Evening star., 1934-04-10
JUST" TAX URGED
BY LA TOILETTE
Radio Forum Speaker Would
Assess Those Who Are
Able to Pay.

Declaring that additional revenue
b needed to continue to finance
emergency expenditures, Senator La
Toilette, Republican, of Wisconsin. in
an address last night amplified that
"in all justice, in all equity. there is
only one sound course open and
that is to require that the increased
taxes shall fall upon those who have
the ability to pay"
The Wisconsin Senator, who is ad-
vocating this principle in connection
with the tax legislation pending in
Congress, spoke in the National Ra-
do Forum, arranged by The Star,
and carried over q coast-to-c0ast
network Of the National Broadcast
ing Co.
Policy Called Sound.
The policy, he said, is justified on
two grounds. First. he continued,
Is is sound" and secondly. "the i'm
provement in business has been
largely due to expenditures made by
the Federal Government"
La Toilette discussed the rates he
Is proposing to apply. and scoffed at
the contention that higher taxes
tend to drive money into tax-exempt
securities.
II think 1t is absurd to contend
that men who have invested in in
dustrial and other types of taxable
securities would be willing to give up
their partial or complete control of
these corporations in exchange for
tax immunity" he said. .t
Text of Address.
The text of Senator La Follette's
address follows:
Taxation is one of the most vital
Issues confronting the people.
Graduated income and estate or in
heritance taxes are based upon the
sound principle that taxes should be
levied In accordance with the ability
Of the taxpayer to meet the burden.
After a long and bitter contest 4
graduated system OF taxation became
/ part of the Federal Governments
tax policy.
Ever since the constitutional amend
ment was adopted there has been q
sharp conflict in Congress at each
Session when q tax bill Is taken up for
consideration. On the one hand have
been those who have fought to prevent
the levying of higher rates of taxation
upon large fortunes and upon big in
comes. On the other hand have been
those who have contended that in a
democratic form of government taxes
should be levied in accordance with
ability to pay and that more and more
pf the burden of government and the
costs Of war should be shifted to the
graduated form Of taxation as en-
bodied in the income and estate taxes.
Father Led Tax Fight.
During the war my father led the
fight to tar war profits 100 per cent
and to tax incomes and large fortunes
10 the limit in accordance with ability
TO pay, in order that oncoming genera
tions should have to carry as small
burden of debt as possible. He was
unsuccessful and the Congress ct that
time determined that . larger per-
centage of the cost Of war should be
borne by the generltion that fought
It, and their children and their chill
uren,S children.
We get some appreciation Of the
enormous debt which was thus thrust
Upon the people from the following
figures: In 1916, the year before We
entered the war. the Federal per
capita debt was $12.50. Today, many
years after that conflict closed. the
Federal debt on every man, woman
and child, attributable to the war. Is
approximately $50.
Therefore even at this late date We
ARE still fighting over the issue in