The daily Gate City. [volume] (Keokuk, Iowa) 1855-1916, 1865-12-24
by TELEGRAPH.
washisSeo4 Hewas
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The Commercials Washington special says
it is asserted here, upon apparently reliable
authority, that three months hence there will
not be French soldier in Mexico.
A large number Of pardons have been
granted this week.
The Posts Washington dispatch says the
committee or Appropriations win hold several
sessions during the holiday recess, with the
expectation Of perfecting the appropriation
bill A general reduction will probably be
made. afat
Lewis Clepherd, Collectoro of Internal Rev
enue, s. c., S. E. Robinson, Register Of
Wills. and J. II. Crepaine, entered . suit in
the District Of Columbia Supreme Court
against the Mayor of Washington and the
members of the City Council and the Register
of the corporation funds the expenses of the
recent election to take the sense of the citi
zens in relation to negro suffrage.
ComplanantS take ground that there is no
authority given in the municipal charter for
holding elections of a special character, or to
ascertain the views of the residents in regard
to the extension oflthe elective franchise of
persons of color in this city.
Judge Carter ordered. that respondents -ap-
pear on Tuesday to show cause why said IN
junction should not issue as prayed for.
The issuing of pardons has almost entirely
ceased. About dozen. requisitions were
made to- day for North Carolina cases, all Of
the $50, 900 class. 3ssAg-&s& .assss .s@y4.sr ,
Important Deetston by the Treasurer.
rns NKw YoRK, Dec. 33.
The Treasurer of the United States has ad-
dressed letter to Mr. Andrew T. Hall and
others, in this city, which contain an import
ant decision relative to the profits Of national
banks He says, under the provisions Of the
4Ist section of the natinoal currency act, |
have decided it my duty to require to be in
cluded among deposits, subject to the duty,
the undivided profits of bank. 1t has al
ways been clear to me that profits should pay
duty under this section. The question might
be raised, tShould they pay duty as deposits
or as capital y 1t appearing to me that they
were more in the nature OF q deposit than OF
capital, have directed that they be so classed.
The duty on deposits and capital are fixed at
the same rate, so that it being decided that
profits were to pay duty, the duty under either
hand would be the same in amount, with the
exception following A few banks may pos
sibly own United States bonds in excess OF
their capitals. In case profits were classed
as capital, they would be entitled to deduc,
such bonds to q greater extent than they now
do with profits classed as deposits.
1t is not probable however, that there nre
many banks that would be the gamers by the
different construction FTT
The Commissioner Of Internal Revenue
construes the law to require him to obtain
payment from all banks, National and State,
of the taxes on dividends and surplus: and
also to exact the license fees required. While
il is true that the National currency act in
providing for the semi annual duty, specifies
that this duty shall be in lieu of all existing
taxes, il so happens that this provision is
not applicable to the Internal Revenue act,
which became law subsequent to the pass
age of the National Currency act. / desire
to say that have heretofore on several ocea.
sions had opportunity to say that in my opin-
ion public policy requires that the surplus
fund of bank to the extent say of 20 per
cent Of the capital, should, under certain cir
cumstances, be exempt from taxation, and
am pleased to know of the concurrence of
the Secretary Of the Treasury, of the Com
missioner of InternalRe venue, Of the Comp
troller of the Currency, and Of gentlemen IN
Congress, who have given the matter their at
tentIon.
1t is proposed, therefore, that at some early
period in this session meeting of the officers
will be held, In connection with the membess
of the Committee of Ways and Means, and
before such committee any matters relative to
banks will probably be brought up for consid-
Grafton aud it is most likely that the result
of such consultation will be the recommen.
dation of the adoption of provision exempt
ing from duty surplus funds to the extent
named, or at least TO such an extent as will
greatly strengthen the banks. by encouraging
the accumulation and retention of surplas.
In regard to the matter of. early settlements,
can only say that the present requirements
were adopted by the Internal Revenue Off
ecrs, aad by this Office, after very full con
sderation had been gwen 10 The subject, and
that the method OF making returns of deposits
required by both offices, that is, the balance
on hand when the banks are closed for the
day, has been deemed equal and Just.