The daily dispatch. [volume] (Richmond [Va.]) 1850-1884, 1866-05-08

PRESIDENT JOHNSON.

HtNSl'.
TAX ON SALES OF BROKERS AND BANNERS.
The following circular has just been
issued, after the most careful consideration :
TREASURY DEPARTMENT,
OFFICE INTERNAL REVENUE, 7
WASHINGTON, May 5, 1866. }
Three questions have arisen under the
internal revenue laws respecting the tax
upon sales of stocks, exchange, buiiioh,
coined money, bank notes, and other Secu-
rites, viz:
First. Are bankers liable to tax upon
the sales of their own stocks, &c, rs well
as upon the sales of those belonging to
others
Second. Are bankers doing q general
business as such, and selling their own
stocks, &C., liable topay the duties imposed
by the nincty-ninth section upon brokers
and bankers doing business as brokers, in
addition to those imposed upon them as
bankers!
Third. Are bankers who sell not only
stocks belonging to themselves, but also
those belonging To others, to be regarded as
bankers doing business as brokers, ana
therefore liable to tax upon their sales!
III IIISt lNp 'luNStitIS nav i'SN''''
been considered by the Supreme Court OF
the United States, and 1t has been decided
by them First, that brokers are liable toa
tax upon their sales of their own stocks,
exchange, bullion, coined money, bank
notes. promissory notes, and other Securi-
ties, as well as upon those belonging to
others. Second, that bankers doing gene
raj business as such, making returns and
paying duties or taxes imposed by law
upon their capital and deposits, who nego-
tiatc and sell Government securities as
agents Of the Government, and who at the
same time buy and sell Government Sc
curiticS for themselves, and do not Tor
others, or for = commission, arc not liable
to tax upon such sales.
The third question has not been directly
adjudiCatcd by the court, as il has not been
directly brought before ii. 1t has been the
rule of the Office, however, that when a
banker is engaged in selling not only his
own stocks, &C., but also stocks, &C, for a
commission, he is Il banker doing business
as Il broker, and is liable TO Il tax upon all
his sales. Sales of his own stocks, besides
Government securities, &C., included.
This seems clearly sustained by the rca-
soning Of the court Ill its recent decision,
and will be regarded as the requirement
I of the law. Assessors and their assistants,
and collectors and their deputies, are here
/ by instructed to proceed to the assessment
and collection Of such taxes as have been
accrued upon the sales Of brokers, or oi
| bankers doing business rs brokers, and
which still remain unaSScSScd, or due and
unpaid. T.. \. ROLLINS, Commissioner.
MEXICAN COLONIZATION SCHEME.
1t is stated that Il negotiation Of consi-
dcrahc magnitude has just been concluded
with the Mexican Minister here, which in
wolves the ccS>ion 10 certain leading Anne
rican capitalists OF nearly the entire pc
nin>ula OF Lower California. The CcNsion
is made for colonization purposes and to
secure the development of the cNtraordl-
nary mineral wealth of that territory.
The Mexican Government retains an into
rest in the proceeds Of the enterprise, but
il is understood the sum advanced by the
parties who have secured the grant is up
wards of Il million OF dollars, which ut
this time will be of important service TO
the Liberal cause. The names of the fol-
lowing gentlemen appear on the convey
ancc as holding the privileges in trust for
the parties: Jacob Z. Leez, Benjamin F.
Butler, John Anderson, George Wilkes,
William G.. Fargo, William K. lraverS, S.
$. NJ. Barlow, Francis Morris, Edward l..
Sanford.
GENERAL INSURANCE LAW.
A memorial has been sent 10 Congress
asking for the passage of general property
and life insurance law, by which compa-
MES may deposit with the United States
Treasurer Government bonds covering the
extent of their obligations or amount OF
capital, in order to secure the insured, as
in the case of national banking corpora
tons. 1t is claimed that the operation OF
such a law would give to the really solvent
companies the public confidence to which
they are entitled.
! TIE BANK FAILURE AND ITS CONSEQUENCES.
The Treasury Department has appointed
a receiver to take charge of the affairs OF
the Merchants National Bank. We may
expect from him an early report of the re-
suit of his investigation into the concerns
of the association. The firm of Maury X
Co., bankers, suspended on account of the
collapse of the Merchants Bank. There
was disposition on the part of the banks
Of this District to sustain this bank provided
it should he found topoSscSs any business vi
tally; but ii would appear that assets could
not he found to the amount that would jus
tifyan effort to that end. \ thoroughinvcSti-
CATION of the affairs of this bank will Sug-
gcSt some necessary notifications OF the
law creating the national bank system,
both for the protection of the Government
and of private citizens
WHO Is CHEATED?
1t is said, but it is not known with how
much truth, that the two embryo Senators
for Colorado have promised their adhesion
to both Radicals and Conservatives in case
they get in.
ANOTHER VETO.
The President will undoubtedly veto
the Colorado State bill. The policy of
Congress is to disfranchiSc eleven States
and cnfranchise certain bogus Territories,
and thus to pcrpetuatc their two-thirds
power. If they can get a number OF Radl-
cal Senators by dividing Tennessee and
admitting several more Territories, they
will probably do it.-Son.
The MURDER OF CAPTAIN PRITClETT.-lt
will be recolccted that short time since
4 man named Henry Dickerson was arrest