The Providence news. (Providence [R.I.]) 1891-1906, 1893-12-09
Experts at Work on the Wilson Tariff
Bill.
THE INTERNAL REVENUE PLANS
Have Led to Great Differences OF Opin-
ion-1here Are Two Propositions,
One Putting an Additional Tax ON
WhisLey and the Other on Sugar.

WASHINGTON, Dec. 9-Chairman Wilson
aud his Democratic associates thought
that they had formulated a thoroughly
practicable tariff revision bill, and sub
mitted most of it to the full copmittee.
In the meantime experts from the treasury
department and statistical bureau who
hau given the measure partial examina-
tion discovered that the bill was full OF
errors and needed large amount of prun.
ing and revision in order TO carry out the
administrative features.
The Republican minority has not yet
been able TO give the bill a thorough con-
sideration, but Is outlining its report,
which will be ready in a few days. While
The tariff bill is being whipped into shape,
the Democrats Of the committee are en-
gagged night and day on the internal rev.
enue branch They are again talking OF
making this separate bill. Up to date
they have not agreed upon the items Of
taxation. The items which were at first
selected, it was discovered, would not
bring in the amount of revenue required.
They are therefore struggling over other
sources ia order TO realize the amount re-
quired.
Representative McMllin, chairman Of
the subcommittee, said that the commit
tee had not entirely abandoned the tax on
individual incomes. He strongly favored
IL, but was only defeated by one majority,
two of the Democratic members being
absent He may attempt it again WHOM
they find that they cannot make up the
amount from any other source.
Two Propositions.
There are two propositions which tho
Democratic members of the house would
accept outside of the income tax: an ad-
ditional tax on whisky and the reimposi-
tion Of "A duty Of one cent pound OH raw
sugar.
1t is understood that Secretary Carlisle
is favorable 20 the latter proposition
coupled with the repeal of the sugar
bounty. This would realize not less than
s25,0OO,000. which would be increased sll,-
100000 by the abolition OF the sugar
bounty. He is unalterably opposed To in-
creasing the tax on whisky to sl.25 a gal
Ion. as this would not afford immediate
relief. He does not recommend taxation
which will only be available in year or
two. He thinks that by that time the
conditions will have so improved that the
government will not need it.
The Bank Circulation Tax.
The bill to repeal the 10 per cent tax OH
etate bank circulation, as framed by the
subcommittee on banking aud currency.
will be reported TO the full COMMITTEES for
final action before reported to the house.
1t does not report the tax uncondition-
ally, but provides that issues Of currency
shall be under the direction of the comp.
troiier of the currency and shall be lin.
tied in amount The comptroller's super
visions will prevent the issue Of currency
which is not amply secured and tend to
prevent wildcat issues.
1t Is understood that the bill has the ap-
proval OF the president, who desires the
repeal il it Is surrounded with proper
safeguards. The report sgys that in con-
nection with the bill to be presented six
points may be noted:
First--The unconstitutional use OF the
taxing power (for purposes other than
revenuel is abandoned
Second-The effectual federal interven-
tion provided is based upon the admittedly
constitutional right To regulate commerce
between the states.
Third-The details of the federal duties
prescribed are confined as nearly as may be
to administrative functions. none of which
materially interfere with the elasticity
Of the currency or with the organization
of business of the banks which would be
provided for by state laws.
Fourth-Special redemption facilities
are doubtless desirable These, however,
are matters OF convenience and detail
rather than OF principle, hence are re-
served for later suggestion. ~
Fifih-The privileges given inure to
national banks as we'll rs to state banks;
but do not interfere with the present ma
tional bank currency.
SfXth-The aims sought by the plans
proposed are: So to free our bank note
currency from federal control as to leave 1t
~ elastic as possible and rs promptly rs
may be available for legitimate local de.
mands. BY thus relegating currency sup
ply 20 local institutions, under conditions
which ensure an ample supply OF sound
currency 20 forestal those demands for
fat money. which are logical and actual
consequence of the present system by
which the federal government has as
sumed the exclusive duty of providing for
our bank note currency.
Other propositions may be submitted.
including the outline Of very voluminous
and comnrchensive measure by Represen-
tative Walker OF Massachusetts A favor
able report was authorized by the commit
tee upon bill eXempting from the oper-
alton of the 10 per cent tax all clearing
house certificates. checks and notes which
were used and circulated as money during
the panic. This includes those issued in
New York, Connecticut and South Caro-.
lima, although it is thought that clearing
house certificates could mover be made
subject 20 the 10 per cent tax.