The Charleston daily news. [volume] (Charleston, S.C.) 1865-1873, 1866-05-04
The Daily N ews.
FRIDAY MORNING. MAY A, 1866.

1Ioat I'm portnnc Letter from tho Commits
afoner of Internal Rcvcnue-Dobt and
Taxcs OF tho United States Compared
with those OF Observation-Disclosures of
Bounties. .s-u
The Secretary Of tho Treasury, in a lettor to
Hon. D. A. WELLS, Chairman Of the United States
Reyenue Commission, states that the bill reported
in Congress for tho equalization OF bounties will
treouiro On expenditure of three hundred million
dollars, thus requiring an additional annual pay
ment for interest Of some eighteen millions dol
lars and asks, "what effect this proposed in
crease OF the national debt aud annual taxation is
likely, in your opinion, to havo upon the finances
and development OF the country, and what
changes may be necessitated thereby in our
future revenue system and policy" Mr." WELLS
replies:
SIN: In reply to your note Of the 10th, relative
to the subject Of preparations involving addi-
tional loans or increased taxation, permit me to
The country is now passing through critical
period OF it's financial experiences, and it seems
essential that the proposition should be proclaim
ed and maintained, that tho borrowing period for
the nation has passed; and that henceforth, and
until another extraordinary emergency arises.
the national expenditures are 70 be met by tax
alton eIclusively. Nothing less can satisfy the
holders of the public debt; nothing loss can sus-
tain national credit ut such standard will
keep open to the nation the resource OF loans for
The e1isti5g. public debt of the United STATES
ttaking accumulated wealth and rate Of interest
H Sas df snS so ssss e%sI o ns I woHs wHs
and is only exceeded in actual amount by that
Of Great Britain. It is now proposed to increase
annual interest on the addition will be nearly
equal to one fourth Of the average annual OK
pendtures Of the whole Government during the
bellion.
The largest amount Of revenue ever drawn from
the British people in any one year-rrespeotive OF
loans-haa never exceeded three hundred and
seventy millions dollars, while the amount of
revenue which the United States has drawn dur.
ing the first three quarters Of the current hscal
year-by the various forms OF direct and indirect
taxation-has been four hundred and ten millions,
or at the rate of upwards of five hundred and
forty millions per annum. This immense sum, in
opposition to the settled policy of all other ma
Gons and in defiance Of their experience, has beer
taken mainly from the industry OF the country.
The present large receipts Of revenue cannot,
however, be accepted RB any sure indications OF
the future; and so long as they are drawn mainly
from taxes on industry they are no satisfactory ln
dtcations OF the prosperity OF the country: For
the next fiscal year, moreover, large falling off
in receipts, arising from diminished imporations,
changes in values and quantities OF industrial pro-
essV but
that it be large cannot be doubted, especially If
the country, now seems probable, is to be visit:
ed by peBtifenCe. .....
1t would seem as II the mere statement Of these
facts ought to suffice as an argument against any
immediate increase Of our enormous burden OF
debt and taxation.
If, however, we further consider the manner
and distribution OF the taxation by which the
nation is at present raising it's revenues, tho
gument becomes even more cogent and unan-
swerable
As is well known, the exemption from taxation
at present in the United States Of any form OF Ca
pital, or any process or result Of industry is the
exception rather than the rule. This system
cessarily involves most extensive duplication OF
taxes, and this In turn entails and maintaius an
undue enhancement Of prices; decrease both OF
production and consumption, and consequently
Of wealth; q restriction OF expectations and OF
foreign commerce; and q large increase in the
machinery and expense OF the revenue collection.
It needs no gift OF prophecy or trained financial
intellect to determine the result OF persstenoy
in such policy; for nations, like individuals,
individuals, may have their patriotism even taxed
beyond their endurance. ''
uon has therefore become not merely e1pedient
but Imperative. Circumstances will not, however
admit Of reduction sufficient to give all the re-
lief demanded by the nation being made at once
Hitherto, as has been already stated, very large
portion Of the revenue has been derived from the
taxes on industry, or the capital which directly
from spirits, tobacco, liquors, legacies and sue
cessions, and other sources, which all experience
has demonstrated may be taxed most heavily
nationa! development. Indeed, it may be assert.
Cd that laws sufficient to insure the collection OF
any large revenue from these latter sources have
many respects imperative upon the statute book.
Until, therefore, new laws can be enacted. and
their efficiency proved by experience, hiany OF the
worst features Of the present revenue system
must be retained and endured.
In order to at present raise by taxation q sum
sufficient to pay annual interest Of six per
cent on an addition Of two hundred and fifty mil
Lions to the principal Of the public debt, viz, If
teen millions, the present rate OF taxation must
be maintained on the following articles, or their
equivalents, the receipts for the fiscal year 1865
being assumed as the basis Of the estimate
Hats, caps, bonnets, coats, vests, pants, over
coats, shirts, collars, stockings, gloves, mittens,
boots, Shoes moccasins salt, cheap soap, starch,
paints of all kinds, paper Of all descriptions,
books, magazines, pamphlets maps, engravings,
and all printed matter; ploughs, harrows, cultva-
tors, rakes, winnowing mills, hay and straw cut
ters, trunks, harnesses, lime, cements, building
glass, the from the direct tax all these
articles for the fiscal year ending June 80, 1865,
not having been in excess Of fifteen millions OF
dollars.
If, however, it is urged that the Government
can afford to relieve all the above enumerated
articles and many others, from taxation and still
pay the interest on the proposed addition to the
debt, I reply that the condition of the revenue
will not at present allow Of an exemption of all
the necessities Of life and all the common forms OF
industry from taxation and that no principle Of
political economy is better established than that
tax upon one of the necessities Indispensable
forms OF Industry is in fact o tax upon all.
Under the above circumstances therefore, il
would seem as II nothing but the salvation Of the
nation itself could warrant any immediate i'm
crease OF the national liabilities or the peoples
taxes. ..ne - -,
TIE "PowHATAN'' EsTArE.-The Mobile Register
noticing the sale Of Mr. ROBERT MAYo 8 seat near
Richmond, known as "Powhatan," says: i
It exctes sad thoughts. The beautiful estate
refarral In knnu ,yvha ak,,,