The New York herald., 1870-04-08
FoRTY.YIRsr CONGRESS.
Second Session.
WASHINGTON, April !, 1870.
BEES INTRODUCED.


BfkLs INTRODUCED.
by Mr.. RICE, trep.l OF Ark.-Granting lands TO aid
In the construction OF railroad and telegraph line
IN New Mexico
BY Mr. MCDONALD. (rep.1 OF Ark.-For relief OF Ed.
ward Fitzgerald ana II. c. Bishop, Of Little Rock.
Ark.
BY Mr.. SPENCER trep) OF Ala.-Reative to q place
OF holding the United States District Court for the
Middle district OF Alabama.
BY Mr.. KELLOGG. lrep.) Of La-T0 secure uni.
form ana more perfect system Of levee for the reca
nation ana protection OF alluvia landS In Mississippi
valley from overflow. II provides for grants Of pub
lie lands Of six sections per mile OF evee, con-
struoted, to the Mississippi Valley Levee Company,
on condition that the States OF Louisiana Mississippi
Tennessee. Arkansas and Missouri, or either Of
structlon Of levces.
ny MI. DRAKE. uep.) OF Mo-, to confer Jurisdiction
upon the Court Of Claims to hear and determine tn
suit OF the city Of Carondelet The United States
BILLS REPORTED.
Mr. CHANDLER, trep) Of Mich, from the Commit
tee on Commerce reported favorably the bill decar.
ing the consent OF Congress to the erection Of q
CRIB In Lake Erie BY the city OF Cleveland Tor the
protection OF an inlet for water works about 10 be
constructed by said city.
TIE bin extending the time for the completion OF
the first section OF twenty miles Of the Cairo aud
Fulton Railroad was passed.
REGULATIONS.
The calendar OF concurrent resolutions being pro-
ceeded with the resolution directing an inquiry Into
the effect Of the fifteenth amendment upon tue lndi.
ans was ADOPTED. All Others were severally laid
aside
the Joint resolution authorizing the Northern
Pacific Railroad Company TO issue Its bonds In the
construction OF Its road and to secure the by
mortgage, came up In order, the question being an
amendment OF Mr.. Wilson fixing the price Of the
additional lands now granted to the company at two
dollars and Ly cents per acre and restricting their
sale to actual settlers.
upon the tendency OF the present policy OF rail-
road land grants to create monopoies, and the
necessity for such modification OF 1T Us viii insure
to settlers some OF the bene1ts which may otherwise
be retained exclusively by the railroads. lie denied
the right Of corporations TO hold these lands ia the
nadare Oh an hvestnent oi tneir own aor tneif
for the public lands not merely those who acquired
them without expense, should receive the benefit to
accrue from their Improvement. The government
tad made railroads rich by large donations OF land,
and 1t was time now 10 consult the interests OF tho
people and OF the government
Mi. STEWART rep.l OF Ney said the effect OF an
arbitrary uniform price, irrespective OF the location
OF land. was TO limit town ana depot sites TO the
same figure with land twenty-five miles from the
liae OF the road. Spectators would thus be en-.
ab!ed by representing themselves as settlers to
locate IN advance upon those sites, which would be
an unfair advantage. He said the railroads had
been the su ,iect OF Misrepresentation this par
tcnlar, and THAT an atemptl6ad been made TO create
q false public sentiment. Taere was not one In
stance IN when the railroads had not disposed OF
tneir lands to tine benefit OF settlers aud the system
abused Without II we never could have penetrated
the interior II was exceedingly doubtful nhether
the n Pacific Railroad could haye been built without
prosperity or the country demanded that this assist
anee should not be withnea.
Mr.. NyB, trepl OF New, spoke OF the beneficial
results OF the land grant poicy OF the government
upon our system OF internal Improvement. part,cu'
Al haltpas. Two O'Clock the bill was passed over
THE INCOME TAX.
On motion OF Mr. SHERMAN the Joint resolution
deClalatOrv
the income tax was taken up.
Mr.. SIBERIAN, chairman or the Finance Committee
said the c0msnittee had amended the bill by omit
ting the provision relative to the income tax III
order TO avoid the delay OF long discussion at this
settle disputes as TO the law. They had simply con
nued for the present year the TAX on saarles dlvi
dends ga: and interest payable BY corporanons defer
tax until the revenue Dl came up.
Mr.. SCOTT, (rep., OF Pa said the existing law pro
sand dollars but that t did not in TACT. because Il
gave aathorty to bank officers to retain live per cen
sa s s was ds paa y sst
corporation. but the fact was the stock
holders paid y. Persons having less than ont
subjected ttstle tax. lie offered the amendment C
oDylate the iniusiice OF which he complained
amendment as impractlcaple and likely to Greats
confusion in the execution Of the present laws.
Rejectei-yeas 1G, nays %
MI. SUMNER (rep.) OF Masa., said az the income
tax had been referred To he would say IL ought not
10 be rs.estaoshed. twas war; not peace tax.
man OF the Finance Committee would not attempt to
reestablisn it, He would have that gentleman also
bear In mind that the taxes OF the country must bs
reduced. He thought the cry OF Down with the
taxes' would nave good beginning IN the abrO-
CATION OF tais tax, which was inequitabie In It's
Mr. CONKLlsG, trep.) OF y. ~ said that when
the proposition was made TO re-establish tue
upon tax which, in the language OF q British
statesman, was well calculated TO produce nation
OF liars" 1t was q tax equitable IN theory but de.
would be nnalJy Ss TO the income tax.
MI SHERMAN said he would give notice to the
honorable Senator tMr. C0nkIingl that when the
question came up he would be prepared to show at
length that the income tax was the most just and
fair OF any on the whole list OF taxes ana practically
II was the only tax that made q distinction
between John Jacob Astor aud the DoOrosC citizen.
He hoped no Senator would make up nus mind
for Its retention He thought the Senator had
assumed IN advance very considerable task lie
partial language or that excellent AUTHORITY.
"McCulloch ON Taxation" which, referring TO tue
income tax, says:-"It woald no doubt have Its sup
posed effects could 1t be fairly assessed; bnt the
practical difficulties In the way of Its assessment
were not ofa sort TO ne overcome though tneoreti-
most u1equaln
Mr.. CoNKLlNa, rep.) Of N. Y, remarked that tho
with the Senate to show hereafter not only that the
Income tax was equitable ia theory, pnt that In
practice 1t wos the only tax laid upon property. He
and fnat was that the same argument that proved
that position would prove 100 clearly the unc0nsti-
tutiOnaiity Of such tax.
Mr.. CAssERLY. ldem.l Of CAL, said that in eulo-
glZinR the principle OF an income tax the chairman
Of the Finance Committee mad spoken tn the face or
the unanimous judgment to tue contrary OF all
writer's and statesmen on the subject.
Mr.. SHERMAN begged leave say that he had read
many authorities upon the question, and az tine pro.
per time he would show the Senator that the income
tax mac been settled feature OF financial policy OF
Great Britain for many years.
Mr. CAssERLY replied that class OF statements
might be shown In support Of the necessity for the
tax In certain exigencies, but no one writer On
political economy failed to assert that, though just
IN theory and fair In appearance, the tax was IN
practice essentially unjust and iniqutt0us. He then
referred to McCnlloch, Mill Rogers ana other Eng
MIR. SHERMAN said Gladstone, Mil and Peel had
each defended, maintained and voted for the income
tax Ia times OF peace In Great Britain.
Mr.. CAssERLY replied. when they so voted ir was
almost with tears In their eyes: that their votes
were dictated by overp0wering necessity. He re.
iterated ms assertion that no statements could be
produced from Mil any other writer in defence of
the practical operation Of the tax.
Mr.. CohYLINa read from speeches by Lord Rus
IN fha MOI has $~n,x