National Republican. (Washington City (D.C.)) 1872-1888, 1886-02-27


mand Exists.
The speech OF Hon. James d. Brady, of
the fourth district Of Virginia, delivered in
the House Of Representatives on the 9th
instant ON the bill "to tax fractional parts
of gallon of distilled spirits, " is Of great
interest, especially to the people Of Virginia
and Mott Carolina. The tax Of 30 cents a
gallon is heavy burden to the OH small
fruit distllers Of Virginia. and the addl-
tional tax produced by this bill win add to
the burdens Of the people Mr.. Brady said
Mr.. Chairman, In the few minutes allotted
to me have not time to 20 into the merits
Of the bill. But will say this much as to
1t, after a practical experience Of several
years Ia the internal revenue service, that
think the bill in two particulars will work
hardship and injustice. IL the government
intends to impose tax upon the fractional
part Of gallon, and | am willing TO con-
cede that the arguments offered. show a
disposition on the part OF some Of those
large distlllcrs engaged In the manufacture
Of distilled spirits to evade the law as to
ten.gallon packages, l think that the in
ternal revenue office should provide u
stamp, rs can well be done, instead Of the
proposed assessment plan. For under the
operation OF the assessment system OF the
internal revenue Office great Injustice and
great injury has been done, especially to
the small distillers.
But do not propose now to discuss that
branch OF the subject. With regard TO fruit
distillers, and speak especially with refer
ence to the frult.distllling interests In the
state Of Virginia, which have the honor In
part to represent on this floor, and In North
rfYia II at rat
under the operation Of the proposed bill,
should II pass Congress and become the
law, the Interested the fruit distllers OF
the country will be most iniuriously affected
thereby.
On the 9th instant, when the bill was un.
der consideration, | gave notice that
would propose to amend the bill as follows:
Add to section ie following proviSo:
"IhoHdcd, That the provisions OF this act
| shall not apply TO brandy and wine manuiac-
turcd from fruit nor shall any such tax upon
the fractional part of gallon bd assessed
against amy distilCr engaged in the munufac.
ture Of brandy and wine from fruit"
Let us see about the operations OF the
present internal revenue laws concerning
fruit dlstillers. From the report of the
| commissioner Of internal revenue for the
year ending June 10, 1855, 1t will be seen
that the total receipts for that year from
| spirits distilled from apples, grapes, or
peaches was 81, s2l ,s27.5s. The total num-
Der of fruit distilleries in operation during
said year was 4,A5, aud the tax collected
from them would average $9il each The
four states operating theogreatest number
| Of fruit dlstileries were Georgia, Ken
| lucky, North Carolina, and Virginia; and
| upon this point l invite attention to the
| statement from the commissioner Of inter
nal revenue, showing the number Of fruit
distilleries operated In the states Of GeOr-
gia, Kentucky, North Carolina, and Vir-
| ginia, the quantity OF fruit brandy pro-
duced, and the amount OF revenue derived
therefrom, viz: Georgia has 29l distilleries,
producing 1884 gallons, tax collected
| S39, 50i.G4. Kentucky has 800 dlstillerles,
| producing l43,535 gallons, tax collected
| S12S,2T9.94. North Carolina has 1,2l4 dis
tileries, producing s5,062 gallons, tax col
lected $76,555.3s. Virginia has 1,07l dis
tilleres, producing 1888, 1903 gallons, tax col
1896 dlstilleries, producing 400, 500 gallons
OF fruit brandy, tax collected S36S, 1889. IS.
In these four states 1885 fruit dlstillerles
| were operated, and the average tax col
lected from them during the last fiscal
| year was 1926. Only 1909 fruit distil-
leriee were operated In all other states.
| Mr.. Chairman, the cost OF collecting this
tax during the last fiscal year in the said four
states Is shown from the following informa-
tion kindly furnished me by the commits
sioner Of internal revenue:
| In Georgia ten gangers were on thisduty
| ~ an expense OF: ............'...,'... S2,oOo
In Kentucky nineteen gnugers and six
| special deputies were employed cost S,920
| In North Carolina tifty.elght gaugers
aud ten special deputies, expending., 5000
| In Virginia iOrty'hye guuger 'andtwelye
special deputies, costing. ..........".". 23,l3i
|
| 81 III
The total number OF regular internal
| revenue deputies and clerks on duty
| in said states was 2BO, and allowances
for their pay and expenses $3.50, $50. |
| am sure that per cent OF this eXpen.
diture is n low estimate OF the am junt
| thereof properly Chargeable to the
operations Of fruit distiiiers. ...... 0,9lt
The total amount expended for discov.
| cry and punishment OF violations of
| internal revenue laws during said
| year was SSi, $500, and | am certain
| that II Is a low estimate to charge said
four states under this account. ...".,. 500
| For court expenses, arrest, trial, exam.
| inAtion of witnesses, fees, &C., for
| these Violations of law, In the four
states. estimate ut the small amount
| Of. ACKNOWLEDGEMENTS. 300
|
Thus the total expenses to the govern.
| ment connected with the collection of
| said tax and enforcement OF the law
| In said fur states, as to fruit distillers,
| amounts Observation-Disclosures. 1873
The average tax paid by said 1896 frui
distillers In the four states named was $125
and II cost the government an average o
scr each to collect IL.
Mr.. Chairman, the total collections iron
all sources In the United States from inter
nal revenue during the last fiscal year wer
$ll2, 42l 900, and the total cost OF collecting
the same was 81, 455, 430.27, or 80 per cent
The total receipts from fruit dstillers 4
the states Of Georgia, Kentucky, Mort
Carolina, and Virginia, as shown by tn
tabular statement Of the commissioner Q
internal revenue, was 1868, $50. rs, and th
cost Of collecting this tax, according to tn
figures herein given, was $79,337, or 81.
| ner cent