The enquirer. [volume] (Richmond, Va.) 1804-1815, 1812-01-28


the President, whose expressions were a
doptcd in the report, to raise 'ivvcnuc
:" sufficient 1T least TO defray the ordinary
expenses OF government, and TO paw the in
lcrest on the public debt, including that oil
new loans which may be authorized" The
sum of about nine millions OF dollars was
assumed as answering that desc ription for
the present, and the expression of " fixed
revenue which had been used in reference
20 existing circumstances, was insdvertent-
~ applied to the case of war. /. will I'M.
slopbtedly be proper, as remarked by the
committee, TO provide annually an addition
al end gradually increasing revenue su.t;ci-
ent to pay the interest on the loans required
lathe event of war If therefore, the loan
Ssr the present year will, according to the
suggestion of the committee, amount to ten
sfliGions of dollars, the receipts into the Trea-
lSsiy trshs provided Tor thcyear 1919, Should.
on those data, amount to about 100000
dollars.
The committee ask in the next place, the
best opinion which am able to form of the
probable amount of receipts from duties on
tonnage and merchandise in the event of
war. so
AS that amount will depend on the extent
OF the { commerce. between the United States
and nations at peace with them, and OH The
numbers of the captures respectively made
by our own privatcers, and by the enemy, it
is a matter of conjecture and not subject
of calculation: for which reason it was sta
ted in the report, that that amount could
not at present be determined. Considering
The rigorous restrictions laid by France on
The commerce of the United States with
her own domnions, and ether countries un-
der her influence the dangers to which our
commerce with the Baltic and with China
viii be exposed; the relations of England
with Portugal and with Spain and also
that no inconsiderable part of the captures
made by our privatoers, will be sent into To-
reign ports, great defalcation in the re-
ceipts on duties on imported, merchandise
must be expected. The amount, under eX-
listing laws and circumstances, has, from
correct data, been stated in the annual re-
port at six millions Of dollars. 1t would in
my opinion be unsafe, in an estimate of ways
and means intended to be relied on with
certainty, to calculate in the event Of war,
on more than 2, 500 900 dollars at the present
rate of duties.
To the next inquiry Of the committee, res-
pecting the increase of those duties which is
thought practicable and advisable, it is an
swered, without hesitation, that the rate of
duties may in the event OF war, be doubled
without danger or Inconvenience. There
will, in such event, be less danger of
smuggling at that rate, than there is row
with the existing duties. With that increase
the duties Will still be much less OH an ave-
rage than those paid on importatons in Eng
land, France, and most other Countries
And they will be collected with more ease
government and less Inconvenience to the
people than could be devised to the same
amount in any other manner.
duty OIL imported salt might now be
calculated on at least 100000 bushels );
out in time OF war cannot be estimated on
| mere than two millions ofbushels, producing,
at tsc rate of 20 cents per bushel, 1000
dollars.
The duties on tonnage and imported merchandise,
nclurng the former duty salt and doubling the
rate OF all the Others would. according to that est
mate, amount to $500, 600
To which adding the proceeds OF the
sales OF public lands estimated, as by
the annual report, at 100000
Makes an aggregate Of 100000
And leaves deficiency OF 100000
In order to complete Tie net revenue of 100000
wanted for the service of 1873.
On the basis of annual loans of ten milli
IONS of dollars during the continuance of the
war, (Which is the sum assumed by the
committee, and which, considering the ex-
pences already voted by Congress, is not
more than will be wanted,) and estimating,
| at the lowest rate, the interest on the loan
| OF 1879, the deficiency for 1914, to be pro-
vided for by other resources, will amount to
| 100000 dollars. The expenses of assess
ment and collection and incidental losses on
the internal taxes, from the proceeds of
which this deficiency must be supplied, may
be estimated at IL per cent e., In order to
| produce net revenue of 100000 dollars,
the gross amount of taxes mus therefore be
near five millions Of dollars. As the taxes
which may be organized during the present
session of Congress, will not become due
| till the ensuing year, and as it is sufficiently
ascertaIned from universal experience, that
taxes will not produce their full nominal a.
mount the first year they are in operation,
| 1t may be relied on that gross amount Of
i've millions, intended to produce a net re-
venue of 100000 dollars, will not yield
that sum till the year 1914, nor produce in
1918, more than the required sum Of
| 3,oOO,OOO dollars. Five millions Of dollars
will therefore be assumed as the gross a.
mount OF taxes Gncluding the expenses of
assessment and collection and the incident
al losses,) necessary to be raised at this time.
That sum is calculated to cover the interest
ON the loans OF ten millions a wear wanted
tor the service of the years 1912, < 1918 {;
leaving the selection Of the additional taxes
which may thereafter be necessary to pro-
vide for the interest of subsequent loans 20
be made according to the experience which
viii be afforded by those two years.
Before | proceed to a,swer the inquiry of
che committee respect ng selection Of the