The Abbeville press and banner. [volume] (Abbeville, S.C.) 1869-1924, 1879-12-10
Report ofthe Secretary of the Treasury.

Report o fthe Secretary of the Treasury.
Secretary Sherman, in his annual re-
port, says the ordinary revenue OF the
government for the year ending June 80,
1879, was 1878, 1877, 1874 49,, and the ordin-
airy expenses were 1896, 947, 1888 So, leav-
ing a surplus revenue of &c. 79, 800 80,
which was applied as follows:
To the redemption OF United States
notes, $5l,6lo Ii
To the redemption of fractional
currency ........... ......... fuo, loZ %
To the redemption Of six per cent.
bonds for the sinking fund.-. 1880 90
To increase of cash balance in the
treasury ............. ...... o,lLf,UZ4 ~
Total. $685. 300 SO
The amount due the sinking fund for
the year was 1886, 955, 604 %, leaving a
deficiency on this account ofS3O, 076,3O3,
70.
Compared with the previous fiscal
year. the receipts for 1879 have increased
Sl6,7 I'll, l59 70 in the following items
In customs revenue, S7,079,3 1867 so; in
internal revenue. so, 979, 1886 "a; in pre-
MUM on loans, S1,496, 943 IS; in repay
ment of interest by Pacific railroad COM
panies, Sl,340,246 81; in p1ofits on coin
age, 1924, 176 "a; and in miscellaneous
items, 80, $50, 440 10. There was a de-
crease of S647, 1853 "a, as follows: In sales
of public lands, 1884, 62 81; in pre-
miums on sales of coin, $3O8, 997 90; in
%semi-annual tax on banks, 1885, $50 "a,
and in proceeds OF sales of government
property, S68,341 OF, making a net in
crease in the receipts from all sources
for the years of S16, 063, 305 rs.
The expenditures show an increase
over the previous year of 1872, 224, 731 26,
as follows: In the war department,
1921, 5l2 49,; in the interior department,
80, 561, 1872 IL; Indians, $576, S28, 1907, and
pensions, ST. 10 ,463 81. In the interest
on the public debt, B2,827,074 IS, and in
the civil and miscellaneous, S12, $685.
S5l 80. There was a decrease of $780,
liza SO in the navy department, making
a net increase in the expenditures of
1923, 983, $50 70.
The revenues for the present fiscal
year are estimated at S268, 000, 900, and
the expenditures, including the sinking
fund, ut S278, 097, 1854 80, leaving On esti-
Gated surplus of SO, 9O2, 635 61-
REPEAL OF THE LEGAL TENDER CLAUSE
URGED.
Mr.. Sherman devotes a good portion
OF his report to resumption, and takes
up the question of the retirement of the
legal-tender notes. He says:
ITO avoid all uncertainty, it is re-
spectfully recommended that by law
the resumption fund be specifically de-
fined and set apart for the redemption of
United States notes, and that the notes
redeemed shall only be issued in ex-
change for or purchase of coin or bull
lion,
It would be only in an emergency, not
easy. to foresee and not likely to arise,
that the power to sell binds for resump-
ton purposes would. lie exercised, but
it should be preserved to meet any ex-
traordinary demand for the redemption
Of notes which might possibly occur.
The secretary is, therefore, of the opin-
ion that the provisions of existing law
are ample to enable the department to
maintain resumption, even upon the
present volume of United States notes.
In view, however, of the large inflow of
gold into the country, and the high
price of public securities, it would seem
to be q favorable time to invest a por-
ton of the sinking fund in United States
notes, to be retired and cancelled, and
in this way gradually to reduce the max
imum of such notes to the sum Of $780,
DOC, 900, the amount fixed by the re-
sumption act.
TIE SILVER QUESTION.
In regard to silver he says: 1t is
impossible to ascertain what amount OF
silver coin, based upon the rates of six
teen of silver to n OF gold, can be main
tanned at par with gold, but it is mani
fest that this can only be done by the
government holding in it's vaults the
great body at the silver coin. 1t would
seem that nothing would be gained by
m unlimited coinage, unless it is desir-
able to measure all values by the silver
standard. The secretary cannot too
strongly urge the importance of adjust
ing the coinage rates of the two metals
Ly treaties with commercial nations,
and until this can be done Of limiting
the coinage of the silver dollar to such a
sum as. in the opinion of Congress.
would enable the department to readily
maintain the standard dollars of gold
and silver at par with each other"
TIE NATIONAL BANKS.
Of the national banks he says: "The
advantages of this system over any sys-
tenn of banks hitherto devised are that
their circulating notes are secured be.
yond peradventure of loss, they are of
universal credit in the country wherever
ssued, they are more perfectly pro-
tected from counterfeiting, they equal
ize exchanges between distant parts of
the country. they are promptly le-
| deemed on demand Mt n common
place, the banks are subject to a strict
and vigilant surveillance by %independ-
ent officers of the government, THEREON
dition is frequently made known to the
public, and they contribute a very large
percentage of their profits in the way of
taxes. A system of banking that after
an existence of sixteen years, through
war and periods Of great imitation and
great depression, has produced such re-
suits, may fairly appeal for the conf
dence and support of Congress-"
THE CUSTOMS.
Mr.. Sherman says there has been a
marked improvement in the collection
of revenue from customs in the past two
years, and a saving of 1918, 500.54 has
been effected. In discussing customs
questions the secretary says the duties
collected on passengers baggage at the
port of New York during the three
years ending the 30th of June. were as
follows: 1877. S63.03l.ll 1878, 1885,
750.64: 1879, S17l,S 57 81. The law does
not define any limit of quantity or value
in regard to either household or per-
sonal effects of persons arriving in the
| United States which may be admitted
free of duty, and it is recommended that
q limitation governing the free entry of
these classes of articles may be estab-
lishcd by Congress.
TIE INTERNAL REVENUE.
After reciting the figures in the report
ofthe commissioner of internal revenue,
! and abiding to tie fact that the chief
| sources of revenue are from tobacco and
| spirit, the secretary says: "The very
large proportion ofthe revenue derived
from these sources is of itself an argu-
mcnt for the stability of the rates of
taxation upon them. The simple agi-
tation of the question of the reduction
of the tobacco tax caused a temporary
suspension of operations in various
manufactures Of tobacco. and it is esti-
mated by the commissioner of internal
revenue to have caused a diminution in
the receipts from tax on that articl.
during the first half year of 1873 of
nearly two millions of dollars. Besides
reducing the income from the tax, the