Rensselaer Republican, Volume 16, Number 9, Rensselaer, Jasper County, 8 November 1883 — INTERNAL REVENUE. [ARTICLE]

INTERNAL REVENUE.

The Recommendations of Commis* I sioner Evans. He Desires a Modification of the Laws Relating to Vinegar Distilleries. The Commissioner of Internal Revenue concludes his long report by stating that, although justified by precedent, he could find no provision of law which authorized him to make recommendations. However, he finds law enough to make some import ant recommendations. One is that the statute fixing the limitation for the prosecution of offenses against the revenue laws bo reduced from five to - two years." This recommendation seems to rest upon the opinion that some court expenses would be saved if it should be adopted. Cases older than two years, he claims, are almost; invariably lost by thp Government. The Commissioner says’ he has been urged to make a proclamation of general amnesty to a class of persons whom he calls “small distillers in inaccessible mountain T rcffions,” generally known, however, outside ; of official communication, as “Moonshiners.” Another suggestion of the Commissioner is that the Internal Revenue lawsdo not extend over the Indian Territory. .This; argument is based on the treaties. To the suggestion that extensive frauds might be committed in that Territory, if some means should not be provided- for enlorcing- XUeltevenue laws in it. Commissioner Evans suggests that such an argument is “only to be addressed to Congress rather than to the Judicial or Executive branch of the Government.” The Commissioner’s estimate of the amount of the result of taxation caused by the change in the law will bo ,$43,000,000, but he anticipates augmented receipts from distilled spirits, so that the agregate receipts for the year, unless there should be a further change in the Revenue laws, will be $220,000,000. He recommends that the law which authorizes vinegar distilleries be modified. He says this privilege is one which presents to unscrupulous personsa constant temptation together with sufficient opportunity to engage in the illicit production of spirits, while its abuse is exceedingly difficult to prevent or detect, owing to the want. of proper safeguards. As the law stands the anomaly is presented of one class of manufacturers, using alcohol in their business, who are allowed to make their own alcohol without supervision or control, while the distillers, who produce alcohol for Use in all other trades and kinds of manufacture, are watched with constant care and subjected to rigid restriction. “In my opinion,” says he, “safeguards to,the revenue which experience has demonstrated to be indispensable in the one case cannot be omitted with safety la the other. I would urgently recommend that this privilege be withdrawn. If the law should be so changed as to allow a drawback to vinegar-makers for the tax paid on the alcohol used by them in making vinegar, the opportunities for fraud would be reduced to the minimum.” By the consolidation of collection districts an annual saving to the Government of $125,000 is secured. During the first three months of the current fiscal year revenues decreased $7,929,401. Uhe number of stamps issued to Collectors and Agents was 1,032,744,500, representing a value of ,$462,857,114. The increased production of manufactured tobacco and snuff Increased production of cigars, 186,000,000, and of cigarets 98,000,000. The reduction in revenue for tobacco caused by the act of 1883 is at least $25,060,000. The amount of rebate claimed on tobacco was $3,725,913; amosnt allowed, $3,524,167. The number of distilleries operated the last year was 5,129, consuming 18,644,787 bushels of grain. The decrease of spirits produced was about 32,000,000 gallons. The amount pl spirits removed in bond for export was 5,326,427 gallons; transferred to manufacturing warehouses, 283,938 gallons; withdrawn from warehouses, 83,291490; allowed for leakage and evaporation, 2,291,013; remaining iff warehouses June 30, 1883, 80,449,993. Seventenths of this is bourbon. There were iff warehouses Oct. 1, 1883, 73,405,361 gallons, withdrawn for export the first three months of the present fiscal year, 752,380 gallons. The distilled spirits in the United States, except what may be in customs bonded warehouses, the Ist of October, 1883, was nearly 116,000,000 gallons'.