, 1864-01-23


need be, l1yee. It only calls upon us to aid
By moderate contribution Of our net incomes for
tie proseention Of its great an end imperative wozk
sFo ehould yield-to lis demands not grudgingly,
but checrfpily, promptly, and with hearty good
This I fully concur in, and am only sorry
that Mr.. WIS patriotism y7as not sufficiently
portion Of the taxes which our suffering
GovcrpmeEt requires without charging 1t ali
over to his customers, as he HaYs every man
utccturer who has sufficient capacity does. I
als6 see in yonriesue Of Jan. 20th, the follow
ing correspondence :
TREASURY DEPARTMENT,
OF71CE OF INTERNAL KEyEfUE,
WAeuMGToN, June IL, '63.
sm:-Yours Of the 18th inst, addressed to The
Honorable eecretary.of the Treasury, with accom-
n9 ss @ aSa ma nGu5
Ieesi1ed and forwarded to thls osacc. IN n
reply, allow VT ne A. to .,o.a cypress ny pro-
you, aud at the lucid manner In which you demon
strate tho justice Of the law.
Rest assured hist the law is not considered By
cIdcnt and that its provisions will be neither ex-
plslned away, or Its operation suspended,
Very respectfully, ,D.
E.B, WAnn, Esq., Deputy Com, Detroit.
Mr.. Mcpherson wishes to be allowed to e1-
rress lis profound qualifications at the patrf-
otic stand taken by Mr.. Ward, and the lucid
manner in which lie demonstrates the justice
Of the law. I have only to add that fail to
Fhtrson's views on the subject, For my own
part do not object 10 paying the income
tax, us fully agree with III. Ward as to tho
Justice ard equity of such tax, but what I OBJ
ject 10 ii the s per cent tax on the gross
amount Of sales assessed to manufacturers.
whose wares ato not articles Of import. and
protected by tariff. The reasons why this
class, of manufacturers. should be exempt
frcm such tax arc alludc to Agricultural
quainted with llat branch Of business):
lot: We are obliged to pay on THO raw w.ma-
terial used By us oil the taxes assessed to tie
manufacturers thereof. without regard to the
.''.nttr 9f hands it goes through before We
getit Each mans tax must be paid by us,
With about 1t0 per cent in addition. The
xtasons for this We showed above, I. G., the
manufacturers Of the'raw material have not
blen able to supply the demand. If the sup
Ply Of suchgoods was more than adequate
to the demand, the manufacturers would at
lcdst be willing to pay portion Of the taxes
fssessed on those goods, to support the pres
tinE demands Of tile Government, instead of
to the bills Of their customers.
I'd. After paying the taxes Of others, as
above alluded to, VIC cannot add them to our
prices, for the reason that the facilities for
manufacturing such goods are SO great that
the supply Is kept fully equal to the demand
hence ne cannot control prices, but must
60 into the market md sell for whatever nc
can get. This is particularly the case with
all frsf doss implements, the reasons for which
IS the enormous increase of prices We hare
to pny for stock. now submit whether
In equity, We should be required to pay the
taxes Of others, as re haye fully shown we
are Obliged to-and license fees for manu1ac-
tur1ng-stamp tax (which Is by no meanR
tmalD, income tax-and In addition to al
this 81 Oh the gross amount Of sales. see
no remedy by which Justice can be done US.
20 far as relates to the taxes We are obliged
to pay for others, US 1t is impossible to frame
laws that will bear equally under all circuna-
stances; I therefore cheerfully submit to
are.all inst and equal, so far as they can be |
made BY legislation, and j am ready and will. |
Ing to pay them; hut When, as at present, |
the enormous advance In the price Of stock |
is SO great that It requires the most rigid |
economy to carry On business without loss,
! am not willing to pay 81 on the gross
amount of sales, rs by the present law / am |
Obliged to, even though such sales are made !
at loss. While money at interest pays no |
tux unless the interest is promptly paid, |
and capital invested in trade pays mere |
license fee, and usually turned three times q |
year, making double the profit in the same
agricultural implements which are sold on
els. twelve and eighteen months time, md fre- |
4ucntIy much longer, Is 1t not, therefore, |
In view Of the reasons given above, unrea- |
eonable, unequal and unjust to add this 81 |
on the gross amount Of our sales to our |
taxes.
I suppose manufacturers on the average /
produce five times the nmount of goods that |
they have capital Invested, making the 81 /
equal to fifteen on the actual capital en-
ployed Thus Congress virtually says to
capitalists, Loan yonr money and you shall |
the merchant 1t says, pay Us q license fee,
and If Jon are not successful you need pay |
10 more But invest your money In snarM-
fa@tHring any wares not protected as above
shown and We will tax yon fifteen per cent on
the capital invested, profits Of no profits.
Injuries md manufactures Of raw materials, |
whether an equal tax on all sales. above GER
tain amount, would not be more Just and
equal than the present system, rs 1t would re-
4uire but mere pretencc to enable the GOV.
to realize much larger income than
they now do or can by the present law.
: shoula they double the tax, us I understand.
is anticipated. this plan would equ1lizc it
much better tAnn the present Should Con-
srcss agree to this amendment, manufactu-
fcfs would Still hare their license tax, stamp
lax, income tax, and as ahoye shown, the
tax on tho raw material to pay.
j.. Would, therefore, earnestly rccommendto
he manufacturers OF such wares as ard not
protected, as above stated, to spare no time in
aking some action to secure the revision Of
he tax law in this particular, aud with
proper effort made in the right direction we
nay hare our grievances redressed. |
such action should be taken as will +
insure hearing. Let Us devise some p1an of
presenting this matter in such manner before
Congress that will insure thorough UNDER
tandfng of the subject On which they are
skel to vote before doing 80. I do not OBJ
ect to the tariff as it doubtless aidB the Gov
though at tills time to our disad-
'antage; but the time doubtless will come
fhen the evil will cure itself I only speak
4 1t to show TINT Mr. Wards argument for
II manufacturers having so vital an interest
n its maintenance is simply absurd.
GEO. EsTEnLY