The Jeffersonian. [volume] (Stroudsburg, Pa.) 1853-1911, 1861-03-14
Bill for the Communication of the Tonnage
Tax,

We publi.h this week the entire bill fo
the Com mutation of the Tonnage Tax. 3
il has passed the Senate aud House o
Representatives,, with the exception of al
amendment, obliging tie companies nan
ed 10 the bill, to employ Americsu irol
In the construction Of their roads. Th
followiug is the bill
WHEREAS By provision Of the act I,
incorporate the Peuusylvania railroad
company approved the thirteenth oil Apri
one thousand ell BIT hundred and forty si,
and supplement thereto approved the
twenty.seventh Of March one thousand
eigh, hundred and forty eight tax or du
ty was imposed on all tonnage loaded or
received at Fl arristurE, Pittsburg and 10
tcrnediate points and carried or con'eyrd
on the railroad of said company more
than twenty miles which said tax was in
tended to compensate for any probatle
diminutiou in the receipts of the I'd ain line
OF the public works {theu oSoed By the
State) By reason of the construction and
operstio Of the said railroad.
AND WHEREAS 1t was provided in the
third section of the act for the sale of the
main line Of the public works approved
the sixteenth day of May one thousand
eight hundred and fifty seven that if the
Pennsylvania railroad company should
become the purchasers of the said works
the said company in addition to the Sun
of seven millions FIVE hundred thousand
dollars (s7 500 ,OOO) the price limited by
the said act should pay the sun of one
million five hundred thousand dollars a.
500, ,000) in FIVE per cent bonds OF the
company and that tbereupon the said
coupsny sud the rrisburg. Portsmouth
Mount Joy aud Lancaster railrosd con-
paDy should 10 consideration thereof be
discharged By the Commonwealth forev-
er from the payment of all taxes upon
tonnage or freight carried over said rail
roads and the said the Pennsylvania rail
road con pany should be released from
the payment Of all other taxes or duties
on its capital stock bonds dividends or
property (See Pamphlet laws of lo57,
Page $50.
AND WHEREAS 1t was subsequently
decided by the Supreme Court of this
Commonwealth that while the Legisla-
ture bad full authority to repeal the pro
visions Of the said acts By Ehcb the said
tonnage tax was imposed yet inssuuch
as part OF the said last mentioned section
in the act for the sale OF the rlain line
placed all the property Of the laid CON
pany beyond the reach of the taking Pow
er it was therefore to that extent uueoD-
stitutiona and void
AND WHEREAS 1t vas the clear inten
ton of the Legislature By the said act for
the sale OF the main line in case the sal d
Pennsylvania railroad company should
become the purchaser of the same to ex-
ouerats and release the said company
from further liability for the payment Of
said tonnsge tax and for tue additioual Il
consideration therein named all other
taxes and as the said tonnage tax now
falls indirectly on -four grain cattle iron
minerals and other domestic prod ucts
transported on ono line Of Improvements
while similar products transported on
other lines are exempt from the sane and
as the reason for the IMPOSITION thereof
ceased to exist on the sale of the works
it was intended to protect the right of the
State any longer to demand the paymeD Dt
OF the said tax is denied and said demand
has led to litigation between the State
and the company and will probably iu-
volve the parties 10 litigation with citizens
of other States to the injury Of our inter
nal trade and com uerce which it is the
duty Of the government to encourage and
protect by all lawful means.
AND WHEREAS The said company has
proposed compromise and final settle
uent Of the question by paying into the
treasury 10 CON mutation of the said ton
mage tax aud in discharge thereof such
additional sum semi-anDually over and
above the iustalments of principal and
the interest on its debt TO the State as
may be required to make said payments
amount to four buDdred and sixty thou
sand dollars 1890, ,0O0) annually until
the year one thousand eight hundred and
ninety at which time the entire bslaUce
of the principal and interest shall be paid
10 full and by paying also in addition to
the said semi.annusl instslDents ell 9TH
er taxes 90 their property to which they
may hereafter be made liable under the
general resenue laws of the State and a.
gree to make reductions for transporta-
tiou of local trade as hereinafter provided
and to aid also 10 the construction Of cer-
tain lateral railroads the completion Of
which 10 essential as a means of faciIits.
ting the settlement aud improvement OF
valuable districts of the Commonwealth
yet uudeveloped.
AND WHEREAS 10 the opinion of this
Legislature it is expedient to accept the
said proposition aod to relieve all sgricul-