Grant County herald. [volume] (Lancaster, Wis.) 1850-1968, 1880-09-23

This was The first full year of the
war, and 1t taught the country thai
1t not only had an immense task be-
fore it, but that it must resort to new
methods of raising revenue to main.
tain It's credit. The second full year
1923, saw the organization of the
Inland Revenue Department, and i,
also closed amid general Northern
victories, at Gettysburg in the east
and Vicksburg in the west, with
Grant in the full tide of success. By
readjusting the tariff, the Customs
were increased to SO millions and the
Inland Revenue yielded 374 millions
more, the entire revenue of the fiscal
year being 1929 millions and the ex.
pendlture 7l4f millions. Increasing
the debt again paid the greater part
OF this, for COG millions were raised
by new loans, and the deb. swelled
to over l iii millions. The war had
greatly advanced prices, and the
growing premium on gold had de.
preelated the paper currency. The
third year, 1864, witnessed the
most desperate struggles and prodig.
lous exertions of the rebellion, with
Grants hard fought progress through
the wilderness. New and increased
taxes in this year swelled the reve.
nues to nearly 265 millions, of which
the Customs produced I02 millions
and the Inland Revenue nearly ITO
millions. But there were spent 1854
millions, of which the rapidly-grow.
ing debt took nearly 54 millions for
interest. Again the debt supplied
the deficiency, about 500 millions
being raised in this year from new
loans, while at its close the fetal debt
was 1,709@ millions The fourth year
OF the war, lS645, witnessed the
final defeat of the rebellion and col
lapse OF the confederacy, its back be.
ing broken by Sherman's march to
the sea. 1t also witnessed the heavi.
est expenditure in any year by the
United States, 1921 millions-of
which " millions were for debt in
terest, 1901 millions for the Army,
aud 1873 millions for the Navy. The
country spent more money, but 10
view OF the end of the war it breath.
ed more freely than since 1861. The
Inland Revenue at this time, as for
several years afterwards, was the
chief tax gatherer, producing 200
millions, while the Customs yielded
50 millions, and the total revenues
were nearly 1874 millions The de.
iclency OF 965 millions was met by
new loans, and the debt total reached
nearly 2,675 millions From this time
began the period of recuperation,
steadily continuing ever since. Ar
mics and navies were disbanded and
outstanding war accounts adjusted.
Two months after the close of the
fiscal year Con August 81, 1869 the
debt reached its highest figure, and
1t has since steadily receded The
expenditures of the first year after
the war, 1866, fell to sol millions,
of which 1873 millions were for debt
interest, 2S4 millions for the Army,
43 millions tor the Navy, and Isl
millions for pensions, which were a
steadily increasing expense But the
country did not reduce its taxation,
but in this year raised $50 millions
from revenue, and for the first time
found itself with a surplus, which
was at once devoted to reducing the
debt. THIS was the heaviest annual
revenue eyer raised in the United
States, aud of it 309f millions were
produced by the Inland Revenue and
l79 millions by the Customs Then
the period of general reductions fol-
lowed, taxes being taken off, but not
TOO much to prevent debt reduction.
The Customs were kept up, but In
land taxes reduced, while expenses
were saved wherever possible. The
second year after the war, 1861,
saw the expenses reduced to 1914
millions, of which 1434 were for debt
interest, the heaviest annual amount
at any time paid. The revenues were
49l millions, the Inland Revenues
producing 266 millions and the Gus.
toms 1861 millions. After this the
Customs steadily increased till 1912,
when they yielded PIG millions, and
then they began to be reduced. The
Inland Revenue, ss tax after tax was
taken off, steadily declined. The to.
tai revenues continued steady until
the panic of 1873 affected them, but
they at all times kept ahead, and in
some years largely ahead, of the ex-
pendltures. In the closing fiscal
year of the series enumerated, 1873. 8,
the revenues were nearly 274 mil
lions, Customs yielding 1871 and In
land Revenues 1l31 millions. The
expenditures were 267 millions, of
which nearly 1861 millions we're the
debt charge, and 35 millions pen
sions in the Army and Navy. The
Inland duties are now confined to
excise on spirits. malt liquors, and
tobacco, bank taxes, and few stamps,
mainly on matches and proprietary
medicines, so that, with these excep.
tons, almost the whole tax fabric
necessitated by the war has been
swept away.
The immense recuperative power
of the United States is shown by the
reduction of the principal and inter-
est of the public debt since the war
The debt before the war was no,
quite 60 millions after deducting the
Treasury balance, then about five
millions, and two thirds OF it " as five
per cent and the remainder six pei
cent, making the annual interes,
charge about 81 millions. During
The war few per cents. were is
sued, manly for bank reserves I; but
the main issues vera at and 3-1C
per cent although through the green
back issue the Government got large
loans without interest. When the
debt reached its highest point, August
81, 1865, the total was $2,756,431,
All, after deducting the Treasury
balance of ss4 millions. AT this time
the principal of the debt was nearly
2,s45 millions, made up of 46l4 mil
lions of currency of various kinds
$50 millions at $40 per cent, /,
2Sl4 millions at per cent, 269 mil
lions at 5 per cent, and $6l8 900 al
Der cent. The interest CHARGE