Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1879-02-28

! III the Senate February 18Th, the lntefna
Revenue bill being under consideration, Sen
atOr Morrill, S, Ill
The most prominent feature of this bill
that is to say, the sweeping reduction of one
third OF the existing duty Oh manufactured
tobacco and one-fourth Of that on snuff, ha:
obtained the approval OF majority of tn,
committee. Unable rs | am to concur il
that action, | shall briefly state the reason:
why the measure appears to me to be indie
fensible whether taken by itself or as part Q
a system, and not only inexpedient but an
absolute bar 10 granting the people further
relief from any other taxation which might
appear, if considered in a more compreEen.
sive manner, n greater hindrauce to the
general prosperity Of the country, and,
therefore, better entitled to our attention.
The first question deserving the notice OF
Senators is, whether We have at this moment
a surplus of eight or ten millions of revenue
that is no longer needed. and which. there
fore. may be properly abandoned. The Sec
rotary Of the Treasury has officially informed
us that we have no such surplus. but II large
deficiency instead. The receipts Of the
Treasury from internal revenue have fallen
off for some time and may fail to reach tine
amount heretofore estimated, while the bur
dens which have been added by Congress in
excess of any previous estimates have been
of unusual proportions. With these indu-
bitabe facts III the foreground it would seem
that Senators would not consent to Fart with
any resources of the Treasury without an
effort to supply at least an equal amount in q
more acceptable manner. The measure be-
fore us presents no equivalent for the deficit
we are about TO create, but, instead, the poll
| cy of the hour seems to be TO let the Govern
ment drift with millions more of expendi-
inv ha,, g
favor the most lavish appropriations fear
may sometimes be foremost in measures
which cripple the resources of the Treasury
| They may be said to seek for that popularity
at home which can be obtained by ''reaping
| where they have not sown." Their constitu-
| ents will lie asked to observe that if they
| have lett no contribution to the sinking fund
| possible, they have at least endeavored to
promote more general aud open-mouthed
| consumption of manufactured chewing to-
| baccO by reduction of the tax to the OK
tent of n half cent per ounce. Not only have
| they not attempted to reduce the cost of lv-
ing or the cost of the breakfast-table, but
they will have. taken Il step which leaves no
| option for such Il reduction hereafter.
However onerous or unpopular the sub
traction from the people of contributions for
the support OF even popular institutions
may he, no government can be sustained
when they are withheld. To teach any other
doctrine or to offer any other example imper-
lis the credit of the country and opens the
road to reputation.
Every useless or eytrayagaut expenditure
1t Is eminently proper to eut oil root and
branch but our Government has much to
do with the general welfare of the people,
and reaches forth its hands IN many direc-
tions. Whatever outlay known to be indis-
pensabe tomorrow it Is advisable to make
to-day, and thus show while private enter
prise Is sluggish that the Government has
both the means and the will to carry on its
ordinary and usual public works, with pru-
dence II be sure, but without nigGardliness
If there are no funds in the Treasury all of
these works must. Us matter OF course. be
the first to wither and die We make APP
preparations of money i'll the Treasury not
otherwise appropriated, and If none are to be
found there non" are appropriated.
l have obtained from tine head of the to-
bacco division of the internal revenue bu-
reau a statement of the operation of the tax
upon tobacco as to revenue from 1870 to |
1877. 1t will be seen TO be fully demonstra-
ted that We obtained more revenue from a |
twenty -four-cent tax than upon either thirty |
two cents or twenty cents and this fact may |
be accepted rs proof that there is a revenue |
point which, il passed, above OF below, will |
afford less revenue. With the tax at twenty |
cents pc! pound we received in the second |
year OF its operation QS7D less revenue,
and upon less number of pounds, than we
received the first year. In 1s75 it was fore
known that the tax would be increased time
was given before the act became operative
and therefore an increased quantity was man
uiactured and put upon the market at twenty
cents, TO escape the increased rate. The to-
tai amount collected in that exceptional year
amounted to SIS, 300 159. u but, with the
duty at tweIty-four cents in 1871, the total
as finally ascertained, was SIS, 49,
$3.50 far exceeding all previous years in
amount.
With such facts before us the statement of
the Commissioner of internal Revenue that,
If the rate is reduced one-third, or 10 sixteen
cents per pound, there will be u correspond
ing reduction in the income, is more than
likely to be verified by the result.
l have more than once had occasion to
point to the undoubted fact that 4 large crop
Of cotton brings less money in the aggre-
gate than smaller one. The cotton crop of
1873 was ), 200, GOO bales, and valued at $751;
JO0, 900 while that of 1871 of only 4, 750,-
100 bales, reached i'll value of $40 900, 900
'r, the crop of 1875 being 450. 900 bales
more than that OF 1877, brought SAG, 600 600
ess.
I
hat tobacco. which, like cotton. is largely
,rown for and dependent upon foreign mar
lets, will be depressed rs to price whenever
but slightly exceeds the demand,
IT whenever, from any cause, there Is an ac-
humiliation of stocks on hand. The crop Of
s7S in the United States has been estimated
It 49,, 900, 900 pounds. and the average an
iual quantity OF tobacco used in the manu-
acture OF tobacco, snuff. and cigars for the i
asst five years, is estimated to average l93. /
%, SOC pounds. This leaves almos. 300. 0OO- ,
100 pounds to find market abroad The ,
verage amount exported for the four years ,
the last was 260, GA l02 pounds, !
nd for 1878 it was 2o3, 973, 1873 pounds, val ,
led at S2l. SOB, l6J, or an average of eight !
nj three-fourths cents per pound. The =
tocks on hand have Ill each and every year ,
or the past four years been constantly ill., /
reasing and there were on the market on ,
november /, 1875, at only six ports oliver i
DOL London, Bremen. New Orleans, Balti- !
lore, and New York; 7O 100 more hogsheads :
I tobacco than in 1875.
The decline IN price for the same time has +
lhezibly followed this heavy accumulation =
f surplus stocks. These facts arc iorcibly
resented in tho annual report OF the Com
missioner Of Internal Revenue. The agita-
ION of the reduction OF the tax has greatly =
urtailed the trade of manufactures at home :,
the purchase OF stock and has left the !.
rowers of tobacco entirely at the mercy OF :,
,reign dealers. From these circumstances q
Jlely the growers of tobacco have suffered, N
nd not at all from the tax. Ii with only II
nG-sislL OF GTr wheat crop marketed abroad +
lie home price is thereby inosorabiy hAed, =
lie same fate must follow the tobacco crop o
hen much the largest part of it has no other n
ltlet than IL market abroad. h
Of Ia
resent rate of taxation reduces the value of
IF tobacco, and that II reduction would i'll
re TO the benefits OF the producers. In II
'eech of much intelligence made upon the f,
II last wear IN the House. | lind this argyll =
ent So fairly reiuted that am induced to
py brief extract from it. Mr.. Burchard il
The Representative OF the tobacco growing dis a.
cts la, % affirmed that the tax affected consunp- -
IN and depressed the price Of leaf tobacco. To OF
Iis.y myself on these points requested caTc.ul
animation to be- made by the officers o. the inter VI
4 revenue to ascertain the number Of pounds and in
e taNe. paid upon Manufactured tobacco and snuff "
zach var under different rates. AMI procured tn
,Ih the bureau Of Satisfies statement OF TIT -
antilles -. lcai-tObaccO exported and the price pl
e average prices on exported tobacco have been Ii
der different rates as follows From ls66 to lst',
srage tax "a cents price Il cents. from s69 10 CO
;, average tax q cents. price 1855 cents from nc
3 To 1873. cents. price lu.5 cents, from 1876
seem to have had the effect TO raise or lower the IN
-, Tor the dlcrenc" between tho quotations OF tr
: and l5s7 Is about the difference Letween the no
rehasing power Of tbs current a0llsr ~
These facts appear to be unimpeachable, ce
4 must be accepted rs proof that the rate 60
tax has had no effect on the price OF leaf on
,acco. an
Tobacco on rich or heavily MANFRED soils co
very profitable crop. yielding Mt former ha
aes in scme places AZ much MS $500 net bu
,ft per acre 1t liz not monopoly. and sir
be and is proiitably cultivated IN Con tic
,ticut as well Ms in Virginia. 1t Ii no more CHI
Ira uger i'll Illinois or Pennsylvania than ha
North Carolina on Tennessee, ami planters alb
found even IN Minnesota and Vermont. en-
ere is no monopoly either in ITS growth or boz
n.ia.ture. i is profitable product of OIL
,-thirds Ot all the States At the piescnt ne
prices, the American product may. 10 da,
ne extent, Atrangle European culture. but "a,