The Bolivar bulletin. [volume] (Bolivar, Hardeman County, Tenn.) 1865-1888, 1881-12-15
Reduction of Taxes.

President Arthur, in his message,
speaks as follows in regard to reduc-
ing the taxes:
Our population but slightly exceed
ed 100000 by the census of 1860,
and is now found to exceed 50,0O0,-
600. 1t is estimated that even if the
annual receipts and expenditures
should continue as at present, the en-
tire debt could be paid in ten years.
In view, however, of the heavy load
of taxation which our people have al
ready borne, we may well consider
whether it is not the part of wisdom
to reduce the revenues, even if we de-
lay a little the payment of the debt.
1t seems to me that the time has ar
rived when the people may justly de-
mand some relief from their present
enormous burden, and by due econ
omy in the various branches of
the public service this may be well
accorded. I, therefore, concur with the
secretary III recommending the abO-
lition of all internal revenue taxes eX-
cept 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; and the
retention of the latter taxes is desirable
for the prevention of fraud. l agree
with the Secretary Of the Treasury
that the law imposing a scamp tax
upon matches, proprietary 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with propriety be repealed, and the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 a general sentiment
i'll favor of this course In the
present condition of our revenue the
tax upon deposits is generally unjust.
1t was never imposed in this country
until it was demanded by the necessi-
! ties of war; and was never enacted, /
| believe, in any other country, even in
/ its greatest eXigencies. Bankers are
! required to secure their circulation by
! placing with the treasurer of the Uni
! ted States bonds of the general gov
ernment. The interest of these bonds,
! which. at the time when the tax was
/ imposed, was six per cent, is now
/ in most instances 80 per cent. be-
sides the entire circulation was limi-
/ ted by law and no increase was al
/ lOwable when the existing banks had
practically a monopoly Of the busi-
I ueSS. IneIS was lOICe III the suR4eS-
ton, that for the franchise to the IA
vored grantees, the government
might very properly enact a tax on
the circulation, but for years the sys-
tenn has been free and the amount OF
circulation regulated by public de-
mand. The retention of this tax has
been suggested as a method of reim-
'bursing the government for the ex-
pense Of printing and furnishing the
circulating notes. If the tax should
be repealed it would certainly seem to
be proper to require the national
banks to pay tbs amount of such ex-
pense to the comptroller of the cur
.rency. 1t is perhaps doubtful Wheth-
er the immediate reduction of the rate
OF taxation upon liquors, and which
is advisable, especially in view of the
drain on the treasury, which must at
tend the payment of arrears of pen
sions. Aacomparison, however, of the
taxes collected, and the varying rates
of taxation which have at different
times prevailed, suggests the intima
ton that some reduction may soon bt
made without material diminution o
the revenue.