The Wheeling daily intelligencer. [volume] (Wheeling, W. Va.) 1865-1903, 1880-12-04
RAUM'S REPORT
UPON THE WORKINGS OF THE IN
TERNAL REVENUE BUREAU.
Operations of the Past Fiscal Year
Statements and Suggestions of In.
teresi aud VaIue-Thc Condition
ofOur LIfe.SRying Service
Supt. KImbairs Report.
OUR INTERNAL REVENUES.
Annual Report OF Gen. Green Il. Raun
Head ofIhe Service,

OUR INTERNAL REVENUES.
Annual Report OF Gen. Green b. Raum
Head ofthe Service.
WASHINGTON, December 3.--The annua
report Of Gen. Green B. Raum, Commiss
ioner OF Internal Revenue, for the tisca
year was completed to day. After calling
attention to the vast improvement in the
condition OF the service, the report shows
the receipts OF Internal Revenue for the
fiscal year, 1879, was $l33, ,449, Cpl, an In.
crease Of $2,705,I5S upon the previous
year. The receipts for the fiscal year,
1880, in the face OF the reduction tax on
tobacco were Sl23, ,0Sl ,0l6, an increase oil
$40, ,532, ,294. The receipts for the first four
months Of the present fiscal year amount
to S437, ,7S0,SlS showing an increse over
the corresponding period OF last year
OF $S.65S,2i3. In this connection the
Commissioner says: ~ know OF no
reason why this Increase should not be
maintained during the fiscal year, so that
the total collections from Internal
Revenue taxes at the present rate
would be Sl25,OOO00O." Continuing he
says: "This large increase OF revenue 10
unquestionably due TO the prosperous
times, and there would seem to be no rea.
sonable probability OF material diminu.
ton thereof for several years TO come, but
on tho contrary probability OF grad
ual increase, certainly upon the rate
and equal to the increase OF population.
While the receipts from taxes are thus in.
caersing In amount,t the demands upon the
Treasury are being lessened by the reduc.
tion Of the public debt and the annual in.
terest charged. 1t is probable, therefore,
that Congress will be disposed to relieve
the people from some OF the Internal Rev.
enue taxes, and If such reduction is to
be made ! respectfully suggest the fol.
lowing list OF taxes collected dur
ing the fiscal year 1880 for the
consideration OF the law making
power: bank checks $2,270,42l; friction
matches S3,50l 800; patent medicines, or
preparations, periumery, cosmetics, etc.,
81, $50 G7S; bank deposits So, ,347 SOS; saw.
ings banks deposits Sl63, ,207; bank ca apital
SSl1 ,436; total Sl0,99O,6O6. In the event
it is deemed advisable to take the tax of
OF matches, patent medicines, perfumery,
etc., due consideration should be had to
the fact that large stocks OF these articles,
tax paid, are now in the hands OF the
trade and that very serious reduction in
their value, especially OF matches,
would result II the tax were taken of sud-
denly and the articles manufactured free
OF tax were brought into competition with
these upon which existing taxes had been
paid. In my opinion all act abolishing
these taxes should not 20 into effect earlier
than three months from its passage. The
same may be said in regard to the
check stamps. Considerable stocks OF
stamped checks are now in the hands OF
individual banks and bankers, upon which
stamps have been imprinted
think it would be wise that the opera
tion Of repeal should be delayed at least
three months so as to give time for the use
OF these stamps whenever the interests oil
the government will allow 1t. | think it
will be wise to Contine the internal
revenue tax TO spirits, malt liquors,
tobacco, snuff, cigars and special taxes
upon manufacturers and dealers in these
articles.
lam Of the opinion that reliance can be
be placed upon receiving the sum OF fSll0,-
OO,OOO annually from these sources, which
sum would gradually increase with the
increase OF population, but which would
probably be subjected to q diminution
upon the recurrence OF hard times. In
considering the question OF relieving pat.
ent medicines from Internal Revenue
taxes, 1t should be understood that a large
number OF articles put upon the market
and taxed as medicinal bitters are used as
a beverage.
The persons engaged in the sale OF such
articles are not required TO pay special
taxes as retail dealers in liquors, 80 that
II the articles were relieved from taxation
medicinal biters would bc sold every.
where without paying any internal rev.
enue tax whatever. In passing upon the
right OF these various medical bitters 10 be
taxed as such and sold without the pay.
ment OF q special tax as retail liquors, the
office has often been seriously
embarrassed to find the exact line be.
tween the medicinal bitter liable to stamp
tax and compound liquors subject to be
sold only as beverage. In my opinion,
1t would be wise 10 continue the stamp
tax upon all medicated btters containing
more than twenty per cent. OF proof
spirits. In reference to the tax
upon savings banks, l would say
| kuatI III my luuRLuouLt tIltse LAxeb
should be removed. On the whole,
legislation upon the subject OF taxing say.
; ings banks should be modified and made
more equitable; and there would seem to
be no Just ground for continuing tax
upon The capital and deposits Of banks
and bankers, II it is found tina! revenues
are sufficient without it.
During the last four years and four
months 4,06l illicit distilIeries were seized,
1880 persons have been arrested for illicit
distilling, 20 officers and employees have
been killed and 81 wounded In the en-.
forCement OF the Internal Revenue laws.
During the past l6 months ,l20 stills have
been siezed, 265persons arrested and 10
officers wounded in the enforcement OF The
laws, while the number OF stills seized and
persons arrested since my last annual re'
port isvery large. am satisfied that there
will be a decrease henCeforth in the
number OF such seizures and arrests. Re
garding the encouragement Of legal distil
leries the report says: "ln every county
where legal destilleries have been estab
lished in any number illicit desliling has
almost entirely ceased. Violent resis
tance TO the law has become almost un
known, and there has been large in
4 crease OF revenue"
, The granting ofthe increased appropria
. tions asked for the collecting OF taxes from
/. these distillers is specially urged. Ad
: ditionRl legislation for the protection o
: the lives and persons OF the officers OF the
D United States from unlawful assaults O.
: those who resist their authority, is also
recommended.
: General Raum ndvccsies the passage 0
n House bill 6i4O, "a bill to regulate tn
k manufacture OF vinegar by alcoholice vap
9 oration process" now pending in Con
J. gress and says, while great majority o
i the manufacturers Of vinegar by this pro
9 cess are no bouot following d Legitimate
n and honest business, | am Convinced tha