The daily gazette., 1881-09-28
From the Baltimore Sun.
TEc Movement for the Abolition OF
Internal Revenue Taxes.

Internal Revenue Taxes.
A letter has been addressed to The
Hon. Justin 5. Morrill,, OF the United
States Senate, by Barker Brothers d.
Co., of Philadelphia, which, partly per-
haps In the interest of the protective
tariff and patty In behalf OF the national
banks, urges the abolition of internal
taxes, particularly those known as "war
taxes" levied iu 1862. The letter Is in
tefes ing from the clearness with which
it presents the fiDanci,l prosperity OF
the country, and the figures with which
II deals have an Importance apart from
the motive influencing the presentation
Of them by Barker Brothers & Co.
Twenty years ago the entire revenue of
the United States was SAL 100000 a
year; now, after expendng tor the gen.
eral purposes of the government at the
rate Of $260, 100000 annually, we are
collecting surplus of about 2,000, 900
per month, while the treasury contains
IN coin anu bullion an accumulation of
S265, 100000. The idea advocated is
that the surplus mentioned above is
some twelve or fifteen millions In excess
OF the $l30,O00,0 900 now obtained from
internal revenue, the internal revenue
laxes ought TO be abolished as unneces-
sary. Since August, 1865, the public
debt has been reduced by more than
1850, ,000, ,OO0, so that at present (less cash
IN the treasury)lt is but 81 SIC, 1886, ,567 of
which 1888, 1886, ,634 are greenoacks and
fractional currency. The funded obli-
cations of the government amount,
therefore, TO Sl,566, ,229, 800, which will
De paid Oh in less than eleven Syears II
the estimated annual surplus of $145,-
OOO,OOO continues. As the system Of
national banks Is based on the existence
OF bonded debt, 1t will be seen that
they will be forced in ten years to wind
up their affairs If Secretary Windom's
present policy of applying surplus reve.
nue. 10 the reduction of The debt Is per-
severed In. They are naturally unwil-
ling to be extlnguished. Their resource
IS to reduce the revenues Of the govern
ment. There are two principal sources
OF income-the customs revenue, which
for the year ended June 80, 1851,
amounted to Sl9S, 1856, ,676, and the in-
ternal revenue, which for the year ended
June 30, 1880, amounted TO $l240O9,-
373, and for the year ended June 80,
1851, is estimated at $I30,000,000. 1t
being necessary then, in the interest of
tue national banks, to reduce the ma
tional income, which oil the Two revenues
IS to be sacrificed?
The friends Of a protective tariff
judiclously pronounces in favor of re-
tanning the customs revenue undimin-
ished, end join hands with the friends
Of the banks in compiling statistics
and arguments for the abolition of
''the hated war taxes" Promising
that the paying and refunding opera-
tions of Mr.. Window have effected q
reduction in the interest charge of
s27, Az, ,635 ; that the stoppage of the
leaks in the Postoffice Department
have effected saving annually of 3d.
$50 757 that the surpluS revenue for
the year ended June 30, 1881, was
$93, 244, 793. and that if the internal
revenue department were abolished
the expense of collection, 1896, $50
would be saved, the statistics may be
thus marshaled 70 show that internal
revenue may be dispensed with
Estim ated Internal revenue for
the curr NJ year ar............... .sl30 go OOO
Estl mated surplus. 93 244 7g1
reduction In interest elaIge.... z 441Bi5
hemedled deficit in Postofflce
>, department. t.............,....... 1880 757
Exp's OF collection sayed..... 4,S95' $3.50
sI29.2l3 sis
To this sum may be added the in
terest that will be stopped by the
payment of say 500, 600 600 Of debt
before Congress will have abolished
the war taxes, which would be S3,..
ooO,O 200, and it would appear that with
the taxes abolished there would still
remain surplus. The arguments
resolve themselves into three That
"4he impoverished Southern States'
paid last year $50, ,245, 995, and should
be relieved from tax at once a bur
den to them financially and source
OF evaporation to them politically,
since the war tax was imposed to eff
feet their subjugation that to reduce
our civil service by four thousand men
and our surplus revenue by $130O0O, =
600 will facilitate reform finally, that
the course recommended will preserve
the national bank system. The most
striking and not the least gratifying
feature of the political literature ema-
mating from our sister city recently is
the tender sympathy exhibited for the
fay. ladpp Stotac nf fha 2n...b