The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1899-01-11
SAVES S2,171,492.
One of the Results of American occu-
patton of Porto Rico.

San Juan, Porto Rico, Jan. 1.-THE
first blessing that has come to Porto
Rico since the American occupation has
been the reduction of taxes and gov
eminent expenses.
The budget for the year 1899 has just
been approved by General Henry This
covers the expenses of what is called
the "Insular government"
The following sums, which would have
been included in the budget OF the
Spanish government for this year have
been stricken out:
General obligations $49S, sol; clergy
$197, 945; war 81, 253. 377: marine 1922, 66S.
The total of the obligations that ceased
to exist and which are deducted from
the amount of the budget, is 81, III, 1872.
The difference that had been expend-
ed without the realized economies here
with detailed equals $2.610427.
The calculated budget for 1890 Is
formed of the following items:
General obligations SO. $50; state obli-
cations 1904. 995; justice department
S2O1 ASP; finance department $780, in
terror department $7T6, 639.
ESTIMATED CUSTOMS.
The customs for the coming year were
estimated to be So, 132, 900. This sum is
to be reduced by the amount usually
raised by the duty of wheat flour, and
which has been taken off by General
Henry. equal to 100000. This leaves
net revenue from the custom houses of
81, 632, 600. There will remain. therefore,
an excess of 81, 1858
1t should be understood that the above
figures for the estimated budget for the
year embrace only the necessary expen-
ses for the payment of salaries and
other fixed charges. IF this amount
cannot be paid from the proceeds of the
customs then it must be raised by other
methods of taxation.
General Henry has asked of Wash
ington the right to apply the customs
receipts to the expenses of the govern
ment. If this should, be permitted, all
government expenses could be paid and
many improvements carried on. At the
present time there are many taxes col
lected that are a great hindrance to
commerce and if the customs receipts
could be used these might be done away
with.
Merchants doing business in Porto
Rico pay almost a prohibitive tax.
TAXES ON BUSINESS
No one can engage in the banking
ment a tax of about $500 pesos per an
mum.
Then there are consumption taxes
imposed upon every article imported for
consumption. Those should all be done
away with as they hinder trade and
prevent the trade from America enter
ing here.
Many Americans have come here for
the purpose of establishing trade with
Porto Rico and representatives of cap
ital have visited the island for the pur-
pose of securing franchises for the
building of public improvements. They
have received a check by the recent or
der of the war department which pro-
hibits any town in Porto Rico from
granting any franchise for public i'm
provements without first referring the
application to the military governor.
The latter must refer the application to
the secretary of war before the same
may be granted.
The effect of this order is to tie the
hands of the military governor and to
practically put a stop to any improve
ments upon the part of the municipaH-
ties.
This ruling of the war department
with the delay in reducing the tariff
upon articles between the United States
and Porto Rico will delay the develop
ment of the service.
There are very good opportunities
here for the investment of capital, but
so long as these matters are uncertain,
capital will not be invested in the trade
or development of the country. When
this order came, General Henry regard
ed it as an advantage to the holders of
Spanish franchises and therefore
promptly made an order revoking all of
upon an equality. He had hardly sign
ed the latter order, however, before the
legal questions involved presented
themselves and he decided to rescind his
order. A serious question was raised
and one that might have been decided
against the general in favor of the hold
ers of the old Spanish concessions.
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