The Wheeling daily register. [volume] (Wheeling, W. Va.) 1864-1878, 1870-11-29
Commissioner DelanO's Re
concentrations.
No Change in the Whisky Tax
Uniform Rate of Tax on Tobacco.
Especial Dispatch to the Enquirer.l
WASHINGTON, Nov. q, 1870,
Report Of the Commissioners OF Rev.
enue.

Internal Revenue, written by Secretary
LELAND will be made public tomorrow.
, 1t is a longer report than was made last
year. and contains some important re-
concentrations with regard to the tax
on tobacco, but does not contrary to
the report, recommend any change in
the whisky tax. On the latter point
the report says: The experience Of the
past year has served to strengthen the
Commissioners previous opinion as to
the impolicy OF changing the law taxing
spirits, and induces me to repeat the
recommendation of my last annual re-
port, that the rate of tax and the man.
ner of collection be not changed.
The receipts from this source for
1870 are $50, ,5Sl ,599.l9, already within
four and half millions of my estimate
Anticipation is thus almost realized
Time and experience seem to disclose
it to be unwise and inexpedient to
change the law in any essential feature.
With regard to the enforcement Of this
and other portions Of the law, the Com
missioner says there are no insurmount-
able difficulties. A proper regard to
the qualification of revenue officers for
ability and integrity is what is most
essential to secure the prompt and GER
tain collection of taxes. The employ
ment of spies and informants and the
policy of paying moieties, if they ever
were useful, are in his opinion no longer
necessary.
He thinks the service can be improved
by discontinuing such aids. The officers
now termed detectives should be con-
tinued in the service under the designa-
tion of Assistant Supervisors, The
total yearly production OF spirits is
72,425,353 gallons, and there is no rea-
son to believe there will be any mater
ial falling off for the coming year. The
plan of surveying distilleries on the
basisiof forty-eight hour fermenting
period for sweet mash has been fully
carried out, and its results are highly
beneficial and advantageous to the Gov
ernment.
With regard to tobacco the report
SAYS the receipts continue to be satlstac-
tory, there being an increase of 1920
900 pounds over the preceding year.
This increase Of nearly 100000 has
not been spasmodic but has been aregu-
lar monthly increase.
The present law imposes two rates of
tax on all manufactured tobacco, one Of
sixteen, and the other of thirty-two
cents a pound. 1t seems to have been
the intention, SAYS the Commissioner,
to apply the former rate only in excep-
tonai cases. while the general rate was
to be double the amount, but in prac-
tice it is found that what was to have
been occasional and only exceptional
has come to be nearly the general and
prevailing rate on all tobacco manufac-
tured and sold as smoking tobacco, with
much that is intended and used as
chewing, is sold also under the lesser
rate. There is but one remedy for the
frauds perpetrated under this head, and
that is to make the tax on all descrlp-
tons of tobacco uniform. Less Of ir-
regularity will then exist under atax OF
thirtytwo cents per pound than under
the present rates There seems to be
no good reason why there should be two
different rates of taxation Of articles OF
equal price and value, simply because
one is used for smoking and the other
is used for chewing. Why not reverse
the rule end place the larger tax upon
smoking tobacco, and the lesser
upon chewing tobacco, with a uni
form tax of thirty-two cents per
pound on all manufactured tobacco.
The revenue can. be collected with
much greater facility than that at pres
ent. Manufacturers would be at lib
erty to adopt any mode Of ma
nipulating the raw material, or any
process OF manufacturing it they deemed
iit without being questioned by the
Government. There would be less lr-
regularity in the practical operations OF
the tax on all classes of consumers,
while the receipts to the Treasury would
I've increased by at least four and a halt
millions OF dollars. The honest and
larger portion Of the tobacco trade are
generally in favor OF a uniform rate OF
taxation on all kinds of manufactured
tobacco; and while portion of the
trade favor tax Of sixteen cents, a
large majority are Indifferent as to the
rate, whether it be sixteen or thirty
two cents per pound, provided the tax
is uniform and ls honestly collected, and
the manu- facturer left free to manipulate
his product as he pleases.
lie recommends, to correct evils, that
the law be so amended as to allow nc
goods entered for export in bonded ware
houses to he withdrawn therefrom foI
consumption, upon payment OF tax, until
twelve months from the time they were
30 bonded. The Commissioner points
out the defects, antiquities and contra
dictions of the law of July 4, 1870
caused by the hurry Of the closing hourt
of the session. He says it is believed
TO have been the intention to retain al
taxes imposed upon sales Of distilled
spirits, malt liquors, &c, by the act o
July 20, 1868, yet section 2, Of the aG
of July IA, 1870, nevertheless repeal'
the tax upon the sales of malt liquors
With regard to the p per cent. tai
on coupons, interests, dividends, DC, o
railroads, banks, insurance companies
&c, he says 1t is believed to have beer
the intention to continue the 5 per cent
tx until August l, 1870, and after tina