The Valley Virginian. [volume] (Staunton, Va.) 1865-1895, 1881-12-15

J. Total ordinary penditures. $3.50, 7l2, SS7
l. Leaving q surplus revenue of $100069 ,404
e 9S, which was applied as follows:
/ To the redemption of bonds for the
sinking fund. .......$ 200
fund. Northumberland. 100000
e Loan Of February, 1861 ............ 7,4is,ooo
, Tenforties of 1864 Observation-Disclosures. 2,016,150
- Five -twenties of 1862 .................. 1890
: Fiye-twenties of 1864. ................... 3,4OO
Fiye-twenties of 1868. ................... 1890
Consols OF 1860 ,...................... l43,lb0
Consols OF 1867 Observation-Disclosures. 1853, $50
Consols OF 1885,. Observation-Disclosures. 80, 400
Texas indemnity stock .............. 1000
: Old demand, compound interest, and
other notes OBSERVATION-DISCLOSURES. 1880
And TO the increase of cash In the
treasury ...........-......... ...-... l4,637O23
: The requirements of the sinking fund 70
the year amounted to 800, 7S6, 064,0 2, whcl
sum. included balance of $40 SIT 1887 no
provided for during the previous fiscal yeai
; The sum of $74 ,4S0, 201 05 was applied to thi
fund, which left deficit of SIG ,305 873.47
The increase Ofthe revenues for 1881 owe
those of the previous year was $29, 3d., sol 10
Ii is estimated that the receipts will reacl
during the present fiscal year $400, 000, 900
and the expenditures $270,000 900 leaving
surplus of $13O,OOOO0O applicable to the sink
ing ing. fund fund and the redemption OF the public
:, debt.
| approve the recommendation of the Sec
rotary of the Treasury. that provision be made
Tor the early retirement of silver certificates
and that the act requiring their issue be re-
pealed. They were issued in pursuance of the
government TO maintain silver at or near the
gold standard and were accordingly made re-
celvable for all customs, taxes and public
dues About sixty millions OF them are now
outstanding. They form an unnecessary addi-
ton to the paper currency, a sufficient amount
of which may be readily supplied by the ma
tional banks
In accordance with the act of February 80,
1878, theffreasury Department has, monthly,
caused at least two millions in value of silver
bullion to be coined into standard SILVER dol
lars. One hundred and two millions of these
dollars have been already coined. while
only about thirty-fo,u millions are in circu-
| lation.
| For the reason which he specifies, | concur
IN the Secretary's recommendation that the
provision for coinage of fixed amount each
month be repealed. and that hereafter only so
much be coined rs shall be necessary to supply
the demand
| The Secretary advises that the issue of gold
certificates should not for the present be re-
sumed, and suggests that the national banks
may properly be forbidden by law to retire
OF their intention so to do. Such legislation
would seem 10 be justified by the recent action
OF certain banks on the occasion referred to in
the SecretarNs report.
Of the fifteen millions OF the fractional cur
rency still outstanding, only about eighty
thousand has been redeemed the past year
The suggestion that this amount may proper
ly be dropped from future statements of the
public debt seems worthy OF approval.
ha M bo1f Jo
being payable at the pleasure of the govern
ment, are available for the investment of sur
plus revenue without the payment of pre-
miums
Unless these bonds can be funded at much
lower rate of interest than they now bear,
agree with the Secretary of the Treasury that
no legislation respecting them is desirable
REDUCTION OF TAXES
1t is a matter tor cengratulation that the
business of the country has been SO prosperous
during the past year rs to yield by taxation n
large surplus OF income to the government. Ii
the revenue laws remain unchanged this sur
plus must, year by year, increase, on account
OF the reduction of the public debt and its
burden OF interest, and because OF the rapid
increase OF our population. In 1860, just prior
to the institution of our internal revenue sys-
TEN, our population but slightly exceeded
10000 900 by the census of 1880 it is now
found to exceed 50 100000. 1t is estimated
that even if the annual receipts and expendi
lures should continue as at present the entire
debt could be paid in ten years.
In view, however, of the heavy load of tax
alton which our people haye already borne, we |
may well consider whether tits not the part of
wisdom to tsdues shet revenues, even if we
delay a little she paymers, III the debt
1t seems to me that the time has arrived |
when the people may justly demand some
relief from their present onerous burden, and |
that by due economy IN the various branches |
OF the public service, this may he readily be at |
forded.
| therefore concur with the Secretary in re. |
commencing the abolition OF all internal reve-
nue. taxes, except those upon tobacco in its
various forms, and upon distilled spirits and |
fermented liquors and except also the special
tax upon the manufacturers of, and dealers in
such articles. The retention OF the latter tax |
is desirable as atfording the officers of the |
government proper supervision of these arti- !
Giles for the prevention of fraud. | agree with |
the Secretary of the Treasury, that the law |
imposing stamp tax upon matches, propre-
tary articles, playing cards, checks, and drafts
may with propriety be repealed, and the law |
also by which banks and bankers are assessed |
upon their capital and deposits. There seems
TO be general sentiment in favor of this |
course. |
In the present condition of our revenues the
tax upon deposits is especially unjust. 1t was
never imposed in this country until it was de- !
manded by the necessities of war, and was I
never exacted, | believe, in any other country, |
even in its greatest eXigencies Banks are le- |
quired to secure their circulation by pledging |
with the Treasurer OF the U S. bonds OF the |
general government The interest upon these /
bonds, which at the time when the tax was |
i,,nn nd RNarn in, ",
81 per cent. Besides, the entire circu- |
lation was originally limited by law and no in
crease was allowable. When the existing banks |
had practically monopoly of the business,
there was no force in the suggestion, that for |
the franchise to the favored grantees the gov
erEment might very properly exact tax on
circulation but for years the syttem has been
free, and the amount of circulation regulated |
by the public demand.
The retention of this tax has been sug-
gested as a means OF reimbursing the govern
ment for the expense OF printing and furnish
ing the circulating notes. If the tax should |
be repealed it would certainly seem proper to |
require the national banks To pay the amo9nt |
OF such expenses to the Comptroller of the |
Currency
1t is perhaps doubtful whether the imme- |
diate reduction OF taxation upon liquors and |
tobacco is advisable, especially in view OF the |
uraln upon the treasury winch must attend |
the payment OF arrears of pensions. A com |
parison however, of the amount of taxes col |
lected under the varying rates of taxation |
which have at different times prevailed sug-
gests the intimation that some reduction may |
soon be made without material dimnution OF |
the revenue.
TARIFF LAWS
The tariff laws also need revision but, that |
a due regard may be paid to the conflicting in
terests OF our citizens, important changes
should be made with caution. Af a careful re- |
vision cannot be made at this session, a COM
mission such rs was lately approved by the
Secretary of the Treasury would doubtless
tighten the labors of Congress whenever this
subject shall be brought to its consideration.
MILITARY
concur in the recommendations of the Sec
rotary of War fol- increasing the army to the
strength of 10000 enlisted men.
l call your attention to the remarks of the
Chief OF Engineers upon the improvement of
the South Pass OF the Mississippi River the |
proposed free bridge over the Potomac River |
at Georgetown, the Importance of completing |
at an early day the north wing of the War /
Department building, and other recommends |
lions OF the Secretary Of War which appear |
in this report.
cannot too strongly urge upon you my con- !
vction that every consideration of national |
safety, economy, and honor imperatively de- /
mands thorough rehabilitation Of our Navy. |