Evening star. [volume] (Washington, D.C.) 1854-1972, 1894-08-09
TAXING GREENBACKS
The Bill Now Awaiting the Presi-
dents Signature.
NATIONAL BANK NOTES INCLUDED
Efforts to Accomplish This H We
Been Made for Years.
THE OBJECTIONS URGED

Tho only financial legislation accomplished
by this Congress. except the repeal OF the
purchasing clause of the Sherman act and
passage Of the seigniorage bill. which re-
ceivei the presidential veto. is the bill to
subject TO state taxation national bank notes
and United States treasury notes. which
passed the Horse Tuesday with Senate
amen 1ments
Attempts have been made in nearly every
Congress since the war TO subject these
forms of money TO taxation. Senator NC
Donald Of Indiana introduced a bill in the
Forty-sixth Congress- for the purpose. and
in 1880. when Senator Edmunds was chair
man CT the Senate committee on the ju-
dietary, similar measure was reported by
that committee and passed the Senate. but
failed in the House.
How the BiII Passed.
Representative Cooper of Indiana VINO
introduced the bill which is now In the
Presidents hands for approval. has made
an unusually active campaign for t. IL
was approved by the House committee on
banking and currency by a majority of one
Mr.. Walker Of Massachusetts voting with
the democrats for it, and Mr.. Springer and
Mr.. johnson Of Ohio with the republicans
against IL. the latter because he believes I'm
tna Single tax upon land. Mr.. Cooper made
personal canvass OF the House. and esti-
mated that the bill would receive two hun
dred votes There was not fun House.
ana IL passed BY l53 20 al. IL was referred
10 the judiciary committee of the Senate
because the finance committee WAS engaged
with the tariff bill and passed the Senate
without division.
The bill provides that circulating notes
OF national banking essocia lions and United
states legal tender notes and other notes
and certincs ties of the United States nav
able on demand. and circulating or intended
70 circulate as currency. shall not be ex-
empt from taxation under the laws Of any
state or territory. provided. that taxation is
exercised at the same rate and in the same
manner as upon other property or money.
Acts Of Exemption.
The three acts authorizing the issuance Of
greenbacks each put In circulation sIy0oOa =
100. but the total amount was afterward re-
duced 10 SslG.Uo.vo. a figure that has re-
mained permanent. althorsh much OF the
money has been lost or DESTROYED. Each
issuing act declared the greenbacks exempt
from taxation by state or municipal author
lily, as well as all ether obligations of the
United States, and under this law are the
sherman notes for the purchase of bullion.
SlJOp0O0 Of which were issued under the
act of 1880 There are. in round numbers
SJpav'."e OF United States notes exempt
from taxation.
Efforts 20 tax money as other nersonal
property is taxed are made by most of the
states and territories. The average rate is
estimated at $50 for state and county and
VI for city taxes on 500, so that the taxa
ton on this money would average L. per
cent.
1t is represented that most Of the exempt-
ed forms of currency have been withdraw
nom circuls ton. and are being boarded by
anks and individuals. as they have an adj
Ventage over gold ana silver. which are sub
tect TO taxation Against the bill "a was
argued that il was an infringement of the
general government to permit state and
municipal authorities to tax its monetary
issues, but. on the other hand. IL was point.
ed out that the states were not permitted
10 discriminate against any forms of money.
and that these greenbacks should be placed
on the same basis gold and silver