Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1871-01-26
HI uSStiSs
Special to n. Y. World.
FORTY-FIRST CONGRESS-
WASHINGTON, Jan. %.
House.

House.
The House went into Committee of the
Whole on the Indiana appropriation bill,
which appropriates 81 ,359 400, and after a
discussion whether it was wiser and better to
feed than to fight Indians, Messrs. Dawes.
Sargent, Beck and others taking the humani-
tartan side IT the argument, and Messrs
Fitch, Cavaragh and others taking the oppo-
site, the committee rose, having disposed of
one half Of the bill, and the House adjourned
SENATE.
The House bll granting pensions to SOL
diers and sailors of the war of 1912 and their
widows was taken up, but debate arising on
the amendment TO strike out the recruitment
upon the pensioners to show their poverty as
condition Tor receiving a pension. the bill
was laid aside and the Income tax bill was
proceeded with.
Mr.. Scott argued to show the inquisitorial
unconstitutional, unjust and unnecessary
character of the tax. lie said that the Com
missioner Of Internal Revenue had been
erroneonsly represented in saying that the
income tax cCSt more 10 collect il than war
realized, while bis actual statement was that
the cost OF collecting the tax exceeded that OF
any other revenue tax, and the accuracy of
the statement was fully attested. The Com
missioner recently informed him (Scott) that
be dispensed with at once, and the estimated
diminution of expenses would be $500 per
day. The irregularity of the tax was shown
in the fact that of the voters of the country,
not more than one in sixty-fiye paid the tax,
while in twenty-three Congressional Senate
Districts in the United States, nearly one.
tenth Of the whole of the amount realized
from it was not more than $1,000. After
showing the unprobability of deficit because
of the abolition of this source of revenue in
view of the millions in the treasury, he al
luded to the unpopularity of the annual in
QUESTION into the private finances of the peo-
pie and the discomfort occasioned thereby.
Mr.. Sherman upon the impossibility of
dispensing with the revenue derived from the
tax without materially effecting the estimated
current expenses of the government read
from tabular statements of the receipts and
expenditures of the government The present
yield of the tax was about Sl3, 200, 900, or
one twenty sixth of the aggregate revenue
amounting to $500, 200, 0OO Unlike other
takes it was short lived, being limited to two
years. Every argument for its repeal ap-
piled with equal force in behalf of reduc-
ton of duties on tea sugar, coffee and other
neccssaries of life, while the latter articles
were of general consumption among the
poor. The impolicy of repeating any tax
prior to a general revision of the taxes at the
next session as unwarranted by our revenue
and expenditures, and injuriously effectng
the funding of the public debt and specie re-
demption was referred to, and also the fallacy
OF the argument that its repeal would lessen
the number of revenue officers.
Mr.. Sherman claimed that not the slightest
diminution would occur, and the revenue
from whiskey, tobacco and stamps in each
district would still remain to be collected.
In ata rrin 70, th., ,,,fa nc Gold
the Treasury, he said that the Secretary of
the Treasury might force specie payments by
putting this gold in the market, but he would
not be maintained. The Government with its
paper currency, owing more money than any
body else, would have to bear the brunt of
the demand for coin, and its failure to meet
these demands when its gold was gone, would
be followed by another specie suspension
Then, too, the retention of this gold in the
Treasury, was beneficial TO the business in
terests, because it acted as q great counter
balance to the designs of the sharpers and
spectators in Wall street. Secretary Bout
well, in September, 1869, having by his threat
to sell three millions of gold, broken up that
great conspiracy, which if successful, would
have carried disaster and ruin throughout the
whole country,
The bill was then informally laid aside and
the remainder of the session was occupied
by protracted personal discussion between
Messrs. Conkling and Fenton, on matters
connected with the New York custom house
and Collector Murphy's administration.
MIR. Fenton presented and read letter
from Representative Sheldon, designed to
clear himself from all imputations of preju-
dice or improper motives i'll the recent inves-
tigation into custom house affairs in which
he was associated with Mr. Patterson, and
sustained at length the declaration of the
letter.
Mr.. Conkling repeated his criticisms OF
yesterday on the character of the investiga-
ton, denying that any removals from the
custom Honsc had been made on account of
friendship to Mr.. Wenton, and challenged
the latter to cite n single instance of the
kind.
Mr.. Fenton declined to mention any specific
cases, and after further colloquy between the
gentlemen the Senate adjourned.