The western Democrat. [volume] (Charlotte, N.C.) 1852-1870, 1864-03-08
REMARKS ON THE TAX ACT.
From the Richmond ENQUIRER.

Under section 1st, the value In Confederate
money OF all property, real, personal and mixed,
not exempted or otherwise taxed is taxed FIVE per
cent The tax does not apply to the year 1868,
put Is to be assessed as on the 17th day of Feb,
| 1864, and is payable on the 1st of June, 1854
From the amount of this tax oa property employed
IN agriculture is to be deducted the value of the
| tax in kind for 1864 delivered to the Government
But the in kind for 1864 cannot be ascertaiped
BY the lst of June therefore, we presume that the
Whole amount OF the per cent will be collected
and when the tax in kind is delivered it will be
paid for, and thus become deduction from the
amount OF the tax of per cent.;-provided that
all OF the tax in kind over and above the value of
. per cent. upon the property, shall not be paid
for, but still remain tax in kind
BY the second paragraph of this section, the as
sessment OF 1860 is to be taken as the assessment
for this hVe per cent. ax, except where "the land
slaves cotton or tobacco have been purchased since
lst January, 1862" The assessment in cases
where purchases have been made since the LIST
January, 1862 are to be made at the price actual
ly paid.
The value in Confederate money of gold and
silver wares and plate, Jewels jewelry and watch
es, is taxed ten per cent.
Sec. I'd. The value in Confederate money of all
shares interests in banks, banking companies or
associations, canal, navigation, importing and ex-
porting, insurance, manufacturing, telegraph, ex-
press, railroads and dry dock companies, of every
kind, whether incorporated ar not, is taxed per
these shares. 1t is not tax upon their par value
unless their par and market value are the same.
This tax applies only to 1864.
Sec 3D. BY the first paragraph of this section
gold and silver coin, gold dust, gold silver bull
lion, by whomsoever held, is taxed per cent
not, we understand the law, in Confederate
money, but tf0e per- cent Of the gold and s1rer
The word value, used previously throughout the
other sections Of the law, cannot be construed as
synonymous with the new word amount, now used
in the first and second paragraphs of the third sec
tions This section takes per cent. of the amount
not of the value of the amount but of the kind
that is, per cent. in gold and silver of the gold
and silver. But upon monies held abroad the 5
per cent. to be assessed and collected at its ra2ue
in Confederate money at the place where the tax
is paid. The re-introduction Of the word 'value"
in this paragraph, and its special and particular
application therein to monies held abroad pre-
cludes the idea that the per cent. tax on gold
and silver coin, or dust bullion, is payable in
Confederate money. It no part of the design
of Congress to depreciate Confederate currency by
taxing 1t and property at rate different from that
of gold. If holding one thousand dollars
in Confederate notes is to pay fifty dollars in Con-
federate money while his neighbor who holds one
thousand dollars in gold pays the same amount,
the price Of gold will soon reach one hundred to
one. 1t cannot be presumed that Congress de-
signed any such ruinous depreciation of the very
currency to improve which it was enacting an
enormous tax law.
Five per cent of the amount is five per cent. of
the substance of the sum of the thing taxed. The
Secretary Of the Treasury should issue instructions
to assessors to assess gold in god and to his COL
lectors to collect the tax gold in gold. This
will pay into the Treasury five per cent Of all the
gold and and silver in the Confederate States
Sec. 4th. Upon profts Ten per cent upon
profits made from buying and selling certain emu
merated articles, at any time between lst January
1868, and 1st J January, 1865, in addition to the
tax upon profits levied by the act of April 24th,
1868. And also ten per cent in addition to the
tax levied by the act of April 24th, 1868, upon
the profits derived from buying and selling money,
gold, silver, &c, &c.
Incorporated companies, or companies not incor-
porated pay 25 per cent. of the excess of profits
over rs per cent of the profits, made during the
years 1868 and 1864 That of the year 1868 is
to be assessed Immediately, and that for the year
1864 to be assessed next year:
The exemptions need no explanation"
Sec. 9th provides for the reduction of taxation
on property injured by the enemy.
Sec. 7th provides for the suspension, during the
year 1864, of so much Of the tax act of 1868 as
taxes incomes derived from property or effects, on
the amount or value of which a tax is levied by
this act.
Such are the principal features of the tax act
entrusted to Mr. Memmnger for execution. Its
three distinctive subject are "value," "amount'
and "profts." Property is taxed on the Ualue; the
precious metals and other things issued curren-
cy is taxed on the amount; trade and business on
profits. This division into "value," "amount" and
ssprofts'' is not accidental. Value and profits be-
ing estimated in Confederate currency assessed
in that currency, but at different rates-he one at
five and the other at ten and twenty-five per cent;
but gold and silver not estimated in Confeder-
ate, currency, but taxed per cent on amount
that is to say, five per cent i'll gold and silver
The reason for this distinction between gold aud
silver and other property is, because they measure
the depreciation of Confederate. notes. The tax
act enters as much into the plan Ct the Congress
for the appreciation of Confederate notes it does
for the common defence and support of the Gov
ernnent, and any construction that does not tend
to the appreciation of treasury notes is erroneous
and should be avoided.
To construe the tax upon gold and silver to
mean FIVE per cent in Confederate money upon the
amount of gold and silver will be to encouragethe
depreciation of the notes. If rufe is to be lugged
into the tax on gold and silver, the assessment
should be made in gold and silver at their value
in Confederate money on the 18th February, 1864
that is at twenty times their value, and the tax
collected on twenty times its value. One hundred
dollars in gold should be assessed at TWO Thousand
dollars in Confederate money, and taxed hve per