Green-Mountain freeman. [volume] (Montpelier, Vt.) 1844-1884, 1864-08-23
Speech of Hon. Justin S. Morrill,

tar, made IN me ff0HSe Of hepreSeMdhptS al
Washington July 2, 1861.
MIR. MORRILL, from the Committee Of Ways
and Means, reported JOINT resolution imposing
a special income duty.
The 1int resolution was read first and second
time. It directs that in addition to the income
duty already imposed by law there shall be levied,
asspssed, and collected, on the lsi Of October,
1864, a ecIal income duty on gains prof S, or
incomes Tor 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 suns
exceeding S600 provided, that in estimating an
nua gains, profits, or incomes no deduction IS 10
be made for dividends or interest received from
any association, corporation, or company, nor
shall any deduction be made for any salary or
pay received.
Mr.. MORRILL, Mr. Chairman, had hoped
tn we bad already Introduced our last tax bill /;
but il seems to be necessary from the fact that the
enrolment bill requires b1unties to be paid, and
n consequence o. an opinion tha. prevails in some
quarters that our tax bill Is not fully adequate,
that we should Introduce this measure. desire
to correct Misrepresentation on the part of those
who have made computations rs TO the amount Of
revenue that will 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 10
his letter to the Committee Of Ways aud Means
already published. For instance. the estimate on
railroads., steamboat, ferries, and vehicles is based
on the dea that we have only included in that
section lust what was embraced 10 the former act,
while We have really Included IN addition all the
coastng trade, the river trade, and the freight on
canals SO that not pound OF freight nor d pas
senger can be transported on our coasts lakes,
rivers or canals, as well as on ill our railroads,
without contributing to the revenue OF the coun-
try think there is an under estimate here OF
not Iess than S5,0O0.000
Upon brokers scales the estimate OF the Depart
ment when the bill WAS introduced was $4,000,
coo! As the bill finally passed the rates were
largely increased, aud yet the estimate OF Collec-
tor Orton and Cashier Rollins is only S2000,O00 q!
All estimates must be more OF less copJeetur.l,
but how 50 wide a discrepancy should have been
made passes my comprehension. II We do not
realize more than twice two millions 1t will be be-
cause the law is not executed.
On spirits, also, the amount, IN my Judgment l.
very much under.estimated by these gentlemen
who have so swiftly furnished and estimate so muc'
hainv that of the House Committee OF Ways ans
Means aud the Senate Committee on Finance
including the new Secretary of the Treasury "a.
well as that carefully prepared by the COmmls
sonet of Internal Reyen5e. The amount Of an
nda dlstillation OF spirits in this country is not
less than 100 100000 gallons; the amount ex-
ported is usually about 10000 600 gallons and the
amount consumed in Manufactures Is supposed To
be not more than 100000 gallons. Now, al
losing that there may be- a decrease 10 the amount
of dlsuaton III sequence OF the high price ol
gram, as 9eli as IN consequence OF the high taxes
imposed upon liquors; concedng that the produc-
Ii may be $4,000 600 gallons less than hereto-
fore, there viii still remain $4,000 900 gallons
upon which duty will be collected. | venture
TO argue that the amount OF dlstlllallOn viii not
iall off very materially until the LIST Of February
next, wnen the duty upon liquors is to be increas-
ed from 81 90 to 81 per gallon; so that the
amount produced for ,hl, year will be nearly the
same as usual. Making, however, all allowance
for the falling of IN the production and consump
ton which some gentlemen expec the revenue
upon this article should be based up'n not less
tn n 50,000,U00 gallons, anu viii not be less than
$4,000 900, therefore, in Excess OF what II has
been estimated by Messrs. Orion aud Rollins, and
will more likely be $50 100000 tlan $4,000
900.
1t was not my intention, Mr.. Chairman. to dis
cuss this bill at any length. wish 10 show to the
House some Of the duty upon which the amount
of revenue to be derived from he bill We hay,
passed has been muon under-eslimated do moi
like t. have so crude an estimate 60 forth TO dam
age the credit OF the couutrl though VI course Il
was not 90 intended There are many other ar
tcles to which might refer. For instance, the
article OF gold watches to be assessed at one dol
lar each appears to be omitted, (tor Schedule A l'
not increased enough TO include them J No men
ton is made either in the estimate referred TO ol
pianos, on which tax is to be paid OF two aud
four dollars each. The amount we are to receiy,
by increased taxes on stamps will De flund to
add considerable to the revenue. The increase II
very large both in amount aud IN scope, and hioh
may be fairly computed at not less than 80 600,
600 more than the estimate OF Messrs Orton ano
Rollins. The amoant OF increase on the slngl
article of luciier matcnes will he not less than
S2,000000, and yet no mention Is m'de OF them
at all
SO of bank capital, beyond what is invested ir
United States securities no notice lstaken OF II al
all, and yet no tax will DO more surely paid, what
ever il may be- Take the item OF malt liquors
the consumption in 1860 was lou. million OF bar
rels, aud with the high rate OF tax now imposed
on spirits will undoubtedly yery soln be no! less
than five or six million barrels, or as soon as bar
ley can be had at a reasonable price.
Take the item OF successiOns to real estates thi
estimate places the amount to be received at 500
900. Yet we know that the whole real estate oi
the country changes hands often as once n lhlr,
years, or in the lite of a generation. No part o
this which passes each year can escape the n
and must largely exceed that to be derived rou
legacies OF personal property but these gsnti
men estimate the revenue upon legaoies at So,
0O0,000 or nearly three times as much as upor
the e0lre SUGGESTIONS to real estate whether b.
will or otherwise
In relation to licenses clnnot think the gen
eroi clause by which everybody having proesslof
or business by which a thousand dollars shil b
obtained was thought of, nor could It have beer
borne in mind that wholesale dealers will be re-
quired TO pay one dollar upon the sales OF each
additional thousand dollars above slly thousanC
dollars.
These learned statisticians put down the revenu,
from tobacco, snuff and cigars at S20OO0OOO. i
cannot be less than $25 OO0,000i aud It penatiei
shall be exaoIed in all proper cases, ii is very like
" 10 be more. The income tax is estimated a
S30,000,000, and think that is full enough, al
though the Commissioner Of Internal Revenue
calculates upon a much larger SUN.
After mg king only reasonable corrections Il vii
be seen that the amount to be anticipated viii De