Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1915-12-09

throughout this year and the next,
however. there would be balance in
the treasury of some $T6,60O,0OO at
the end Of the present fiscal year and
deficit at the end of the next year of
only some $5O,O0O,OOO. or, reckoning in
$62 100000 for deficiency nppropria
lions and n safe treasury balance at
the end Of the year, total deficit Of
some S112,OOO,0OO. The obvious moral
Of the figures is that it is Il plain coun-
sci OF prudence to continue # the
present taxes or their equiv. .u, and
contlne ourselves to the p., .rm of
providing $112,OOO,OoO of new revenue
rather than $2S7 100000.
How shalt we obtai'. the new rev.
enue? We are frequently reminded
that there are many millions Of bonds
which the treasury is authorized under
existing law to sell to reimburse the
sums paid out Of current revenues for
the construction Of the Panama canal,
and 1t is true that bonds for the
amount Of 5000, 432 900 are now avail.
able for that purpose. Prior to 1918
$13S,000,000 Of these bonds had &C.
tually beei sold to recoup the expendi-
lures at the isthmus, and now con-
stitutc considerable item of the pub.
lie debt But l for one do not believe
thst the people of this country approve
Of postroning the payment Of their
bill-. Borrowing money is shortsight-
ed finance. 1t can be justified only
wher permanent things are to be ac-
complish>d which many generations
seems hardly fair that single genera
ton should pay for The objects we
are now proposing to spend money for
cannot be so classified. except in the
sense that everything wisely done may
be said to be done in the interest OF
posterity as well as in our own. 1t
seems to me a clear dictate Of pru-
dent craftsmanship and frank finance
that in what we are now, hope, about
to undertake we should pay as we CO.
The people OF the country are entitled
to know Just what burdens Of taxation
they are to carry and to know from
the outset now. The new bills should
be paid by internal taxation.
To what sources. then, shall we
turn? This is so peculiarly question
which the gentlemen Of the house of
representatives are expected under the
constitution to propose an answer to
that you will hardly expect me to do
more than discuss it in very general
terms We should be following an al.
most universal example of modern
governments if we were to draw the
greater part or even the whole OF the
revenues we need from the income
taxes. BY somewhat lowering the pres.
ent limits of exemption and the figure
at which the surtax shall begin to be
imposed and by increasing, step by step.
throughout the present graduation the
surtax itself, the income taxes as at
present apportioned would yield sums
sufficient to balance the books of the
treasury at the end of the fiscal year
1917 without anywhere making the
burden unreasonably or oppressively
heavy. The precise reckonings are
fully and accurately set out in the re-
port of the secretary Of the treasury
which will be Immediately laid before
you.
And there are many additional
sources of revenue which can justly be
resorted to without hampering the in.
dustries Of the country or putting any
too great charge upon individual ex.
penditure Al cent tax per gallon
on gasoline and naphtha would yield.
at the present estimated production.
$10OOO,OOO. n tax Of so cents per horse
power on automobiles and internal ex.
plosion engines $15OOO.O0O, n stamp
tax on bank checks probably $1S,OOO,-
600, tax of % cents per ton on pig
iron $lu,CG1Ho, tax ol - cents per
ton on fabricated iron and steel proba-
bly, $1OOO0,O0O. In country Of great
Industries like this it ought to be easy
to distribute the burdens of taxation
without making them anywhere bear
too heavily or too exclusively upon any
one set Of persons or undertakings.
What Is clear is that the industry Of
this generation should pay the bills Of
this generation.
NATIONS SECRET FOES