Mower County transcript., 1871-12-21
TnE NATIONAL FINANCES.
Annual Report of the Secretary
of the Treasury.
RECEIPTS AND EXPENDITURES
FOR THE YEAR.
The Negotiation of the
New Loan.
Important Estimates, Suggestions
and Recommendations.
The Public Debt.
TREASURY DEPARTMENT, ]
nooovo, ar dtb 1871


TREASURY DEPARTMENT.,
Decemuer 4th, 1871.
SIR The country has been prosperous
during the year now closing, and the pubic
finances have shared in the general prosperity
During the fiscal year ending June 30th, 1871
the reduction OF the public debt was S94 ,327, =
7G4.8l. The total decrease in the public debt
from March 1st 1869, to December 1st, 1871
was >s277, ,211 1892. 1G, and during the Same pc
riod the annual interest has been reduced
SIG. .741 ,43G.08. The revenues for the year
1871, and the receipts SINCE the LIST of July
last. show that the time has arrived when a
| considerable further reduction in the taxes can
be made, and yet leave the government IN
position to pay fifty millions annually of the
principal of the debt, including the amount
pledged through the sinking fund. In my
annual report to Congress for 1870, expressed
the opinion that the settled policy of the
country should contemplate a revenue sufi-
Gent to meet the ordinary expenses
of the government, pay the interest on
the public debt, and from 525,O00,000 to
$50, ,000, 900 of the principal annually. TO that
opinion adhere, and even entertain strong
conviction that tho payment annually upon
the principal of the public debt should not be
less than so, 900, 600. Large as the revenues
of the country have been during the last three
years. our system of taxation has not been
oppressive to individuals, nor has it in any
sensible degree embarrassed the business of
the country and while relief from taxation is
desirable, it is more desirable to maintain the
public credit Mt its present elevated position;
not only as all example to other nations, but
for it's historical value in enabling the Gov
ernment to make loans for large amounts upon
favorable terms, if, unhappily, in the future,
an exigency should require such loanL to be
made. The power to negotiate large loan at
five per cent, and enter upon negotiations for
70 an1Q q nj nd
half and four per cent. interest, is derived en-
tirely from the exhibition of an honest purpose
on the part of the people to maintain the pub
lie faith, and the consequent ability on the
part of the Government to negotiate loans
with the expectation of making large and fire.
quent payments upon the public debt.
Customs Receipts.
The revenue from customs for the year 1871
was greatly IN excess of the estimates,
amounting to s2o6, 40, 408.O5, against S194,-
53S. .374 AZ for the preceding year. The cost
Of collecting this revenue was sc, $50, ,e72 .G1
for 1871, being II 100 per cent. The whole
of the cost for the year 1870 was Sc, 237 1925,
or 8 20 100 per cent.
The appropriations for the collection Of the
customs, with the additions derived from fines
and penalties, and for failures, exceeds the
expenditures by the sum of moro than eight
hundred Thousand dollars, and there is no
doubt that the permanent appropriation will
be ample for the present year and for the next
fiscal year. The reduction of the rates of
duties after the lst of January, 1871, under the
act of July 14th, 1870, diminished the
importation of many articles during the last
six months of the year 1870, but there was
consequently large addition to the revenues
for the first six months Of the year 1871. A
comparison of the first six months of tho cal
endar year 1870 shows an increase of IS per
cent IN the quantity of tea imported, 20 per
cent in tho quantity of coffee, IS per cent ia
the quantity of brown sugar, 12O per cent in
quantity Of melado, 139 per cent in the quan-
tity Of spices, and large increase in many
other articles. The probabilities are that the
customs revenue for the current year will ex-
ceed that for the year 1870 and 1871.
Internal Revenue.
The receipts for internal revenue were $143,
O98, 5363, being $4,O18, ,698.29 less than the
last for the fiscal year ending June 30th, 1871.
The estimates for the current fiscal year were
1926, ,4l8, 900, and it is possible that the re-
ceipts will be equal to the estimates.
The net receipts for the fiscal year ending
June 30th, 1871, were as follows:
From customs. $2O6, ,27O, 4O8 Us
From internal revenue l43 O9S. l55 10
From sales of public lands. ........ 2,3S8,64G 6S
From miscellaneous sources 31,166, 1856 So
Total. 1888, s2s, ,e44 50
The expenditures for the same period were:
For civil AID miscellaneous purposes s6e, ,49s 40 81
This is % the net amount. After doducting Is. 1885,
paid into tho Treasury proceeds Of the sale
ordnance, ETC., the true expenditures were:
For the War Department.. ..........b 44,O80,O84 80
For Navy Department ............. 19,431 ,02. 21
For Indians ................. l,42b,99! a.
For interest ON the public ,'e't w 125, $40, ,565 %
r,,o, son2 III ,os o,
The miscellaneous revenues for the fiscal year end
ing June 3Oth 1871, derived from the following
Premiums on sales Of coin .. :. $s,s92, $3.50 95
Fees from United States consuls. 80. 565,563 "a
Storage, rent, labor, etc, at custom
Fines, % penalties and forfeitures for "
violations of the custom law. 500, $40 sc
Fees on letters patent. .....:....: 62O,3l9 II
Tax on circulation, deposits, etc., OF
national banks. hS.................... 6OO, 358 43
Repayment of Interest by Pacific Rail
way way Companies es............... 3l3,2s4 75
Home stead and other land fees...... Ca, ,925 II
Steamboat fees and marine hospital
tax. .......... ........... -. 3s5,535 1e
Proceeds Of the sale of com, interest
on the sinking and special funds. 7,701, ,G62 7C
From miscellaneous sources. 1881 81
Total ............. ....... .s1O7, ,19s, ,s74 6e
The expenditures for tie same period, excluding
payments on account of the sinking fund, we're:
For civil and miscellaneous purposes 16579 1872 4e
For Navy Department. ............. 6,553.040 90
For lndlans 80. ......... ........ o,4U4, l53 ~
For Pensions .................. 8,O9O, ,638 6g
For Int, on Public Debt. 36, 725, ,14 81
Total. .......... ................ sss,sos, ,3s2 90
The estimate receipts for tho remaining three
quarters of the present year arc as follows:
From customs .. .......... .$l48 OOO, 900 Oh
Frem internal revenue. ........ 10000, ,OOO OO
From sales of public lands. 2,O00,O00 20
From miscellaneous sources. 18,000,000 on
Total ..... $685.. .OOO, 900 OU
except payment account OF the sinking fund
For civil and miscellaneous purposes. $50,0O0,O0
For the War Department.. 1000 900
For the Navy Department ....... l3,500,0OO
For the Indians 6,OOO,OOu
For PENSIONS ............. 2A,OOOOOU
For interest Public Debt. ....... $1,000 900
Total. ...... ................ $2O9, ,5u0, 900
These estimates show balance applicable to the
payment of the principal of the public debt for the
fiscal year ending June 3Oth, 1872, of
The receipts and expenditures for the fsca, year
ending June 30th, 1873, are estimated as follows
Receipts from customs. ............ 4212, ,00O, ,O0O
From internal revenue ............ l26,000 ,0O0
From saies Of public lands. ............. 3,oO0,Wo
From miscellaneous sources .......... 18,000.0 .0oO
1Otdl f6')S,, tu,uuu
The estimated expenditures chow a balance
of s57, ,294, 9G3 .01 applicable to the payment
of the princidal of the debt, in addition to
the su u of 1886, 792.63 due on account of the
sinking fund.- or the sum of S85, 974, ,22G0l in
all.
In the estimates for the next fiscal year ]
have not included in the receipts the premium
on gold which may be sold nor in the expendi
lures the premium which may DO paid OH bonds
to be purchased in currency.
Rctl,scti ion of the Debt.
In the suggestion have the honor to make
in reference to the reduction Of taxes, kee}
in view two important facts: First, that the
! ability Of the nation to pay at least *5o,OOo,
/ shall not be impaired; and, secondly that il
the change of the revenue system no violence
shall be done to the business interests of tho
country. While l do not undertake to state
precisely the causes which have contributed tc