The Indiana State sentinel. [volume] (Indianapolis) 1868-1895, 1893-12-27

OF duty upon great many important
articles In common use among the people
which are largely imported from ABROAD,
and in every such case a tempting pre-
MUM is offered for fraudulent underValu-
atoms by the importer or consignee;, Eor
shawls and certain other manufactures OF
wool, worsted or hair of the camel, goat
alpaca or other animals valued at more
than 30 cents and not more than 40 cents
per pound, the tax per pound Is three ana
half times the, duty, imposed upon
(38Ih cents, and in addition 10 per cent
ad valorem; but II the goods are valued et
oD tines 40 the Sen'S ddT Imposed uPon
pound OF unwashed wool Of the first class
a. cents and so per cent ad valorem:
such goods under this law, an undervalu-
alton to the extent Of Y per cent per
below 40 cents a pound, would result IN
clear gain TO the importer and a loss to
the revenue Of S9725; whereas, II the COM
fication mentioned, exorbitant as it is,
had been made purely ad valorem and
applied to all goods of like character and
description, such differentiation would
have resulted in a gain to the importer
and a loss to the revenue Of only $6S5. be-
ing a difference Of 5000, or more than p
per cent. upon the whole cost of the i'm
portation.
This is only one provision out of great
number In the present law under which
substant tally, the same result can be &C
compIShed by a very small undervalu-
alton of imported goods; and it would
calculated to encourage frauds upon the
revenue and make their prevention or
detection next to impossible.
For Free Raw Materials.
Raw and partially raw materials consti-
tute the basis of all our manufacturing
and mechanical industries, and unless our
industrial establishments can procure them
upon substantially the same terms as their
al I'm,
to be seriously impeded in their efforts
to supply the home market with their fin
ished products, and wholly unable to ex-
tend their trade to other countries, except
as to certain commodities in the manufac-
ture or Which they have peculiar aptitude
or employ superior machinery. Taxes upon
materials used in our shops and factories
are especially Objectionable on account of
the fact that they multiply themselves
many times before the finished article
reaches the hands of the consumer, and
thus impose burden altogether dispropor-
Tomato TO the benefits supposed to be con-
ferred upon the producer by the so-called
wool necessitates a still higher rate upon
all forms Of manufactured iron and STEEL
and upon all kinds Of wooden goods, and
these progressive increases in rates are
piled one upon another at every stage of
the manufacturing process until the COM
pleted article is ready for sale and con-
sumption. The result IS that the cost of
production is made 50 great that our man
ufacturerS can neither exclude their for
nor share their trade In the markets of
other countries, while the American con-
sumner is compelled to reimburse the in
creased outlay caused by the tax with a
percentage of profit added.
If the worlds store of raw materials
were as accessible to the American work.
ingman as ii is to his competitor in other
manufacturing countries his superior skill
sobriety and industrious habits would en-
able him, without artificial aid to supply
many parts of the world where his pro-
ducts are now never seen with machinery,
implements and various kinds of textile
fabrics OF SUCH qualities and at such prices
would exclude all competition and Gre
ate demand for large increase Of our
teriaIs as a permanent feature of our rev
enue legislation, the demand for labor
would steadily grow with the extension Of
trade, while ENLARGED opportunities for the
profitable investment OF capital would
stimulate the spirit of enterprise among
our people and greatly diminish the danger
Of periodical suspensions, lockouts and
strikes, which have in recent. years so
seriously interrupted -oGr, industrial prog
Tess. 81 ~
Cheaper Goods Tor the Masses
Nearly allied to the policy of free raw
materials is that of cheapening the neces-
saries of life for the masses of the people.
Legislation which unnecessarily increases
the cost of living is wholly without justi-
fication or excuse. and in the revision of
our revenue laws this Objectionable policy
should be wholly discarded, in the interest
Of both labor and capital. So long as the
government maintains a system of taxa
don which affects the prices Of commodi-
ties In the markets, il should be so applied
as to exempt, or bear as strictly as posi-
Bile upon those articles which are essential
to the health and comfort of the people,
such as food, clothing, shelter, and upon
the tools and implements of trade en-
ployed by labor in earning the means of
subsistence. LuXuries and articles OF taste
and fashion, the use of which Is entirely
voluntary, are proper subjects Of taxation
under any system Of raising revenue, and
upon these the rates may very properly
be placed at the highest revenue point.
Such taxes do not ordinarily impose much
hardship upon those who pay them, but
taxes which diminish the purchasing power
necessaries of life strike at the founda-
tons Of the social system, because the
material welfare Of all our communities
depends in large measure upon the pros
perity and contentment of those who labor
In some form for their own support.
It is estimated that the revenues for the
fiscal year 1885 will amount, upon the
basis Of existing laws, to 1856, 427.74S, and
that the expenditures. including the sink
ing fund. will amount to S44S, 300, 7S9 The
estimated revenue from customs is $780,
100000 and the total estimated receipts
from all sources will exceed the. estimate
Of expenditures S6,120,s5S. Assuming these
amounts to be approximately correct, it
will be necessary in any changes that may
Pc mage IN our re es 6e o laws y TO pr9Vide
alone, or partly from customs and partly
from such other subjects of taxation as
congress may see proper TO INCLUDE In our
internal revenue system.
DutiabIe Imports.
If the amount and value of the inporta-
tons of the same character of dutiable
merchandise should not, during the fiscal
year 1885 exceed the amount and value of
such importations during the fiscal year
1893. the receipts under the measure now
pending would be about d22, 10000, but
there are strong reasons for the opinion
that the proposed reductions in the rates
of duty will encourage importations TO
very considerable extent, and that con-
ished in the same proportion as the rates
are reduced. Moreover, experience has
shown that under all our tariff legislation
there has been an almost constant ten
dency toward annual increases in the
amounts and values of dutiable imports,
even though the rates Of duty remained
the same. The total value of dutiable inn
ports in 1858 $329 G61, 302 and the
ceiptS were 1854, 1859, and although tea,
coffee and hides, important revenue aru-
the free list and some other changes made
in the law the value Of dutiable imports
had increased to 1888, 9l6, 1884 in 1888, and the
receipts amounted to s2147 .496. In the
tariff act Of March g. 1883, the value of
dutiable imports was S456, 295,l24, and the
receipts 1886. 067 49, but in 1890, the last full
year under that act the value was $oOls-
81, 764 and the receipts $229, 66S5S4.
There have been but two entire hsca1
during the first one, 1892, the value of
dutiable imports was 1856, ,74, and the
receipts SIT, 452, 1884, while in 1Se3 the value
500 2S2, 519. and the receipts 5000. S5S orc,
To what extent the importatlons viii be
increased, solely on account Of reductions