The daily union. [volume] (Washington [D.C.]) 1845-1857, 1845-12-03

OF the preceding year. These estimates are submit
ted IN the full conviction that, whenever Congress,
guided oy an enlightened economy, can diminish
the expenditures without injury TO the public inter-
est, such retrenchment will be made so as to light
on the burden of taxation, and hasten the extin-
gaishment Of The public debt reduced on the LIST OF
October last to sl7,07s,445 So
La suggesting Improvements in the revenue laws,
the following principles have been adopted:
LIST. That no more money should be collected
than is necessary for the wants Of the government,
economically administered. tt
Cd. That no duty be imposed on any article above
the lowest rate which win yield the largest amount
Of revenue. "
Sd. That, below such rate, discrimination may be
made, descending in the scale of duties or for i'm
perative reasons, the article may be placed in the
list of those free from all duty.
9TH That the maximum revenue duty should be
imposed on Injuries.
5th.., That all minimums, and all specific duties,
should be abolished, and ad-valorem duties subst-
tuted in their placo---care being taken to guard
against fraudulent invoices and differentiation,
and to assess the duty upon the actual market
value.
9th. That the duties should be so imposed as to
operate as equally as possible throughout the Union,
discriminating neither for nor against any class or
section.
No horizontal scale Of duties is recommended;
because such a scale would be refusal to discrmi-
nate for revenue and might sink that revenue below
the wants Of the government. Some articles will
yield the largest revenue at duties that would be
wholly or partially prohibitory in other cases. Lux
ures general rule, will bear the highest reve-
nue. duties: but even some very costly Injuries,
easily Struggled, will bear but light duty for
enue; whilst other articles, of great bulk and weight,
will bear higher duty for revenue. There is no
instance within the knowledge of this department
of any horizontal tariff ever having been enacted
by any ono of the nations of the world. There
must be discrimination for revenue, the burden Of
taxation must be augmented, in order to bring the
same amount of money into the treasury. 1t is
difficult, also, TO adopt any arbitrary maximum, to
which an inAexible adherence must be demanded in
all cases. Thus, upon brandy and spirits, specif-
ic duty, varying as an equivalent ad-vaorem from
$50 to 26l per cent, yields large revenues yet no
one would propose either Of these rates as a maxi
mum. These duties are too high for revenue, from
the encouragement they present for smuggling these
baneful Injuries; yet a duty of 20 per cent. upon
brandy and spirits would be far below the revenue
standard would greatly diminish the income on
these imports, require increased burdens upon the
necessaries of life and would revolt the moral
Of the whole community. There are many other
Injuries which will bear much higher duty for
revenue than 20 per cent. and the only true maxi
mum is that which experience demonstrates will
bring in each case, the largest revenue at the low
est rate Of duty. Nor should maximum revenue
duties be imposed upon all articles; for this would
yield too large an income, and would prevent all dis
the revenue stanuaTu, anu require
necessares to be taxed as high as Injuries. But,
whilst it is impossible to adopt any horizontal
scale of duties, or even any arbitrary maxi
| mum, experience proves that, as general rule,
a duty of 20 per cent. ad valorem will yield the
largest revenue. There are, however, few excep.
tons above, as well as many below, this standard
Thus, whilst the lowest revenue duty on most luxu-
res exceeds 20 per cent, there many costly ar
ticles, of small bulk and easily smugged, which
would bring, perhaps, no revenue at duty as high
as 20 per cent and, at the present ratio of a
per cent, they will yield, in most cases, small rev
enue; whilst coal, iron, sugar, and moasses, arti-
cles of great bulk and weight, yielded last year 81 K
millions Of revenue, at an average rate Of duty OK.
ceeding GO per cent ad valorem. These duties are
far too high for revenue upon all these articles, and
ought to be reduced to the revenue standard but il
Congress desire to obtain the largest from
duties these articles, those duties, at the lowest
rate for revenue would exceed 20 per cent. ad va
loren. 4-
There are appended TO this report tables, prepared
with great and labor, showing the rates Of duty
each year on each of these four articles, and the
equivalent ad-valorem, from the organization Of the
government down to the present period, with the
revenue collected every year upon each--from which
tables Congress will be eoabled to Judge how far the
present rates exceed the lowest revenue duties and
how much they must be reduced to yield a
revenue equal to that now obtained from these arti.
cles.
1t is believed that sufficient means can be obtained
at the lowest revenue duties, the articles sub
jected to duty; but if Congress desire larger
nue., it should be procured by taxing the free arti
ces rather than transcend, in any case, the lowest
revenue duties. 1t is thought, however, that, with
out exceeding the limit in any case, an adequate
revenue will still be produced, and permit the add
ton the free list Of salt and guano In one of his
annual messages; Mr.. Jefferson recommended to
Congress "the suppression Of the duties upon salt.
large portion of this duty is exhausted in heavy
80 L.
fishing bountes and allowances in lieu Of the draw
back Of the duty, both which expenditures would fall
with repeal of duiy-which repeal therefore, can
cause no considerable reduction Of the revenue Salt
is necessary of life, and should be as free
from tax as air or water II is used in large guam.
titles by the farmer and planter; and TO the poor,
this tax operates most oppressivey, not only in the
use of the article ITSELF but as combined with sailed
provisions The salt made abroad by solar evapor-
alton is also most pure and wholesome, and as con-
sentative Of health, should be exempt from tax
alton. t'.4s
The duty on coton-bagging is equivalent to $500
per cent. al valorem the Scotch bagging, and to
1911 per cent. on the gunny-bag; and yet the
whole revenue from these duties has fallen to
$4,000 So Nearly the entire amount, therefore, of
this enormous tax makes no addition 10 the rev.
cnue, but enures to the benefit of about thirty man
ufacturers. As fvc-sixths of the cotton crop is
ported abroad, the same proportion of the bagging
around the bale is exported, and sold abroad at
heavy loss, growing out of deduction for tare
Now, as duties are designed 10 operate only on the
domestic consumption, there ought to be a draw
back of the whole duty on cotton-bagging re-ex-
ported around the bale, on the same principles OF,
which drawbacks are allowed in other cases. The
cotton planting is the great exporting interest," and
suffers from the tariff in the double capacity Of con-
sumner and exporter Cotton is the great basis Of
our foreign exchange, furnishing most Of the means
to purchase imports and supply the revenue. II Is
thus the source of two-thirds of the revenue, and
of our foreign freight and commerce, unfolding our
commercial marine and maritime power. i is also
bond Of peace with foreign nations. constituting
stronger preventive of war than armies or navies,
forts or armaments. AT present prices, our cotton
crop will yield an annual product Of S72,000,000
and the manufactured fabric 100000, furnish
ing profits abroad to thousands Of capitalists and
wages TO hundreds of thousands of the working
cssses--all Of whom would be deeply injured by
any disturbance, growing out of a state Of war, TO
the direct and adequate supply Of the raw ma.
teris II our manufacturers consume 400, 900
hales n vould cost them alo 000 600 whilst