Weekly national intelligencer. [volume] (Washington [D.C.]) 1841-1869, 1863-12-17

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| Making the real estimate of expendi-
lures for the year SOL ,6l5, 06c
| From which deduct estimated receipts
from ordinary Sources as before stated 2O6 53g
Leaving to be provided by loans 1914 97s, 54s
The sum to be provided by loans represents the in-
crease OF debt during the Assuming therefore, the
correctness Of the esmate which puts the debt the
lst July 1864 at 81 $3.50 GAL will result from these
estimates that the whole debt will have reached the
3Oth of June, 1866, the sum Of So .23l 1886 100.
Proposed Increase Of Revenue.
1t has been already that the amount required for
general Disbursements exclusive of payments account
public debt for the three last quarters of the
fiscal year. was the LIST Of October last 579 457 56
Of which 900 expected from ordinary
sources, and the remainder 464 567 expected
from loans.
The receipts and expenditures during October and No
vember other than account of principal Of debt amount
ed each far has been ascertained, to $l47
without balance. OF these receipts $35 629,703 were
from ordinary sources, and Sill 93l OFT from loans,
either temporary permanent leaving to be obtained dur
ing the remaining months from ordinary sources
$7967O2s6, and from loans 539 On the basis
of these two months the receipts aud expenditures from
ordinary for the last three quarters of the year
will respectively exceed the general estimates by the
of ga and 500 532, 257 making difference in
favor Of the country Of $3 sol ,406.
The Secretary admits therefore, apprehension of de-
ciency comparison with estimates in any OF the ord
does no anticipate any formidable difficulty ia
providing the amount to be obtained from loans espe
ciay if the vouchsafed by gracious Proy
dence to armies during the last nine months shall
tinue to attend them.
But no one can be profoundly convinced than him
self of the very great Importance of providing even
larger amount than is estimated from To check
the increase of debt must be- in circumstances
prominent object of patriotic soctude The Secretary
therefore, while submitting estimates which require large
loans AMI while he thinks it not very difficult negotiate
a
contingencies to urge on Congress efficient measures for
the increase of revenue.
1t is possible that limited additional amount Of income
may be derived from judcous modification Of pro-
visions Of the laws imposing duties foreign Imports
but the chief reliance for any substantial increase and
for the prevention of possible decrease must be inter-
nal duties.
The Commissioner Of Internal Revenue recommends an
increase of the tax bank note circulation to two and
two fftbs per cent increase Of the duty distilled
spirits to sixty cents per gallon increase OF the duty
tobacco TO twenty cents per pound leaf and from
FIVE to twelve cents, according to quality, manufac
tur1d duty OF ten cents per gallon on crude petroleum.
duty of two cents per pound cotton the repeal of
the tobacco and petroleum drawbacks and various other
changes Of the internal laws designed to augment
The receipts from this source In the particular
mendatons just mentioned the Secretary fully concurs
and commeDds all his suggestions to careful attention
The enactment Of such laws will increase of
internal revenue to the amount originally estimated of
hundred and fifty millions year. required by the strong
est considerations of public policy
Hitherto the expenses OF the have been betrayed
its speedy termination could fully warrant.
Success of the Financial System
In his first report submitted at the special session in
July, 1861 the Secretary stated his conviction that to
sound financial condition. system of taxation certain to
produce sufficient revenue to pay the whole ordinary
expenses Of the Government in times of peace and the
entire interest the public debt and TO create gradu
ally increasing fund for the redemption Of its principal
was Indispensable 1t was not important, so long as il
seemed highly probable that the would be speedily
brought to successful Close that the should
largely exceed the ordinary expenditures and the interest
On the contrary it seemed wset to obtain the for
nearly the whole of the extraordinary expenditures by
loans and thus avoid the necessity of any considerable n-
of the burdens Of the people time when the
sudden outbreak of hagous rebellion had deranged their
| business aud temporarily diminished their incomes.
The financial administration of the first fiscal year after
the outbreak of thu rebellion conducted upon these
ideas The acts of Congress the session July
1861, framed with the intention of supplying the full
amount of revenue demanded by them. But receipts dis
appointed expectation and it became obvious that
much larger proportion of the needed for the fiscal
year 1862 than the principle adopted would allow
be derived from loans.
When therefore, Congress assembled in regular session
the FIRST Monday Of December 1861 the Secretary di
rected attention to the necessity Of increased taxation
The respon Utility was promptly assumed by Congress,
and the internal law enacted and such mod
fcatons of the tariff act made that ample provision
for the desired objects supposed to have been
certainly secured 1t not expected, however, that
the influence of this legislation would affect the results OF
the then current Nor did it aft ct them The total
receipts from ordinary The close Of that year.
June 80 1862 insufficient for the payments expected
to be made from them The receipts SOL 93o 100
while the disbursements for the civil service for pensions
aud Indians and for interest $37 701 sol leaving
only $4 233 9l9 for the War aud Navy Departments the
expenditures of which the last year of had been
27922 917. and nothing at all for extraordinary expen
ditures or a sinking fund
In his report at the December session. 1862 the Secre
tary considering this deficiency and assuming the correct
of the estimate Of $l50,0OO000 the amount Of
receipts from internal duties and taking double the
of the War and Navy Departments in the last year
of peace the amount likely to be annually required after
the suppression Of the rebellion expressed the opinion
tnat the probable receipts under the legislation of the pre-
cedipg session would meet all ordinary expenditures for
the fiscal year 1863 and interest and leave large surplus
to BE- applied for the present. to the extraordinary dis
bursemens OF the war; after ts close to the reduction
oil debt In that report therefore, and in his subsequent
communications to the proper committees the Secretary
suggested increase of taxation but confined his
public credit among which those relating loans and to
uniformity OF currency held the foremost place.
Congress gave effect to those recommendations by the
loae act and national banking act but Mt the time
somewhat diminished the expectation Of iacome by modi
fcatons Of the internal act.
Notwithstanding tbis cminution, however, and not
wlthstandng the much larger dminuton caused by the
failure of receipts expected from internal duties una
iected by this legislation the Secretary has the sat
sacton OF being able to show that the actual receipts Of
the last fiscal year did pay the whole interest the whole
and navy at double those Of the last year of peace and
portion OF the extraordinary expenditures which, under
me circumstances, was equivalent to payment into
sinking fund
Thus the total amoun' Of receipts during the
fiscal year 1863, $I24443313