The daily Evansville journal. (Evansville, Ind.) 1862-1863, 1863-01-12

should be found due on settlement At
ter consultation with the Auditor, Treas
urer and Secretary of State, and in con-
junction with them on the - day of
December, 1861, l filed in the Office of
the Secretary of the Treasury at Wash
ington, paper officially signed, of which
a copy is herewith transmitted, in which
we assumed thatss;the State would pay
her portion of the direct tax without the
intervention of Federal officers, and pro-
posing to set-of against the same like
sum due to the State for advance made
in furnishing our troops, and to release
the United States from further liability
for the sum thus set-off and advanced
against the tax. This paper was accept
ed by the Secretary of the Treasury,
who thereupon declined to appoint the
officers provided by the law to collect the
tax within this State On the day of
January, 1862, Mr.. Lange, the Auditor
of State, proceeded to Washington with
the papers and vouchers embracing our
claims against the Government upto that
time, for the purpose of making settle
ment He found however, that the mode of
settlement with the several States had not
been determined upon, by the Treasury
Department, and that the press of bust
ness in the Department was such as to
prevent the taking up of our accounts.
He was directed to file them in the De-
partment to be taken up for adjustment
whenever they could be reached. 1t then
became obvious that our accounts would
not be settled and adjusted by the last
/ H. &C 20 h.
dated and determined within the mean
ing of the Act of Congress, as before
quoted, and that, after all, our set-off
against the tax was about to fail.
Accordingly, l brought the matter to
the attention of our Congressional dele
CATION, and asked them to procure, if
possible, such legislation as would facili-
| tate the settlement of our accounts, and
if that could not be done, to procure an
extension of the time in which accounts
could be filed and settlements made, so
that the advantage of the set-off need not
be lost After much trouble and delay,
they procured the passage of an Act,
watch was approved on the 18th day of
May, 1862, the concluding part of which
is as follows: provided, that in case of
such release, such State, Territory or
District shall be allowed the same abate-
ment of the amount of such Tax as
would be allowed IN case of the payment
of the same in money" shall be con-
strued as applying to such claims of
States for reimbursement of expenses in
CURED by them in enrolling, subsisting,
clothing, supplying, arming, equipping,
paying and transporting its troops en-
ployed in aiding to suppress the present
| instruction against the United States,
as shall be filed with the proper officers
of the United States before the thirtieth
of July next And in such cases the
abatement of fifteen per centum shall be
made on such portion of said tax as may
be paid by the allowance of such claims,
in whole or in part, the same as if the
final settlement and liquidation thereof
had been made before the thirtieth of
June"
This act healed the difficulty, and under
| it we have filed with the proper officers,
anterior to the Both of July last, claims
against the United States, due to the
State, more than enough to cover the
amount of tax due from the State, after
deducting the fifteen per cent. from the
gross amount
By this operation, the State has saved
| fifteen per cent. of the original amount
which is $I35,731 80, reducing the
amount from $904,S75 80 to $765, IA OF,
and the latter sum is set-of and paid by
our advances. The arrangement is mu-
tually advantageous to the State and
General Government 1t would do the
Government no good to draw a large
amount of money from the people of the
| State for taxes, while she was debtor to
the State to still larger amount, which
| indebtedness must sometime be paid by
money raised by taxation Besid his,
the Government was in no condition to
reimburse the State in the full amount
of her advances, and if these advances
were not used to pay the direct tax, the
tax must have been collected from the
people of Indiana Immediately, while the
advances would, in all probability, remain
as suspended debt for years to come,
on which the Government, if it followed
former precedents, would pay no interest
/ respectfully recommend that the Legis-
lature approve my action, and that of the
State Officers in the premises.
At the last session of Congress, the OPP
Grafton of the act levying the direct tax
upon the States was suspended for three
years.
! WAR EXPENSES.
The whole amount of expenses incur
red on account of the war, by the State,
is one million nine hundred ard sixty
nine thousand two hundred and forty
eight dollars and thirty-six cents, ISL
| 969,24S 36) The whole amount paid is
one million eight hundred and twenty
two thousand nine hundred and sixty
eight dollars and forty-nine cents, ISL
so, 95S.49) Leaving unpaid and out
standing on the lst day of January,
1868, claims amounting to one hun
dred and forty-six thousand two hundred
and seventy-nine dollars and eighty-sev-
en- cents, (Sl46, 279S7) all of which have
been duly audited and certified by the
Military Auditing Committee.
The account of the State against the
United States for expenses incurred for
war purposes, to January l, 1868, stands
as follows:
Total amount ofexpenses incurred. ,24s So
! Government draft returned to U, s.
Treasury oos4ol W
Total Sz,U3EsS49 W
On this eccount, the United States are entitled