Monday, Mar. 15, 1954

Woe Throughout the Nomes

The time when the tax jell due came upon the nomes [Egyptian provinces) as a terrible crisis which affected the whole population. For several days there was nothing to be heard but protestations, threats, beating, cries of pain from the taxpayers, and piercing lamentations from women and children.

--G. Maspero's The Dawn of Civilization: Egypt and Chaldea

As it was in the beginning, piercing lamentations arose last week from Wallagrass, Maine to San Ysidro, Calif. Some U.S. taxpayers tried to smile through their tears. Along with their painfully signed checks, they sent the usual enclosures: old shirts ("Here's the shirt off my back; you have everything else"), locks of hair ("I've been clipped"), and pieces of human skin carefully taped to cards ("You got my hide too").

More people were paying more federal income taxes than ever before. Last year was the most prosperous year in U.S. history; the income-tax rate stayed steady and high through the year. Some 60 million personal returns, accounting for $32.5 billion, will blizzard into Internal Revenue offices before midnight March 15. Also rolling in by that hour will be some 8,000,000 corporate returns, the most ever, accounting for a record $22.9 billion.

The annual mid-March gloom is pierced this year by a ray of hope, no doubt originating in the fact that federal individual income taxes in 1954 have already come down an average of 10%, and other federal tax cuts are on the way (although the trend of state and local taxes is still up).

In Washington, observers agree that this Congress will cut excise taxes a billion dollars, and that the Administration will accept the cut, despite its official disapproval. Also, there is a powerful move afoot to increase personal exemptions. All year long Internal Revenue offices receive jubilant announcements of births, some printed on mock income-tax forms. In Newark, N.J. last week, an attractive mother of four finished checking the family tax form with a revenue agent, then asked and was told how much less she would have to pay if she had one more dependent. Mused mother: "I was just wondering whether it would pay . . ."

Few taxpayers have a clear idea where their money goes, and some would be happier for not knowing. A Texas farmer whose income jumped into six figures after oil was discovered on his land, recently visited Washington to find out "how my money is spent." He toured various offices in the vast bureaucracy, finally dropped in to see T. Coleman Andrews, Commissioner of Internal Revenue. After some talk, he asked how much Andrews collects in taxes every year. About $70 billion, said Andrews. The Texan, impressed, made a philosophic observation: "Well, Mr. Commissioner, ain't it a damn good thing we don't git all the Government we pay for?"

This file is automatically generated by a robot program, so reader's discretion is required.