Pierre weekly free press. (Pierre, S.D.) 1889-19??, 1917-07-19
SPECIAL TAX, OR AT
TACkS ON NEWSPAPERS

' 80 '
From the New York Times.
The newspaper business. like any other,
should pay it's just proportion of the costs
Of government. 1t always has. News
papers pay taxes upon their real estate.
they pay corporation taxes. they are sub
ject to the federal corporation income
TAX. The money they pay out for print
paper. ink.and other materials goes to pay
the taxes of the producers thereof. News
papers have never been favored by exemp-
ton from taxes. They have no desire to
be so favored.
What has put into the heads Of some
senators and representatives the notion
that should be singled out
as a subject Of special taxation. put in a
class apart from all other corporations
and property owners, and made to pay
taxes not levied upon other similar in
dustries? The house committee proposed
an increase in second class postage rates
that would have been not merely burden
some but practically prohibitory upon
newspaper circulation in parts Of the
country remote from the seat Of publica-
ton. There was an attempt to justify this
proposed increase by the assertion that
the present second class rate does not pay
the cost of transportation, that the news
papers are for this reason actually in
debt to the government or under obliga-
lions to it. Apart from questions of fact
involved, as 10 WHICH IHSTC Is room IOT
much dispute, the obligation is quite the
other way. The newspapers of the coun-
try perform services for the government
that cannot be measured in money terms.
They disseminate information, they make
the governments policies known to the
people, they make daily contributions to
che stock of public knowledge, they raise
the level of public intelligence. They
directly and powerfully assist the govern
rnent in its. appeals to the spirit and pa
triotism of the people-as in the great part
they played in the recent campaign for
the Liberty loan. Nevertheless, no news
paper wants to be in debt to the govern
nent. If the second class postal rates
Of newspapers are not remunerative let
the government determine the actual cost
of newspaper transportation, apart from
the cost of transporting magazines and
other periodicals, which is an entirely diff
ferert matter, and fix. the charge accord
ingly. The newspapers will not complain
. of that
The proposed 2 per cent tax upon adver-
Using receipts was another venture in
special taxation upon newspapers. 1t was
without any basis In justice or sound
theory. 1t singled out the as
if for punishment. 1t was not proposed
that n like tax should be laid upon any
other business. Now the Senate commit
tee has under consideration an excess
profits tax upon newspapers, progressive
III q OeSfee WHICH WOuiO make It BURDEN
some in the extreme. This tax seems to
have been based upon the theory that
newspapers are a wal industry. That
theory has no foundation whatever. The
business receipts OF many newspapers
may IA . been increased during the war.
but so have their expenses. The increase
vas due more to industry and courage
and enterprise than to war. 1t liz proba-
bly, true that the war itself has not
directly increased the property value of
newspapers. milk munition plants. they
make nothing that is directly used for
war purposes. II an industry is to be
taxed on war profits. 1t must be shown
that the profits nave accrued from war
sales. There is no shadow of Justification
for putting newspapers IN a class with
factories turning QUA rifles. powders.
shells and cannon.
The newspapers of the country are loyal,
they have always been willing to suppor
the government They are entirely willing
TO support It now, they viii give freely OF
their profits and their substance to en-
able the government to pay the costs OF
war, but they see no justice in the attempt
b single them out for special rider
heavier by far han those imposed upon
the majority Of other Industries. The corr