Fitzgerald leader enterprise and press. (Fitzgerald, Ben Hill County, Ga.) 1921-1964, 1921-05-09

sion.
TO PUT THE BURDEN ON THE POOR
MANA well organized movement is under way
to repeal the excess profits taxes and make the
income tax lighter on big incomes and to replace
the revenues gained from these sources by plac-
ing tax on sales. The Leader is already recciv-
ing regular lnstallments OF propaganda under
various guiseS which paint in shrieking colors the
horrors OF the excess profits taxes and sing
sweet melody OF praises for the sales tax system
which is being experimental with in France,
Mexico and Canada.
AS a matter of fact, the sales tax in France has
thus far proved to be a miserable failure Less
than half of the estimated income has accrued
from the tax. The system is necessarily compli-
Gated and the law is even more difficult to comply
with than the present income and excess profits
taxes. And aside from its superficial weakness
the sales tax places the burden of government on
the poorer classes directly instead of on the class
es which own most of the taxable wealth and own
1t IN greater amounts than they can very well
use.
a local business man and inancer comment
ing on the two types of tax several months ago
declared himself in favor of the present system.
IF l make the money" he said, 81 don't mind
paying tax on it but would dislike very much
to pay the same proportonate amount of tax
when | am losing money" He was one of Fitz-
geralds wealthiest men,
The class of people that are advocating the
sales tax is the class of captains of finance and
industry largely conferred in the eastern states
who have little direct dealing with the consum-
ing public and whose profits would not be affect
ed by increases in the cost of goods to the actual
consumers This class of people has the means
to conduct expensive campaigns of propaganda
The plain people and the small business men can
not spend huge sums on propaganda and in en-
ploylng lobbyists to press unwanted legislation
through the halls of congress- Only in the "un-
kept press of the nation does this class find
friend and defender
ne argument that the excess profits tax is
eventually passed along to the consumer just the
same as the sales tax is placed on him directly is
speclons argument. The only way the tax can be
avoided is Tor the extremely rich people to make
less money to give the consumer the benefit of
lower prices, or for these very rich people to re-
invest their profits by taking them in stock dvi-
dends, which have recently been declared by the
Supreme Court not to be liable to excess profits
tax This means stimulus to industrial expan-
Sion Uncle Sam simply puts in one pile the
money that has in past years been spent on pet
monkeys and extra steam yachts and harems and
speculation and other things. Uncle Sam saws,
You can either put that money back into your
legitimate business to produce more goods and
give more people employment and expand Ameri-
can industry and ultimately give me more nation
al wealth on which to collect taxes or else YOU
can pay it to me in taxes now"
A tax on production is always more scientific
than tax consumption. Production will all
ways equal demand, will equal consumption The
correct economic principle is to stimulate con
sumption and not to check it by taxing it. If the
demand exists, the goods will be produced Let
production bear the burden of taxation Govern
ment, in its last analysis, now functions largely
= protect production, to guarantee property
rights and that sort of thing Then let the great
est beneficiary pay for what it is getting.
Don't let your congressman and senators get
wrong on this sales tax proposition, voters of
Ben Hill county We've got the system of taxa
ton want right now We don't want taxes
SO Internally heavy. We had much rather dis
pense with such Injuries as gifts of S25OOOOO0
to little nations to buy their good will, and Incl
dentally oil rights for John D. And we are per-
tectly willing to dispense with other little luxur