The Caledonian. [volume] (St. Johnsbury, Vt.) 1837-1867, 1842-01-04
REPORT OF THE SECRETARY OF THE
TREASURY.

Repurt which roIa'cs 10 me e'Jns'hent - '''
Tariff.
rho ms. reduction OF du.ias IN imports provided
for by the act Of The 2d March 1888, will Iake eff
Saet Immediately after the Both OF June neNi--
From That day no duty will oSiSt on any imported
article exceeding twenty per cent al NaoIem; HnH
certain other legal provisions OF tho same ACT, oI
great Importance are TO come into operation atihe
One nrthom is the enactment which, alter that
period, requires all duucs 10 be paid IN ready mon
ey;thus putting an end 70 system otcTedus winch
has prevailed from the 6rst establishment Of tins
governmenG Il system which. however necessary
Or convenient in Tho infancy OF our commerce,
when the metcan'ile capital oI re country "4s IN
considerable and u strong desire "aS zen ~ eS'I'
and encourage foreign trade 10y al p'actc'nle
means, may at the present day we" yieid to TIE
important objects to be secured by each payments.
Anoiher. deemed at tho same time an essential
provision Of tho act, is that which declares ;hat,
after June 1912, all duties 90 imported nrucles
shall be assessed upon the value vt such articles al
the port where the same shall he entered, under
such regulations 90 shall he prescribed by law
Hltherto throughout The whole history OF the gov
eminent, the cost or value IN the foreign 'narket
has been assumed the basis Tor the calculation OF
I'D vaorem duties, aud - thIs cost ar value cei tain
additions have boon made, supposed to be equiv Il
lent 10 the charges OF Importation. But undervdl'
ua,ions abroad frauds, real or supposed, IN nvol'
ces, and the Uni dst advantages "hIch were DeIieV-
ed 10 exist in the hands Of foreign manufacturers,
who had become in fact, themselves The importers
into the country Of large proportion oi The mau-
ufactured goods from Europe led Congress To
look 20 a home valuation for sccuHy,us VOL I" the
American i'm porting merchant 70 the revenue,
and to the producers Of similar articles in the Uni
ted States.
The legal effect of the act of S33 would to
be- To abolish the practice after June Both, Of asses.
sing duties upon invoices of foreign valuation; and,
therefore If Congress shall not At this session Pre
scribe regulations for assessing duties upon Vaiu-
alton to ho made AZ the port of entry, pass some
law modifying the act of 1888 il nay wc he qucs-
Toned whether any sd vaiorsm duties can DO col.
lccted after tho 3Olh Of Jnne. The language Of I
the law seems explicit. IT is that "irom and ai.or
the day last aforesaid" June 30, 1922 ''the do I
ties reuniVcd to be paid by lazy on goods, wares,
and merchandise, shalt be assessed upon The value [
thereof at the port where tho same shall be entef~
ed under such regulations shall be procribcd by
law" And it is further tec!ored tina, much Of
any other act ns is inconsistent with that act shall
be and is repealed.
The assessment OF duties, alter The day limited, |
on tho basis Of the iufcgn cost or value, Is neon
sstaut with the act; and the Law RuhodZing il !
must therefore, it would seem, be considered aa
repealed.
The act Of l533, as must bo obvious 10 all ,conem
plates no other than nd vaorem duties after Jnno
1912; for although IN given case. specific duty
may not amount to 20 per cent. on the cost OF the
article, yet th0t fact cannot DO ascerialned with
out referring TO price or valuG-tblugs con
stanly Huctuatng-snd much uncertainty and per
hans confusion, would arise, as changes in the |
market price of articles might carry the duty be
yond the limit at ono period, though within II al
another,
Indeed there caa be but little room for doubt
that il was in tho contemplation of Congress, at !
the passing Of the act, that no duties on imports /
should exist in the country alter june 1912, but ad
yaiorem duties. 1t must be admitted that this was
a very important change in the whole system Of
imports into the United States, since 1t has hereto
fore been regarded as tho dictate OF high prudence
and the teaching Of long experience, that. for the
prevention of frauds and the security Of tho rev
enue, duties ought fnS rs prac'lcahie,to be made
not ad valorem, bat specific
OF tho essential or peremptnry provisions Of the
act there are two which, il is not be disguised
were intended TO stand towards each other in the
relation Of equivalents or mutual considerations
These are the reduction Of all duties 10 twenty per
cont ad vaorem, and the assessment Of those du-
lies upon a home valuauon. II is impossible To
read the ITSELF and still moro impossible to ad
vert TO the history or the tines, without arriving
at the most perfect conviction that the home vnlu
alton was resortcd TO for the purpose Of guarding .
the revenue again 81 fraud, and protecting Ameri-
can manufactures against underyaiuaions. There l.
could be no other possible obect in this provision.
1t is part Of the act, therefore, connected with l.
another part aud inserted for the purpose Of quail
fyng essentially the operation ot that other 2art--
The undersigned is constrained 10 admit that ii has
appeared 10 him that the interests OF the country
required some modification OF the act OF 1888 In |
suDpott of this opinion he would first mention the
great &c not nsurmountabio difficulties of establish
ing home valuation al our various ports, with |
out mourning the risk Of producing such diversity !
il the estimates Of value as should not only lead
to great practical inconvenence, but interfere ALSO
in effect, with the constitutional provision that d.
ties on imports shall be equal in all the States If
such should be the opinion Of Congress, then It is
clear that some equivalent to ho provided for the
home valuation, or else tho whole basis upon
which the tct was expected 10 rest, measure Of
compromise and adjustment, is taken away or dis.
placed. There ceases, in that event, 10 be the ma'
tualty OF compromise Of interests evidently intcn"
ded to be produced by Piac ing home valuation IA
an equivalent against a reduction of ad vaiorem
duties.
But, in the second place, if Congress should be
of opinion either that home valuation Is practicable
or that some equivalent and proper substitute may
be found for IT, the undersigned will not disguise
his opinion that il cannot be regarded wise, by
any portion Of the country, as permanent system
of policy, TO augment the amount OF revenue when
further exigencies may require such augmentation
bv raising duties all articles, including those of
absolute necessity to the full extent Of twenty per
cent and preserving that limit. at the Same iIme,
as a 6xed barrier against high duties on any article
whatever even those Of mere luxury. Such plan
OF revenue, tito DO regarded as u settled system,
appears TO the undersigned 10 be unnatural and IN
convenient, and such is not likely 10 promote the
best Interests of the country.
The probable effect Of the future operation OF tho
act Of 1888 upon the manufactures and mechanical
a. 81, ;T,r hon I'm