Savannah morning news. [volume] (Savannah) 1868-1887, 1882-12-04

actual needs Of government. there is pre-
sented constant temptation to eXtraya-
gance in appropriations.
Another consideration attending the
existing overlooking condition of the
public treasury cannot have failed to
attract your notice. If the present rate
Of paying the principal Of the public debt
be continued all the bonds subject to call
Will be paid within three wears. after
which time the government will be com
PEELED, in order to dispose of its
surplus revenue, to buy in open
market AZ per cent. bonds, which
fall due in 1891. or per cent. bonds, which
fall due in 1907. Should the government
thus become an active purchaser of these
bonds before maturity, it seems clear that
they would advance in price to % or 30
per cent. premium, to pay which would
certainly be regarded as waste of
the peoples money. 1t seems to
be judiciOus that the principal
of the public debt should be eXtinguished
as was originally contemplated only at
the rate necessary to meet the require
ments of the sinking fund, viz: to the eX-
tent Of about S55,OO0,000 per annum.
Therefore, it becomes obvious that a re-
ductiOn of from 100000, 600 to $40. .000, 900 in
the annual revenue of the country could
be safely entered upon, and, in my opin-
ion, such reduction is urgently called
for.
Il respectfully offer some suggestions
for your consideration in this regard.
Sound policy would seem to require that
the remission of taxation should fall as
far as possible upon those articles which
are the necessaries of life and upon those
interests which are of pressing impOr-
tance to the country. The great bulk of
the internal revenue taxation is derived
from distilled spirits, malt liquors, to-
baccO and cigars. These are articles
of luxury, the taxes upon which
are really paid by consumers,
and no one need consume them.
am strongly of the opinion that so long
as the principle of deriving part of the
revenue of the government from the in
ternal taxation is retained these articles
and dealers therein are proper subjects
for taxation. There is no demand on the
part of the consumers of these products
for remission of the taxes imposed on
them. On the contrary the general cur
rent of public opinion seems to be
strongly in favor Of their retention.
''The other objects of internal revenue
taxation, with the amounts realized there
from during the past fiscal year, are as
follows: Friction matches, 1922, ,25S;
patent medicines, perfumery, etc, $1,97S,-
39j; bank checks, 2,31S, 400; bank deposits,
$4,001, ,101; savings bank deposits, $SS 400
bank capital, S1,13S, $40; savings bank
capital $14,729. Add to these items the
taxes collected by the Treasurer of the
United States from the national banks as
follows: National banks (capital), So
52l, ,921 AZ; national banks deposits ),
S437, IA 30, making total derived from
these sources of SIS, 74S, ,223 II.
Then, if to the SIS, $50, 900
of reductions thus proposed, Con-
gress should add a reduction in
S,1
articles taxed for internal revenue sub
stantially as proposed in the bill now
pending before the Senate, still further
diminuition of taxes would be attained
and supervision over dealers in taxable
articles, which experience has shown to
be necessary in order to fully and fairly
collect taxes from all alike, would still be
preserved. Reducing all these special
taxes 4 per cent. the remissions under this
of last years collections $3,007,-
905.. The act of March 1, 1879,
reduced the tax on tobacco from "a cents
per pound to Is 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
S6. TAG. 900. This would make the total
Guiding taxes on national banks, as fol-
lows: Matches, medicines, perfumery and
banks, SIS, ,223; special taxes, $3,007,-
800: cigars and cigarettes, So, 746, 600.
Total, SIS, S,5O2, ,12S.
.'While it is undoubtedly deemed advi-
sable by many that there should be a re-
vision of the tariff, it is unquestionably
the case that it is not possible to foresee
the effect. which reduction of the rate of
Of of
importation. would have upon the
receipts from customs. 1t is
cOntended that a reduction of the duty
upon many articles would so increase the
impOrtatiOn of them as u yield an actual
increase of revenue, The demand Of the
hour is for legislation that viii reduce the
receipts of the government. l venture to
sugg est whether it is not desirable to con-
slider the practicability of taking the duty
off Of sugar. About two thousand million
pounds of sugar are annually con-
sumed III the United States.
10 per cent. of which is produced in this
country. Upon the eighteen hundred
million pounds imported the government
realizes revenue of fOrty-tive million
dollars, sugar is one Of the necessaries
of life. 1t is consumed in e1ery house
hold. Should this duty be removed,
there would be not only q certain
benefit Ofthatr reduction would Immediately
inure to the people. The best refined
sugar. which now sells at ten cents a
pOuud at retail, could be sold at seven
cents if the duty were removed, and the
total reduction would amount to ninety
cents per capita per annum of the entire
population of the country. The objection
I'd this measure would be the abolition of
the protection now afforded to the sugar
interests of Louisiana and other States.
This difficulty might be met by giving
bounty of, say two and a half cents per
pound upon all home produced sugar.
The cultivation of sugar IN this country
is not a rapidly growing industry. There
is no prospect that the production of cane
sugar will ever bear a greater proportion
to consumption than at present, | appre-
hend that if sugar were not produced in
this country, Congress would not hesitate
to remove the duty from imported sugar
as the best means of reducing taxation.
The present laN gives to the sugar PLAN
ters of this country indirectly four or five
million dollars per annum. Ny PROPOSE
ton would be to give them this amount
directly and let the whole people have the
benefit of the reduction of taxation, which
would be in this way effected. The prin-
ciple of paying q podnty for the encour-
agement and development OF American
industry Is not new one. III was ADOPT
ed in the case of our fisheries as early as
1913. and was continued for more than fifty
wears. Millions Of dollars have been
Daid out during this period
TO American fishermen for fish caught and
exported. and we are still giving to this
industry the bonus of allowing them to
withdraw salt free Of duty and of requir-
ing from them no tonnage dues. AS matter
of principle, a bounty to our sugar inter-
esfs would, in my opinion. be no more OBJ
iectiOnable than similar encouragement to
our fisheries. These reductions, if made,
would amount to $73, ,5O2, l2S."
In reference to an extension of the
bonded period for old whisky, the report
saws: s.if the future demand for this class
Of 'oroo6s Is 10 be judged of by the with
"a 9syaIs of similar goods during the past
tow wears, tie stock now on mana Is
no,,ai 10 six years, consumption. To
ndStnone the payment Of the tax on this
ri until its withdrawal is required
bv the demands of trade movement has
lasen set ON foot for its expectation and re-
imnortation and storage in customs Dond-
ed warehouses. This is entirely practical
HE under the existing laws, and 1t be-
comes a question whether it would not be
better to afford by legislation the relleI
sought to be obtained by this inalrect
means. An extension of the bonded period
for a reasonable time need not i'm
pair the security of the government
for It's taxes, and would in no manner
tend to reduce the income of the govern