Green-Mountain freeman. [volume] (Montpelier, Vt.) 1844-1884, 1864-08-16
Speech Of Hon. Jnstin s. MorrlI

Washington, July 2, 1864.
Mr. MORRILL,. from the Committee Of Ways
and Means, reported JOINT resolution imposing
special income duty.
The loint resolution was read first a1d second
time. 1t directs that IN addition 10 the income
duty already imposed by law there shall BIZ levied,
assessed and collected, on the lst OF October,
1864. seecial income duty oB gains, prof \, or
incomes for the year ending 3lst December, 1868,
of all persons residing, within the United States
and Of citizens Of the United States residing
abroad, at the rate Of five per cent on All sum,
exceeding 5000 provided, that in estimating an
nual gains, profits, or incomes 10 deduction il 10
be made for dividends or interest received from
any association, corporation, or company, nor
shall any deduction be made FIR any a1ry or
pay received.
Mr. MORRILL,. Mr.. Chairman, bad hoped
th.t we bad already Introduced our last tax bill
but il seems TO be necessary from the fact that the
enromen, bill requires b)unties TO be paid, and
in consequence oi an opinion that prevails in s1me
quarters that our tax bill is not folly adequate,
tina, we should introduce this measure. desire
70 correct misappreheusion on the part Of those
who bave made computations a. to the amount oi
revenue that viii probably be derived from the
internal revenue bill. Important errors have been
committed, as | think, in these calculations, and
to which the late Secretary Of the Treasury, with
out sufficient examination, has gwen currency in
bis eter TO the Committee Of Ways and Means
already published. For instance, the estimate on
rairo de, steamboas, ferries, and vehicles is based
on the idea that we have only inc uded in that
section Just what was embraced in the former act
while We have really lncudpd IN addition all the
coastng rade the river trade, and ne freig on
canals so that not pound OF freight nor pas
sengar can be transported on our coasts, akes
rivers or canals, as well as on ili our railroad,
without contributing to the revenue of the com
try. | think there an under estimate here o.
not less than S5,0U0000.
Upon brokers scales the estimate OF the Depart
menl when the oil WIS Introduced was 100000
600! As the bill finally passed the rates we're
la gey increased, and yet the estimate Of C0liec-
tor Ort n aud u sher Rollins is only S2,000,O0O
All estmat-s must be more or less eJnJactur d
but how so wide di.crep ncy should have 1een
Iuade passes my comprehension Il ve do not
realize more than twice NO millions it will be be-
cause the law i, not execute.
On spirits, also, the amount, in my judgment j.
very much under-estmated by these gentl met
who have so swiftly furnished and estl nate nuci
below that OF the House Commit ee Of Ways nuf
Means and the Senate Com mlttee on Finance
including the new Secretary Of the Treasury -t'
well as that carefully prepared by he Conmis'
sloner Of Internal Reyenue. The amount 0f an
nda dlstlIaion OF spirits in this country IL not
less than 100 100000 "a ems; he amount ex-
ported is usually about 100000 gl,ious, and IN,
amount consumed in manufactures IS supposed tC
be not more than 100000 gallons. Now, al
losing that there may b. decrease Ia the anio Uni
Of dlstilatlon in consequence OF the high price o
gram, as ell as in consequence of the high taxe'
imposed upon liquors; conoedlng that the produc
ii may be 25,0O0 900 gallons less than hereto
fore, there viii still remain $4,000 900 gallon
upon which duty will be cOllec,sd. venture
to argue that the amount OF dsplauon will not
iall of very materially until the lst of February
ne1t, when the duty upon liquors is to be lncreas
ed from 81 80 to 81 per gallon; so that tb'
amount produced for thl' year will be nearly the
same as usual Making, however, all allowance
for the falling off IN the production and consump
tion which some gentlemen expec', the revenue
upon this article should be based upon not les
tn n 5O,000,000 gallons ana will not De less thai
Sl5000000, therefore, IN excess OF what It ha
been estimated by Messrs. Orion and Rollins, an,
will more likely be $50 100000 than $4,000
600.
1t was not my intention, Mr.. Chairman. 10 dis
cuss this bill at any length. wish TO show to th
House some OF the duty upon which the amour
OF revenue to be derived from the bill we hav
passed has been much under-esumated | do no
like to have so crude an estimate 60 forth to dam
age the credit OF the country, though OF course j
was not so intended. There are msny other ar
tcles to which might refer. For instance, tn,
article Of gold watches to be assessed at one dol
lar each appears to be omitted, (ior Schedule A (
not increased enough to include them) No men
ton is made either in the estimate referred to o
pianos, on which tax is to be paid Of two ant
four dollars each. The amount we are to receiv
by increased taxes on stamps will he iouud 10
add considerable to the revenue. The increase
very large both in amount and in scope, and ihnl
may be fairly computed at not less than SO 900,
| 900 more than the estimate OF Messrs Orion ant
Rollins. The amoant Of increase on the sngl
article of lucifer matches will he not less thai
S2,000,000, and yet no mention is made Of then
al all
So of bank capital, beyond what is invested il
United States securities no notlce is taken OF II a
all, and vet no tax will be more surely paid, what
ever it may be- Take The item OF malt liquors
tie consumption in 1860 was lou million OF bar
rels, aud with the high rate OF tax now imposed
on spirits will uudoub edly verv soon be no. less
than five or six million barrels, or as soon as bar
lev can be had at reasonable price.
! Take the item Of successons TO real estate; thi
estimate places the amount to be received at $3.50
/ 600. YET we know that the whole real es,a o
the country changes hands as often as once 10 thlri
years, or in the lie OF generation. No part G
this which passes each year can escape tue x
and must largely exceed tha, TO be derived trou
leuacips of personal propertyi but these Z ntl
men estim ,te The revenue up n legaoles At 50
0O0,0O0, or nearly three times rs much as upJ
the entire succpssons to real estate whether b.
will or othersisel
In relation to licenses | cannot think the gen
erai clause by which everybody having proless'o
or business by which thousand dollars shall b
obtained was hought OF, nor could 1t have bee
torne 10 mind that wholesale dealers will be re
ouIred to pay ono dollar upon the sales of eaol
additional thousand dollars above sity ,housan
dollars
These learned statsticians put down the revenu
from tobacco, snuff, aud ciRarsat S2O,0O0O00.
cannot be less than s25 0OO,0OOi and penaltio
shall be exacted n all proper cases, It Is very IKE
ly to be more. The income tax Is estimated
S30O00,O 900. and think that is full enough, a
though the Commissioner Of Internal Rsyonu
calculates upon much larger SUN.
Aher IN king only reasonable corrections i wi
be seen that tue amount to be anticipated will