Savannah morning news. [volume] (Savannah) 1868-1887, 1881-07-27

present itself, shall the internal revenue
be abolished or shall import duties be
reduced? For the fiscal year 1880, de-
spite the arrears Of pensions and other
lavish expenditures. considerably more
than half the sum collected in the shape
of revenue was surplus, and was used
to take up bonds which were not due.
For the fiscal year just closed, of the
internal revenue collected, about $685.
600, 900, nearly three -fourtbs, has been a
surplus and has also been applied to the
taking up of bonds. Collections of reve-
nue. on such an enormous scale, what
ever may have been their necessity
heretofore. are no longer desirable.
They are not needed for the maintenance
of public credit, or by the obligations of
the public debt
Clearly then either the customs duties
must be largely reduced or the internal
revenue taxes abolished. The latter is
the easier to be accomplished and would
afford the liveliest satisfaction, and,
whether the internal taxes stand or fall,
tariff revision will come up for settle
ment on its own merits.
The whole system of internal taxation
is oppressive and unnecessary. 1t is the
hated tax system of the war, maintained
after the lapse of two decades at the an
nual average of the entire period. More
is now collected than for any year as far
back as 1871, aud the amount has
steadily grown in the past four years.
Only in the seven years comprising the
war period and its immediate close, was
the internal revenue so large as now.
The consequences of the burden are in
furious in the extreme The Phlladel-
phia american, which warmly advocates
the abolition of the internal revenue
system, in this connection well says:
THE collections from spirits cause
continual friction. and occasional blood
shed in the South; in the very region
where, of all. it is desirable not to have
the national authority associated IN the
popular mind with exaction and oppres-
sion; and the necessity for the armed de.
monstrations, the raids upon moonlight
distillers, the skirmishes and miniature
battles, is extremely to be deplored. The
freedom of the people to use their gram
products as they choose, to dlstlll or not
distill, and to be exempt from the Often
sive surveillance of the government,
with its bodies of soldiers following close
at the heels of gauger and collector,
would add in no small degree TO the
quietude of the South. and the sacrl1ce
of a single life in the further exaction OF
this tax of the war is deplorable per-
petuation of the war itself.
One hundred and thirty five millions
annually out of the pockets of the peo-
pie is burden that no free people care
to carry long. In 1879 and 80 more
than 90 per cent of these taxes came
from spirits, tobacco and fermented
liquors, and fell heavily on the export
trade in those lines. The tax on bank
checks is irritating and troublesome
while that on matches is positive exac-
ton from the necessities of the people.
But far more vexatious are the endless
prosecutions, frequently futile, and too
often set on foot by officials eager for
fees. These, with the fees of District
Attorneys and Marshals, the pay and
mileage of witnesses and jurors, add
largely to the weight of the burden.
Unless it be insisted that tn present
rapid discharge of the public debt be
maintained, it can be shown that, with the
whole of the internal revenue omitted,
the income and expenditure of the gov
eminent could be made to balance.
According to Mr.. Sherman's estimates,
the year from July l, 1881, to July 1,
1882, will show a total of revenue of
$3.50. 600, 900; total expenditures. $3.50,
924, $50 0S, leaving a surplus of $50,
III 90. A little less than half of this
surplus he assigned to the sinking fund
For the collection of the remaining half
he offered no excuse or reason at all.
The total of receipts from the estimated
internal revenue for the coming year is
$3.50. 600, 600. This exceeds the antici.
pated excess of receipts over expendi-
lures by about 100000. 1t would
look then as though the internal taxes
could not be dispensed with. However,
on the side of expenses there are numer-
Gus reductions to be made from the esti-
mates. The interest on the public debt
has been reduced $4,000, 600. With
the internal revenue abolished, the cost
of its collection and the prosecutions it
gives rise to would be saved. There
would be a saving here of fully
$4,000, 600.
The customs receipts are thought to
have been placed too low, and it is pos
sible that they may be $1,000. 600 in ex-
cess of the estimates. Altogether with
these corrections, the deficit that would
be caused by the abolition of the internal
revenue would amount to about $15.-
600. 900. and if Postmaster General
James can save $1,000, 900. as he hopes
to do, in his department, there can
be enough leaks stopped in the other de-
partments to overcome the whole of the
deficit.
There Is another phase of the matter,
too, which, though of no special moment
at present, is none the less intere sting
and that Is that according to Mr.. Sher-
mans calculations, if the present tax
system Is continued for ten years to
come, over $500, 900, 600 of the principal
of the debt will be liquidsted. But If
the whole of the surplus be added to the
sinking fund the total debt reduction
will amount to one thousand Millions
Next October the whole of our bonded
debt will be but about 80 per cent. more
than this anticipated reduction. The
national banks, therefore, may well in
quire how they will fare for circulation
at the end of decade.
The Boston Post declares that William
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