Baltimore daily commercial. [volume] (Baltimore, Md.) 1865-1867, 1866-04-27
FROM WASHINGTON.
WASHINGTON, April 20. 1866


severe battle. resulting in the overthrow ofthe In
perialists That the State IS in quiet possession Of
national troops and that President JUarez and Cabi
net intend starting in few days for the city oG Chi
hUahua
THE PACIFIC RAILROAD.
Inc President to-day sent = message TO Congress
submitting a communication from tho Secretary Of
the Interior in relation to the Union Pacific Railroad
Company. Eastern Division. 1t appears shat the
Company were required to complete one hundred
miles Of their road within three years after their
ccpance of the conditions of the original act Of fou-
gress This period expired December % 1860; Sixty
two miles bad been previously accepted by the Gov
eTnmeut, and since that date an additional section Of
tweuty-three miles has been completed.
Commissioners appointed Tor the purpose have
examined and reported upon it, and an appropria-
tion bas been made for its acceptance. The TAI ure
! to complete hundred miles of the road within
the period prescribed renders it questionable whet-
the Executive officers of the Government au-
thorized to issue the bonds and patents to which the
Company would be entitled by this As well other
requirements, II the act had been observed. This
failure may to some extent be ascribed to the imam
cial condition OF tho country, incident to the recent
! civil war. as this Company appear to be engaged
in the energetic prosecution OF the work. and mani
fest diSpo .tI0n +? comply with the conditions Of
The grant the President RECOMMENDS that the time
for completing, and that authority be given for the
issue Of bonds and patents account of the section
now offered for acceptance, notwithstanding tho f8-
uTe should the Company IN other respects po there
EQUAL1zATIoy OF aoUHriEs.
The following letter has been addressed to the
chairman of the Revenue Commission:
TREASURY DEPARTMENT,
",
SRA bill has been reported for the action of
Congress IN respect to the equalization Of soldiers
bounties, which wl in my opinion, require an cx-
penditure. the part Of the Government, of from
two hundred and fifty 10 three hundred millions Of
dollars thus adding equivalent 10 the princi
pal sum of the public debt and recurring an addi-
tonal annual payment for interest of from fifteen to
eighteen millions. As the relations Of tho nominal
debt to the industry and resources of the country
have been especially referred TO for cOnsdera
ton, desire that you will inform me, at your earll-
est convenience what effect this proposed increase
of the national debt and annual taxation IS likely, in
your opinion, to nave upon Jhe finances and deyeI-
cpuent of the country; and what change may be
STATED thereby in future revenue system and
policy. am, most respectfully yours,
Secretary of the Treasury.
HoT: DAVID A. WELLS Chairman U. S. Revenue
Commission.
The following is the reply Of Mr.. Wells:
WASHINGTON, hpr.l %. 1866.
Sir-ln reply to your note Of the 18th relative to
the subject of appropriations, involving additional
loans or increased taxation permit me to speak with
out reserve. The country is now passing through a
critical period Of It's financial experience, and it
essential that the proposition should be rrO-
claimed and maintained that the borrowing period
for the nation has passed, and that henceiorth
and until another extraordinary cme!Eeucy arises.
the national expenditures are to be lucJ by taxation
exclusively Nothing less satisfy the holders Of
the public debt Nothi0gless can snstaia the national
credit, and such standard as will keep open to the
nation the resource Of loans for future emergencies
The existing public debt Of the United States TAX
ing the accumulated wealth and rate Of interest into
consideration is paraiVely larger than that
of any of the States Of the Old World and is only
ceeded. in actual amount, by that Of Great Britain
IL Is proposed to increase this enormous debt to
such an extent that tac annual interest on the Sddl
ton will be nearly equal to OnC-uurtu OF average
nual expenditures Of Ee whole Government during
the decade PRIOR to tue commencement OF the rebel
lion. The largest amount of revenue ever drawn
from the British people in year irrespective of
loans has never exceeded S3Ty 900 600 while the
amount Of revenue which the United States has
drawn during the first threequarters of the current
fiscal year. by the various forms direct and indirect
taxation, has been SllBGOOOOO or at the rate Of up
wards of $540,000,OJ0 per annUm.
This immense sum, IN opposition to the settled
policy of all other nations and in defiance of their
experience has been taken mainly from theiadustry
of the country. The present large receipts Of
cannot however be accepted any indication of
future, and so long they are drawn mainly from
taxes on industry they are not satisfactory indlca
tOns of the prosperity Of the country For the next
fiscal year, however large falling of in receipts
arising from diminished impOftatiOns. changes in
value and quantities Of industrial products and from
other causes may be expected. Ghi3 deficit cannot
now be easily estm ted, but that it will be large
cannot be doGbted-especall if the country, now
seems probable. is to be visited by pestilence 1t
would seem as if the mere statement of these facts
ought to suffice as an argument against any imme
diate increase OF the enormous burden Of debt and
taxation.
# however we further consider the manner and
distribution Of the taxation, by which the nation is
at present raising its revenues, the argument be-
comes even more cOgent and unanswerable. As is
well known, the exceptions rom taxation at present
in the United States of any form Of capital, any
process result of industry the exception rather
than the rule. This system necessarily involves
most extensive duplication Of taxes, and this, in
turn, entails and maintains undue enhancement of
prices; decrease Of production and consumption,
and, consequently of wealth; restriction of eypOr-
tatiOn and OF foreign CONNIE cree. and large increase
in the machinery and expense OF the revenue col
lection.
cial intellect to determine the result of persisency
In such policy, for nations Ike individuals have
limits to their resources and nations. like individuals
may nave their patriotism even taxed beyond endu-
rGoe res ucti0n and OqEGliz alton of national tax
alton. has therefore, become not merely eIpedent
but imperative. Circumstances will not, however.
admit of reduction sufficient to give all the relief
demanded by the nation being made at once Hither-
10, as has already been stated Il very large portion
of the has been derived from taxes on indus
try the capital which directly supports industry;
ana comparatively small part from spirits tobacco,
liquors legacles and SUGGESTIONS, and other sources
which all experience has demonstrated may be taxed
most heavily, without in any way arresting the pro-
of natural development. Indeed, it may be as
serted that law sufficient to insure the collection of
any large from these latter have not
yet been enacted. the existing law being, in many
respects, imperative upon the statute books.
Until. therefore, new laws can be enacted and their
efficiency proved by experience, many of the worst
features Of the present revenue system must be re-
tanned and endorsed In order to at present raise by
taxation, q sum sufficient to pay annual interest
of per cent. on an addition Of S25OOO00CO to the
present public debt viz: fifteen millions the present
rate Of taxation must be maintained the following
articles their equivalent; the receipts for the fiscal
year 1865, being assumed the basis of the eSmate
Hats, caps, bOnnets, coats vests pants, OveTcOaS,
shirts, }llars stockings gloves mtteES boots shoes,
mOceasns salt cheap soap starch, paints of all kinds
paper of ali descriptions, books. magazines, pam
phletS, maps, enTaylngs. and all printed matter,
plows harT0ws, cultvatorS rakeS, winnOwing mills,
hay and straw cutters trunks harness, lime, oemens
building stones, bricks stoves, pottery ware, and
w ndOw glass
The revenue from the direct tax on all these arti-
cles for the fiscal year ending June 3d. 1865 not hay
ing been in of fifteen millions of dollars. If,
however it is urged that the Government afford
to relieve the above enumerated articles and IL any
others from taxation and still pay the interest on
the proposed addition to the debt, reply that the
condition of the will not at present allow of
exemption OF all the necessities of life and all tho
common forms Of industry from taxation, and that
the principle OF political economy is better esac-
ished than that tax upon of the necessities or
indispensable forms Of industry. is, in fact, tax
upon all.
Under the above circumstances, therefore, it would
seem as II nothing but tlo salvation Of the nation
itself could warrant any immediate increase of the
national liabilities or Of the peoples taxes
am, yours, most respectfully,
DAVID A, WELLS,
Chairman U. S. Revenue Commission
Hon. Hugh McCuloch Secretary OF the Treasury.
PARDONS BY THE PRESIDENT.
It is understood that special pard0ns have been
granted in the cases Of Mayor Munr0e and Alderman
Nixon of New Orleans. The grave charges of an at
tempt TO procure the assassination OF Commodore
Bailey, United States Navy, which were brought
against VIM. MunrOe, hage nsen. by the evidence of
Rear 4 Admiral Farragut and Commodore Bailey it is
said, refued TO the entire satisfaction Of the Presi
dent.
SENATOR DAVIS
The petition presented by senator Sumner to-day,
from thirty-five citizens of Cold Brook, New York
praying the expulsion Of Mr.; Davis, is as follows:
"As Mr.. Davis, Senator from Kentucky, declared
in bis speech Of the 9TH instant in relation 10 the
passage of the bill to protect citizens in the enjoy
ment Of ther civil rights that if the bill should be-
come a law he should feel compelled to regard him
self as enemy of the Government and to work for
its overthrow and the bill alluded to has been de-
cared to be a law ofthe land by the action of the