The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1865-08-12


taxes on Government securities, are
discussing the right and the wrong of
such tax-its legality or illegality-
its policy and impolicy. We may say
to our contemporaries that "A reference to
the law itselfis the proper point of be-
ginning in all such discussions and
comments. We therefore submit to
them the following extract from the
law of Congress, approved Febru-
airy IS, 1862, creating five hundred
million $500 loan. The End section OF
the law reads as follows. See o. S.
Laws, End Session xXXvu Cong, p.
345, Globe: !
And be ii further enacted, That to en-
able the Secretary of the Treasury to
fund the Treasury notes and floating
debt of the United States, he is hereby
authorized to issue, on the credit of the
United States, coupon bonds, or regis
tered bonds, to an amount not exceed
ing five hundred millions of dollars,
redeemable at the pleasure of the Uni
ted States after five years, and payable
twenty years from date, and bearing in
teres ut the rate of six per centum per
nnnum, payable semi-annunlly. And
the bonds herein authorized shall be of
such denominations, not less than fifty
dollars, as may be determined upon by
the Secretary of the Treasury. And the
Secretary of the Treasury may dispose
of such bonds at any time, ut the mar
ket value thereof, for the coin of the
United States, or for any of the Tren-
sury notes that have been or may here
after be issued under any former net OF
Congress-, or for United States notes
that NAV be issued under the provt-
sions ofthis act; and all stocks, bonds,
and other securities Of the United States
hsh 6y iHCiiUidMdIS, corporations or as
S0cidti0IIS, icithim the United States, shall
be erenlpt from taxation by OF itnder
State authority. E
Now it seems to us that the foregoing
very explicit clause in the law disposes
of the legality question, as to the pow
er of any State, county or city to tax
securities. The exemption
is direct, explicit and unmistakablc.
All arguments, therefore, looking to
State taxation must be from stand
point other than legality, for legally
there is not q shadow of right. Our
should quote the law, as
we have done, as a preface and text to
all their comments. We are not argyll
ing the Justice of such an exemption.
That is an other view of the case. We
are prepared to say that the exemption
is not palatable to us at all. We regret
it very much. But Mt the time the loan
was created every form of inducement
to make the loan popular seemed to be
n necessity. The mighty rebellion was
on our hands and in full tide of its mr.
rOgance and strength. We were COM
pelled to appeal not only to the patriot
ism but likewise to the cupidity of
capital. We had to tempt it with ex
traordinary inducements. We had to
make the loan an investment superior
to all other investments, either by a
greater rate of interest or by such eX-
cmptions rs other loans, private and
public, did not enjoy. Having thus
negotiated the loan-signed the bond
and Plighted our faith, it is too late to
play Indian, and go bncl1 on any of its
provisions, be they ever SO distasteful
now. We must shrug our shoulders
and bear it out con this line"
The loan of February %, 1862, will be
due tas to the Governments option,
February %, ls6T-a year and IA hall
from now; and until that time the con.
dition quoted must run on. But after
that time it need not, and doubtless will
not run. There will be no necessity, 50
fur as the future can be judged, why L.
8. bonds then should stand on any other
footing than the bonds of the city OF
Wheeling, or any other corporation.
Indeed, there will be every reason why
wealth of every kind should bear equal
burdcns-for the burdens are heavy and
becoming more SO. With this preface
we submit the following article from
the Auburn IN. w Advertiser, an ad-
ministrntion paper, published at the
home of Mr.. Seward, and generally
supposed to reflect his views:
We have had war. We have had
enormous national expenses. We have
had II Secretary of the Treasury to in
vent ways and means to provide for
them. 1t was Secretary Chase He
had to rinse artificial lCind upon somE
occasions when there We're no natural
breeZes. Upon the whole he acted
wisely. Nevertheless he was very hu
man. Ho acted for the emergency il
which he was placed; and he was states
man enough TO find a lVdy to escape from
the responsibility il not The echoes Of hi.
orn music. Government stocks OK
empted from taxation, legal tender
md national banks do not return I,
trouble him. But they do return t,
trouble his successor. Right or wrong
they have penalties; and they are suci
Mt the present time as to trouble tn
thinking men of the entire country. I
supposed necessity led to the lcitIdTdlra
of One-hny of the property OF the coltntI1
from tdrGtiOn. Heavy, very heavy
taxes have fallen upon the poorer
classes as the result. And it is the al
nnSorbing topic out upon the greens
MlEH of the country iCRich cannot b,
H 1,IS. or GlinIcd. 1t seems to be on,
H G!!, theEsfore to meet this subiec
Ialriy ana squarely, and to conced,
mat Mn! ,..l. esSerybody knows, that tn
3LtS,ltg Icl[dMoH tG'Cs are detectire ana
We desire to say, with the fnl,ast on,
rrNN a.