Vernon County censor. [volume] (Viroqua, Wis.) 1865-1955, 1919-05-28

coined as friends rather than as
dreaded antagonists. America has
great and honorable service to per-
form in bringing the commercial
and Industrial undertakings OF the
world back to their old scope and
swing again. and putting a solid
structure of credit under them. Our
legislation should be friendly to such
plans and purposes.
"And credit and enterprise alike VIII
be quIckened by timely and helpful
legislation with regard to taxation. l
hope that the congress viii find 1t pos
sible to undertake an early reconsld-
Grafton of federal taxes, in order to
make our system of taxation more sim
pie and easy of administration and the
taxes themselves as little burdensome
as they can be made and yet suffice
to support the government and meet
all it's obligations. The figures to
which these obligations have arisen
are very great indeed, but they are not
so great as to make II difficult for the
nation 10 meet them, and meet them,
perhaps. in a single generation, by
taxes WHICH win neither crush nor dis
courage. They are not so great as
they seem. not so great as the i'm
mense sums we have had to borrow,
added to the immense sums we have
had to raise by taxation, would seem
to Indicate; for very. large proper
ton Of these sums were raised In order
! fhgf thou he 1nanad n tho
ernments with which we were associ-
ated In the war, and those loans will,
of course, constitute assets, not llabil-
tiles and win not have to be taken
care Of by our taxpayers.
Equitable Taxation.
"The main thing we shall have TO
care for is that our taxation shall rest
az lightly as possible on the productive
resources of the country, that its rates
shall be stable, and that ii shall be
constant In It's accommodating pow
er. We have found the main sources
from which 1t must be drawn. / take
1t for granted that its mainstays will
henceforth be the income tax, the ex-
cess profits tax and the estate tax. All
these can be so adjusted to yield con-
slant and adequate returns and yet
not constitute too grievOus burden
on the taxpayer. A revision of the in
come tax has already been provided for
by the act of 1918, but think you will
find that further changes can be made
to advantage both in the rates Of the
tax and in the method Of it's collection.
The excess profits tax need not long
he maintained at the rates which were
necessary while the enormous expense
of the war had to be borne; but it
should be made the basis of perma-
nent system which win reach undue
profits without discouraging the enter
prise and activity of our business men.
The tax on lnheritances ought, no
doubt, to be reconsidered in It's rela-
ton to the fiscal systems of the sew
eral states, but ii certainly ought to
remain permanent part of the fiscal
system of the federal government also.
MANY of the minor taxes provided
for in the revenue legislation Of 1917
and 1913. though no doubt made neces-
sary by the pressing necessities of the
war time, can hardly find sufficient
justification under the easier circum-
stances of peace, and can now happily
be got rid of, Among these, hope you
will agree, are the excuses upon vari.
Gus manufactures and the taxes upon
retail sales. They are unequal in the
incidence on different industries and
on different individuals. Their collec
{ ton is difficult and expensive. Those
which are levied upon articles sold al
retail are largely evaded by the read
/ justment of retail prices. On the Other
T hand. l should assume that it is ex
pedient to maintain a cOnsiderabl,
range of indirect taxes; and the fact
] that alcoholic liquors viii presently
no longer afford source of revenu,
by taxation makes 1t the more neces
2 sary that the field should be carefully
+ restudied in order that equivalent
J sources of revenue may be founC
! which IL viii be legitimate, and n0
burdensOme, to draw upon. But yol
: have at hand In the treasury depart
+ ment mauy experts who can advise
g you upon the matters much better thar
l l can. l can only suggest the lines o
$ a permanent and workable system
J and the placing of the taxes wher,
I they will least hamper the life of tn,
!. people.
a There is. fortunately, no occasion
[ for undertaking in the immediate flu
$ ture, any general revision of our sys
= tenn of import duties. No serious dan
e ger of foreign competition now threat
S ems American industries. Our countr.
r has emerged from the war less dis
Il turhed and less weakened than any o
d the European countries which are on
IS competitors in manufacture. So fa
r from there being any danger or nee,
e of accentuated foreign competition,
g is likely thar the conditions of tn
; next few years will greatly facilitat
a the marketing of American manufaC
r lures abroad. Least of all should W
y depart from the policy adopted in I'll
e tariff act of 1913. of permitting tn
/ free entry into the United States o
n the raw materials needed to supple
Is mcnt and enrich our own abundan
II supplies.
Nevertheless. there are parts Of on
tariff system which need prompt a
h tention. The experiences of the wa
IS have made IL plain that in some case
II too great reliance on foreign supply
Is dangerous, and that in determinin