Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1919-05-20
ever friends whore necessities we seek
In the right way 10 serve.
World Needs Ships,

ever friends whore necessities we seek
| In the right way 10 serve.
World Needs Ships.
Our new merchant ships, which
have In some quarters been feared as
! destructive rivals. may prove helpfui
rivals, rather. and common servants,
very much needed and very welcome,
Our great shipyards. new and old. will
be so opened 10 the use Of the world
that they will prove Immensely SER
vceablc to every maritime people in
restoring much moro rapidly than
would otherwise have been possible
the tonnage wantouly destroyed In the
war I have only to suggest that there
are many points at which we can facil-
itate American enterprise In foreign
trade by. opportunc legislation and
make II easy for American merchants
to go where they will be welcomed as
friends rather than as dreaded antag-
onists. America has great and hon
orable service to perform I'm bringing
the commercial and industrial under
takings OF the world back to their old
scope and swing again. and putting a
solid structure of credit under them.
All our legislation should be friendly
to such plans and purposes.
! Taxation Legislation.
/ "And credit and enterprise alike will
be quickened by timely and helpful
legislation with regard 10 taxation. I
hope that thescongress will find it pos
sible to undertake an early reconsi-
deration of federal taxes in order TO
make our system of taxation moro
simple and easy OF administration and
the taxes themselves as little burden
some as they can be made and yet suf-
flee to support the government and
meet all obligations. The figures to
which these obligations have arisen
are very great indeed. but they are not
so great as to make 1t difficult for the
nation to meet them and meet them.
perhaps. in a single generation, by
taxes which will neither crush nor dis
courage. These are not so great as
they seem. not so great as the immense
sums we have had 10 borrow, added to
the immense sums we have had to raise
by taxation, would seem to indicate;
! for very large proportion Of these
sums were raised In order that they
might be loaned TO the governments
with which we were associated In the
war; and those loans will. Of course.
constitute assets. not liabilities. and
will not have to he taken care of by
our taxpayers. The main thing VIC
shall have to care for Is that our tax
alton shall rest as lightly as possible
on the productive resources OF the
country, that it's rates shall be stable.
and that it shall be constant in its
revenue yielding power. We have
found the main sources from which it
must be drawn. take it for granta1
that its mainstays viii henceforth be
the income tax. the excess profits tax
land ithe estate tax. All these can so
| be adjusted to yield constant and adj
equate returns and yet not constitute
| a too greyious burden on the taxpayer.
(! A revision of the income tax has al
ready been provided for by the act of
1918. but ] think you will find that fur
ther changes can he made to advan-
tage both in the rates of tax and the
method of it's collection. The excess
profits tax need not long be 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 for permanent system
which will reach undue profits with
tout discouraging the enterprise and
activity of our business men. The tax
! on inheritances ought, no dougt, to be
recOnsidered in it's relation to the fiscal
systems of the several states. but it
certainly ought to remain a permanent
| part of the fiscal system of the federal
government also.
| Put Minor Taxes In Discard.
Many Of the minor taxes provided
1 for in the revenue legislation Of 1917
and 1918. tho no doubt made necessary
| by the pressing necessities of war
| time. could hardly find sufficient JUS
tification under the easier circum-
stances of peace and can now happily
be got rid Of. Among these, hope
you wilragree. are the excise upon va
rious manufacturers and the taxes
upon retail sales. They are unequal in
| the incidents .on different industries
land on different individuals Their
I; collection is difficult and expensive.
!. Those which are levied upon articles
sold at retail are largely evaded by the
REIMBURSEMENT of retail prices. On the
other hand. ] should assume that it is
! expedi61t to maintain considerable
range of indirect taxes: and the fact
THAT alcoholic liquors will present
no longer afford a source of revenue by
taxation makes 1t the more necessary
that the field should be carefully re-
studied in order that Equivalent sources
| OF revenue may be found which it NAV
| be legitimate and not burdensome to
| draw upon. But you have at hand in
the treasury department many experts
who can advise you upon the matters
I rluch better than ran can only
| suggest the lines of permanent and
workable system. and the placing of
1.-THE taxes where they will least hamp-
er the life of the people.
/. Pleads for Democratic Tariff.
| There is. fortunately. no occasion for
the undertaking in the immediate
future any general revision of our sys-
item of import duties. No serious dan
ger of foreign competition now
Threatens American industries. Our
tcountry has merged frSm the war less
fdisturbed and less weakened than any
of the European countries which are,
/ our competitors In manufacture.
] Their industrial establi lishments have
been subjected to greater strain than
ours. their labor force to a more SER
ious disorganization, and this is clear
| ~ not the time to seek an organized
advantage. The work Of mere re-
construction WILL am afraid, tax the
capacity and the resources Of their
| people for years to come. So far from
itheir being any danger or need OF ac-
! centuated foreign competition. II is