The western Democrat. [volume] (Charlotte, N.C.) 1852-1870, 1862-01-07
CONFEDERATE WAR TAX.

Below we give the correspondence between the
Commissioner appointed by the n G. State Con-
vention, Mr. Ferebee, and the Secretary of the
Treasury Mr. Memminger. /. will be seen that
the only currency in which the War Tax can be
paid is in specie treasury notes. This, it is
feared, will press severely on many. But the
Secretary thinks that by spring. the time of pay
ing the tax, treasury notes will be in general cir
culation. We hope so. But if not, and they
shall be at par, the tax collector take any
good currency and then exchange it for treasury
notes. This can and will be done:
RICHMOND, Dec. 9th, 1861.
Hon. c. G. MEMMINGER, Secy cfAe Treasury:
SIR: I have been instructed by the Convention
of North Carolina, now in session at Raleigh, to
proceed to this place and confer with yourself
and, if necessary, with the Confederate Congress,
on the subject of the tax, and the means by
which the taxes assessed upon the citizens of the
State can be paid.
Notwithstanding the abundant crops, the de-
privatlon of customary markets, and consequent
inability to dispose Of these crops, leave the
people of the State but restricted resources with
which to meet this requisition. The uneasiness
resting upon the public mind is greatly increased
by the fear that specie or Treasury notes will not
be within their reach when the time for making
payment comes. The anxiety which is felt the
subject is evinced by the numerous memorials
which the Convention is daily receiving.
In view of this difficulty of raising the taxes,
the Convention has been considering the pro-
priety of assuming and discharging the sum
assessed against the citizens of the State and re-
leving the people of the burden. [ have been
commissioned by resolution, which I have had
the honor of laying before you at our interview
this morning, to make certain inquiries of the
Treasury Department, and to report the informa-
NH how oil io;t 70 +bo Pow
its guidance in determining the proper policy to
be pursued. These inquiries embrace, in their
scope, the following propositions:
lst. Will the claim of North Carolina upon the
Confederate Government, audited previous to
April, under the act of August 30th, 1861 be
received in payment Of the tax?
I'd. If not, can an arrangement be made where
by bankable funds, or such currency is receva-
bic in payment of State dues, be received by
the State in paying the tax?
Sd. The act imposing the tax, being silent as to
the currency to be demanded by the collectors
while it expressly (Sec. 24) desgnates the me-
dium-specie and Treasury notes-in which the
State, assuming the obligation, must pay is it to
be understood that the collectors may receive
payment in other funds, current for all purposes
of business or does the same restriction apply?
4th. The State proposes to issue large amount
of its own Treasury notes. These will, it is be-
ieved, become part of the currency. Will they
be accepted in payment, should the State under
take the obligation2
If none of these propositions meet with the
approval of the Department. then, in view Of the
prevailing apprehensons felt that Confederate
Treasury notes cannot be procured in sufficient
amount. you will further obge me by any informa-
ton which I may be permitted to report to the
Coventon, calculated to quiet such apprehen-
sons, and any other suggestions which you may
make on the subject.
An early reply will greatly oblige me,
Your very obedient servant,
D. D. FEREBEE