Evening star., 1902-02-06
DISCUSSES TARIFF
Gov. Taft Before the Senate Philip
pines Committee.
FREE TRADE is IMPRACTICABLE
favors Reduction in Duties on I'M
ports From the Islands.
A SENT I'M Entail EFFECT

Governor Taft appeared before the Sen
ate committee on the Philippines today
with the intention of taking up the Sen
ate Philippine tariff bill and of devotins
his attention. to the revenue and tarin
conditions of the Philippine Islands but
before beginning with the subject he re
| piled to number of questions by Senator
| Carmack bearing upon subjects heretofore
covered by the governor in his testimony
| before the committee
Filipinos Mostly Favorable for Peace
Mr.. Carmack quoted from the report OF
| General Macarthur Of 1900 to the effect
that there Is substantial unity among the
Filipino people in their opposition to the
| United States.
| Replying, Governor Taft said the COM
| mission had not originally accepted the
| generals conclusion, and that the commits
sion's tour of the archipelago had con-
vnnGeo thair ota,u them that they were correct in
people of the Philippine Islands were much
| aroused l do not doubt" he continued,
out the opposition does not continue in
| its general aspect. Since the second elec-
| tion of President Mckinley the great ma
| Jority of the people of the Philippines have
| been favorable to peace and to the ac-
| ceptance of the sovereignty of the United
| states. and it would be impossible to con-
1
| rare without the system of terrorism
which now prevails. That is my conclu-
| sion. and in so far as the statement diff
| fers from General MacArthur's report to
| that extent L differ from him.
| Governor Taft also said that he differed
| from General Bell on the point of the
general desire of the Inhabitants to main-
| tain hostilities in Batangas; he did. not be-
| lleve the common people felt SO Inclined.
Taxation in the Islands.
TAKING
Gov Taft explained the present system of
taxation in the Philippines, saying that
| under the decision Of the Supreme Court no
duties are now being collected on articles
| going into the islands from the United
| States. The plan of the commission had
| been to have no internal system of taxa
| tlon for the support of the general govern
ment of these islands. Under the Spanish
| system there was general poll tax which
netted about 81, 600 600 while the receipts
| from the customs were only about So, ,O0o,-
600 Even children were taxed under that
system. Under Spain there also was a tax
upon business enterprises and that system
had been continued to an extent by the
commission. The commission also had de-
clded to maintain the poll tax to the ex-
tent of 81 per head on adult males, but to
apply 1t only to paying the governmental
expenses OF the towns and the provinces.
The people of the islands had generally
urged the imposition of the poll tax as
HectSSdIy u get some OF tnGlr NUMBERS to
work. Under the Spanish regime the plan
had been used to enforce sort of slavery.
Gov. raft said there never had been a
land tax in the islands. and he attributed
this immunity to the influence of the friars,
who had large holdings. and to the owners
of large haciendas. The commission had
imposed land tax. There had been oppo-
sition to the system, but this was disap-
pearing. The income from this tax would
be small for time because of the fact due
to the retarded development of the country.
that only 10000 acres of the 65 GEO 900
acres of agricultural lands in the Philip
ipnes are held by private owners.
Replying to inquiries by Senator Patter-
son. the witness said the Spanards had
method for acquiring government lands
similar to our homestead system but ad-
vantage had not been taken of it because
of the complications of Spanish methods
He also said there had been much fraud in
land matters and he urged that in what
ever regulations may be made for the dis
posal of the public lands of the Philippines
the rights of squatters should be recog-
nized
AssessabIe Taxable Property.
Judge Taft said that the assessabIe tax
able property in Manila would not exceed
$30.000Oe8. This. he added, would not ex-
ceed one-sixth of the valuation of an Amer
lean city Of the same size and yet Manila
would require far larger expenditure than
would an American city Of the same class.
ministration there would be that of MAIN
tanning sanitary conditions. 1t was neces-
sary at all times to guard against the
plague, and there are from Is 900 to 10000
leperS in the entire archipelago.
These conditions, he explained, rendered
it necessary for the central government to
bear part of the expenses Of municipal gov
ernment
Relying ON Customs Tariff.
Taking up the subject of general taxation
he said the commission Is making an effort
to make the customs tariff the only source
of revenue, land while" he said, I'VE
should be glad to have free trade with the
United States in order to insure the pro-
gress Of agriculture, We cannot but feel
that if it is fair to collect a tariff ON goods
coming into the Philippines from the United
States it is only fair to provide for a tariff
on Philippine articles coming into the
United States.
I'm our judgment the customs tax is alb
solutely necessary, as the government
could not be supported by direct taxation.
OF course. if there were no customs coilcc-
tion on goods coming from the United
States the effect would be to nullify all
tariff collections, practically all the i'm
portations into the Philippines would be
from the United States or from Spain,
which would also be given free trade under
the peace treaty"
He said that the tariff adopted by the
commission is a specific duty amounting to
from Is to 80 per cent reduced to an ad |
valorem system, and that the effort had |
been to place the higher tariff on luxuries |
and the fSwer on necessities, thus reversing |
the Spanish system.
Expectation Of Hemp.
Replying to a question from Senator |
Lodge as to the effect of the removal of the
export duty on hemp exported from the |
Governor Taft said that moth
Ing could be done to change the conditions
In that respect. I'VE can sell all the hemp
we can raise" he said. "The effect Of the
provision would be greater on sugar. I ap-
prehend that the anxiety Of foreigners to
secure the hemp product of the Philippines
aas led to the furnishing Of much Of the
sinews of war Of the Filipinos"
Explaining the reason for the adoption of
he specific system, Governor Taft said this
lad been done IN order to save both time
Ind expense. ''Whefever Cinnamon are
ound," he added. Smuggling is a fine art"
In reply to a question from Senator Gull
,erson concerning the effect Of placing a |
over tariff son American imports from the |
Philippines than upon Philippine exports
rom the United States, Governor Taft ex-
,lained that the commission had devoted
finnQ na Ding forifP Iox,v |