The New York herald. [volume] (New York [N.Y.]) 1840-1920, 1878-04-03
sUsPENDING THE SINKING FUND.

LETTER FROM GENERAL BUTLER ON THE
PROPOSITION BEFORE CONGRESS.
General Butler has addressed the following to the
editor Of tho Boston Herald -
WAsHISoroN, D. c., March 81, 1878
observe that you call the attention. OF your road
ers 10 the fact that was one OF those memDcrs OF
Congress who voted Tor resolution restraining the
Secretary OF The Treasury from taking from tho
for tho nve yesrs tho per cent
which tho Law requires shall be yearly expended
/ spcak from memory. but I believe We have paid
the public debt 20 fast thus lar that We somo
have bssn il we mad para only that each year since
tho law was passed, 90 thas wc ara lar IN ad-
vance Of any obligation 20 our creditors to pay aoy
am glad 20 ind that agree with your article upon
this subject That ~ thc present time Of Ananc al
aud business dstresses pressing hardly upon all
cassss OF the people, We ought 70 levy any
taxes than are necessary and called for 10 he inter-
diturss by tho government; and That II wc sppropri-
ate money should b0 to relieve and not add
had taken some pains 10 indoo.rsnase, as far az
was able, tho gentlemen N Congress from the South
and West, with the financial ideas OF some OF whom
sgrvc, In the hopo this might pass, Tor
tho suggested In your article aud for another
one, which have now 70 set forth. and wns glad 70
Ind they agreed with youTa The measure was largely
supported by those who supported she measure OF
financial reliei known us the .silver BILL"
But had anothcr and stil further reason for my
action. which wish TO bring y0us attention, be-
cause Il Is not advorted 70 Ia your article:-
Revenue Courress pad passed ana The President
signed blliio extend the time Of payment OF tho
taxes on spirits by the producers Of spiruous liquors
at ther option Tor three years. This will necessarily
cnuse present falling OF OF tho revenue, but un-
doubleday ultimate gain By tho falling on Of im-
payment OF dutcs whc tho tariff ia beng discussed,
u will appear that there must DO deficit IN the rev.
ana Means havo already agreed upon : bill when
will probably pass reducing the tax on tobacco from
,wsnsyour % sixteen cents Pc, pouna tho Tana
little revenue 10 moot tho Interest on tho public DEBT
and expenditures, however economically the
sly roaon the extent Of IRON Nolvoto swcniy null
Ions. There are but two sources from which money
can be derived 70 meet that dencif:-
fiyst-By selling our bonds and increasing the pub
tic debt. suppose nobody would think OF making up
Second--To levy u BY taxation. We have already
had 70 relieve internal revenue taxation on tho prin
cipa articles at present taxed on the ground they
will boar more. The only other source will DO 10
put tax on Tea and coffee, orr 40 the In Con-
grcss Is, put tax on tho poor mans breakfast
table" OF the probability Of such tax pass Con.
g6cgs you can judge Is well as cnn. Tho other
income Tax.
OF meeting the expected dencis OF twenty millions by
stopping tho funding Of tho public debt 10, that
amount supposed Inc ge1s.smsS representing Tho
where this funding OF tho public debt must land ~
last, would vote with me, and therefore II mover oc
Cured ~ me 10 converse with thCm upon she subject
ana was surprised TO nnd that, with ono or Two
copvons-uolably that Of Mr. Wood, OF New York
they al voted against Tho proposition, apparently In
wiling income tax, which invitation, 1 think, will
be accepted.
Now. want advance 70 wash my hands OF tho
necessity Tor income tax. a the Represonta tivcs
Of Massuchusett and New York will vote deficit In
the revcnae nothing on eartn, In my Judgment, viii
stand between them and an income tax
I do not want TO be held, myself, responsible any
further TO oppose s passage for the expenses Of
government must DO paid, ana II gentlemen represent
Ing tho financial notions especially Of the Eastern
capitalists insist that In addition 70 the expenses Of
tho government, portion OF the dcbt shall
DO paid yearly DO 80. II theywan 10 pay Il have
objection.
Hoping that you win agree with mo upon this latter
reason Tor my action, Ia those you specify, am
very respectfully, your obedient servant
BENJAMIN Y. BUTLER.