l papers, such as
deeds, mortgages, etc., and also upon bank checks and drafts,
telegraph and telephone messages, and express receipts. Under this
law the internal revenue receipts rose from $170,000,000 in 1898,
to $273,000,000 in 1899. Congress has repealed these special war
taxes.

[Footnote 24: These were exactly like those imposed by Parliament
in the Stamp Act of 1765.]

Corporation Tax.--In 1909 Congress levied a tax upon
corporations. Every corporation doing interstate business is
required to report its earnings and its expenses. The difference
between these amounts is its _net earnings_. The law requires the
payment of one per cent of the net earnings that are in excess of
$5000.

Rules for Levying Taxes.--The Constitution contains three rules by
which Congress must be guided in the levying of taxes. We have seen,
Article I, Section 8, Clause 1, that _duties, imposts and excises must
be uniform throughout the United States_; that is, the same rates must
prevail everywhere. Another provision, Article I, Section 2, Clause 3,
is that _representatives and direct taxes shall be apportioned among
the several States ... according to their respective numbers_.[25]

[Footnote 25: See also Article 1, Section 9, Clause 4: _No capitation,
or other direct, tax shall be laid unless in proportion to the census or
enumeration hereinbefore directed to be taken._]

The third provision is the Sixteenth Amendment, which became a part of
the Constitution in February, 1913: Article 16. _The Congress shall have
power to lay and collect taxes on incomes, from whatever source derived,
without apportionment among the several States, and without regard to
any census or enumeration._

We have, therefore, the following classification:--

I. Direct | persons,[26]| Must be apportioned among
taxes, | lands, | the States according to
levied on | | population.

II. Indirect | duties, | Must be uniform throughout
taxes | imposts, | the United States.
| excises, |
| income |
| taxes. |

[Footnote 26: These are _poll taxes_. Such a tax was levied on slaves in
1798 and 1813.]

So far, we have discussed the indirect taxes only, for at present the
United States levies no direct taxes. In our previous history, however,
the government has imposed all the kinds of