The Telegraph-courier. [volume] (Kenosha, Wis.) 1888-1946, 1925-07-16
THE BANK TAX VETO.

The vote catching phrase in Blaine's veto of
the bill changing the taxation of banks from
the stock to the income basis, was that the veto
would save other taxpayers million and a
half Of course it follows that it makes the
banks pay million and half more than they
would if the bill had not been vetoed. That is
not the right basis upon which to consider
taxation If money is needed by the state, and
the burden of raising it is so divided as to fall
equally upon all, the tax is right, no matter
what may be the amount or who has to pay it.
When taxation is levied with reference to the
class of taxpayers who are to pay it, unless
it is for special privilege for the sole benefit
of that particular class, it is bound to be I'M
justly and unfairly laid.
The theory on which the Blaine system of
taxation seems to rest, if it can be said to rest
upon theory, is that financial ability shall be
penalized; prosperity shall be financially pun
ished and success shall be mulcted. The natur-
al and inevitable result of that is to make Wis
consin more expensive to do business in, and
therefore more expensive to do business with.
Blaine is small town man, with a small town
view of life in general, and government in par
ticular He naturally regards the banks as a
fair target for taxation for even the most
moderately successful of them are probably
so much more successful than anything in
which he has had personal experience, that to
a man of his caliber, they seem to literally
reek with money.
A well managed bank, properly located, is
undoubtedly we'll paying business. That,
however, is no reason why it's money should
be taken away from it for no better reason than
that it would otherwise have to be paid by
somebody else. But, as matter of fact, by no
means all banks are well managed, and great
many banks which are not as prosperous finan-
cially as many of the customers they serve.
There is more than one town in Wisconsin in
which it would be vastly fairer to impose a
special taxation burden on the village grocery
store or meat market, than it would be to i'm
pose it on the local bank that is, if taxation
is to be apportioned among classes, based upon
their mere capacity to pay, which seems to be
Blaine's taxation idea.
The fact of the matter is that there are many
banks in Wisconsin which are valuably serving
the communities in which they are located but
which are operated at small profit, because pub
lie spirited citizens feel that the community
should have banking facilities The injustice
Of that veto does not fall on the moneyed in
terests - it falls on many citizens of this state
who can i'll afford to stand the loss it means to
them. The banks are only people in another
form. Their money is the money of human
beings-not the impersonal possession of
mere III is dll Classes OIL p0O-
pie = not merely the rich that this unjust
exaction is compelled
Blaine has made of himself one of the most
pernicious Individual legislators we have ever
had at Madison He has set up his individual
fiat against the deliberative Judgment of the
constitutional legislative authority, to great
er extent than has any othsr governor we have
ever had. In this particular veto he ignored
the expert advice of his own commissioner Of
banking, the painstaking study and careful con-
alteration given to the question by the bank
ing committees of both senate and assembly,
and the authoritative vote OF the bodies elected
by the people to make their laws. 1t was the
bald use of one-man power because he was
in a position to use it. 1t is unfair to all own
ers of bank stock in Wisconsin, and unfair to
all who really need the banking facilities of the
smaller banks But it is in line with the gen.
eral Blaine policy of no matter about Wiscon-
sin-provided he gets the votes.
~FN0vyr1DNrnErNrrr