The Indianapolis times. [volume] (Indianapolis [Ind.]) 1922-1965, 1936-04-13
MONDAY, APRIL 10, 1895.
THE TAX MESS

(NONFUSION, and only that, is the fruit to date
= OF all the work that has been done on the new
corporate surplus tax plan All that comes forth
from reading of all the hearings is headache.
What originally stated as simple principle
has become in the attempted application whirling
mess of politics and economics, Of exceptions and
exemptions Of technicalities understood by nobody
mess into which has been tossed everything from
campaign speeches to algebraic formulaes.
Literally as the case now stands, one is sure
whether will be raised, less; whether
the little fellow will be penalzed and the big fellow
favored vice versa; whether more loopholes will
be created than will be closed; whether the object
sought will be attained or be missed altogether
Unless some one is able to haul off and pass
miracle" bill will be forthcoming which by
of its very completely and of the consequent inahil-
ity either taxpayer tax collector to understand It,
will operate as a continuing danger to our fiscal
system
IMMEDIATELY, the situation that has been Gre
ated is distinct danger in itself-especally grave
at this particular time.
Business has been picking up an increasingly
favorable momentum has been evident for months;
Federal revenues a result have been rising rapidly
The President saying that every thinking person
knows that this problem of unemployment is the
most difficult before the country today" has de-
scrbed increased output by private industry as the
solution offering in return aid from "all the appro-
pirate departments and agencies of the Federal gov
eminent" Such aid is conspicuously absent from
what the tax-making department is now doing. For
into pleasant picture of improvement this anless
tax tampering lands like black daub
The uncertainty of the whole thing-not the bill
to be paid-s where the danger lies Rapidly re-
turning confidence master key after all to final recov-
cry is bound to be thrown for loss if the confusion
is allowed to continue for long.
TN the meantime there is way by which the
Il money could be raised; simple way and
Just way That is broadening OF the base OF
the present income tax structure graduating upward
from a very small assessment in the low brackets
to very high assessment in the upper. Such
revision should be sufficiently inclusive to make
possible not only the collection of the sum i'm
mediatey needed, but also to make start on
reduction of those invisible and unjust sales taxes
which now constitute 10 per cent OF our Federal
receipts such policy to be pursued as times pick
up and tax receipts increase to point where all
or at least nearly all of our revenues are drawn
from the visible ability to-pay, distinct from
hidden,
Is it too much to hope that such substitution
for the present muddling may be expected-eyen In
an election year?
A first expressed the corporate surplus idea did
"A presume the ability o-pay principle. But that
Is already lost in the shuttle because of the COM
plexites encountered.
Sometime, in a general overhauling of Our whole
fnvo
may be able to arrive at equitable manner
of reaching and assessing corporate as distinguished
from individual income. All know now is that
though such was the object of the surplus tax plan
as originally proposed the object isn't being even
approached by what is now going on.