The Idaho recorder. [volume] (Salmon City, Idaho) 1886-1927, 1918-03-29
American Business Men Ready to
Make Sacrifices With
out Stint.
TAXES HERE AND ABROAD.
American Taxation the Most Demo-
cratic in the World.
BY orro n. KAHN.

to gain by preserving the conditions
which existed during the two and
half years prior to April, 1917, under
which many of them made very larN
profits by furnishing supplies. proyi
sions and financial aid to the allied
nations. Taxes were light. and this
country was rapidly becoming the
great economic reservoir of the world.
Nothing Is palmer than that any sane
business man in this country must have
foreseen that, if America entered the
war, these profits would be immensely
reduced and some of them cut of en-
tirely, because our government would
step in and take charge; that il would
cut prices right and left, as, in fact, II
has done; that enormous burdens of
taxation would have to be imposed, the
bulk of which would naturally be borne
by the well-to-do in short, that the I'M
precedented golden flow into the cot
fers of business was bound to stop with
our joining the war, or, at any rate, to
be much diminished.
But it is said the big fnanciers OF
New York were afraid that the money
loaned by them to the allied nations
might be lost If these nations were de.
feated, and therefore they Unanswered
to get America into the war in order to
save their investments.
Proof That the Charge Is Absurd.
A moments reelection will show the
utter absurdity OF that charge. Let MS
assume, for arguments sake, that the
allies had been defeated. Let us make
the wildly improbable assumption thai
they haa defaulted for the time being
upon these foreign debts, the greatel
part of which, by the way, is secured
| by the deposits Of collateral in the
| shape Of American railroad bonds and
tries, aggrcgating more than sufficient
| in value TO cover these debts. Let US
assume that the entire amount Of al
lied bonds placed in America had been
held by rich men i'll New York and the
east instead of being distributed, as it
is, throughout the country.
Is ii not perfectly manifest that o
| z;,,,Io ,.oo,'S N,,,nr;r,,, x,.or toNottnp NJ
reduction of profits would take out OF
the pockets of such assumed holders n
vastly greater sum than any possible
loss they could have suffered by de
fault on their allied bonds, not to men
ton the heavy taxation which is bound
to follow the wal for years TO come
and the shrinkage of fortunes through
the decline of all American securities
in consequence of our entrance into the
war?
Not only is the rich mans war" an
absurd myth; the charge is a hateful
calumny.
Business men, great or small, are no
/ different from other Americans, and
we reject the thought that any Amerl-
can, rich or poor, would be capable OF
the hideous and dastardly plot to
bring upon his country the sorrows
and sufferings of war in order to en-
rich himself. Business men are bound
to be exceedingly heavy financial losers
through Americas entrance into the
war. Every element of sclf-interes;
should have caused them to use their
utmost efforts to preserve Americas
neutrality, from which they drew So
much profit during the two and hall
years before April, 1917. Every con,
sideration of personal advantage com
manded men of affairs to stand witt
and support the ngitStion of the peace
at-any-price" party. They spurned
such ignoble reasoning; they rejected
that afiIiation; they stood for war
when It was no longer possible, with
safety and honor, TO maintain peace,
because they are patriotic citizens
first and business men afterwards.
Our Income Tax and Taxes Abroad
~ The largest incomes are taxed
far more heavily here than anywhere
else in the world.
The maximum rate of incomS taxa
ton here is 81 per cent. In England
1t is 42ii per ce1t. Ours Is therefor,
80 per cent. higher than England's. ant
the rate in England is the highest Pc
,ailing anywhere in Europe. AM ia