Mower County transcript. [volume] (Lansing, Minn.) 1868-1915, 1882-12-13
GEN. RAUM'S REPORT.
He Advises a Large Reduction in
+, Taxation,
The Abolition Of All Internal Taxes Recon-
mended Except That on Whisky
and Tobacco.

CT VI AAGCIudA ACVOAuC, LUIS U6CA 6uOIu1GlcO
to the secretary Of the treasury. It begins
with the topic of reducing taxation as fol-
lows:
The receipts from internal revenue taxation
have increased from $113, 600, 900 in the fiscal
year of 1879 to $685. O00, 600 in 1880, $135 OOO.-
900 in 1881, and to $146, 100000 lin round
6gures) in the fiscal year last ended. There
will probably be some dirinution in receipts
for the present fiscal year as compared with
last year, but it is not likely the collections Of
internal revenue for the current year will fall
below $145, OOO, 900, should the taxes now i'm
posed be retained. 1t is an old and sound
than is necessary for the economical admins
tration of the government and the gradual
Of the public debt, although
taxation may be so wisely adjusted as not to
operate as a severe burden upon the people.
When the amount collected is beyond the actual
needs of the government there is presented
constant temptation to extravaganza in appro-
priations. Another consideration attending
the overlooking condition Of the public treas
ury cannot have failed to attract your notice.
If the present rate of paying the principal of
the public debt be continued, all bonds subject
to call will be paid within three years, after
which time the government will be compelled,
in order to dispose of
ITS SURPLUS REVENUE,
10 guy III open maIkeI H3 per ceut. pouos
which fall due in 1907. Should the government
thus become an active purchaser of these
bonds before maturity, it seems clear they
they would advance in price to Is or 80 per
cent. premium to pay which would certainly be
regarded as waste of the peoples money. 1t
seems to me judicious principle that the pub
lie debt should be extinguished as originally
contemplated only at rate necessary to meet
the requirements of the sinking fund, viz: to
the extent of about $55,OOO,0 600 per annum.
Therefore, it becomes obvious reduction of
from sixty to seventy millions in the annual
revenues of the country could be safely entered
upon and in my Judgment such reduction is
urgently needed. The great bulk of the inter-
nal revenue taxation is derived from distilled
spirits, malt liquors, tobacco and cigars. These
are articles of luxury, taxes on which are really
paid by consumers, and no one need consume
them. am strongly Of the opinion that 80
long as the principle of deriving part of the
revenue of the government from internal taxa
ton is retained, these articles and dealers
therein. are proper subjects for taxation.
There is no demand On the part of
consumers of these products for remission of
taxes imposed upon them. There is no
PUBLIC SENTIMENT
calling for their repeal Other objects of in
therefrom, for the past fiscal year are, friction
matches, 1927, 1858; patent medicines, per-
fumery, ETC., 81, 97s,3 1896; bank checks, 50, 3l8.
455; bank deposits. So, O77, 701; savings bank
deposits, $8s ,400 bank capital, 81, 1873 $40: saw
ings bank capital, S14, 729. Add to these items
the taxes collected by the treasurer of the
United States from national banks, and there is
a total derived from these sources of 1918, 743,
223, If to the $1s, $50, 900 reduction thus pro-
posed, congress should add reduction in
charges for special taxes to dealers in articles
taxed for internal revenue substantially as pro-
posed in bill now pending before the senate,
still further diminution of taxation will be at
tanned, and the supervision over dealers in tax
able articles, which experience has shown to be
taxes from all alike, be preserved. By
reducing all these special taxes 40 per
cent, remissions under this head would
be on the basis of last years collec.
hons-S3, 0O7,9O The act of March /,
1879, reduced the tax on tobacco from "a cents
per pound to 16 cents per pound, but did not
reduce
THE TAX ON CIGARS
and cigarettes. A corresponding reduction on
cigars would be to 81 per thousand. This,
think, should be done, and would amount to a
reduction of taxes of Sc, 746,0 600. This would
make total reduction of internal revenue tax
es Cncluding taxes on national banks) of $28,
SOP, 1913. The tariff revision is considered 10y
commissions. venture to suggest whether il
is not desirable to consider the practicability Of
taking the duty off sugar. About 2,0OO, 000,'
600 pounds of sugar are annually consumed in
the United States, 10 per cent. of which is pro,
duced in this country. Upon the l, 800, 0O0, 00C
pounds imported the government derives a
revenue of $45, 1000, 900. Should this duty be
removed. there would he not only certain
and large reduction of revenue, but the benefit
of that re duction would Immediately inre tt
the people. The best refined sugar, which nov
co11c OF no oo1c
at cents, if the duty were removed, and thu
total reduction would amount to 80 cents PEI
capita per annum Of the entire population O.
the county.
AN OBJECTION TO THIS MEASURE
would be the abolition of the protection nov
afforded sugar interests in Louisiana and othel
states. This difficulty might be met by givln,
a bounty, say ~ cents per pound, upon al
| home produced sugar. The present law give
| 900, 900 or 100000 per annum. My PROPOSE
| ton would be to give them this amount directl
| and let the whole people have the benefit Of th
reduction in taxation of say s45, O0O, 900, whicl
| would III this way be effected. The principle o
paying bounty for the encouragement and de
! velopment of American industry was adopted
in the case of fisheries as early as 1913, AM
| we're paid out during that time to American
fishermen for fish caught and exported, and W
are still giving this industry bonus, allowing
| them to withdraw salt free of duty and requir
ing from them no tonnage dues. These re
auctions, if made, would amount t.
1902, 1913. Receipts of internal revenue
taxation for the last two fiscal years
For 1881, $1s5, 229, s1s; for 1882 SAG 52s, pa
Increase, $1l, 292, 361. Receipts for first fou
months of the present fiscal year compare
with the corresponding months of the past tis
cal year, show an increase in the amount re
ceived from special taxes and decrease il
distilled spirits; an increase in cigars, cheroots
| ciga1 cites, snuff of all descriptions and specia
tax of dealers in manufactured tobacco, and
| DECREASE IN THE AMOUNT
received from all other taxes on tobacco an
the tobacco trade; an increase in the amour
received from special taxes on brewers an
dealers in beer, increase on bank deposits an
bank circulation, and decrease in taxes Of ever
| other character on banks. The entire amour
collected during the fiscal year Of 1882 wa
promptly covered into the treasury withou
loss. During the past six fiscal years $748
| 834.O71 have been collected from intern.
revenue taxation and paid into the treasury
without any less by defalcation. The expense
Of collection for the last six years are abou
S27, O87, 800, or about SO per cent. on tn
amount collected. This sum has been dit
bursed without loss to the government. Frol
October 4. 1877, to June 10 last, the tot
number of stamps received was 1854, 344 81
value SOL, 1870, 978; issued 2,S81, 165, GA
value $668, 971, 1874; leaving balane
on hand June 10, 1882, of 1853, 1864 STAMP
Of the value of $40, FOG, 594.17. The balance {
stamps was counted under the direction of
special committee, and found correct as
stamps and value, and agreed to q cent wit
the balance shown by the books of this offict
Some months ago many leading sweet-mas
distillers made an arrangement for reductlo
of the producing capacity of their distillerit
and for limiting manufacture in their line
distilled spirits to the demands of trade. The
have recently been followed by the large sou
Imash distillers with somewhat similar a
rangement. The effect will be to cut dow
production in all classes of distilled spirits
the demands of trade. On the 3Oth Of Jun
1882, spirits remaining in warehouses reachf
the highest point, namely, 80, 962, 645 gallon
Since that time there has been gradual redu
ton in the amount remaining in warehouse
and ON the lat of November, 1882, the amour
was g., 628, 331 gallons. This large stock mali
Ky consists of fine grades Of whisky, the t.
upon which will fall due from month to montl
The last withdrawal must be made Decemb'
6, 1885.
m THE FUTURE DEMAND. 49,.
for this class of goods is to be judged of
Withdrawals of similar goods, the tax pa
during the past few years on the stock new 9
hand Ia equal to six years consumption.
nostnone payment Of the tax on this stock III
.4d HNyR$ In Il AM