The daily union. [volume] (Washington [D.C.]) 1845-1857, 1846-06-22


transcript Of the 18th and 18th sections of the &C
of 30th August, 1912; and in stating and explain
ing the amendments, 1 shall cover all the groun
4 which is new. ..... .
u The first amendment proposed, is TO allow good
20 remain In store for period not less than two
! por more than three years as Congress may deter
mine, instead Of sixty and ninety days, with tn,
! privilege Of Withdrawing them al any time durio.
That period on the payment Of duties and charges
| ms amendment embraces two new provisions: lot
/ an extension Of the time during which goods ar,
permitted 10 remain In store, and I'd, remission
Of the interest now sxacied on the duties from the
date OF the entry 20 tho time Of Withdrawing from
| the public stores the merchandise on which thew
are charged These provisions are 30 distinct in
character that 1t will be necessary to consider them
| separately. -. ......
perceive that the number OF years during which he
bill proposes 10 allow goods 10 remain In store is
leit IN blank. ~ill, at proper time move 10 fll
lhe blank with three years, though am not author
lied to say that shall be sustained in this motion
by the Judgment Of the committee. There are, in
my yew OF the subject, some strong considerations
70 favor of selecting that period Of time. IL is the
period liked by the British systsm, which has been
" successful operation Tor than forty years;
and Il may be reasonably supposed that, afer 80
full trial. II has been retained from considerations
q Its convenience for commercial purposes. But i,
nv WI ltuSOH ulOnc. Il ne term OF three
years Is the period during which imported goods
may, under existing laws, be entered for exporta-
hon with the privilege Of drawback; and the term
thus liked in one would seem 10 indicate a Drop
Or Limitation In the other especially as storing goods
for expectation will in all probability become very
important and extensive branch Of business II this
bill should become law, Should the Senate be Of
Che opinion that the term Of three years is too long
and that shorter period is dictated by any urgent
considerations Of public convenience or utility, |
can only say that shall submit cheerully 20 It's bet
Ter Judgment, but with the strong hope that less
time than two years will not be thought Of as am full
y persuaded that is the least which would be suE
SCENT TO accomplish efectually the objects in view
Commercial and financial reactions are not supposed
ordinarily to run their course 10 much less time
and If that period is allowed for goods to remain in
store, the owner will be able To avoid the inconye
nlenee and loss on the one hand OF re-exporting
them unnecessarily, and, on the Other the sacrifice
Of throwing them upon the domestic market when
'he demand Is limited, the ability TO purchase i'm
paired by arrangements in the pecuniary or mercan-
ole transactions Of the country.
= rs 10 NE remission Of the inieTsSl-lnterest ia
now exacted on the duties from the date of the en-
Try OF the merchandise which they are charged
TO the time when the duties are paid The proposed
amendment proceeds upon the principle Of reauir-
mg the owner or importer Of foreign merchandise
20 pay the impost when the merchandise il wanted
tor consumption. u he pays the duues on the en-
Wy IN CoHnpcutu 10 Keep The goods hand he
cause he cannot sell them advantageousIy or with
out loss, the government has the uss of the money
PAID Tor the duties, though the merchandise has not
been used for the benefit Of the owner while the lat
ter IL also paying or losing interest on the amount
OF me duties ne has advanced to the government
In like manner, ifa merchant imports goods pays
duties on the entry, and is compelled to keep the
goods on hand, they become constantly enhanced in
cost, not only by an accumulation of interest on the
purchase money, but of interest on the duties
Gases Of this description are undoubtedly of fre-
quent occurrence and advert to them for the pur-
pose OF showing the inequty, the illberaty not on
" OF exactng the payment Of duties before the mer-
ehandise on which they chargeable is required
for consumption or before the Importer can make
any advantageous use ofit but of o1actug interest
on the duties also, The government, by 20 dong,
derives profit tfcm ne merchant Without any cor
Of credits coeval with the foundation Of the govern,
ment, the merchant was allowed to take his goods
into his own possession by giving security for the
payment Of the duties, without interest at future
day; and during the period allowed for the credit to
run, he could always dispose, at least, Of a stuff
Gent amount OF the goods to meet the payment of
his bonds. 1t was, as have already said, most
valuable pecunary facility to the mercantile commu-
nifty, though having an inherent tendency to run
into excess and to stimulate and extend injurious y
the operations Of business. The remission of in
erest on duties from the entry of goods TO the time
ing, extend facility 10 the importer or merchant
IL merely abstains from imposing a burden-from
exacting what is unreasonable and unlus,-a profit
to the government without any corresponding adj
vantage to him. II allows him to take his goods
fr nm the public stores when he wants than NV
paying the charges Of storage, &c, and the duties
without exactlng int est the latter for the period
the goods have been IN store. The principle seems
an obviously jus, that will not pursue the argu-
ment further y"
It may be proper to add, however, that the system
Of cash payments proceeds upon the principle of
requiring the importer to pay the duties when the
merchandise goes into his possession; and this
IS the only material point in which il differs from
the old system of credits The non-exac Of in
terest on the duties does not affect this principIe
Imported goods, as long as they are deposited IN
store, are security to the government for the pay-
ment of the duties chareeabe on them. The pay
ment Of the mpost is exacted when the goods are
withdrawn, and 60 into the importers possession;
and thus the great principle on which the system
of cash payments proceeds is preserved inviolae f.
The observations have made are confined to the
policy Of extending the period Of time during which
goods are allowed to remain in the public stores,
without calling for the payment of duties and OF
allowing them to be withdrawn for consumption, or
domestic use, on paying the charges and the duties
without interest. These points embrace the whole
OF the first proposed amen 'ment.
proceed now to the second amendment; which
is to allow goods at any time during the period lin
tied for keeping them in store be taken out for
transportation on the payment of all charges
This amendment is a substitute for that part of
the existing revenue system, which exacts two and
half per cent. on the amount Of the duties paid
Ivy the owner of merchandise when he imports il,
and refunded to him when il Is re-exported The
government in other words. in ref,nding the duties
to the importer, retains two and half per cent OF
the amount for its own use. The amount retained
was originally one per cent, as may be seen by a
reference ri Of the IF T,l,,
and section 81 of the act of the 4th August, 1890
An addition of one quarter per cent was made by
the act Of March 10, 1893, as substitute for certain
stamp duties on debeDtures which were repealed
by the same act, And by the act Of 30th May,
1900, an addition Of two and a half per cent was
made for the same purpose; that the amount re-
tained was at one time three and three quarters per
cent But these PROVISIONS were all superseded by the
tariff net Of 1916, which reduced the deduction to
two and half per cent. In 1929 all deduction was
abandoned; and from that time until 1912 the whole
amount of the duties paid on the importation Of for
laiu mo nd ,,. -.