New-York tribune., 1922-12-10

..,,;etors or partnerships.
'''p p,.,,,led 70 Ike considera-
y y .lmilar treatment.
- -. .een. individual prOprie-
~, rs,~ r.s'r,nsrships are taxed upon
80 ose, Sor al. and afterwnrd
t tf0D's .,,m n the business or take
~ '' NV please. Their tax
sui, o W. .,eess Of personal ox-
49, ~ ~, year arc tskea : y ~ ts~ ~
he pssla "a 300 bear o normal norma s,,,,a,ss san 81
y iboye s'S 80 the regular surtaNes. .
I ~ cent, ,',~ IN Il taxed l2i4 per cent sl
a, ferpof-...tti. income, and eny as
- l,s taAsp,s, a,., ircome 90 its individ-
,.ts.ion Of -. saxed again upon
pil ''cs ssno'., We FOR furifH, 49, ~ s"' .nd m
lis nn.ss ns IIadiyidcal pfoplI''ttib p,I' tbs effect
tcae o. In other WeIos sne 49,
ssrlnsFIa p. -. !. soias business rs
I this; Paiu.' igis per cent tax on
,sYporation psy n ne business IN.
,ss pet esrnli1ss cent or per cent
l'es4 " 80 which indis ias.5 - ihe same
ref'asl .,,,,nn,r'hips ,,n psy, ere. sss an their
snd paI'..' Az. ne lsi,ef' W. w" "3ividends
,urtiae;, ,.a,, p t ,is corporation o'''''"O''
',,oal po;d From Farming
kltsosga .,,.r w. aid es sven pioPsets,g s.s
sios % an s...,'.ion -independent, OF rs
,sbjeei Q vi az evident that All taxes
.toekboloel.f+ .ion como out Of earn
IA b . 81 81 destined FOR the stock
lafy 20, ~sIie moderate taxes may
toldffs,, ~ t5 =. Compensation Tor cor
sf jrftiI.s-s., 49,. Il is evident that they
fefaie pi5i,rse taxation, and 60 that
lrIol,s s..asiise tae use Of TIE corporate
ss'snti yiii Moreover, heavy taNe-
sifa' .s'.. ',.,.,soration earnings is neon
20 y ~ he whole scheme OF gtndu-
f'''.en, ,.,',- .''- for it falls 90 the same
sisi .. -. .,oekholders with small in
ne ~ rson stockholders with large
i',s.,e 81. ,se.srslus. op undisturbed prohts'
..,.,ratlons. couitably belongs IN
= ..,fs.~rtiohs 20 the small and large
a. st',s,r, according 10 their hold
~. Tie individual proprietor OF
Of a partnership withdraws
l..St. fron the business or not as
n, .is case, bat has paid the sur
49, Il which be is subject. The cor
..,.., navs I2ia DER cent, but no
l. l....rss for the reason already shown
M imposition Of graduated sur
/. -, rron corporations would be man
,s...,s grfair 90 the small stockholder
y 4, rocknolder Of small income.
y 4, gfdastcd scheme Of taxation
4 ~. hfayy t1yes upon corporation
..,.i,g, on surolus arc ali wrong. The
..f.s N eorporauons should be taxed
:. i,v srr distributed 20 The stock
80. seeofdIrg 90 the t0tal incomes
n n, several stockholders. i.
~ srrament for the taxation OF
..,..,,,,oa surplus is that II cor
..,,eers were permitted to .accumu-
Il. ssr,lngs in thoir treasures indeti-
80, ar 10 invest them outside Of the
i-srsU ,te stockholders subject 70
,-tszs would escape The payment Of
tier % iong a. this policy was fol-
t.rel Whenever the distribution Of
fsuorste ,srhings occurred they would
h Nsbie lor the surfaces. but the dis
tylhr,on rlrbt De- po tp0ned
0r as e,ho band, ID would not be
f,,lrts % empoi corporations in
d,tr.nns.ty % divide all their earn
ms rfcnpig Every growing busi-
te,s e fsraa6ily requiring more cap
iiil ard j. is ire common practice
nj lnlg of eorporatious but Of indiyid-
tis irl mnncr hips Co allow q por-
iis1 ei their earnings to remain in
iAs basintis each year for its develop
fert