
and West are entirely satisfied with the Federal
income tax. They pay comparatively little OF 1t.
The advocates of national prohibition assert that
the revenues take the place of those now collect
ed under the internal revenue laws could be easily
supplied by the income tax That would mean the
addition of more than 100000 900 to the present
income tax or total of nearly S3ooooo,ooo to be
raised by that method of taxation If this additional
income tax should be paid in the same proportion
as that of last year the twelve States would pay
S2zs 100000 and the other thrty-six States $75ooo
ooo The people in these twelve States might OBJ
ject that such taxation discrimination, but
they could not help themselves if their Senators and
Representatives voted to submit the prohibition
amendment to the States. The other thirty-six
States could ratify the amendment and keep it for
ever as part of the Constitution. That is one Of
the apparent contradictions in our government as
the Constitution is interpreted by the advocates OF
the prohibition amendment They insist that the
only function of Congress in connection with an
amendment to the Constitution is to submit It to
the States on the theory that it is referendum to
the people But these twelve States, with more
than one half the population of the United States
and two-thirds OF the industry and wealth. could
not reject a Constitutional amendment submitted
by Congress, although they could elect House OF
Representatives. They have only 254 OF the 53I
Presidential electors but 23o of the ABS Representa-
tives. They could also elect President by popu-
lar vote-if we ever adopt that method of electing
the President-and did poll majority of the votes
in the last Presidential election. There must
therefore, be something wrong with the argument
that all Congress has to do is to submit the Con-
stitutional amendment to the people. The error in
that argument is that Congress does not submit
Constitutional amendment to the people at all. 1t
is submitted to the States and each State has one
vote whether it is New York, with 100000 people,
or Nevada with 10000 people. By such an interpre-
tation of the Constitution, the majority of the
people would have twelve votes and sthe minority
thirty-six votes in changing the Constitution For
tunately, the function of Congress is greater than
the mere reference of amendments to the States
1t is in the House Of Representatives that the large
States have their representation to protect the in
terest of those States in amending the Constitu-
ton as we'll as in legislation. Senator Depew's
story of the income tax is applicable.