New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1888-01-13
AGAINST INTERNAL TAXES.
REPORT OF THE UNION LEAGUE CLUBS
POLITICAL REFORM COMMITTEES.
THE QUESTIONS OF THE SURPLUS PROTECTION 10
AMERICAN INDUSTRIES. ANo THE LIQUOR
TRAFFIC DIscUssED-PoINTED


AMERICAN INDUSTRIES. ANo THE Lioooh
TRAFFIC pIscUssED-PoINTED
RECOMMENDATIONS
III. renort of the Union League Clubs Com
,,t.t.e On Political Reform which was submitted
n the annual meeting of the club last night is
o,v.n herewith 1t favors the abolition of the
Internal Revenue system and advocates high State
,sxes ON the LIQUOR traffic The report is as fol-
lows: ..
Tho Committee on Political Reform submits the
following report and resolution and recommends their
Three questions of paramount Importance are now
agtating tho public mind and require careful and Wise
in the United states Treasury another the qnestSn
Of protection to American industry and sn nruons
liquors. At first sight, these three quesuonsa Under
appear to be germane one to the oshe and perhaps
could not be treated together but the stH, zach az
that intelligent treatment OF ener a. ali becomes
mnortant and material We assume, without oeDa ,n
that the great principle OF protcco r,ncine in the
dustry cardinal ana ,tv and that in the views
81 that marty all legislation should oo the great
preservation OF OIL tna aurpv has been built 1t equal
" trne that the accumulation OF inc an evil that de-
the Treasury OF na speedy treatment Tho treatment
mnst he effective and certain to ARES htens n dis
OF mon ON y, The business interests Of the country II
s also true that the prctensions ana ca', Us VI I
dealers IN spn nuo,s ~ the country to such
ana M q, arouse the fears Of all right thinking cit
zns The accmua9n or that reaches
that department through the imposts on 1usi
fcyenue Bureau that surplus is made, by the mes
SAGE OF the President. and by the POSITION Oh tn1 ~,
Drotecton 70 American industry. Confessedy reve-
mo derived from source or the other mus, pe ar
rested II makes no difference as 10 ,ns nerest
accumulation OF surplus upon the hnaca. ,s az
OF the country nom what source that surplus Is DE
rves Money derived from the tax upon sf from
circulation and affects material Interests precssEH
the as any other money Un 'ne rt H1r nor s f.
ststcsmanship or good morals. 70 90 AWNING h
which shall relieve the qu%r interest from any S Re
publican party should set its face firmly and rcseute
y to treat that interest tnat II sha', ,"nerre II
would be nnwlse and suicidal TO say or do awning,
which in us operation or effect could enc ar
interest. We do not propose TO discuss az ene,n ot
enlarge upon the enormy OF the evils growing ont OF
amybnr that The most advanced thinkers have said
against The traffic in sprtuons liquors. Neve,the
less ~ the revenues derived rom that interess nav
a unestlon is raised whether the continued cohecuoh
Of those revenues by the United States Goyernmen
present and the future II would he only one more
crime charge mp against that traffic II II should be
the force used to break down the productive lnuus-
tries Of the country.
II appears by the last report OF the Commissioner
OF rs"sves from Spirits and fermensd
onors ss7 75 sos 40 from tobacco received about
600 from other s.prS9s So o S S0on' tSs
appears that the internal revenue derived from SPIRITS
and fermcnied liquors is the principal source rom
which moneys are derived in that Department of the
Government
The Secretary Of the Treasury reports that the pres
ent actual net surplus on December was $500
that this surplus Will be increased for the next fiscal
year. that under the operation OF present laws al
$40 600 900 It is plain. therefore. that the est
mated increase of the surplus VIII be suns,antaly
equivalent to the collections by the Internal revenue
Bureau from spirituOus liquors the Internal heVe-
Department should be abolished, II would at once
and Immediately put end to all question OF surplus
I'm the Treasury The Government would then start
with present accumulation, which would be grad,
ualIy reduced by reason of the imposts on In ported
articles not being sufficient to meet the expenses of
the Government for the next one or two fiscal years.
II 1t DO objected that in the future the resources OF
the Government would not he sufficient 10 meet IT'S
liabilities IS not only reasonable nn. ng, nou p Tear
to year so that by the tine this present surplus IS eX
pended the from impost duties would meet all
The requirements Of the Government
The Secretary of the Treasury reports net increase
OF s3 60 for the lest fiscal year hut of this
tsrnaI revenue which leaves the increase dervabe
from other sources than Internal revenue 10 oe
OF Increase or something approximate to IT, would 60
on from year to year. GO that the Government would
find itself with ample funds for IFS needs. ,
Going back. now. to the question OF the internal
revenue derived from spirits. excluding frrmentcd
liquors. find the amount derived last wear from thst
distilled a considerable proportion enters into man
uacurng industries There arc no reliable statiscs
as TO what per OF tho spirits manufactured Is used
for Such purposes Considerable testimony was taken
on this question before the Tariff Commission appoint,
ed by Congress few since. and many Intelligent
men have given their estimates upon IT. The lowest
proportion that been named is cent the high
eonvean with the subject that the lowest is much
TOO low and the highest too high IT Is probable ,hat
hI we have bH 40 derived from Spirits
40 cent thereof s,6331 1913 which IS levied as
direct tax upon home industries.
Much ihorght and attention have been given TO the
subject Of finding method by which spirits used
in the arts and manufactures cond DE a RON a
domestic manufacturers should not be called upon TO
contribute to the Government this vast snm OF
soc 331 72a, which IS in effect direct tax and oper
10 that extent against the domestic manufacture
Of such articles require It's use No device ana no
pfan has vet bccn suggested by which that result can
be reached without opening wide door to frauds
upon tho Government. II the Internal Revenue Dc,
partment Is abolished large and material interests OF
the country would be relieved from this unjust and
unnecessary tax. tax which discriminate against
the homo production Of largo class OF articles re-
qulred for tho ordinary uses OF citizens
The expenses of collecting the informal revenue are
SsSe at "a w this money These o
cials unnecessary and vexatious spies upon me
their official duties and restore them the productive
industries of the country would be great gain to the
public. and be entirely in harmony with the reform
professions of this Adminisf alton
Revenue from tobacco, we have stated above, Is
about $50, 100000 If 1t be said that this is tax
upon luxury IL is also a TAX upon large piouoc'No
industry of this country, and Is chiefly tax upon the
luxury of poor men, they are the principal con
gumcrs OF domestic tobacco So long as imposts are
continued upon imported tobacco and cigars the rcve-
nue. from that source will be derived chiefly from an
article that is luxury INDUCED In primo pay by those
no are able to pay IT, We do not advocate the re-
dncton of the tax upon tobacco such, but only the
repeal Of the internal taxes which are derived mainly
from domestic production The proposition to repeal
the tax upon spirits will at first strike many minds as
unwise and as relieving traffic which ought 10 pear
heavy burden from its proportion of the cost of the
Government To do this I'm fact would be unwise ana
would shock the moral sense OF the community We
wouId not for one moment advocate anything which
would be an encouragement to that traffic or thar
would relieve IL from any restraints which can be
tbrown around H. Our contention is that the money
derived from II Is unnecessary for the General Gov
eminent: and that unless 1t is al once put into CIR
rulatlon II operates just mischev0usy as revenue
ofh when