The Salt Lake herald. [volume] (Salt Lake City [Utah]) 1870-1909, 1881-12-07

&C. fbe holders Of the SIS5, 69Gs sos
t. ,,o- oantum bonds then QUIZ max ,
snn If clear that the bond could be
lid of mar on the 1st day of July
scIlowing. or that they might be
Stco a tin1ed,' at the pleasure of the |
government to bear interest at the
rate of 81 per centum per annum:
finder this notice Sis, 055, l55
IF the 6 per cent. bonds were con-
4iuued at the lower rate, S17, 635, 250 |
were redeemed. In the month OF
NAV. q like notice was given re-
Snecting the redemption or continu-
ance of S439,64l, $50 of five
mar centum bonds then due
and outstanding and of these S40l,-
Sol 800 were continued at 33per cent.
mer annunn, and SIS, 336,450 redeem
ed, The six per cent. bonds Of the
loan of February 8th, 1861, and OF
Che Oregon war debt, amounting to-
nether to 4,125, 500 having matured
during the year, the treasurer gave
notice of his inten ton to redeem the
same and such IS have been pre-
scented have been paid from the sur
pIus issue. There have also been re-
deemed at par S16,179, 100 of the
three and half per cent. continued
bonds, making a total of bonds re-
deemed or which have ceas-
ed to bear interest, estimat-
ed during the year, of Sl23.-
969.65O. The reduction of the an
nual interest on the public debt
through these transactions is as fol-
COWS: By reduction Of interest to
three and one half per cent, 81 ,047,-
395, 227. By redemption of bonds,
$685., $4,000; total, $l,682,629,225.
The three and one half per cent.
BONDS being payable at the pleasure
of the government are available for
the investment OF surplus revenue
without the payment of premium.
Unless the bonds can be funded at
3 much lower rate of interest than
they now bear, agree with the
Secretary Of the Treasury that no
Legislation respecting them is desira-
ole. 1t is a matter Of reorganization
chat the business Of the country has
a3een go prosperous during the
past year as to yield by tax
alton large surplus of income to
the government. If the revenue
laws remain unchanged, this sur
plus must year by year increase on
account Of the reduction Of public
debt and its burden Of interest, and
because Of the great increase Of |
population. In 1850, just prior to
the institution of our internal rev.
enue system, our population but |
exceeded 100000. By the |
census Of 1880, it is found to exceed |
600. It is estimated that even |
If the annual receipts and expendi- |
lures should continue as at present,
the entire debt would be paid in ten
years. In view, however, of the |
heavy load Of taxation which our
people lave already borne, we may |
well consider whether it is not the |
part of wisdom to reduce the rev.
snues even if we delay a little the
of the debt.
REDUCTION OF TAXES.
It seems to me that the time has
arrived when the people may justly |
demand some relief from their pre- |
sent enormous burden, and that by |
due economy in the various branches |
Of the public service this may readi. |
" be effected. I hereby concur with |
the Secretary in recommending the |
abolition Of all internal revenue |
rates except those upon tobacco in its
various forms and upon distilled
and fermented liquors, and except |
also the special tax upon manufac-
tuFers Of aud dealers in such articles, |
The inten ton of the latter tax wasa
desirable as affording the officers of
the govern ment q proper supervi !
sion Of these articles for the proven |
ton OF fraud. I agree with the Sc
cretary of the Treasury that the
saw imposing stamp tax
On matches and proprietary
articles. placing these goods
Coy checks and drafts may with pro-
Onety he recalled and the law also
priWh ich banks and bankers are as-
sessed upon their capital and de-
posts. There seems to be q gene
raj sentiment in favor Of this course
in the present condition Of our re-
venues. The tax upon deposits is
unjust, it was never i'm
posed in this country until it was
deemed necessary by the necessities
Of war and it was never eX8cted [
believe when its greatest eXigencies
were past. Bankers are required to
secure their. circulation by pledging
with the treasurer Of the United
States the bonds of the general gov
eminent. The interest upon these
bonds, which, at the time when the
tax was imposed was six per cent,
is now IN most instances 81 per
cent, and besides, the entire circu-
Iation was originally limited by law,
and no increase was allowable. |
When the existing banks had |
a monopoly CT the bust
ness, there WAS force in the sugges-
ton lhaC for the franchise to the IA
voring guarantees, the Government
might very properly exact a tax on
their circulation, but for years the
system has been free and the
amount of circulation has been large.
Circulation is regulated by the pu0-
lic' demand. The extension Of the
tax uas ueen suggested as a means
0c is;labarsing the government for |
the expense of printing and fur