A Bombardment of Taxes

To raise money for the war, the federal government began levying new taxes.

Among the earliest and hardest hit were liquor dealers and saloonkeepers. With a view toward taxation, the government ordered a nationwide inventory of all liquors heavier than light wines. All dealers and retailers had to count every barrel, case and bottle on their hands and file a report. On every container they owned, they had to place a label with an individual serial number and a note of the amount of liquor contained. Anytime liquor was transferred from one container to another, the serial number had to go along to the new container(s). And so on. The rules were so complex and difficult to interpret, according to the News, that most saloonkeepers and liquor dealers hired attorneys to figure it all out.

I can image Will Wollenberg, Sr. swearing over his bottles in the Ainsworth saloon and perhaps thinking that, after all, prohibition might come as something of a relief.

Liquor was not the only thing that would soon cost more. Postage was going up to three cents for letters and two cents for postcards. New taxes were levied on all phone calls, telegrams or radiograms costing more than $0.15; on water or rail passenger fares over 20 miles; on Pullman car seats or berths; on freight, express and parcel post charges; on life insurance and on club dues. Tobacco taxes were scheduled to take effect soon, but, as the News noted, "thrifty dealers have been making a little on the side by imposing them for several weeks."


Sources:
♦ "Liquor Dealers Must Now Schedule All Spirits in Stock." Hobart News 18 Oct. 1917.
♦ "War Taxes Now Begin New Drain on the Public to Meet Expense." Hobart News 1 Nov. 1917.