The true northerner. [volume] (Paw Paw, Mich.) 1855-1920, 1876-12-08

In 1855. two years after the nstional banking
system had been set up. Lake the first conven-
ton, 1t was largely attended by bank officers
from all parts Of the country. 1t was. however,
restricted to the officers Of the National hanks
and the plan Of uniting these institutions to-
gether in national association proved abor-
tive. The foundation and the principles on
which this union was attempted, proved too
narrow for the superstructure which was de-
signed to rest upon them.
Last year a third convention was held at Sar-
atoga. under much more promising circumstan-
ces. large and influential body OF bank off,
GERS and bankers assembled. but as mature de-
liberation was necessary, all that was done was
to prepare the prelimlnares for permanent
organization, and final action was postponed
till the present year. On Tuesday, October Sd,
the Philadelphia convention assembled. and its
sessions continued for three days. During that
time constitution was adopted, officers were
chosen, and permanent association was crea-
ted, having for its executive committee bankers
prominently known in the chief cities OF the
United States. Among the features of this as
ISOLATION which commend it to the confidence
Of the banking community two or three are
worthy OF special notice. 1t is limited to no sim
gle class OF banks, but it includes trust compa-
MES and savings banks, as well as National,
State and private banks. 1t has, moreover,
definite practical object in view. II aims to
spread among the banks, and to make accsssi-
bic to them throughout the country, such infor-
nation as will be OF general utility in regard to
legislation and other questions. For example,
there Is the subject of taxation. II is we'll
known that our banks are suffering from excess
sive fiscal burdens No less than one hundred
banks, in various parts of the [ nited States,
have succumbed within few months. The Pro-
fits OF legitimate banking are, for obvious rea-
sons, 80 much diminished that the banks are no
longer able to pay as heavy taxes as formerly.
During the war, and while the imitation of paper
money values was at its height, stimulus was
given to all kinds OF business, and the profits OF
banking and Of commerce generally were much
larger than they are now. War taxes we're i'm
posed both on commerce and on banking, and
Notwithstanding the pressure OF these burdens
they were endured until the close Of the war,
when most of them were gradually removed.
Nearly all the war taxes, OF every description,
have been repealed and those imposed upon
the banks alone survive. [ nder these crcum-
stances the American Bankers Association
deems it wise to make its first movement IN OPP
position to these taxes. 1t is circulating petit
tions for signatures throughout the country,
and it has issued various documents in aid OF
the effort to be made at the coming session OF
Congress for removing the war taxes from the
banks. Three reasons are given why these taxes
should be repealed. First, they are inequitable,
excessive and unjust. The banks cannot afford
to pay them. They are suffering under the
pressure Of these and other burdens, and they
are looking forward to the still heavier burdens
which will be imposed upon them by the APP
preaching resumption OF specie payments. In
view OF the present and prospective burdens
which are incident to the banking business
they declare that, except the relief asked for be
granted, they will be compelled to go out oil
business. The next reason assigned is that the
taxes in question belong to the system Of wal
taxation, aad should have been repealed with
the rest Of that system years ago.
As scarcely any other vestiges of specific wal
taxation remain now upon the statute book, the
banks contend that it IS demand OF simple jug
tice that all the war taxes on the business oil
banking should be at once removed. Finally
they point to the fact that in no other country
in modern times is the business Of banking Sc
lected for taxation as in the United States.
, OF course there are many other sub ects
some Of which we have already ventured to sug
gest as adapted to occupy the attention Of thu
Association hereafter. But they have do ae wei
to take up in the first instance question OF 81
definite and popular character as that OF op
pressive taxation. 1t has been we'll said tina
there is no bond 90 likely as grievance to binC
great bodies OF men together. When the bank
) become accustomed to act together for this com
mon object they will the more easily form tn
habit OF acting together for other purposes
In union they will not only find strength, bu
many other benefits conducive to sound bank
ing. The American Bankers ASSOCIATION, unde
its vigorous management, is full OF promise
: and its permanent establishment on the basi
Of broad and liberal principles should promot
the growth Of our banks and the strength q
our financial system