The Indianapolis journal. [volume] (Indianapolis [Ind.]) 1867-1904, 1885-11-23
THE NATIONAL GOVERNMENT
The Taxes Upon Imported Goods and
How They Are Collected.
The Protective Tariff and It's Working-A
Plan for Raising Revenue Which Is
Being Adopted by Most Nations.
Correspondence Of the indianapolis Journsl.

WASHINGTON, Nov. l8-In reality the line of
difference between internal revenue and customs
taxes is almost indistinguishable. 1t has been
said that to distinguish between the two is to
draw the line of demarkation without differ
ence. The taxes upon importations and upon
articles coming within the purview of the In
ternal Revenue Bureau are, of course paid by
the people in common. If it were not for the
protection of American interests which customs
dues afford, there would be absolutely no differ
ence whatever between taxes collected upon i'm
portations and by internal levy. The American
principle has been to secure protection to our
industries by the tax on mportations, and, while
deriving the revenue to lquidate the running ex-
penses of the government, protect the industries
against the low prices paid laborers and mechan-
les in foreign countries. Both taxes are indirect.
Internal revenues are collected upon goods pro-
duced in this country customs or tariff revenues
come from articles produced by foreign coun
tries. All of the taxes. however, are paid by the
same classes of people, and those levied upon
Expectations or goods from foreign countries are
for the purpose. when levied for protection, of
evening up the difference between prices in this
country and prices abroad.
During the war there was no free list in the
customs, and everything imported paid a duty,
and it was much higher than at present. At that
time we did not pay so much attention to protec-
ton TO our manufactures, and the customs were
intended mostly for raising revenue to meet
the demands upon the Treasury. After the close
of the war the people began to demand modii-
cation of the tariff laws, the same as they did
the internal revenue laws. They claimed that
while we could manufacture most articles for
their consumption, they were of necessity COM
PEELED to consume great deal from abroad, and
the customs dues were heavy that they could
not well stand the burden. A revision of the
war tariff was begun. along with that of the war
internal revenue laws. Each have been scaled
down together. although the subjects are entirely
separate from each other 1t has simply been
question in the one instance of reducing the gov
ernment's income to the minimum, and in the
second instance, of afording protection to our in
dustries. The first work upon the tariff laws
was careful revision. so as to mako them more
equal, by not suffering tax upon one article out
of proportion to that upon another, and reducing
the charge upon articles in most common use
and increasing those classified as luxuries. When
the tariff had been carefully overhauled a free
list was begun. The free list is intended for the
benefit of the masses, as it contains articles
enumerated which may be admitted to this coun-
try duty free which are consumed in the greater
part by the poor or ordinary people 1t will not
be until we have free trade that fine cloth, silks
diamonds and like articles are the free list
These are known as luxuries, and must ever
stand the burden of the tariff laws.
England was ose Of the first countries to abol
ish her tariff laws She b6.ted them from her
statute books removed her customs oHcers,
opened wide her gates of commerce, and invited
competition from all parts of the world. The
countries and provinces utilizing slave and other
cheap labor made fierce onslaught upon her
markets, and drove down prices until it was
simply question with buyers Of superiority of
goods. Whatever England has held in the way
Of trade she has maintained by superior produc-
TONS During the past decade it has been a
question discussed, pro and con, by the various
parties, whether she has held her own. The
protectionists in every American campaign point
to England's idle factories and sorry commerce
through free trade and allege that workinemen
and workingwomen are paupers, and are flying
hither from the devastation of unwise political
ship building industries, iron and steel estab-
lishments and gigantic cotton mills, and claim
that they are the result of free trade and free
competition The truth about the effect free
trade has had upon England will probably never
be known at one time by our people. Politicians
WILL on both sides, msrepresent the situation,
and the more that is said about it the more dense
will the ignorance become.
Not many years ago the foreign countries
raised their revenues by internal taxation almost
altogether. England was the first to conceive
the tariff upon importations. Now, we are told
by American representatives to all parts of the
world, the different nations are adopting our
form of customs upon importatons, and abolish
ing internal taxes. They believe that the pro-
lection afforded by customs dues incline to de-
vslop the resources of the countries and to make
them more distinctly of their own kind For
instance. Russia would rather consume articles
of Russian manufacture than English or Amer-
can, and the only way to assist in bringing about
the contamination of this desire is to discrimi-
nate against foreign productions.
1t has only been within few years ago that
American farmers have taken an interest in the
subject of tariff They have heretofore con-
sidered it question belonging to the shops and
factories Since very decided tariff has been
levied upon articles strictly of their own produc-
ton the matter comes directly home to them.
Our present tariff protects corn to the extent of
10 cents per bushel and corn meal and oats to
4he same amount. while wheat and barley
malt are protected to the extent of 20
cents bushel; rye and barley. Is cents bushel
wheat flour, 20 per cent. ad valorem; hay, So per
ton; honey, 20 cents per gallon; hops cents per
pound; live animals 20 per cent. ad valorem;
cheese and butter, cents pound milk 20 per
cent. ad vaorem, etc. An ad valorem tax means
per cent. on the dollar, as, in the instance of
milk it means 20 per cent. on the dollar Specific
duty is so much on the head the article, as
leaf tobacco, 35 cents per pound; cigars, 81 so
per pound, and molasses, 8 cents per gallon.
Potatoes, cabbage pickles. vinegar, and all kinds
of products of the farm are protected by good
stiff tariff.