Evening star. [volume] (Washington, D.C.) 1854-1972, 1882-12-04

wiling by legislation some mode OF freeing the
Treasury OF an excess OF assets in the event that
congress fails to reach an early agreement for the
reduction OF taxation.
heartily approve the secretary's recommended
tion Of immediate and extensive reductions In the
annual revenues OF the government
III VIII be remembered that urged upon the at
tentlon OF Congress at its last session the impor
lance OF relieving the industry and enterprise OF
the country from the pressure OF unnecessary tax
alton 1t is one OF the tritest maxims of political
economy that all taxes are burdenSome, however
wisely and prudently imposed. And though
there have always been among our people wide
differences OF sentiment as 10 the best methods of
Raising the national revenues, and, indeed. as to
the principles upon which taxation should be
based there has been substantial accord IN the
doctrine that only such taxes ought to be levied
arg necessary for wise and economical admins
tration of the government or late the public
revenues have far exceeded that limit, and unless
checked Dy appropriate legislation such excess
Will continue to Increase from year to year. For
the fiscal year ended June go 1884, the surplus rev.
euue amounted to one hundred millions OF dollars:
for the fiscal year ended on the Both OF JuneLast
the surplus was more than one hundred and forty
five millions.
The report OF the Secretary shows what dtsposi-
ton has been made OF these moneys. They have
not only answered the requirements of the sinking
fund, but have afforded large balance applicable
10 other reductions OF the public debt.
But renew the expression OF my conviction
that such rapid extingulshment OF the national in
cebtedness as Is nOX taking place Is by no means
cause for congratulations II is a cause rather for
serious apprehension.
IL 1t continues, it must speedily be followed by
one o. the evil results clearly set forth in the re-
port OF the Secretary
Either the surplus must lie Idle In the Treasury,
or the government Will be forced to buy at market
rates It's bon Is not then redeemable and which,
under such circumstances cannot fail to COM
mand an enormous premium, or the swollen reve-
NUS VIII De devoted TO cXtrlva5ant expenditure
which, rs experience has taught, IS ever the bane
OF an Overlooking treasury.
IL was made apparent I'm the course of the AMI
mated discussions which this question aroused at
the last session Of Congress that the policy OF d.
mintshing The revenue by reducing taxation COM
ii 10 fll r,aAr nh
o. both Houses
Iregret that because of conflicting views as TO
the best methods by which that policy should be
made operative none OF its benefits have as yet
been rp3ped.
In fu.iiiment OF what deem my constitutional
duty, but with little hope that can make vafu-
able contribution 10 this veXed question, / shall
relation to 1t.
Upon the showing of our financial condition at
the CiOS OF the last fiscal year. felt Justified in
recommending to Congress The abolition of all
intfrnhi-r@yenue taxes except those upon tobacco
IN its various forms and upOn distilled spirits and
termaatet liquors; and except also the special
Tx upon the manufacturers of and dealers in such
articles.
asccrialEcd that the probable expenditures OF the
government for the coming year hay, been nm
uc'tN mated all Internal taxes, save those which
gated.
such course, II accompanied by a simplihca-
on OF tao machinery of collection which Womb
theh De easy OF accomplishments t-ht reasonably
be expected to result In diminishing the cost OF
suth collection by at least two million and a half
l.5J 10 2O01 persons.
the system OF excise duties has never common
dei Itself 10 the favor or the American people AMI
has never been reSorted 10, except for supplying
d5ii"iencfeS in the Treasury when by reason of
SPECIAL eXigeneics, the duties on imports have
proved Inadequate for the needs OF the govern
IneHt. The sentiment OF the country doubtless de-
m n IS that the present excise tax shall be abol-
lohtl as aooh'as such course can be safely pur-
II seems to me, however, that, for various
reasons, 50 sweeping measure as the total ab0l-
linh o. internal taxes would for the present be an
Two of these reasons are deserving Of special
mention:
First it IS by no means clear tn t even II the ex
listing system OF duties on Imports IS continued
without Inoiihtati0n those duties alone Will Yield
sufficient revenue Tor all the needs OF the govern
m%Ht 1t Is estimated that one hundred millions
or dollars VIII be required for pensions during the
coming year, and 1t may we'll be doubted whether
lat maximum annual demand for that object has
EeL Gcen reached. Uncertainty upon this question
would done justify. in my Judgment. the retention
l0r the present OF that portion or the system of
internal revenue which Is least Objectionable to
Second, a total abolition of excise taxes would
almost Inevitably prove serious, II not an tnsr-
m"GNtlO.e obstacle to a thorough revision OF the
t'r!H anu to any considerable reduction in import
duties.
The present tariff system Is in many respects IN
lust; 1t makes IN quail distribut ons both or its
burdens and its benefits. This fact was practi-
cally recognized by minority OF each House II
Con[reSS In The passage OF the act creating the
TaEin Commission. The report OF that commits
sion VIII be placed before you at the beginning of
this session, and Will, trust afford you such in
formation as 10 the condition and prospects or the
various commercial, agricultural, manufacturing.
mining and other interests or the country, and
contain such suggestions for statutory revision as
WIZ practically aid your action upon this import
ant subject.
The The revenue from customs for the fiscal year
ended June 80 1879. amounted to S137, 100000
IL mas In the three succeeding years reached.
first Slo6G00CO then s9S 600 OO0 and finally, as
has been already stated, 500 1000
The income from this source for the fiscal year
which viii end on June 80. 1883 will doubtless be
considerably In excess OF the sum last mentioned
III the tax on domestic spirits Is to be retained
it Is plain therefore that large reductions from
me cdstcmS revenue are entirely feasible. While
Recommending this reduction am far from advis-
Ing the abandonment OF the policy OF so discrimi-
mating In the adjustment OF details as to afford aid
and protection to domestic labor. But the present
system should be so revised to equalize the
puolc burden among all classes and Occupations
anu BRING IL into closer harmony with the present
needs OF Industry.
Without entering into minute detail, which.
Gh4er pres mt circumstances is quite unnecessary
lrcconinen1 an enlargement or the free list so as
Include within 1t the numerous articles which yield
fncous-derdble revenue, a simplilcation OF the
complex and inconsiStant schedule OF duties upon
certIIn MANUFACTURES. particularly those OF cotton
lroh ana steer, and substantial reduction OF the
duties upon those articles, and upon sugar mo-
iaIsfs SIX, wool. and woolen Goo1s.
III general revision OF the tariff Shall be rOund
70 De lhpfactlcdble at this session, / express the
hone that at least some OF the more conspicuous
inequalities OF the present law may be corrected
before your final adjournment One OF them is
specially referred 10 by the Secretary. In view of
a recent decision or the Supreme Court the npces-
sity of amending the law by which the Dutch
stan OF color Is adopted the test of the sac
chaTine strength OF sugars is too obvious to REQUIRE
comment.
From the report OF the Secretary of War It an
pears that the only outbreaks OF Indians during
the past year occurred ia Arizona and In the
sou'hWestern part OF New Mexico. They were
promptly queiied, and the quiet which has pre-
vailed In ali other parts OF the country has per
ited such an addition to be made to tue mill
tary force In the region endangered by the
ApacheS that there Is little reason TO apprehend
trouble in the future.
These parts OF the Secretary's report which re-
atc 10 our sea coast de1enSeS and their arma-
ment suggest the gravest reflections Our exist
Ing IOrtincdttons are VIGOROUSLY Inadequate to
the defense OF the great harbors anu cities for
whose protection they were built
The question OF providing an armament suited
10 oui present necessities has been the subject OF
consideration by 3 Board, whose report was trans
United Ia congress at the last session. Pending
the consideration OF that report the War Depart
meht has taken no steps for the manufacture or
conversion or any heavy cannon, but the Secre-
tary expresses the hope that authority ana means
10 begin that important work viii be soon pro-
'iueu invite the attention OF Congress to the
pfoprlety OF making more adequate provision for
afin!hS ana equipping the militia than is Afforded
oy the act OF 1903, which is stil upon the statute
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