Trial and conviction of, referred to, 3800, 3827, 3833, 3834, 4782. Haiti, 3829, 4665, 4918, 5120, 5123, 5369, 5869, 6099. Honduras, 5825.

Ireland, 2521, 3590, 4678, 4679, 4693, 4699.

Released, 3902, 4713.

Trial and conviction of, referred to, 3800, 3827, 3833. Mexico, 2720, 2834, 2837, 4376, 4672, 4678, 4692, 4696, 4852, 4991, 5086.

New Brunswick, 963, 969, 990, 1575, 1622, 1687.

Paraguay, 3884, 3898.

Peru, 5988, 6092, 6335.

Portugal, 3884.

Prussia, 1136.

Russia, 4162, 4789, 4793.

Pardon of, discussed, 2689, 2692.
Release, 6367.

Tripoli, liberated, 373.

Venezuela, 4789, 4803, 5198.

For debt. (See Imprisonment for Debt.)

Jails, use of, granted to United States, 103.

Of loyal citizens by forces in rebellion, 3235. Prisoners

Duties of sheriffs regarding, 67. Provision for, recommended, 183. Imprisonment for Debt:

Abolition of, except in case of fraud, recommended, 1017, 1119. Referred to, 251.

Improvements, Internal. (See Internal Improvements.)

Inaugural Addresses of President

Adams, John, 218.
Adams, J. Q., 860.
Arthur, 4620.
Buchanan, 2961.

Cleveland, 4884, 5821.
Garfield, 4596.
Grant, 3960, 4175.
Harrison, Benj., 5440.
Harrison, W. H., 1860.
Hayes, 4396.

Jackson, 999, 1222.
Jefferson, 309, 366.
Johnson, 3503.
Lincoln, 3206, 3477.
McKinley, 6236, 6465.
Madison, 451, 509.
Monroe, 573, 655.
Pierce, 2730.
Polk, 2223.
Roosevelt, 6930.
Taft, 7368.
Taylor, 2542.
Tyler, 1889.
Van Buren, 1530.
Washington, 43, 130.
Wilson, 7868, 8221.

Inauguration Day.-After the ratification
of the Constitution by the several states
the Congress of the old Confederation fixed
upon the first Wednesday in January, 1789,
for the choice of electors, the first Wednes-
day in February for the voting of the elec-
tors, and the first Wednesday in March for
the inauguration of the president. The lat-
ter day fell on the 4th in that year, and
the twelfth amendment to the Constitution
Bills
settled upon this as the legal date.
have been frequently introduced in both
Houses of Congress to change Inauguration
Day from March 4th to various dates, some
as late as April 30th. There has also been
some agitation to make the date of inaugu-
ration considerably earlier, the advocates
of this proposition claiming that the inter-
val between election and inauguration is
dangerously long.

Inauguration of Washington, Ceremonies initiatory to, 34-43. Incendiary Speeches and mob violence discussed by President Roosevelt, 7032.

Income Tax.-A form of direct tax upon annual incomes in excess of a specified sum. According to the doctrine of Adam Smith, "the subjects of every state ought to contribute to the support of the government as nearly as possible in proportion to their respective abilities-that is, in proportion to the revenues which they respectively enjoy under the protection of the state." In pursuance of this principle all incomes should be taxed, but it is generally conceded among the advocates of such a tax that incomes below a certain amount should be exempt.

Aug. 5, 1861, Congress, to secure funds to suppress the rebellion, authorized a tax of 3 per cent. on all incomes over $800 per annum. July 1, 1862, an act was passed taxing all incomes under $5,000 5 per cent., with an exemption of $600 and house rent actually paid. Incomes of more than $5,000 and less than $10,000 were taxed 2 per cent. additional, and on incomes of more than $10,000 5 per cent. additional with no exemptions. A tax of

The

Robert Peel's bill, passed in 1842, Imposed a tax of 7d. per pound on annual incomes of £150 and upward, for three years. This law has since been extended at each period of its expiration, and the rate and exemptions frequently changed, but the law remains essentially the same in principle_today as passed in the early forties. rate has varied from 4d the pound (in 1865-67-70) to 1s. the pound (in 1904); yielded a revenue increasing irregularly from £571,055 in 1842, to £38,800,000 in 1903, and falling back to £31,860,000 in 1908. The immediate effect of Sir Robert Peel's measure was to cause the repeal of about £12,000,000 of direct taxes.

By virtue of the power granted under the sixteenth amendment to the Constitution the Sixty-third Congress passed an income tax measure as part of the tariff law of 1913. This provided for a normal tax of one per cent. on all incomes in excess of $3,000 for unmarried men and women, and in excess of $4,000 up to $20,000 for married persons living together as man and wife, but only $1,000 of the aggregate income of man and wife living together is exempted. An additional one per cent. is assessed upon the amount by which the total net income exceeds $20,000 up to $50,000; two per cent. upon the amount in excess of $50,000 up to $75.000; three per cent. upon the amount in excess of $75.000 up to $100,000; four per cent. upon the amount in excess of $100.000 up to $250,000; five per cent. on the amount in excess of $250,000 up to $500.000. and six per cent. upon the amount in excess of $500,000. Early in 1917 the normal tax was raised to 2 per cent and the sur-taxes on large incomes were heavily increased, so that on June 1, 1917, the rates stood as follows:

On incomes under $20,000 (see previous paragraph for exemption limits), a tax of 2%; on incomes between $20,000 and $40,000, an additional 1%, with an additional 1% for each $20.000, until an income between $80,000 and $100.000 is reached, when the tax is an additional 4%. After this point, there is an additional tax of 1% for each $50.000, until incomes between $250,000 and $300,000 are reached, upon which there is an additional tax of 8%. Incomes between $300,000 and $500,000 pay an additional tax of 9% and incomes between $500,000 and $1,000,000 pay an additional tax of 10%, or 12% in total. There is then an additional tax of 1% for each $500.000, until incomes in excess of $2,000,000 yearly pay an additional tax of 13%, or a total income tax of 15%.

For 1916, the total income tax was $67,943,594, a gain of $26,800,000 from the figures of 1915. This amount was paid by 336,652 persons. Of this number, 266,153 were married and 47.583 were single men and 22,916 single women. Persons residing in or around New York City paid almost one-half of the total tax.

War Income Tax.-The rates on incomes were increased by provision of the so-called "War Tax Bill." signed by President Wilson on October 5, 1917. as follows:

(The tax is to be levied only for the duration of the war. Two thousand dollars is the exemption amount for married nersons. $1,000 for unmarried persons. There is allowed an additional exemption of $200 for each dependent child.)

The former normal tax on the excess over the former exemption allowed ($4.000 for married persons and $3.000 for unmarried persons) is 2%, and is retained. The new normal tax on the excess over the new exemptions is an additional 2%. Thus a

married man with an income of $5.000 pays 2% on $1,000 and 2% on $3.000, or a total normal tax of $80.

The former surtaxes (see above) are retained, with additional surtaxes as follows:

1% on amount above $5,000 and below $7,500.

2% on amount above $7,500 and below $10,000.

3% on amount above $10,000 and below $12,500.

4% on amount above $12,500 and below $15,000.

5% on amount above $15,000 and below $20,000.

7% on amount above $20,000 and below $40,000.

10% on amount above $40,000 and below $60,000.

14% on amount above $60,000 and below $80,000.

18% on amount above $80,000 and below $100,000.

22% on amount above $100,000 and below $150,000.

25% on amount above $150,000 and below $200,000.

30% on amount above $200,000 and below $250,000.

34% on amount above $250,000 and below $300,000.

37% on amount above $300,000 and below $500.000.

40% on the amount above $500,000 and below $750,000.

45% on the amount above $750,000 and below $1,000,000.

50% on the amount above $1,000,000. In addition, there is a flat tax of 8% on incomes above $6,000.

Accordingly, on a married man with a net income of $10.000, there would be the following income taxes: $120 old normal tax; $160 new normal tax; old law surtax. none; new law surtax. (1% on $5,000$7,500 and 2% on $7.500-$10,000). $75; additional 8% tax, $320-or a total income tax of $675.

A married man with an income of $5,000 is assessed a total tax of $80; with an income of $20.000, a total tax of $3.000; of $40.000, a tax of $6,300; of $100.000, a tax of $23,700; of $250.000, a tax of $89.200; of $500,000, a tax of $232,200; of $1.000,000, a total tax of $554.700; of $3,000, 000, a total tax of $2,039,700.

The above figures are on the basis of a married man having no children. As explained above, the exemption rate is $1.000 lower for unmarried persons and $200 higher for each dependent child. (For the "War Corporation Income Tax," see Corporation Tax.)

The provisions of the bill do not apply to Porto Rico or the Philippine Islands, the legislatures of which are given the right to assess income taxes to cover their own territory.

Contributions

or gifts actually made within the year to corporations or associations organized and operated exclusively for religious. charitable, scientific, or educational purposes, or to societies for the prevention of cruelty to children or animals, no part of the net income of which inures to the benefit of any private stockholder or individual, to an amount not in excess of fifteen per centum of the tax-payer's taxable net income as computed without the benefit of this paragraph may be deducted from the income to be taxed.

Income is defined as all profits or gains from salarles. wages. compensation for personal service or from professions, trade, commerce or sales or dealings in real estate or personal property, Interest, rent, except

.$167,787.089.39

paid on indebtedness, all taxes, bad debts, losses by fire or storm not covered by insurance, and an allowance for depreciation in value. Interest upon obligations of a state or political subdivision thereof and upon obligations of the United States or Its possessions is also exempt from taxation.

In the case of corporations the same normal tax is payable upon the net income, to be computed up to the end of any calendar month the corporation may designate, the return to be made within sixty days after the close of its fiscal year. The net income is ascertained by deducting from the receipts of corporations all the necessary expenses of operation, including rentals; all losses by fire and storm not covered by insurance; depreciation (in the case of mines not to exceed five per cent. of the value of gross output); the amount of interest accrued and paid within the year upon bonds or other indebtedness; in the case of banks, interest paid during the year to depositors, or on moneys received for investment and secured by interest-bearing certificates.

Exemption from the corporation tax is extended to partnerships, mutual insurance companies, agricultural, labor ard beneficiary societies, educational, religious and scientific associations not conducted for profit.

Persons, firms, companies, etc., having the payment of fixed annual or periodic income to other persons subject to tax shall in behalf of such persons deduct an amount equal to the normal income tax and make return of same with the name and address of such person.

Returns of taxable income are to be made by March 1, and payment is to be made by Jure 30th each year subject to a penalty of five per cent. and one per cent. a month on delinquents.

Income Tax:

Amendment, text of, see Amendments. Constitutional amendment proposed, 7390, 7391.

Doubtful constitutionality of, 7390.
Increase in, suggested, 8113.

Power to levy sought by constitu tional amendment, 7390, 7391. Recommended by

Grant, 3984.

Roosevelt, 7044, 7083.
Taft, 7390.

Upon certain corporate investments
discussed, 5892.

Upon consuls to United States discussed, 3383.

Upon corporations, 7082.

Income-Tax Cases.-Famous cases involv ing the income-tax provision of the tariff laws of Aug. 28, 1894, and Oct. 5. 1913. The first to come before the Supreme Court was that of Pollock vs. Farmers' Loan and Trust Co.. on anneal from the circuit conrt of the United States for the southern district of New York. April 8. 1895, it was decided that so much of the act cited as provided for levying taxes upon rents or incomes derived from real estate or from interest on municipal bonds was repugnant to the Constitution and therefore invalid. (See Hylton vs. United States.) Incorporation Act, National, recommended by President Roosevelt, 7074. Incorporation, Federal:

Arguments against, refuted, 7456.

Constitutionality of, discussed, 7457. Discussed and recommended, 7522. Independence Day.-Fourth of July, socalled because of the date of the Declaration of Independence, July 4, 1776. (See Declaration of Independence.) Independence Day, order regarding celebration of, 5079.

Independence Day addresses of President Wilson

At Gettysburg, 7881. At Philadelphia, 7952. Independence, Declaration of. (See

Declaration of Independence.) Independence Party.-This party was created largely by William R. Hearst in 1908, and held its convention in Chicago July 27. Hearst declined the nomination for Presidency, and the choice fell on Thomas L. Hisgen. For Vice President, John Temple Graves was nominated. The basic clause in the platform read: "Our action is based on a determination to wrest the conduct of party affairs from the hands of selfish interests, political tricksters and corrupt bosses, and make the Government as the founders intended, an agency for the common good." The platform generally favored the interests of labor.

In

Independent National Party. A party which came into existence in 1876, to oppose resumption of specie payments. 1880 it merged into the Greenback Party (q. v.). (See also Populist or People's Party.)

Independent Voter, power of, 8031. India. The Indian Empire extends over a territory larger than the Continent of Europe without Russia. It is officially known as British India.

The Indian Empire adjoins Persia from the Gulf of Oman to near Zulfikar on the Harrirud; then the Russian Empire along the frontier laid down by agreement in 1885 as far as the Oxus at Khamiab; thence along the Oxus up to the Victoria Lake, and from the east end of that lake by the line demarcated in 1895 up to Povalo Schveikovski, where three empires -the British, Russian, and Chinese-meet. From this point the frontier-in many parts not yet clearly defined-touches the Chinese Empire, mainly along the crests of the Muztagh range and the Himalayas, till the limits of French Indo-China are reached on the Upper Mekong. The Indian frontier, on leaving the Mekong, adjoins Siam till it reaches the sea at Victoria Point, halfway down the Malay peninsula. yond the sea the Indian Empire includes the Andaman and Nicobar Islands, the Laccadive Islands, Aden and Perim, besides protectorates over Socotra, Bahrein, and various chiefships along the coast from Aden to the Persian Gulf. Continental India, including Baluchistan, reaches from 8° to 37° N. latitude, and from 61° to 101° E. longitude.

Be

The reported deaths from plague up to the end of 1912 were about 8.034,000 in India as a whole. About 23,000 people are annually killed by snakes. According to the census of 1911 there were 110,000 lepers.

Ethnography.-Besides English the following languages are spoken: Bengali, Western Hindi, Bihari, Eastern Hindi, Telegu, Marathi, Punjabi, Tamil, Rajasthani, Kanarese, Gujarathi, Oriya, Burmese, and Malayalam. The religions professed, in the order of their numerical importance,

Total British Territory. 1,093,074 244,267,542 Native States and Agencies. 709,118 70,864,995

Total Indian Empire... 1,802,192 315,132,537 Government.-Under the King-Emperor. His Imperial Majesty's Secretary of State for India is the head of the Indian Administration in England. In all matters the Secretary of State can impose his orders on the Government of India. No expenditure from the revenue of India is legal unless sanctioned by him and a majority of his Council. The King-Emperor is George V., who succeeded to the Throne of England in 1910, proclaimed Emperor of India at Delhi in 1911. The supreme authority in India is vested in the Governor-General in Council, subject to the control of the Secretary of State in England. The Governor-General's Council consists of seven members, and, since March, 1909, one of these has been a native of India.

British India is partitioned into provinces, enjoying various degrees of independence. The Presidencies of Madras, Bombay and Bengal are each administered by a governor appointed direct from England.

The districts (of which there are over 250 in British Territory) are the adminis trative units of India.

The Presidencies of Madras, Bombay and Bengal, and also the Northwestern Prov inces, have each a high court, supreme both in civil and criminal business, with an ultimate appeal to the judicial committee of the privy council in England.

Education.-A Department of Education has been created, and increased attention is being given to primary, commercial, and technical education. There are five Universities, viz., those of Calcutta, Madras, Bombay, Allahabad, and the Punjab.

Army. The Army in India consists, first, of British troops, about 76.000; and, secondly, of native troops (largely Muhammadans), about 160,000. In addition, the native Army Reserves number 34,600 men, and the Imperial Service troops furnished by native states contribute 22,350, including cavalry, transport corps, and suppers. Further, there are 39.000 European and Eurasian volunteers (efficients).

Production and Industry.-About twothirds of the population depend on agricul ture. The cotton industry supports over 7,500,000 persons, more than two-thirds of whom depend on hand-weaving. There are 5,500,000 persons in Government service, civil or military. The State is the paramount landlord in India, and the land revenue is the State's share in the rent of the soil. In British territory in 1911-1912, 249 million acres were cropped, of which