Levy (tax)

“ I do not contend that a court of equity can itself levy a tax. I agree it cannot, and so this court has decided. Rees v. City of Watertown, 19 Wall. 107. The argument which has been submitted to prove that the Circuit Court has no such power is quite unnecessary. It is inapplicable to the case we have in hand. The complainants' bill asked for no assessment or levy of a tax, and the Circuit Court decreed none. The levy of a tax is a very distinct thing from the collection of a tax already levied. The levy is generally a legislative or a quasijudicial act. ”

“ Although it is called a direct tax, the method of levy, as far as property is concerned, is upon the profits at their source, and not as they are distributed among the receivers. The question of the amount of individual incomes only comes before the authorities when claims for exemption and abatement are made. The character of the tax is accordingly much less odious than it would be if an account of individual incomes were invariably demanded, as was the case in the United States during the Civil War, when an income tax existed for a short time. ”

“ A tax, or a levy is not an addition of income, but a diversion of it from its natural employment. Extension of capital, and credit and profits thereupon make and increase income, and income will increase more rapidly in proportion as the resources of industry are not diverted from their natural employment by state necessities.—When I first heard the argument for the diminution of our currency, founded on the diminution of levies and taxes, which has taken place since 1810, I was puzzled from not having reflected on the subject. ”

“ And, in my judgment, there can be no honest attempt at a fair adjustment of the burdens of a direct tax upon the general property of this or any other country which does not make a decent effort at an equalization in proportion to the true value of each article which is taxed. The true value of an article is necessarily its fair, full value, nothing more and nothing less. If we levy general property taxes, we are compelled to require by law that all property subject to the levy shall be taxed in proportion to its value, and such a rule is inevitably a law for a "full rendition." ”

“ Three times out of four the former levy with this apportionment would not be returned; through prudence as well as humanity, the legislator is bound not to overburden the poor. Recently, in organizing the general tax and the revenue of the State, he has looked out for them; now, in organizing the local tax and the revenue of the department or of the commune, he looks out for them to a still greater extent. ”

“ Congress did not intend, however, when it refused to tax the newly acquired shares as income in praesenti to exclude them from taxation in futuro if disposed of at a profit. A tax upon a gainful use either of capital or of income, when the gain is fully realized, is a true tax upon income and not a capital levy. ”

“ Coming now to the provisions for its enforcement, it is entirely clear that, as to the person actually carrying on the business, no notice of the assessment or levy of the tax is necessary. If the person carries on the business, the imposition of the tax follows as a matter of course. ”

“ Funds for the work carried out by the township road officials are obtained by general taxation, the amount that may be levied being limited by statute and the actual levy being any amount up to the maximum that the township board deems necessary for its purposes. It is the general observation that the tax levy is usually the maximum permitted by law. ”

“ Shortly, this is, in reiterated forms, that the tax as applied is laid 'directly on' interstate commerce, is a levy 'on the very sale' or 'the very process' of such commerce, is therefore and solely thereby a 'burden' on it, and consequently is an exaction the commerce clause forbids. What outlaws it is neither comparative disadvantage with local trade nor any actual or probable clogging or impeding effect in fact. ”

“ In the levy of the normal income tax there is to be a limited application of the method of assessment and collection at the source of the income. This method is applied very completely in the taxation of income in Great Britain. It may be well to recall summarily the essential features of the British system. The tax is levied upon the property or industrial enterprise which yields or produces the income. ”

“ The income applicable to improvements derived from the tax levy, both directly and through the sale of bonds payable out of the tax levy, is likely to prove inadequate in almost any city in the United States, since a limit to the borrowing ability of a city is usually fixed in the state constitution at from 2 per cent to 10 per cent of its assessed valuation, and the amount available from taxation is just as effectively limited by the inelasticity of the tax rate above a certain figure. ”

“ The state legislature biennially fixes the rate of taxes for state purposes; the amount of this levy is now limited by the Constitution to 21/2 mills on the dollar. The board of county commissioners fixes the rate of county taxes and levies those taxes; and the county treasurer collects the taxes of the state and those of the county. Among the other sources of revenue are a poll-tax of two dollars on each man between the ages of twenty-one and sixty, licences, an inheritance tax, rent of state lands and the income from invested funds received from the sale of state lands. ”

“ The adoption of the taxing act, as recommended by the commission, may therefore be taken, as appellant contends, to evidence a definite and specific legislative purpose to levy a new type of franchise tax, measured by corporate net income, including the tax exempt income from federal and state bonds. ”

“ Burnet (1931) 283 U.S. 691, 693, 696, 51 S.Ct. 598, 600, 75 L.Ed. 1353:
'The language of sections 201 and 211 (a) (Revenue Act 1918) subjects the income of 'every individual' to tax. Section 213 (a) includes income 'from any source whatever.' [1] The intent of Congress was to levy the tax with respect to all residents of the United States and upon all sorts of income. The act does not expressly exempt the sort of income here involved, nor a person having petitioner's status respecting such income, and we are not referred to any other statute which does. ”

“ The revenue acts do not discriminate between the respondent and others similarly situated, in the imposition of the income tax. If the respondent is exempt from the exaction, the conclusion must follow, because the tax directly burdens the functions of the state acting through the city of Long Beach. Considerations which have led to the condemnation of taxes in other circumstances are here absent. The levy is not upon the property of the municipality, nor upon the income it derives from its property, is not upon the city's share of the oil recovered, the lease, or the gross income therefrom. ”

“ The royal demesne, though it had not suffered the losses that the grants of later times inflicted on it, had also lost some of its value as a source of revenue. (3) In compensation the direct taxation of property had become a ready means of supplying the growing requirements of the administration, and the mode of levy had been reduced to a well-recognized form, unsatisfactory experiments—such as the poll tax—being withdrawn. (4) The growth of import and export duties through the “old” and “new” customs and the subsidies furnished a large part of the requisite funds. ”

“ The assertion that a graduated income tax, like the graduated sales tax under consideration, ignores the varying rates of return upon investment of those carrying on similar enterprises, is obviously inaccurate. An income levy by its very nature assures equality of treatment, because the burden of the exaction varies with increase or decrease of return on capital invested and with the comparative success or failure of the enterprise. If, as argued, larger merchants are more efficient, their efficiency will be correspondingly reflected in their net earnings. ”

“ During this period there was in force the act of the legislature of 1871, of which section 7 is as follows: 'That no city or other municipal corporation shall levy a tax for any purpose which shall exceed two per centum on the assessed cash value of all the property therein listed for taxation, nor shall the police jury of any parish levy a tax for any parish purposes during any year which shall exceed one hundred per centum of the state tax for that year, unless such excess shall be first sanctioned by a vote of the majority of the voters.' Acts 1871, p. ”

“ The resumed debate on the Finance Bill was enlivened by some personal details. By way of showing that even without a levy on capital the rich man bears his share of the burdens of the State, Sir EDWARD CARSON remarked that, when he receives a retainer, he immediately allows for the super-tax and enters it in his fee-book at only half the amount. ”

“ All the property of each taxing jurisdiction must under these provisions bear the levies for all the dififerent public needs in that jurisdiction. State, county, municipal, school and road taxes are imposed in a cumulative levy upon each and all of the different forms of property of each jurisdiction. The state has had distinct sources of revenue (but mainly of recent development) in the inheritance tax, insurance licenses and tax on net premiums, general corporation fees and licenses and minor miscellaneous sources. ”

“ It is that a levy unquestionably with n the taxing power of Congress may be treated as invalid because it is a step in a plan to regulate agricultural production and is thus a forbidden infringement of state power. The levy is not any the less an exercise of taxing power because it is intended to defray an expenditure for the general welfare rather than for some other support of government. Nor is the levy and collection of the tax pointed to as effecting the regulation. ”

“ They may levy, assess, and collect an annual tax to defray the current expenses of their local government, but such tax shall never exceed for any one year one-fourth of one per cent., and shall be collectible only in current money. And all license and occupation tax levied, and all fines, forfeitures, penalties, and other dues accruing to cities and towns, shall be collectible only in current money. ”

“ As soon as the stock is subscribed, it is the duty of the county court, or corporate authorities, to levy a tax upon the taxable property, privileges, and persons liable by law to taxation within the county or corporation limits, sufficient to meet the installments of subscription as made, and the cost and expenses of collection, which tax shall be levide and collected like other taxes.' '1154. ”

“ Second, public rates and taxes.' This, we think, is conclusive that, for the purpose of proof and payment out of the estate, a personal tax is a debt.' The court further held that a tax list or tax duplicate, duly certified by the county auditor, as required by statute, was prima facie evidence of the due levy of the taxes in it. ”

“ A levy is from the practical view perfectly feasible, and is not open to more objection than any other new tax of like magnitude.70 Nevertheless, like all new taxes, it cannot be brought in without friction, and is, therefore, scarcely worth advocating for its own sake merely in substitution for an existing tax of similar incidence. It is to be regarded as the fairest and most expedient method of adjusting the burden of taxation between past accumulations and the fruits of present efforts, whenever, in the general judgment of the country, the discouragement to the latter is excessive. ”

“ It is true that a few years ago a capital levy was made in Germany, but the percentage of that levy was so small as to actually amount to no more than an additional income tax, and that at a time when the regular income tax in Germany was very moderate as measured by the present standards of income taxation.
Only a trifling fraction of a man's property is held in cash. ”

“ The PAC asked the Government to consider whether final statutory authority for levy assessments should continue to rest with the IBA alone, or whether this should be changed in the new legislation - which could require the Authority to consult the Home Office and the Treasury. Given that the levy is a form of tax payable to the Consolidated Fund, I think there is a strong case for making this change ”

“ It leaves no room for doubt or construction. Nothing can be more simple and direct than the terms in which the levy of a sufficient tax is enjoined. The extent of the necessity is the only limitation, express or implied, in the code of the amount to be levied. We cannot interpolate a restriction by importing it from another act which has no necessary relation to the class of cases for which the code intended to provide. When the judgment is recovered the duty arises, and it can be satisfied only by paying the debt, interest, and costs, in the manner prescribed. ”

“ One of the reasons why a court should not thus interfere, as it would in any transaction between individuals, is, that it has no power to apportion the tax or to make a new assessment, or to direct another to be made by the proper officers of the State. These officers, and the manner in which they shall exercise their functions, are wholly beyond the power of the court when so acting. The levy of taxes is not a judicial function. ”

“ These taxes include a levy on windows and doors, varying according to the density of the population, the more closely inhabited areas paying more than the less populous. There is a tax on land not built upon, assessed in accordance with its net yearly revenue based on the register of property drawn up in the earlier half of last century and kept up to date. ”

“ The General Assembly may levy a tax on incomes in excess of six hundred dollars per annum; may levy a license tax upon any business which cannot be reached by the ad valorem system; and may impose state franchise taxes, and in imposing a franchise tax, may, in its discretion, make the same in lieu of taxes upon other property, in whole or in part, of a transportation, industrial, or commercial corporation. ”