The evening telegraph. [volume] (Philadelphia [Pa.]) 1864-1918, 1870-07-01
e % N q X II y y.
Senate.

Continued from the Third Edition
MIR. Bayard advocated the proposition which had
been made at his suggestion as bringing under taxa
ton species OF property which had no claim to
exemption.
MIR. Edmunds characterized the proposition as di-
grounds, not to say dishon0rable. II the principle
was correct the Government might take from the
bonds fifty or one hundred per cent, and thus re-
pudiate the whole interest
MIA. G. Thurman said that there was not any sub
stantial difference between taxing the interest the
bonds and the taxing OF incomes II one repudN
alton 80 was the other. The only iota OF difference
was that by this proposition the government got five
whether held at home or abroad. while under the in
come tax law our own bondholders were taxed and
foreign bohdholders went free. He asserted tina
the government had never promised 1t would no
tax bonds.
Mr.. Sherman said this was an effort to create an
income tax directly discriminating against the Gov
ernment bonds. IL was to the honor of the country
that since the foundation OF the Government until
aga r. of hs Snd naa a eyer oeen
Congress would soon discriminate against other in
divdual interests such as shipping and cotton, to
the great injury Of commerce and the Southern
stable He looked upon it as q mere political dogma
Mr.. Davis said he was amused to see gentlemen
who were chin deep in reputation affecting to be
horror stricken at the idea of taxing the bonds He
called attention TO the persistence with which the
sation for private property taken for public use re-
pudiating the obligations of the Government to pay
these claims This Indebtedness to-day to the
States of Kentucky Maryland and others not in re-
bellon amounted to ten million dollars.
Mr. Corbett was hostile to the amendment opening
the with 9w to taxing the bonds to an
the property %Se
tan held RPSR %
and the bondSodeT by which tSe foreP nae
was pledged to pay .s;d sf 81 per m cent 3.
s I Ss @ the
withheld portion Of their compensation.
Mr. held that the to tax the bonds was
privileges and benefits expressly conferred In reply
upon incomes derived bonds without any charge Of
violated contract t In answer to Mr. he said
discriminating taxes
Continued from the Third Edition.
Mr.. Woodward contended that any judicial autho-
rty would decide that not only the Fve-twenty
bonds payable in greenbacks under the law of 1862
but that that was 80 clearly the intention of Congress
that Mr.. Thaddeus Stevens had declared that it
would be public crime to take the peoples money
and pay in gold debt which it was agreed to pay in
greenbacks. Applying to the law the rules of Eng
lish grammar, there was not a schoolmaster in the
land who could doubt its true construction.
Mr.. schenck argued if there had been any ambi-
guilty in the law OF 1862 that ambiguity had been re-
moved by the law Of March is, 1869.
Mr.. Judd moved to amend the fourth section by
striking out the words (which in his opinion and
discretion, be conveniently applied to that pur-
the provisions Of this act" He explained his object
by stating that this bill became law, the Secre-
y of s1se e Treasury yer might Without sell
work and redeem $40 bonds in coin, and he wished
such right TO redeem limited to the proceeds derived
under this bill.
Mr.. Woodward, in support of his position, read
from Legal-tender act that clause which declares
the notes issued under it to be lawful money and
legal tender in payment of all debts, public and pri-
vate, within the United States, except duties on
imports and interest on the bonds Of the United
States
Mr.. Voorhees, sustained the position of Mr. Woodward
and quoted in its support the declaration of Mr. T.
chairman of the Committee of Ways and Means in
the House, and Jehn Sherman, chairman of the Finance
Committee in the Senate. He held that subsequent
legislation could affect contract and demanded that it
shall be carried according to law and according
any perversion of law. There naty that sub
ect except obedience to contract after further discus
sion.
Mr.. Holmsns amendment reiected-yeas A
nays, lbs.
The Republicans who voted were Beatty, Coburn
num- Brooks (of N. ", Randall, Slocum, Stone, aud
Swami.
Mr.. Judd modified his amendment by inserting the
words (which be derived from the sale of of tn
bonds the issue of which is provided for in this act
Mr.. Schenck moved TO amend Mr.. Judd's amendment
by preceding 1t with these worda-"Which he may law
fully apply to such purpose or" Both amendments
agreed to make the fourth section read THAT
the Secretary of the Treasury hereby authorized and
instructed with any coin in the Treasury of the
United States, which he may lawfully apply to such
posc which be derived from sale of of th 9
bonds the issue of which provided for in this act"
THE Coal TRADE.-The following is the