The New Orleans daily Democrat. [volume] (New Orleans, La.) 1877-1880, 1879-06-28
THE BABY BONDS.
Decision of Commissioner Raum.
They Are Not Taxable by the United
States Government.
tClrcular.l

STATE on GEORGIA. TREASURY DEPARTMENT.
Atants June a. 1872 \
% ays ss as beam 81 a19s t # rsessa e se
gard To the recent issue OF UeT cent bonds by
tho State Of Georgia. publish this circular let
The CORES pondenee, appended t2 this eireu.
lar. furnishes III full the letter OF Mr. Green 2.
Kaum tie United ses qammssioner ,h sa.9a 9l In ni
these bonds. the original letter Of Mr.. Haul
10 In my possession fer use. # any question
Ii Will bs Sc seen On that they are decided By the
highest .hority TO Pe IN no sense OIL the WORD
or III IenaE ness H. Tasy hs
vest nent. because. while possessing I'll the con-
veniency OF currency. their pndeniabe efasae- v E
ter % State bonds removes them from the Fed
| eral tax on State currency. used in bAnkilg 9
The Gommis sioner's letter establishes three
valuable facts Id reg srd TO these bonds.
taxed ba' bs he g Unsd f States ior reasiaina these
!, That ID B,ate Or national bank can be
taxed BY the United States for paviH0 ont these
bonds intlieu of currency ,, ..,.a.. }, -
aha deposit g IA 4 70 I shs united States. oD them ID
ase saafs Sa W 1t1s. aa ansaassa
sni.'d cent and n emergencies can 81 paid
checks without government Interference. AZ
as Investment for the people they are eanaasiy
vainable their small size ana DanRaDle ubiHtp
rendering them convenient for persons o. sHal
II N u &
-" The easy sale Of these bonds right Ct the
/ treasury. Without the expenss OF advertisinR.
and without auy commission to agents. testlnes
To the popular appreciation q .he' s,,, bainp
made MI this department for these bonds. Will
state that the entire Issue for this ysar nag peen m
ag dlsgos;ea ;p January 1sso, and 100000 Issued II
l1ssl.. No more can be had at this department
uh1ll 'nen' wv. RENFRoE. Treasurer.
HON. T. F. eARnARD TO HON. HENRY PERSONS
COLUMBUS, Ca. March 2s 1879.
Hon Henry Persons, Washington, 2. O.:
Our per cent bonds are worth par. and viii
purchase any commodity hs readily % currsn n3 D.
cy but some Of the banks ars ,at ~
tasm Wshipg On TO aeps take them for fear Of being
1ss revised cent satuss sne~ which 81 e
Viii aae 6 lssfTHg e sesqPs g, s
and s4s q III tns a hes,yen yary naional bark
state bank or banker, shall pay tax q q 10 h per
csntnm on notes Of any person. slaee gana Y 80,
b. them but certainly this does not apply lo
tie bonds Of State for the paving lnem u. pna th
simply amounts g boaah e receive The Bonds
unless they want them because q the interes'
y tSese bonds should 20 below par, OF course
the hanks would not take them. but as long o.
fhey remain at par the banks will take tnem mem 4 I
DO not fgar q Aisssnd e this ct onoe
and yarv ssnd trny mi elie's'A LoU1s r. aARRARD.
( unN. HENRY PERSONS 70 HON. GREEN b. RAuM
WASHINGTON. April 2, 1879.
Hon. Green B. Raum, Commissioner OF lnterna
Revenue:
Dear sr-1. Will you kindly inform 8 me 81 !
there n any law or ruling which can ta1 ~!
& sB9 FaaavsrssR as PExS IN r.
payment Of cheeks cbeRs nppa are wiIiine to
ceiye said bonds IN payment of said e6eeksl cs /,
Or there any law hanE or or reeeyng or pay
ING such bonds n lieu q currency peyoha o ran .n
usual tax on average depos''s 81 any onal -
II ! Would not State. private and national bank
stand On the same footing as to receiving
uayinR out such bonds? j. exat =,
nasfons Xou or nay 10 the third dnet ton pleas
= polnt out The section governing the matter.
Very respectfully HARRY PERSONS.
Member Of Congress from Georgia.
i. TREASURY DEPARTMENT.
Office OF Internal Revenue.
Washington. April IL. 1879.
sr-I have received your -,l letter q Of The thir
T. Ehfa ay 81 ryne whIeS sSu TAX
bank Or prvaa5t for paying aSa on,
ofaany soyeIe,sin q iecks 1aog H. such I bank
90 s,ases the holders OF such checks willing
nnoiva said bonds in payment2 2. Or ls tner
anv law or ruling which can IL any manner hnefa
or Pgyng nsaa o
iea a. odIanosits Gaof Il any cbaraeter2 Would n.
and naena ean1s Paying iana ou}
d. tbonds?. .,,,c.ot,ona nartieularlv
as " hsm as low as s. On
non,na.onfst hn af liz Se denominaion Of $ has bee
xas sa.a as2rs bg se hsesatu1s se a aso
gia nndeI y ah the s4 bearer by the State January
ayapigth Iass With annual interest represented 6y 90
s ss pss se1t send esd
obIiration 1he Of the State Of georela' payaD1e
bearer at definite fu.n9e, uanpe,annad .lmd as within Il
l;,tt y Ms II tRe internal revenue laws or ne p9A
III anonaress TO impose . tax upon me Ronos