The morning call. [volume] (San Francisco [Calif.]) 1878-1895, 1892-04-14
A POOR SHOWING.
No Revenue Derived From the
Tax on Domestic Opium.
Only SEQ Collected in This District Since the
Law Went Into Efect-Quinn's
Recommendations.

Under section So of the internal revenue
law tax Of $40 per pound is levied on all
opium manufactured in the United States.
That amount is supposed also to be col
lected, but il the experience Of all other
revenue collectors is the same as that of
John c. Quinn of the First District of Cali
fornia, Uncle Sam derives but very little
benefit from the enactment.
In a communication which Mr.. Quinn
sent yesterday TO the Commissioners at
Washington he stated that since the law
went into effect, IA months ago. only $50
had been collected in this district under that
section, and then only upon seizure and
sale. The law, he said. is a dead failure as
1t now stands, Notwithstanding the vigorous
efforts Of himself, his deputies, specials, de-
teetives and infoImerS to make it. effective
After brief history of his experience with
the law he closed his communication with
the following remarks:
QUINN's RECOMMENDATION.
Ny opinion on what The law should be and the
reason on which base IL are:
FlrsI-The State Is near British Columbia, and
smuggling OF opium made IN that bort is not
only not far from impossible, but Is an open
secret. and all domestic manufactures come into
competition win such Struggled goods. Hong
hong and Victoria opium IS selling here In the
marker al about s IA 10 sic per pound, whether
duty paid Of not
Sec0nd-The cost per pound OF manufactured
opium, including labels and cost OF crude opium
So % per pound, the cans, waste and 10 per
cent loss In boiling Is about 81. The cost Of
labor Is about 81, and the Internal revenue tax
amounts 10 slo, which makes total cost Of SIS
per pound.
THIS opium is inferior to the imported Hong
Kong opium, aud Inferior even 10 the Victoria
opium. and sells only al about SO per pound,
Involving net loss az duty pad) OF SO.
Ii Is clear. therefore. that al such prices. il Is
Impossible for tn manufacturers 10 paw the fax
: a Huf
stamps can be or have been sold.
This shows that the present Jaw does not act
as a preventive against the use OF opium, but
simply aRgTayates such evil by causing the pro-
dnceTs and dealers 10 become law breakers. The
fact remains that tbs Chinese wili have opium by
IAlr means OF loul and that neither the Internal
Revenue office or CusIOm-hOuse can be success
fuI as TsiofmatOTy institutions.
LIVING CHANCE.
Ia he second place, would suggest that the
law be 30 amended that manufacturers and deal
erS can comply with tie terms OF such Law and
stiil have living chance 10 retain thelr bush.
ness.
/ would, therefore. suggest that the Custom
house duties on imported opium manufactured,
remain as liked undeC the present Law, that the
crude opium BE- admitted duty free, as al pres
enti that The rate OF tax on domestic mAnufac-
tuTed opium be fixed al 81 Der pound; that the
manufacturer OF domestic opium be required to
give good and sufficient bonds. IN a specified
sum, TO be approved by collectors that a special
tax de Imposed upon dealers In opium as follows:
a wholesale dealer Ia opium TO pay ct the rate
OF 50 pe! month or sos per anuum, aud "A retail
dealer al the rate Of 50 per month or 500 per
aDuglD.
That the manufacturer and wholesale dealer
be required 10 keep internal revenue books, but
IN the English language and make monthly re-
port. showing ali The facts that may be deemed
necessary 10 De shown BY the Commissioner OF
Internal Revenue.
That the penalties fOr the noncompliance be
made heavy enough 10 deter any contemplated
Violation.
/ cannot suggest that any change be made on
the duty on cTUde opium, as u would antagoniZe
every wholesale aud retail druggist IN the
United states from the faef that nearly all med
lciDal preparations are compounded from. or
Win greater or less proportion OF morphine
Contained "a such G. gde opium.