The Nevada Democrat., 1862-08-19
The Currency Questlom.


We have allnded TO an agreed case, now
pending before the Supreme Court, invoIv-
ing The question az to whether State taxes
can be paid in q. s. legal tender notes. at
their face valuation. John Perry, the b'o'
ker, rendered to Washbnrn, the Tax Colirc-
tor Of San Francisco. the sum OF S2IO 10 IN
U. s. notes, in payment of his State aud
county taxes. WaShburn refused to receive
them on the ground that the statute eh-
joius him to receive in payment of such
taxes ouIy the legal coin Of the United
States, or foreign coin at the value fixed
for such coin by the laws of the United
States" ThereupOn Perry commenced an
action iu the Twelfth District Court, ray.
ing that Wasbburn be compelled 10 receive
the notes in payment of such taxes, aud re-
celpt for the same. The District Court
ga re Judgment in favor Of the Collector,
and the plaintiff appealed to The Supreme
Court.
The case was argued lust Friday before
the Supreme Court, and the propositions
sought to be established by the counsel for
The appellant were:
First-That the Congress of the United
States has power, under the Constitution to
create paper money, make it "A legal tender,
and constitute it the currency of the nation.
Second-That Congress has exercised this
power.
Third-That the act of Congress making
"United States Notes" lawful money and le-
gal tender in payment of all debts, public and
private, within the United States, obliges every
individual within the United States to receive
it IN payment of such debt, and enjoins the
State and every municipal corporation within
it, to receive such notes in payment Of its
taxes.
FOurth-If there be anything in the revenue
laws of this State conflicting with this Con-
gressional law, then the former are subordinate
to the latter, and so far as they conflict, the
State law is repealed
Counsel for respondent, in seeking to es-
lablish that the State is not bound to re-
ceve United States notes in payment Of it's
taxes. contended that there we're but two
propositions insolved
First-One Of construction and intent. Did
Congress design to enact that the Treasury
Notes should be legal tender to State officers
for taxes imposed by State revenue laws?
SecOnd-A question Of power. Can Con-
gress make paper money legal tender for pri-
vate debts, and if so, can that body control
State legislation upon the currency in which
State taxes are to be paid?
Upon these questions the counsel for res
pondent laid down the following PROPOSE
tions:
First-That there is a radical difference be-
tween tar and debt; and that the law Of
Congress providing that these United States
notes "shall be lawful money and legal ten
der in payment Of all debts, public and private
within the United States" does not command
tax collector to receive them in payment for
taxes; and therefore the revenue law of this
State, declaring that tall taxes levied under the
provisions of this act shall be paid in the legal
coin o! the United States, or in foreign coin at
the value fixed for such coin by the laws Of the
United States" is in full force and effect, and
justifes respondent in the refusal complained
of.
Second-That the State of California enjoys
the full power to tax all persons within her
borders, and to say in what specific thing or
property the tax shall be paid or collected.
That the States action in this respect is not to
be controlled by the Federal Government; so
that even if the words of the Act of Congress
can be construed to include taxes, it cannot
override the revenue law of this State, when
the latter law enacts that ditfeIent species Of
money than notes Of the United States shall
alone be received in payment thereof.
The decision Of this question is looked for
with considerable interest; though it does
not necessarily involve the question, as to
whether the U. S. notes are legal tender
in payment Of private debts. The Court
may decide that the State has the right TO
prescribe the particular kind of money in
which the taxes are to be paid, aud leave
the question as to whether Congress can
make paper money legal tender nndeter-
mined.
DETECTION or JERE CLEMENs.-The Ata-
louto (Co \ NE,munouuaolth tbus bpra l1s tho