Most legislation with reference to taxes shows some effort to carry out one, if not all, of these requirements. It is evident that a tax may be conveniently paid in connection with ordinary expenditures, and at the same time be very indefinite and quite inequitable. Many taxes upon articles of every-day use in the home are of this nature. A very equitable tax may be so inconvenient from its interference with private interests, and require so many officials for collection, as to make it a serious burden to all. Such a tax would be one levied upon net income, supposing it possible to discover the exact facts for such a levy. Taxes levied without consideration of these principles are defended as means of checking extravagance or vice, as equalizing other conditions of welfare, or as correcting inequalities from other existing methods of taxation. Even these last assume the necessity of equity in the entire system or group of systems. _Direct and indirect taxation._—For convenience of study, taxes are spoken of as either direct or indirect; that is, a tax may be levied upon one whose property or earnings must be reduced by the amount of the tax, or a tax may be levied upon one whose property when sold, or whose service when rendered to another, will be worth as much more as the burden of the tax he has paid. A poll tax, an income tax, a tax on the farm, or a tax on household goods and jewelry, is assumed to be paid by the owner or user, without reimbursement. But a tax on stock in trade—like the farmer’s live stock—or upon the machinery of production or service—like railroads, insurance companies and banks—is assumed to be transferred as an additional expense to the one who finally enjoys the wealth. It is easy to see that such a distinction is difficult. Every owner of wealth will consider taxes connected with its possession a part of the cost of such wealth, and wherever possible in the conditions of the market will count a tax in the selling price. It is impossible to judge from the form of wealth or the nature of the service when the tax can be transferred to a final user. A farmer’s wheat may be the source from which he pays the total cost of raising it, including taxes upon the land employed. If, in the condition of the wheat market, he has still a profit upon his management, he will assume that the wheat buyers have paid the taxes. If the market price is so low as to not cover the cost, he will emphasize the fact that he pays the taxes. Yet probably the fact is the same in both cases, that the owner of the land has his profits diminished by the actual amount of the tax. More strictly, the tax is taken from the rent of his land. In any case of over-production, when land gives no rent, the tax will be paid by the producer out of other income. So far, however, as farm products conform to the principle of cost of production in the tendency of prices, there will be a corresponding tendency to shift the tax upon the final consumer.