, 1866-02-02
Report ofIths comptrolIsr d. he dulFsIassI1,


Report of the comptrOlIsr Of the cuirenel.
The Comptroller Of the Currency states that
the whole available currency Of the country,
State and National bank notes and Treasury
notes of all kinds, is $3.50, 100000; but the
amount actually in circulation, Oct 1,1865,
was less than S46I 100000. The law au,
thorikes national bank hote circulation Of
$500, ,000, 900; but there are only bonds
enough deposited to entitle those Institutions
to issue S245, 100000 These figures of pa
per currency in circulation are far below
what has been the general estimation. ~.
The Comptroller recommends, the. amend,
meut Of the National Banking law, sothatthe
banks shall be required to redeem their notes
at par at the three great business ceDters-New
York, Boston and Philadelphia, and be might
have added Salt Lake and San Francisco He
urges the reduction of the issues of governs
ment paper, and thinks it might be CON-
menced by the conversation OF all the interests
hearing legal tender notes into fve>twenty
six per cent bonds This. he says, can be
done without afeelingthe money market, as
there is not more than five per cent. of that
issue in circulation, the bulk being held 10
Investment. He recommends an increase
Of the amount of the national bank notes to
100000 600, reducing the regular legal ten
dernotes more than equivalent to the increase
in bank currency. a'
The Comptroller estimates, after careful
inquiry, that the tariff can be adjusted SO as
to produce sl2O,OOO00, 100000 can
be raised on whisky, malt liquors and do
nestle vines SIS, 700 900, GU tobacco; $685.
100000 on cotton (eight or ten cents per
pound); sl5,O00,0 ,00J from stamps; $780,
OOO,OOO from licenses; sl0,O0O,0J0 from
permium on surplus gold, making total Of
S405,000 900, probably Sl00,0UU,00 in ex>
cess of what would be needed thirty million
dollars Of this surplus to be appropriated ans
nualIy to the liquidation OF the national debt,
which would clear off that little matter in
thirty.two and one half years; the remainder
of the surplus to be'margin for reduction Of
the above taxes-the license and stamp du>
ties to last only the next fiscal year, and,
hopefully, the income from the premium on
gold to cease about that time These arange>
ments would great y reduce the array Of as
sessurS, collectors, etc., and sweep away much
irritating taxation.
A speedy return to specie payments is ia.
vored, as also the removal Of the Currency
Bureau tn New York
The balance Of trade for four years end
ing the Both Of June last, was S3US 100000
against this country. The nccruing balance
for the present fiscal year i, estimated at
Sl20 0J0,O00, making a total of S428, 8,000,-
900 for five years. The Comptroller hopes,
by Congress adopting his suggestions, that
the balance Of trade, in a few years, would be
turned in favor Of this country.
The imposition Of a penalty against ems
gravcd 81 ignaturcs on bank notes, is recom>
mended such signatures being extensively
cDuntcrIeited more easily than write sigu.>
lures
In regard TO State and local taxation of us.
securities, particularly those forming Bank
capital, the Comptroller deems it a fragrant
violation Of the contract entered into with
the public creditors, but be suggests that it
would be equitable that these institutions
should pay one per cent. on their capital for
revenue purposes, md one half Of one per
cent on their circulation as indemnity to the
government for expenses incurred on account
of the Banks. He presents a method Of ad.
justment Of the taxation of securities queS>
uon-that the government in about eight
years, when much of the public debt will
have matured, should issue bonds subject to
State taxation, or borrow at less rate of in>
terest than that now paid, and thus extin>
gulsh obligations to present creditors.