Evening capital and Maryland gazette. (Annapolis, Md.) 1910-1922, 1918-03-11
1.-THE rich MANS WAR
A HATEFUL CAlUMNi"
American Business Men Ready to
Make Sacrifices With
out Stint.
TAXES HERE AND ABROAD.
American Taxation the Most Demo
cratic in the World.
BY OTTO n. KAHN.


Nothing is palmer lhan than huSi-
ness and business me-. had everythiYs
TO gain by preserving the conditions
which existed during the two and a
half years prior TO April, 1917, naer
which many of them 'uadc cry large
profits by furnishing supplies provi-
sions and financial aii TO the allied
nations. Taxes were light, and this
country was rapidly Iecomins the
great economic resers DIR of The world.
Nothing is plainc: tlan taat amy
sane business man In this country must
hive forvseen that, Ia America IN ered
the war. these profits would be n
mensely reduced and some of them
c., Of entirely, because our govern
m2I; would step in and take charge;
tla i; would cut prices rig, and left,
a>. in fast. IL has dane: tina cnormo is
burdens of taxation would have 90 be
imposed the bulk of which would nat
ulally he borne by the weli-to-do; in
short, that the unprecedented golden
flow into the Golfers of business was
bound 10 stop with our Joining the war,
or, at any rate, to be much diminished.
But it is said the big tinanciers 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 maneuvered
to get America into the war in order to
save their investments.
Proof That the Charge is Absurd.
A moments reelection win 81 ow the
utter ahsurdity of that charge. Let us
assume. for arguments sake. that the
allies had been defeated. Lei us make
the wildly improbable assumption that
they had defaulted for the time being
upon these foreign debts. the greater
part of which, by the way, is secured
by he deposits of collateral in the
shane of American railroad bonds and
stocks and of bonds of leutral coun-
tries, aggregating more than sufficient
I'm 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 In New York and the
east instead OF being distributed, as it
is, throughout the country.
Is it not perfectly manifest that n
single years American war taxation and
reduction of profits would take out of
the nockets of such assumed holders a
vastly greater sum than any possible
loss they could have suffered by a de-
fault on their allied bonds. not 20
mention the heavy taxation which is
bound TO follow the war for years to
come and the shrinkage of fortunes
through the decline of all American
securities in consequence of our en-
trance into the war?
Not only is the "rich mans war" an
| absurd myth; the charge is hateful
calumny.
BUSINESS men, great or small. are nc
| different from other Americans, anc
we reject the thought that any Ameri
can, rich or poor, would be capable Of
the hideous and dastardly plot Il
hiring mon his country the sorrows
and sufferings of war in order to en-
| rich himself. Business men are bound
10 he exceedingly heavy financial losers
| through Americas entrance into th'
war Every element If self-interes
!, should have caused them to use thei
utmost efforts to preserve America
| neutrality. from which they drew 81
| much profit during the two and hal
years before April, 1917. Every con
| sideration of personal advantage com
manded men of affairs TO stand viii
and support the agitation Of the peace
at-any-price" party. They spurne'
such ignoble reasoning; they rejected
| that utilization; they stood for wa
when it was no longer possible, will
safety and honor. to maintain peace
bc,;r ,e they are patriotic citizens
f., and business men afterwards.
our income Tax ard Taxes Abroad.
~ The largest incomes are taxed
far more heal iiy here tnan anywhere
else in the world.
The maximum rat" of income taxa
| tion here is g. per cent In England
ii is 42A per cent. ours is therefore
so per cent higher tlan England's, AM
the rate in England Is he highest pre-
yailing anywhere Ia -.urope. And il
addition 70 the federal tax we mus
bear in mind our ate and municipal
taxes.
(2.) Modera,e and sIaall incomes. 0.
the other hand az subject to IA
smaller rate az & alton here than Il
| ENGLAND