American Republican and Baltimore daily clipper. [volume] (Baltimore, Md.) 1844-1846, 1845-12-05

ed than is necessary for the wants of the gov
eminent, economically administered
Cd. That no duty be imposed on any article
above the lowest rate which will yield the
largest amount of revenue.
Sd. That, below such tate, discrimination
may be made, descending in the scale of du-
ties; or, for imperative reasons the article may
be placed in the list of those free from all duty
4th. That the maximum revenue duty
should be imposed on luxuries.
5th. That all minimums, and all specific du-
ties, should be abolished, and ad-valorem du-
ties substituted in their place--care being TAX
en- 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
10 operate as equally as possible throughout
the Union, discriminating neither for nor
against any class or section.
No horizontal scale of duties is recommend
ed because such a scale would be a refusal to
discriminate for revenue, and might sink that
revenue below the wants of the government
Some article will yield the largest revenue at
duties that would be wholly or partially prohi-
bitory in other cases. Luxuries, as a general
rHle, will bear the highest revenue duties: but
even some very costly luxuries, easily snug
ged will bear but a light duty for revenue;
whilst other articles, of great bulk and weight,
will bear higher duty for revenue. There is
no instance within the knowledge of this de-
partment OF any horizontal tariff ever having
been enacted by any one of the nations of the
world, There must be discrimination ior re-
venue, or the burden of taxation must be aug
mented, in order to bring the same amount Of
money into the treasury 1t is difficult also,
to adopt any arbitrary maximum, to which an
infiexihle adherence must be demanded in all
cases. Thus, upon brandy and spirits, speeif-
ic duty, varying as an equivalent ad-valorcm
from $50 to &c per cent, yields large reve-
nue.; yet no one would propose either OF these
rates as a maximum. These duties are too
high for revenue, from the encouragement they
present for smuggling these baneful luxuries;
yet duty of 20 per cent. upon brandy and
spirits would be far below tho revenue stand
ard, would greatly diminish the income on
these imports, require increased burdens upon
the necessarics offe, and would revolt the mo-
raj sense OF the whole community. There are
many other luxuries which will bear much
higher duty for revenue than 20 per cent; and
the only true maximum is that which expert
ence emoistrates will bring, in each case, the
largest revenue at the lowest rate Of duty
posed upon all articles; for this would yield too
large an income, and would prevent all dis
elimination within the revenue standard and
require accessories to be taxed as high as luxu-
ries. But, whilst it is impossible to adopt any
horizontal scale OF duties, or even any arbitra-
ry maximum, experience proves that, as a ge-
eral rule, a duty Of 20 per cent. ad-yaiorem
will yield the largest revenue. There are, how
ever, few exceptions above, as we'll as many
below, this standard. Thus, whilst the low
est revenue duty on most luxuries exceeds 20
per cent, there are many costly articles, of
small bulk and easily struggled, which would
bring, perhaps, no revenue at duty as high as
20 per cent, and, even at the present tate of 7
l-2 per cent, they will yield, in most cases, n
small revenue; whilst coal, iron, sugar and mo-
lasses, articles of great bulk and weight, yield
ed last year six millions of revenue, at an aver
age rate of duty exceeding 60 per cent. aG-va-
loren. These duties are far too high for re-
venue upon all these articles and ought to be
reduced to the revenue standard; but if Congress
desire to obtain the largest revenue from du-
ties on these articles, those duties, at the low
est rate for revenue, would exceed 20 per cent.
ad-valorem.
The Secretary is of opinion that sufficient
means can be obtained, at the lowest revenue
duties, on the articles now subjected to duty;
but if Congress desire larger revenue it
should be procured by taxing the free articles,
rather than transcend, in any case, the lowest
revenue duties. 1t is thought, however, that,
without exceeding the limit in any case, an
adequate revenue will still be produced, and
permit the addition to the free list Of salt and
guano.
The duty OH cotton-bagging is equivalent to
SIS 20 per cent. ad valorem On the Scotch bag
ging, and to 1871 per cent. on the gunny-
bag; and yet the whole revenue from these
duties has fallen to ,0s4 So Nearly the
entire amount, therefore, of this enormous tax
makes no addition TO the revenue, but enures
to the benefit of about thirty manufacturers
As five-sixths of the cotton crop is exported a.
broad, 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 to operate
only on the domestic consumption, there ought
to be drawback of the whole duty on cotton
baggng re-exported around the bale, on the
same principles on which drawbacks are allow
ed in other cases. The cotton planting is the
great exporting interest, and suffers from the
tariff in the double capacity of consumer and
exporter. Cotton is the great basis of our TO-
reign exchange, furnishing most of the means
to purchase imports and supply the revenue
1t is thus the source of two-thirds of the reve-
nue., and of our foreign freight and commerce,
uphelding our commercial marine and mari
time power. 1t is also a bond of peace with
foreign nations, constituting stronger pre-
ventive of war than armies or naves, forts or
armaments. At present prices, our cotton crop
will yield an annual product Of $72, 200, 900,
and the manufactured fabric $500, 900, 900, fur
nishing profits abroad to..thousands of ca pita-
lists, and wages to hundreds of thousands of
the working classos-all of whom would be
deeply injured by any disturbance, growing out
of state Of war, to the direct and adequate
supply Of the raw material. If our manufac-
turers consume 900 bales, it would cost
them $l2 900, 900, whilst selling the manufac-
tured fabric for $s4 100000; and they should