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4
iUGUST , 1909
The Commoner.
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Organize for the Income Tax
Unquestionably a majority of the democratic
and republican parties favor the income tax.
If proof on this point were necessary it is
found in the fact that a republican congress
has been forced by public sentiment to submit
an income tax amendment. It is no secret,
however, that the republican leaders who re
luctantly yielded to this necessity expect that
the proposed amendment will fail by reason
of not having a sufficient number of states.
The clause in the federal constitution pro
viding for the method of amendments is as
follows:
"The congress, whenever two-thirds of both
houses shall deem it necessary, shall propose
amendments to this constitution or, on the ap
plication of the legislatures of two-thirds of the
several states, shall call a convention for pro
posing amendments, which in either case, shall
be valid to all Intents and purposes, as part of
this constitution, when ratified by the legisla
tures of three-fourths of the several states, or
by conventions of three-fourths thereof, as tho
one or the other mode of ratification may be
"WILL CONGRESS FOLLOW BRYAN?"
. In an editorial entitled "Will Congress Follow
Bryan?" the Philadelphia Inquirer, issue of
July 5, says:
"William J. Bryan either wrote or dictated
the platform of the democratic party as adopted
at Denver laBt year. Tho attention of the re
publican members of the senate is directed to
the following plank:
. " 'We favor an income tax as part of our
revenue system, and we urge the submission of
a constitutional amendment specifically authoriz
ing congress to levy and collect tax upon indi
vidual and corporate incomes, to the end' etc.
, "The republican senate seems to be taking its
Inspiration from tho policy laid down at Denver
by Mr. Bryan. The proposition before the sen
ate la to pass, an amendment to the tariff bill
permitting of the Immediate taxation of corpor
ate incomes without waiting for a constitutional
amendment. In this respect it accepts the Bryan
idea and even enlarges on it. As to the submis
sion of the amendment to the constitution, it
coincides precisely with the Bryan view,
"Is it really necessary to out-Bryan Bryan?
"Of course, it is understood that democratic
senators in combination with some western here-tofore-republicans
have sought to foist an imme
diate individual income tax upon the country in
practically the same manner that the supreme
court has declared to be unconstitutional, and
that to escape the issue of a direct vote the
finance committee has adopted the Bryan propo
sition of suggesting a constitutional amendment
to the people. But is tho finance committee so
afraid of the democratic-"insurgent" combina
tion that it must submit to a corporation income
tax without waiting for the amendment to clear
up constitutional questions?
"We confess that we do not altogether like
the attitude of the finance committee. It i3
agreeing to a new system of taxation that, if
it should stand, would inevitably raise up ene
mies to tho protective policy. Collect a large
revenue from income taxes and the free traders
or tariff reformert. or whatever name they may
go by, would win by a round-about path precise
ly what they can not win in a straightforward
contest. The democratic-"insurgent" indorse
ment of income taxation, corporate or individ
ual, is not based primarily upon the necessity
of raising additional revenue, but upon the be
lief that it would force low duties and thereby
endanger protection."
THE INCOME TAX AND HOME RULE
When the house- of representatives proposed
to re-enact an inheritance tax law many pro
tested on tho ground that the states already tax
inheritances and will inevitably resort more and
more to that source of 'revenue. Now Justice
Brewer opposes the income tax amendment to
the constitution on account of its possible ulti
mate effect on the poor states, which might be
robbed of their vitality by the exercise o the
power demanded for the federal government.
"What will the states do," asks the justice,
"in case they need large sums of money for
their own revenue?"
For over a hundred years congress was recog-
proposed by tho congress; provldod, that no
amendment which may bo mado prior to tho
year ono thousand eight hundred and olght shall
in any manner affect tho first and fourth clauses
in tho ninth section of tho first article; and
that no stato, without its consent, shall bo de
prived of its equal suffrago in tho sonato."
The fight for the income tax has only begun.
Tho subject should, therefore, bo studied by
every citizen. It would bo well if, in every pre
cinct in tho United States, men and women
should congregate for tho purpose of informing
themselves upon this important topic.
ALABAMA FIRST TO ACT
The legislature of Alabama is in ses
sion and Alabama is tho first stato to
take action on the incomo tax amend
ment. Both houses of tho legislature on
July 30, reported favorably on tho in
como tax amendment, and the legisla
ture adopted it.
NEXT!
nized by tho supromo court as possessing tho
power to levy income taxes. It did levy them
in emergencies, and no ono on or off tho federal
bench felt any acute apprehension as to tho fu
ture of the states. Because tho supromo court
reversed Itself by a' voto of 5 to 4 under very
unusual circumstances, legal and political. It
does not follow that (.ho re-conferring of a
power unexpectedly lost has become fraught
with grave danger to tho states. What congress
"might do" is not what it is ever likely to do.
Congress might destroy a thousand and ono
things by its existing power to levy taxes and
excise duties. It might destroy Industries and
Individuals; it might starve the federal execu
tive by making all tariff duties actually pro
hibitive. But common sense and common prudence
will not dlo with this generation. Tho power
to levy incomo taxes will not be exercised by
wild men running amuck among tho states, but
by men attached to states and localities, by rep
resentatives of people who value home rule In
its best sense. As a matter of fact home rulo
is flourishing aa never before In spito of tho
steady decline of "stato rights." Homo rulo
means county and municipal option as to va
rious things, including taxation, and legislation
based on local needs and conditions. It has
precious little to do with tho abstract doctrlno
of "state rights."
In a dual government it is not always pos
sible to prevent double taxation, but if tho taxa
tion is reasonable and moderate, tho citizen suf
fers no hardship. What he fears Is oppressive
taxation, whether by ono or several powers, and
discrimination. The incomo tax amendment is
intended to prevent oppression and inequality,
not to encourage them. Chicago Record-Herald.
IDLE FEARS
Mr. Justice Brewer was one of the judges
who pronounced the Income tax act of 1894
unconstitutional. He has not changed his mind
and has been moved by the submission to the
states of an incomo tax amendment to say that
it would be suicidal for them to ratify it.
Tho constitution, he says, makes tho nation
tho exclusive possessor of the revenue, from cus
toms.' License taxes can be imposed by the
nation and the states, but the former can make
them so high that no individual pould pay a
state license tax also and do business. Tangible
property Is left to the states to tax. Tho nation
can not tax it except through the mechanism of
a direct tax apportioned among the states on a
basis of population. But, says Justice Brewer,
real estate is "worth no more than can bo got
out of it its income. So, if tho nation were
allowed to levy an income tax, it could make
the tax so high as, to cover most of tho income
from real and personal property. Then, if tho
states needed large sums for their own use,
where would they get them?
Justice Brewer's doleful prediction is: "If
once you give to the nation tho power to tax
all the incomes you give It the power to tax the
states, not out of their oxlstenco but out of their
vitality."
This is tho old, irrepressible argumont that it
Is dangerous to grant any powor bccausQ it
may concoivably bo used to tho injury of tho
grantor. It was tho great argumont against
tho ratification of tho national constitution. It
was contended that tho powors which it was pro
posed to give tho national govornmont might
bo used for tho subjugation of tho slates. That
has not como to pass nor would such use bo
mado of tho incomo tax, if its levy woro pormit
tod, as would sap tho vitality of tho states.
Representatives olected by tho peoplo of tho
states could voto incomo and Hcoiiso taxes that
would swoop in tho incomo of tho country and
leavo nothing for tho states, but thoy would not
do it. For thoy aro not now, nor would thoy
bo, if armed with greater powors, oblivious of
tho welfare of tho states thoy como from.
The states should not bo hold back from the
ratification of tho incomo tax amendment
through fear of thoroby depriving thomsolves of
revenue for stato purposes. Chicago Tribune.
SUGGESTIONS TO COMMONER READERS
T. II. Maguiro, Morris, Minn. Having ,tlme
to think it over, and to try to conclude what
happenod to us, and what wo had best do to try
to rouse tho peoplo up to tho protection of their
own best lntorosts in public matters, I have
come to tho conclusion that with 95 per cent
of tho papers of tho country advocating the
cause of predatory wealth, it behooves those of
us who followed you in tho first, Becond and
third battles to make an effort to put Tho Com
moner in tho homes of as many as It is posslblo
to do, as I know by actual test what good re
sults will como from it and to that end I am
ready to try to do somothing in this locality.
It is my notion that If tho Bryan Volunteers
will give their efforts to placing Tho Commoner
in tho homos of their noighbors throughout this
union, wo will bo able to prevent tho Declara
tion of Indopondonco from being repealed. This
county in 1904 gave the republican candidate
for president 990 majority; in 1908 tho ma
jority for same was 801 votes. When those
returns were coming in I folt bettor about re
sults Just then than I did the following day.
I am wanting to enter Into tho fifth battle and
to open tho warfare; let us try to put The Com
moner into as many homos as wo can. I'll try;
adviso mo about tho undertaking".
D. W. McGeorgo, Clarksburg, W. Va. In 189
tho national democratic convention did just what
I wanted them to do. I was an admirer of Mr.
Bryan before that, and much disappointed when
ho was defeated. In 1900 I felt that it was
not his time and did not hope for his election.
I was really glad that ho was not nominated in
1904. But from that time on hoped for his
nomination In 1908, and began to work for The
Commoner. I have no record as to how many
subscribers I procured but mado it a rulo to
have cards In my pocket and bought them In
blocks of five and ten. I am not tho only one
in this locality that did so and therefore am
not claiming all tho credit for tho work that
was done, but am trying to show that It is not
necessary to bo a talented speaker or writer
to bo an effective worker for tho democratic
cause. The effect of The Commoner's teaching
was that wo were able to organize In March,
1908, a Bryan club of 500 members. We forced
instructions from the word primary and through
tho county convention, but was overcome In the
district by other counties. During the national
campaign I urged upon tho county committee
to. conduct a literary campaign, but they claimed
a shortage of funds. The Bryan club raised
money by public subscription, rented a good
room on a public street and circulated 10,000
pictures and nearly 40,000 pieces of literature.
Whilst we did not carry, tho county for tho na
tional ticket, we cut down the republican ma
jority and elected tho first democratic sheriff
in twenty years.
Otto M. Miller, Garfield, III. Havo read with
Interest John M. Fulton's letter in the middle
column on page 6 of the April 2, 1909 issue
of Tho Commoner. Heartily agree in the main
with his sentiments. Wo ought not only to
double our circulation, 'but ought to try to place
The Commoner in the hands and home of every
democrat in the Unite States. To secure this
end I believe, as Mr. Fulton has suggested, you
should start a special column or section in your
paper. Then in that place, as often as he sends
in, print tho name of every subscriber who sends
in, without receiving any other remuneration
therefor, five new subscribers to The Commoner.
Would suggest that you entitle this section "The
Roll of Honor."
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