The Richmond Virginian. (Richmond, Va.) 1910-1920, 1915-12-08

suggest. I am ready to believe tina
1 1t would be my duty to do so in any
case: ard I. feel particularly bount
I to speak Of the matter when II ap
pears that the deficiency will arise d.
rectly out Of the adoption by the Con
4 gress OF measures which / myself
urge II to adopt. Allow me, therefore
to speak brieffy OF the present state o.
sthe treasury and of the fiscal problems
4 which the next year will probably dis
/ close.
4 on the 18th of June last there wa.
an available balance in the general
i fund of the treasury of 3i04,170,-
4 105,Ts. The total estimated receipts
i for the year i1g16, on the assumption
that the emergency revenue measure
I passed by the last Congress will not
be extended beyond it's present limit
the 31st of December, 1915, and that
the present duty OF l cent per pound
on sugar will be discontinued after
! the list Of May, 1915, will be $500
1 365. 500 The balance of June las,
and these estimated revenues come
therefore. to grand total OF STA
/ $50, 605.7S. The total estimated dis
bnrsements for the present fiscal year
! including S2o 10000 for the Panama
Canal, S12.o00.000 for probable de-
! ticiency appropriations. and $4,000
\ for miscellaneous debt redemptions
/ in the general fund of the treasury
will be reduced to s20.644.e05.7S. The
, emergency revenue act. If continued
beyond its present time limitation,
would produce, during the half year
| then remaining, about $4,000. 600,
The duty Of | cent per pound on sugar
I If continued. would produce during
! the two months OF the fiscal year re-
/ naming after the 1st OF May. about
i SIS, 600, 900. These two sums, amount
/ ing together to $50. 900. 900 If added to
] the revenues of the second half OF
! the. fiscal year. would yield the treas
ury at the end OF the year an available
/ Balance Of s16.644.s05.1s.
Continue War Tax.
The additional revenues required
To carry out the program of military
I and naval preparation, Of which I
/ have spoken, would. as at present es-
ttmated, be for the fiscal year 1917
! ssS. 100000. Those figures taken with
i.the figures for the present fiscal wear
I which ! have already given, disclose
3, our. financial problem for the year
!, 1917. Assuming that the taxes i'm
+ posed br the emergency revenue act
and the present duty on sugar are
to be discontinued. and that the bal
anee at the close OF the present fiscal
year will be only s2O,644,6057s. tina,
] the disbursements for the Panama
! Canal win again be about $25. Geo, 900
! and that the additional expenditures
for the army and navy are authorized
I by the Congress the deficit In the gen
eral fund of the treasury on the 3otfl
day Of June. 1917. will be nearly
s2s5. coo. To. this sum at least
/ $4,000 900 should be added to repre-
sent safe working balance for the
treasury, and i2.o00.o 900 to include
the usual deficiency estimates In 1917;
and these additions would make a
total deficit of some s2a7. zoe. 900. Ii
the present taxes should be continued
throughout this year and the next
! however there would he balance
lB 000'00e'9,s euos 10 6InsesIl Gun III
10 max Kan qua 10 qua qua IN lIoUsp Y
pup 'IeeH IBosU 1u9ssId stp 10 pus sul
only some $50 900, goo. or. reckonins
In $4,000, 900 for deficiency appro-
priations and safe treasury balance
at the end of the year d total deficit
of some s112, 900, 600. The obvious
moral of the figures is that 1t is plain
counsel of prudence to continue all OF
The present taxes or their equivalents
and contine ourselves to the problem
Of providing 1000. o0o of new
revenue rather than s2a7. 100000.
Raise New Revenue.
itow shall we obtain the new reve-
nue. We are frequently reminded
that there are many millions of bonds
, which the treasury Is authorized I'M
der existing law to sell to reimburse
, the sums paid out of current revenues
for the construction of the Panama
Canal; and it is true that bonds To the
amount of see 900, 900 are now avail
able tor that purpose. Prior TO 1918
$134 ,b3i.@So of these bonds had ac-
t tually been sold to recoup the ex-
/ penditures At the Isthmus; and now
constitute a considerable item OF the
public debt But ! for one do not
$ believe that the people of this country
approve o. postponing the payment OF
their bills Borrowing money is short
: sighted finance. 1t can be justified
, only when permanent things are 10
I be accomplished which many genera
tons will certainly benefit by and
/ which II seems hardly fair that a
single generation should pay for. The
objects We are now proposing to spend
$ money for cannot be so classified. ex-
cept In the sense that everything wise
ly done may be said To he done in
the interest of posterity as we'll as In
our own. It seems to me q clear die
: tate of prudent craftsmanship and
frank finance that In what We are nov.
hope, about to undertake we should
pay AS We go, The people Of the
country are entitled to know just what
burdens of taxation they are To carry,
and TO know from the outset now.
The new bills should he paid BY in
ternal taxation.
To what sources. then shalt we
turn? This Is SO peculiarly a question
which the gentlemen OF the House OF
Representatives are expected under
the constitution TO propose an answer
ta that. YOU viii hardly expect me
TO do more than DISCUSS II In ver5
/ general terms We should he follow
ing an almost universal exa m ole q,
modern governments IL We were &c
draw the greater part or even the
whole of the revenues we need from
the income taxes. BY somewhat low.
ertng titc present limits of exemption
ana the ESure at which the surta>
shall begin to he imposed, and by in
I creasinS, step by step throughout the
present graduation, the surtax itself
the income taxes ms at present appor,
toned would Yield sums sufficient {,
balance the books of the treasury nj
the end Of the fiscal year 1917 with,
out anywhere making tho burden un.
reasonably or oppresstyeiy heavy
4 The precise reckonings are fully anc
accurately set out in the report Of the
Secretary OF the Treasury which viii
lie Immediately laid before you,
F. - Other Tax Subjects.
And there are MANY additional