Year: 1866

The Report of Hon. Freeman Clark, Comp
troller of the currency, takes strong ground in
favor of thorough revision of the tariff on
imports, so adjusting it as to decrease the
number of articles taxed and simplifying the
mode of collection, and also in favor of impos-
ing a tax on raw cotton and tobacco. We
copy below his remarks upon this point, from
the Sth page ofhis printed report: MA.


1t is believed that from few sources rev.
enue can be raised sufficient to meet the inter-
est on the public debt, pay the ordinary ex-
penses of government, and contribute thirty
millions of dollars annually to sinking fund
that will pay the national debt in thirty-two
years and halt.


The tariff can be SO adjusted as to produce
one hundred and twenty millions of dollars !;
one hundred millions can be raised on whis-
key, malt liquors, and domestic wines; fifteen
millions on tobacco; one hundred and twen-
ty-five millions on cotton; fifteen millions
from stamps; from licences twenty millions,
and from the premium ON the surplus of gold,
after paying interest on bonds, ten millions,
making in the aggregate, four hundred and
five millions of dollars, sum probably one
hundred millions in excess OF the amount that
will be required under an economical admins
tration of the government, leaving large mar
gin on the above estimate for reduction. The
estimates, however, of the revenue derivable
from the several sources indicated are not the
result Of loose conjecture, but each is foun-
ded upon careful inquiry in reference to past
product )ns and revenue under the exis ing law.


1t is estimated that the cotton crop the next
year will amount to between two and half
and three millions of bales; tax often cents
per pound on two and half millions viii pro-
duce one hundred and twenty millions of dol
lars. 1t is reasonable to suppose that the an
nual crop Of cotton, after two or three years,
will equal in amount the average of the crop
for few years previous to 1861, which was
about four and half millions of bales A tax
of eight cents per pound on that quantity
would produce one hundred and eighty mill
lions of dollars, sum more than sufficient to
pay the interest on the public debt after the
entire amount is funded. The license and
stamp duties could be dispensed with after the
next fiscal year, and it is to be hoped that af-
ter that period no more income will be derived
from premium on gold. -1f 81 vcasi


Three fourths of the crops of cotton and to-
bacco are exported; that proportion therefore
ofthe tax on those articles would be paid by
foreign countries, and to that extent contrib
ute to the liquidation of the public debt and
relief ofour own people. Z iii sill ot.
I. A tax on cotton of eight or ten cents per
pound would neither diminish the domestic
production or foreign demand for that staple
Our means OF production, natural and applied.
are such as to enable us to furnish the article
at a less price, including the tax proposed,
than any other country. Even at half the
price which this product now commands in
New York and Liverpool it can be grown and
sold at large profit, including the proposed
tax, in its cost. Nor would the imposition of a
tax ON the staple production of the Southern
| States prove injurious to that section of the
| Union. 1t will of necessity be large pur-
chaser of northern manufactures, and if by
the proposed measure the north and south be
relieved almost entirely from other taxation
| for government purposes, as they would be il
cotton is taxed to the extent proposed, theiI
purchases would be made at correspondence
less price, and both north and south derive Q
| benefit from the operation.


by thus restricting the subject of revenue tc
few articles Of genersl production the cost o.
collection would be greatly reduced by the dis
charge of whole army of assessors, collectors
&C., to the manifest advantage of the public
treasury; nor would the least of the benefits
to result from this action be found in the fac
that such an adjustment of the system of tax


alton would leave no ground for public com


plaint, and consequently preclude dishones
and disl0yaI po liticidns from uniting with th,
enemies of the Union in assailIng the publ


credit and repudiating the nationaI obligations