Alexandria daily gazette, commercial & political. [volume] (Alexandria [Va.]) 1808-1812, 1812-01-24
lands estimated as by the an
nual report, at
Makes an aggregate OF
And leaves a deficiency OF ,
In order to complete The net
revenue of
wanted for the service OF 1878
S. 100000.
----
100000
100000
---T-
100000

| the war, (WhlCR Is lIiC sulii eoou hiou "! ''io
committee, and which, considering the ex-
| penses already voted by Congress, is not
more than will be wanted,) and estimating,
at the lowest rate, the interest on the loan OF
1918, the deficiency for 1914, to be provld-
ed for by other resources, will amount to
100000 dollars. The expenses OF assess
ment and collection and incidental losses
Oh the internal taxes, from the proceeds OF
which this deficiency must be supplied, may
be estimated at Is per cent. In order-to
produce net revenue of 100000 dollars,
the gross amount of taxes must therefore
be near FIVE millions of dollars As the
taxes which may be organized during the
present session of Congress, will not be-
come due till the ensuing year, and as it's
sufficiently ascertained from universal ex-
perience, that taxes will not produce their
full nominal amount the first year they are
in operation, it may be relied on that
gross amount of five millions, intended to
produce net revenue of 100000 dollars,
will not yield that sum till the year Is a,
nor produce in 1913, more than the requlr-
ed sum OF 100000 dollars Five millions
of dollars will therefore be assumed rs the
gross amount of taxes Gncludlng the eX-
penses of assessments and collection and
the incidental losses,) necessary to be rals-
ed at this time. That sum is calculated to
cover the interest on the loans OF ten MIL
lions year wanted for the service OF the
years 1912 and ISL leaving the selection
of the additional taxes, which may there
after be necessary to provide for the inter-
&c tO q accord
ing to the experience which Will be afford
ed by those two years.
Before proceed to answer the inquiry
of the committee respecting selection OF
the internal taxes now necessary, permit
me to observe that it was stated IN the an
nual report of December 10, 1903, that
g no internal taxes either direct or indirect
were contemplated, even In the case OF hos
tilities carried against the two great oelll-
perent powers" An assertion which rem
ders it necessary to shew that the prospect
then held out was not deceptive, and why
it has not been realised.
The balance IN the treasury amounted
at that time to near fourteen millions OF dol
lars. But aware that that surplus would In
short time be expended, and having stat
ed that the revenue was daily decreasing,it
was in the same report proposed " that all
the existing duties should be doubled on
importatlons subsequent to the first day OF
January, 1909" AS the net revenue &C.
crued from customs during the three years,
1909, 1910 anu 1911, has without any IN
crease of duties exceeded twenty-slx mill
ons of dollars, it follows that If the mea-
sure then submitted had been adopted, we
should, after making large deduction tor
any supposed diminution OF consumption
arising from the proposed increase, have
had at this time about twenty millions ct
dollars on hand, sum greater than the
net amount of the proposed internal taxes
for four years.
In proportion as the ability to borrow IS
diminished, the necessity of resortlng to
taxation is increased 1t is therefore also
proper to observe that at that time, the sub
iect of the renewal of the charter OF the
Bank of the United States had been refer
red by the Senate to the secretary OF The
treasury, nor had any symptom appeared
from which its absolute dissolution with
out any substitute could have then been an
ticipatcd The renewal In some shape,
and on more extensive scale was CONN
IDENTITY relied on and, accordingly, In the
report made duri,> the same session to the
Senate, the proprlcty of increasing the ca
pital of the Bank to thirty millions OF dol
lars was submitted, with the condition that
that institution should, ifrequired, be oblig-
ed to lend one half of its capital to the y.
States. The amount thus loaned might,
without any inconvenience, have been IT.
creased to twenty millions. And with
twenty millions of dollars in band, and loans
being secured for twenty millions more,
without any increase of the stock of the
would have been unnecessary for at least
g., &c NOV NJ her