The news & observer. [volume] (Raleigh, N.C.) 1894-current, 1904-02-25
THESE LAWS EVIL
They are Spelling Ruin
for Tobacco Growers.
Hou. John w. Gaines OF Tennessee
Argues for His Bill Drafted to
Give Relief From These
Laws.
Laws.
6snecial to News and observer.)


Washington, Feb. PA speech of spe-
cial interest to the tobacco growers OF
North Carolina was delivered in the
House last week by Hon. John w. Gaines,
of Tennessee.
In course of his remarks Mr.. Gaines de-
monstrated that our tobacco laws are so
vexatious in their operation on the tobac-
co grower and those who purchase MS
leaf tobacco, and on the right Of tobac-
co grower to stem and twist his own
growth for sale or gift and to sell his
growing crop, that the grower Is abandon
ing this industry to avoid bankruptcy.
This, of course. means also that IL lhe
present laws remain intact millions OF
revenue will be lost to the Government.
Mr.. Gaines argued that if the relief asked
were given to the tobacco growers and
any person who deals or wants to deal IN
leaf tobacco, the tobacco growers prosper
Nv would be restored and the revenues re-
main in status que. or practically so. de
added:
Il have read some history and law, and
studied both, but l say to you candidly
that OF all of the laws regulating the az
rcuturist and the products of the farm
none are so oppressive, obnoxious, ana
NG3aIlOuS TO I1e as lhonC "AiiNH
control the tobacco grower and his tobac-
co crop, both in his hands and the hands
OF his purchaser Indeed, gentlemen, they
are brutal This word appears inapt, but
use that word because it gives you the
practical operation and effect of these
laws in q word
The history of the present tax on leaf
tobacco .as traced by Mr.. Gaines, shows
that from 1916 to July 1 1862, we had no
internal revenue laws. Our present sys-
tenn of tobacco laws is based upon the par
ent act, July 1, 1862. which was repealed
by the act of June 20, 1868 but portions
of the latter act are still the law. All
these acts were war measures OF forty
years ago. They were intended to be
temporary" They have become perman-
ent, while recent amendatory enactments
are destroying our tobaccogrowln IN
dustry.
The first tax levied on '.hand-twisted'
tobacco was in 1S65-thirty cents per
pound Sixteen months later this was re-
duced to "a cents and twenty months al
ter that the present tax of 6 cents Il
pound was levied. Mr.. Gaines bill re
peals this tax allowing the grower to
hand stem his own growth free of tax
or Limitation. He is required now to
pay a tax of cents per pound if he
stems it to sell or even to give away.
Under the present law. if the grower
Changes the natural condition of his own
growth and raising of tobacco, by hand
or machine, for gift or sale, he must pay
tax of 6 cents per pound. (The change
wrought by curing. of course, is not
manufacturing) This, mind you, is the
law, if the grower manipulates even his
own growth. He is not allowed to buy
other growers tobacco without qualifying
as 1t dealer or manufacturer. There is no
such thing as free trade in leaf tobacco.
There is free trade IN corn, wheat, and
other agricultural products. We want leaf
tobacco in any and all persons hands I'M
taxed, unrestrcted-free trade, in other
words, in leaf tobacco in the hands of any
one"
Attention was called to the fact that I'M
der the law as it now stands the grower
can sell to only three classes-dealer,
manufacturer and exporter-and must de-
liver his tobacco in person. Even his an
cient common law right to act by and
through his agent as fully as if he were
present and acting i'll person Is destroyed.
That is what I call a savage. brutal law.
Recurring him to deliver in person is an
other. If the grower is blind. deaf, dumb,
without legs and arms, Is insane, an in
valid. or feeble from old age, which will
overtake all of us, no matter, he must de-
liver in person directly to the purchaser.
Another hardship is that If the grower
sells his crop in the stalk. growing in the
ground to another person, that person
must pay tax of cents per pound if he
sells to consumers. THAT is the law laid
down by Congress and thus construed by
Commissioner Yerkes," exclaimed Mr..
Gaines. six cents per pound tax on the
growing stalk, the growing leaf! Tie tax
itself is prohibitory. The law is prohibi-
tory Why? Can you weigh growing
stalks of tobacco by the pound? Whoever
heard of such a proposition? But it's the
law He added:
Reading these laws, gentlemen, clear
ly convinces me that it was the intention
OF somebody somewhere to hobble the to-
bacco grower and turn him over TO the
manufacturer, the dealer and the export
cr The American tobacco trust and the
Reggie contract people have formed to-
bacco trust in Europe and are operating
within the United States. Under these