Every evening, Wilmington daily commercial., 1922-06-08
THURSDAY, JUNE s. 1922.
EVIDENTLY A FAULTY SYSTEM

EVIDENTLY A FAULTY SYSTEM.
IL In somewhat startling TO learn |
that President Harding has asked the |
Congress to appropriate the large sum
Of s2s.si,.5oo for the purpose OF re-
funding income and other taxes that
were paid by taxables in excess OF the
amounts legally due by them. In tax
payments 10 the Federal government
the victims, "a a rule. are compelled
10 pay what 10 demanded OF them by
the officials, no matter how they may
protest, and depend upon future ac-
ton for rcfunding In the event they
are compelled to overpay.
In his message to tho Congress,
President Harding included the re-
port OF Director Roop of the Budget.
which said The commissioner OF in
tcrnal revenue estimates the claims
for refundinE OF taxes. chargeable TO
the appropriation 'refunding taxes a.
legally collected. 1871 will be settled
and approved for payment during the
fiscal year 1929 as follows: Income
tax, $4,000. 900; sales tax, si.5oo.ooo:
estate tax. st2.0oo,ooo: capital stock
tax. 100000; child labor tax, $500;
prohibition, 100000; tobacco, $1,000;
miscellaneous. $4,000; total, S2s.s14,-
Boo. To meet these claims there will
be available only the unexponded bal
ance OF s692 200. leaving balance
required OF s?s.is2. SEQ, which is the
amount OF the estimate herewith sub
mitted. The submission OF this esti-
mate at this time IA considered urgent
and necessary so that there may be
no delay in returning to taxpayers of
amounts due them on account OF taxes
found to have been enormously paid
60 the government"
OF course. 81 is impossible TO oper-
ate such "A vast financial machine as
the taxing department Of a great gov
ernmcnt without mistakes. The enor-
mous number OF accounts and the
rnmifcatiou OF the laws demands
are OF themselves a bar TO complete
accuracy, but the huge extent OF the
overpayments inevitably points Il
serious defects In the provisions o.
the law.
Complaints about the difficulty o
comprehending the blanks prepares
by the department officials for incom'
returns are universal. and the situa
tion has not only been thoroughly dis
cusscd. bu, subjected TO keen sarcasm
and oceans Of ridicuie. The intrica
cics and perpiexities OF the reportinI
requirements are fairly astounding.
And when we see how vast a sur
Of money was unjustly collected fror
0nbles In a single year. the neccs
sity for q reform In the direction c
pla.nness and sinplinca;ion cannot b
doubted.
The income tax Is a fair tax. II
here 20 stay. But It's imposition shoul
be made as plain as possible, so ths
all nxnbles may understand what
required OF them without employin
the aid Of expert accountants. Tn
resort In considered necessary by tho.
whose incomes rise above ordinar
ngurcs. TAIpaying is Of itself su
nciently unpleasant duty. witho'
having .he process OF payment n
only involved IN extraordinary di
ncultie.. but accompanied by freQue
act. OF injustice IN the compulso
payment Of more money than il just
due by the taxabies. Here Is NJ
field for reform, which should
avniied OF. without further delay.
the officials OF this important dspar
mens Of the government. A simp
ficd system no doubt would large
rcducs costa OF assessment and c.
lection. as well aA relieve the people
undue trouble and imposition.