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How We Pay Our Taxes

How We Pay Our Taxes image
Parent Issue
Day
11
Month
September
Year
1874
Copyright
Public Domain
OCR Text

Thore i no question of governnien: which so intimately concerns every citizen as the amount and the fairness of the tax he pays for its support. Yet there is no question so little thought of, or respecting which there is at once such ignorance and such inconsiderateness manifestad as the subject of national taxation Two-thirds of our enormous revenue, it Í9 pretty well known, is derived from taxes upon imported commoditiea. Thia portion of the revenue, amounting to nearly two hundred millions of dollars a year, ia collected on over three thousand article8 of commerce. About three-quartera of i' is levied, too, upon articles of prime necessity, in universal consumption among the people, and therefore commonly known as the necessities of life. These articles are iron, cotton and woolen, anc their various fabrica, glass, earthenware boots and shoes, sugar and salt, besides many others of minor importance to these. The cost of these articles in their various forms, as imported or inanufactured for consumption, is enhanced to all who use them by more than the duty imposed upon them. The high proteotive tarifl under which we have lived for the pasi fifteen years actually increases the expense of living to every Americen family from one hundred to one thousand dollars per annum, according to the amouni they consume of the commodities thus taxed. The lowest tax upon any of these necessaries of life, imposed by our protectivo tariff, ia twenty per cent. ; the highest about ninety per cent. The average tax is rather over than under forty-five per cent. If this enormous rate of tax were imposed upon luxuriea, we could escape the imposition by the very simple method of doing without the luxuriea. If it were impoaed in the form o: a tax upon all incomes above a certain amount - say $2,000 - all who had nol that handsome income (which would include the great majority of the population) would escape the tax. But, being a tax upon the necessaries of life, there is no way in which the citizen, though never so poor, can avoid or escape paying it. No man can do without hats and coats, boots and shoes, blankets and sheets, sugar or salt. And the worst ol it is that the more of a family he has to support the heavier is the tax the government imposea upon him. Every additional child to feed and clothe adds to his expenditure, and in direct proportion to his expediture is his taxation increaaed Thus it comes to pass that a laboring man, with a family of six children, wili actually be' compelled to pay for the support of governinent trom five to ten times as much as the wealthiest bachelor millionaire, who haa only himself to support. Let ua see how much -the man of family contributes, by this enforced system of taxation, called, "indirect taxes," to the support of the general governinent. We will take as a fair basia for the calculation a man with an income of fifteen huudred dollars per annum, and maintaining a family of five or six children on an annual expenditure of $1,500. Such a family will consume of imported commodities, or of articles whose costislargely enhanced by the tariff laws, at least five hundred dollars worth every year. Let us look at a few of the items of family suppliea consumed in every household. First (and largest next to food and shelter) comes clothing of all kinds. Cotton, linen and woolen stuffs for garments for wife and daughters, and material for coats, vests, etc, or else readymade clothing, for himself and his boys, he must have. Btockings and underclothing of flannol or cotton are among the imperative' wants. So also are hats, cajis and bonnets. All these goods cost in the United States almost doublé what the same articles oan be bought for in Europo, solely because of the euormous tariff imposed upon them for the pretended benefit of Amerian manufacturera. The duty' actually levied on ootton and woolen goods varies all the way along from 31 1-2 to 85 per cent. On bleached cotton it is 45 per cent.; on thread it is 70 per cent. ; on cotton hosiery it is 31 1-2 per cont. ; on balmorala it is 85 per cent. ; on ñanhels it is 8(i per cent. ; on woolen hosieiy it is 79 per cent., and on ready-made clothing it is 45 per cent. On a consumption of $300 worth of the various kinds and qualities of clothing in i tamily in moderate circumstances, we may f'airly estímate the tax paid to tha governmont in the shape of duty at $125, and this is a moderate average. Boots and shoea will be worn to the ainount of at least $50, and the duty on the varioua materials ontering into this manufacture will enhanoe the price at least thirty per cent or say $10 on the amount used. Blankets, bedding and towels will cost about $30 a year on the average, and the duty on these articles varying from fiftynine to one hundred and ono per cent., the tax paid will be at least $15. Kitchan and table furniture, including glass and earthen ware, wil! cali for, say $30 more, which, at forty-five per cent average duty, will talco soma $10 out of the pocket of our fathor of a family. Iron utonsila, as tools, nails, coal hods, knives, and all the little household wants of that kind, will demand, say $20, the duty on whieh may be fairly averaged at $6. Carpets (not renewed often) will cost however inexpensíve, at least $20 a year on the average (or $200 in ten years). The duty on these is enormous, and enhances the cost all of 50 per cent. We will cali the tax paid on carpeta $7. Combs, brushes and fancy articlea, together with papor and stationery for the children at school, will cost at least $15, and the average duty being 40 per cent., the govemment will colleot about $4 on this item also. Soaps of all kinda will be used to the atnount of $10 probably, paying a tax of about $4 more. Salt, pepper, mustard and spices will cost say $10, with a government tax of not less than $5. Drugs, medicines, wines and spirits, however sparingly uscd, will bo likely to cost rather over than imder $.30, of which the tax-gatherer's share will be say $10. Sugar is an indispensability, and about forty dollars' worth of the various grades will be used by our economical family of seven or eight, on which the tax will amount to $6. Let us now recapitúlate the estimate above made, adding the average of all other family expenditures, on which no tax is paid to the government : Am't expended. Ara't of tax. Clothing, ' 8300 $125 Rent, 300 Table snpplies, bread, meat, vegetables, etc., 400 Fuel and lights, 100 Sugar, 50 6 Boots and shoes, 50 10 Blankete, towls and bedding, 20 15 Kitchen and table furnisliings, 30 10 Iron utensils, etc, '20 6 Tea and eoffee, 40 free. Carpets, 20 7 Combs, fancy articles, stationery, etc., 15 4 Soapa, 10 4 Drugs, medicines, spirits, etc, ','A 1 ü Salt, pepper, muatard and spices, 10 : Furniture (renewals, etc.) 30 Incideutals, : 25 Total, . 81,500 $227 The proportions of expenditures undcr the various heads will of course vary with different persons, and we have given what will be accepted as a fair apprQximate average. Here we have a net annual tax upon expenditure equivalent to rather more than $150 on the $1,000 paid into the Treasury of the United States by cvery father of a family in the land. A tax ga enormous, if it were only laid directly, either upon income or expenditure, would justly be considered equivalent to confiscation of property. Yet what difference is there either in principie or in result between a direct tax so levied and this draining of the resources of the people through our oppressive revenue system, which begins and ends with protection to the few at the expense of the many r-

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Subjects
Old News
Michigan Argus