New-York tribune., 1878-12-19
THE TAX on TOBACCO.
MANUFA CTURKRS BRIEFLY PRESENTING THEIR VIEWS
on THE SUBJECT OF REDUCTION.

on THE SUBJECT OF REDUCTION.
lBI TELEGRAPH TO THE TRIBUSE.l
WASHINGTON, Dec. 1S.-The Senate Finance
Committee to-day continued the hearing Of the tobacco
manufacturers.
Mr. Charles seidler OF the firm OF p Lorillard Co..
Of NewYork City, was the only one 10 present
ment he maintained that 1t is absolutely necessary for
the interests OF that the tobacco should
be reduced; II 1t is not done, the tobacco trade In the
United States will be virtually legisated out Of
reduction would aid very materially in reduc
ing that growing evil OF "pateh growing OF to-
bacco," but he did not presume 1t would entirely
suppress 10. He stated that Commissioner Le
Due, of the Agricultural Department has given
away a sufficient quantity of tobacco seed TO
raise tobacco leaf than has been grown In this
country years The free leaf law must, in his judg
ment, be annued the tobacco manufacturers would
be compelled close their factories. thereby throwing
out of employment 40 900 operatives who wholly
dependent upon that industry for the necessaes Of m
Mr. Dawes inquired OF Mr.. seder II he could imagine
any way whereby the free leaf growth could be
duced or suppressed.
Mr. sedler thought that IL a tax imposed the
OF leaf tobacco and the present tax on manu-
featured tobacco reduced, the small growers
would find it cheaper buy their tobacco after it
manufact than grow aud cure 1t themselves
is now done. He reviewed at length the difficulties 10
be contended with In shipping manufactured tobacco
foreign countries especially to those not speaking the
English language. lie deprecated Inc clause OF tns
bill permitting the establishment at ports OF entry OF
BONDED warehouses for the storage OF manufactured to-
baccO and cigars intended for expectation, and
said that there is only one firm New-York City which
favors that idea.
The hour Of IL o'clock having arrived the committee
adjourned.
Mr. W. P. Burwel OF Virginia, not having sufficient
time to make mis- argument before the committee to-day,
submitted brief OF his views. After referring to the
injury which the high rate Of taxation would
the trade in general he says "The statement OF the
Commissioner of Internal that the reduction OF
this tax would reduce the present OF the Gov
ernment 81 100000 s without foundation. Every
prediction OF this Department TO the loss OF
from the reduction Of the IN 1868. when reduced
from 40 cents 80 eents has proved utterly
The Department lost sight OF the greater consumption
from reduced rate"
Mr. Theo. Z. Allen, Of Allen Co., New-York, repre-
In the United States himself doing business OF
81 900 900 year. viii by request OF the Finance Com
nittee file argument tomorrow. He that he and
his associates reduction OF the tax TO 10 cents
per pound provided that the jJbbng and retail trade
obtains drawback rebate their stocks equal 10 the
reduction. Unless this IL done they oppose stienuOusy
any reduction Of the tax. In explanation OF this, ne
SAYS there 100000 licensed 1obbers and retailers
who would with reduction OF the tax lose 3
per pound their stock hand. The bulk Of this loss
he says would fall poor ICen and 10 would ruin from
fifteen TO twenty thousand licensed dealers iinmedi-
atey On the other hand the manufacturer who keeps
a bonded warehouse pays no tax until the goods
lose nothing while neither the iobber nor retailer enjoy
any warehouse privileges but pay their tax when they
purchase the goods