Memphis daily appeal. [volume] (Memphis, Tenn.) 1847-1886, 1872-02-24

| WAsEINeToN, February 28.-Rep
resentatives Shellabarger, of Ohio
Sheldon, Of Louisiana; Sawyer, O
Wisconsin; Lynch, OF Maine, anC
Townsend, Of New York, constitute
the subcommittee of the eommitte'
on commerce to prepare bill fo
the revival Of American commerce.
The house committee on appropri
atons to-day completed the fortifica
ton bill, appropriating nearly TIVE
million dollars.
The cabinet remained in session un
til three O'Clock, all members remain
ing until the close. Nothing is We
known regarding the proceedings 9th
er than the fact Of the Queen's mes
! sage having been laid before the meet
ing, and that there was a long consul
tation thereon.
The secretary Of the treasury has
directed the payment Of interest due
March Ist on ten-forty bonds from
Monday next, without rebate.
The following internal revenue de
cisions have been been rendered;
First-CommissIoner Douglas de.
cides that the issue Of certificates "a
the amount of 81, ,036 600 on the 18th
day Of December, 1858, by the New
York Central railroad company, Is
substantially scrip dividend and
taxable under the internal revenue
laws.
Second-That the admission of the
company, made and vet on record
when said certificates were issued
that they were based on the earnings
OF the road and the expenditures OF
the company, equal In amount to
eight per cent. Of the stock of the
company ,$2S, ,036, 600 being the amount
OF scrip dividend, is binding and can
not be disregarded as against the
rights Of the government, though
subsequently, contradieted by the tes-
timony Of the counsel of the company,
and that the commissioner, in the
matter Of admissions and contradie.
tory explanations, has the power of g
court to judge Of and accept or reject
explanatory evidence.
Third-That only such earnings, In.
comes, gains, or profits are represent.
ed after September, 1862, the date 81
the first income tax law, are liable to
taxation.
Fourth-That the measure and val.
ual ON for the taxation Of scrip divi.
deI.ts Is generally the market value,
but whatever, by the admission Of the
COZ pany, scrip actually represents
dollar for dollar of its face
than the valuation thus solemn.
ly given by the company that
will prevail in adjusting taxation.
That as much dividend as belongs 10
the period from September, 1862, to
September, 1868, is to be taxed. In
thus case the dividend, covering in
time hfteen years earnings, etc., six.
ffteenths Of the whole being the pro.
portionate amount between 1852 and
1853, is what must be taxed. In this
the six-hiteenth amounts to SO 2f4. .4OC
on which a tax of five per cent. should
be collected.
A bill was introduced by Senator
Morrill, OF Vermont, to-day and re.
ferred TO the committee on education
and labor, appropriating to each State
In which agricultural colleges have
been established in accordance with
the law Of 1862, one million acres oi
public lands for their further endow.
ment and support; no mineral lands
TO be taken under this act,
Senator Logan is engaged In pre-
pairing report for himself and Sena.
tors Morton and Thurman against the
claim Of General Abbott to the vac tnt
seat from North Carolina, and Sena-
tor Carpenter, for himself and Senator
Riee, is preparing minority report
in favor OF Abbot. The credentials OF
Governor Vance have never been be-
fore the committee on elections and
privileges. This case disposed of,
the question concerning the validity
OF the choice Of General Ransom by
the Legislature will next be consid-
cred. 1t is anticipated that this sub
ject viii occasion long debate in the
senate.