Savannah morning news. [volume] (Savannah) 1868-1887, 1884-01-05
THE DRUsrMERs' TAX.
How 1t is Regarded by the Leading Mer-
chants of Savannah-Its Effect Upon
Trade-What a Drummer Says About

How 1t is Regarded by the Leading Mer-
chants of Savannah-Its Effect Upon
Trade-What a Drummer Says About
1t.
The drummers' tax, recently increased
by the City Council on the passage of the
new tax ordinance froM $25 to an amount
equal to that imposed upon resident deal
ers in the same articles carried in
sample by the drummers, is meeting with
a great deal Of opposition both on the part
Of the drummers and the leading mer-
chants Of the city.
In order to obtain the sentiment OF the
leading houses in regard to the tax and
its effect upon trade, a MORNING NEWS
reporter called upon the principal firms
in the city Yesterday with the inquiry,
'.What do you think Of the drummers'
taxi" The answer almost invariably
was, abolish it." Many retail dealers
and jobbers also, who have buyers
in New York, and are not
affected in any way directly by the tax,
are Indifferent as to its operation. The
belief however. of these men when
questioned as to what they consider will
be its effect, is that it will injure the
trade.
Among the large wholesale houses the
same opinion prevails. "There is not the
slightest grain of justice in it." said one
Of the largest jObbers in dry goods IN the
city. 1--WE buy heavily in our trade.
A drummer comes here and pays
his license of 5000 TO sell US
goods. Averaging his orders, it would
take him two years, paying us regular
visits and selling Us average bills of
goods, to make the 5000 which he paid for
MS license. VIII Eastern houses send
representatives here under these condi-
tiOns? -
Not a bit of 1t. They will shun the
city, and what VIII be the result? The
hotels derived their profitable patronage
not wholly but largely from the drum
mers. and when they quit the city down
90 tbs hotels. Whatever may be the
result, if the present tax is retained,
there is one thing certain, the drum
mers' business IS done away with in Sa-
yanDah.
Other acknowledgements and liquor
dealeTs-suppOrt the Council in
imposing the tax; bat these
are in the minority. The gen.
eral sentiment is to abolish the tax en-
tirely. with the exception of few firms,
who favor a reduction TO a nominal sum.
The discrimination between the jObbers'
license and that Of the jObber and retailer
is also claimed to be unjust. Here we
carry on an exclusively jObbing trade
and pay a license OfS2OO," said member
of a leading firm, land our neighbOr
carries on a retail and jObbing trade
together and pays only 500. In order
to sell to US the drummer pays $500, and
to sell to them, with a much larger profit,
he paws 500. Granting the tax is not
excessive, is this discrimination just?
But it IS excessive beyond all reason, and
if maintained the merchants and trade
will suffer materially"
There is also a general movement
throughout the country against taxes of
any kind upon commercial men. The
Secretary of the New York Board of
Trade and Transportation has sent to the
leading commercial organizations of the
country. including the Board of Trade of
this city, letters Of inquiry asking replies
to the questions:
First. If such licenses are imposed by
the laws of your State?
Second. If the laws generally are en-
forced;
Third. If the system is approved by the
business men of your State?
These replies, it is understood, will be
used in a petition to Congress urging the
repeal of the drummer tax" concerning
which so much has been said in CONNER
cial travellers organs.
In continuing further another mer-
chant stated that he was always
glad to have drummers call; they
gave him valuable information about
prices. He did all he could to shield
them from detectives. The law was in
the interest of the few against the many,
and he wanted to see it repealed or the
tax put at a nominal figure, say a dollar
or two per day. If the purpose of the law
was revenue, a small tax would bring in
more money than larger one. The pres
ent ordinance was prOhibitOry, and cut
off the small dealers from the advantages
of competition.
Several days ago party Of five gentle
men, representing large manufacturing
interests in New England, arrived myths
CITY by steamer. en- route for Florida.
They intend to spend a week in Savannah
to Introduce their business to our citi-
Zens. but when they heard of the tax on
visiting merchants, they would not even
talk business, but packed up and left on
the next train. One Ofthe party, the Presi-
dent of a large manufacturing concern,
said: cit is only possible that might
Law the foundation of future business, as |
have no samples, and | could not afford
to paw for the privilege of talking. In
fact / would not, after what l have
learned. open my mouth, as | might be
arrested. l would not be taken up by a
policeman for all the trade | might do in
Georgia. l would feel that l was dis
graced for life"
In an interview with Mr.. w. r. Bren,
formerly of this city, and representative
of Kahn & Schloss, of Baltimore, one of
the largest clothing houses in the country,
a MORNING News reporter learned what
is believed to be the sentiment OF every
commercial traveller visiting Savannah.
In reply to an interrOgatOry as to how,
as a commercial man, he looked upon the
new ordinance fixing the offensive tax,
Mr.. Bren said. 4 regard it as
an outrage upon the merchants, for
the reason that all of them
are not prepared, nor can they
afford the expense incident to visit to
the Eastern markets every time they wish
to buy a small bill Of goods. For eX-
ample: | have a customer here who
seldom buys at the outset of the season
more than So. 600 or $4,000 of goods, yet he
l. gilt edge and always discounts his bills.
Now to comply with this law he is
forced to draw from 500 to $50 for eX-
penses incurred in visiting the Eastern
markets. You can readily see how
this increases the cost of his goods.
Again, first class house, desiring to
solicit business here, cannot afford to pay
the 5000 license. because competition is so
great that the margins necessarily must
be small i'm order to accomplish sale"
"Do YOU believe an abolition of the tax
advisable?"
Il am in favor, as a cosmopolitan and a
liberal minded man, of abOlishing il alto
gether: but in view of the tact of the city's
liabilities and expenses, l believe that no
first-class house would object to license
not greater than was imposed before the
new ordinance was passed by the
preston considerably. Five commercial
men, myself among the number, landed
here on Wednesday morning. At the
breakfast table, before leaning of the
new license, each agreed to 90 at once
and purchase a license. On reach
ing the lobby of the hotel, and
before going into the street, we
learned of the new 5000 license
and three of the five left the city on the
first train. The other two, one of whom
was myself, having relatives here, re-
NAMED: but with no intention to trans
act any business"
'Will the tax, as it is at present, eX-
clude commercial travellers from the
city,"
Enthusiastically. For example, a party
of men were at Charleston on Wednesday
on their way to Savannah. Yesterday l
wired them: If you have 5000 to pay
Incense, savannah Will give YOU N6lCOule'
They had not arrived tonight"
''What do you believe will be the effect
of the tax on the trade hereW
Necessarily it must paralyze 1t to a
certain extent. 1t will effect tirst-class
merchants. because as a rule only second
class houses. which cannot obtain bust
ness in any other large cities, would be
willing to pay such a license. Repre-
sentatives of such houses will
come here and will drum
such trade as cannot afford
to visit Eastern markets. This class of