more than eleven hundred millions of internal revenue were collected without the loss of one dollar by the defalcation of an internal-revenue officer, and about fifty million dollars were disbursed for salaries and expenses in connection with this service without loss by defalcation. Such a record is extraordinary and exceptional in the history of any revenue service, and fully certifies to the integrity and efficiency of the corps of internal-revenue officers. This state of efficiency was not accidental, but was the result of most careful and painstaking training of the official force. Periodically every officer in the service was examined as to his knowledge and efficiency, and fully instructed by competent agents. The accounts of the collectors were subjected to quarterly examinations, and their correctness verified by a c oun of the money and stamps on hand, and a high standard of excellence was insisted upon in connection with all clerical work. As a consequence the business of the government was conducted in the most methodical manner, and in a style equal if not superior to that of the best private business houses. The Democratic cry of "Turn the rascals out" did not apply to the internal-revenue service. The official force was honest, capable, and faithful; and while the collectors and most of their subordinates have been removed, it was because they were Republicans, and not because they were wanting in any of the requirements which go to make up an efficient and trustworthy public service. As soon as the war was over Congress took up the question of reducing internal taxes, and a number of acts were passed from time to time repealing and reducing taxes, those which were most objectionable and burdensome being taken off first. These repealing and reducing acts bear date July 13, 1866; March 2, 1867; February 3, 1868; March 31, 1868; July 20, 1868; July 14, 1870; and June 6, 1872. By these acts reductions were made (taking as a basis the highest amount collected from each source) as follows: Articles of luxury kept for use-i.e., pianos, yachts, etc... 2,116,674 Reduction on borrowed capital of banks and certain deposits..... Act March 1, 1879, reduction on tobacco.... 31,149 366,722 5,646,941 10,040,476 873, III $264,263,980 9,905,736 1,789,827 $25,409,551 Repeal of stamp-tax on checks, patent medicines, and matches.. 8,139,218 Repeal of tax on capital and deposits, State banks, and bankers...... 5,249,173 Repeal of tax on capital and deposits of National banks 5,959,702 Total reduction.. 44,757,644 $320,717,187 Eight of the foregoing acts reducing taxation, and which took off taxes to the amount of $309,060,624, were passed by Republican majorities in the House of Representatives. Since March 4, 1875, to the present time the Democratic party has had control of the House of Representatives except for two years; during the twelve years of Democratic majorities but two acts have been passed reducing internal taxation, those of March 1, 1879, and May 28, 1880, effecting a reduction of $11,696,563. These acts were supported by Republicans in Congress and met the approval of the Republican administration. In fact this whole reduction has been secured to the people by the action of the Republican party. It is conceded on every hand that the Treasury receipts are greatly in excess of the needs of the government. The present administration during the past three years has been at its wits' end to know what disposition to make of the steadily growing surplus. Several millions have been deposited with National Banks for no better reasons than that it was not needed by the government, and this disposition of it would be a relief to business interests, while other millions have been used for the purchase of bonds at a large premium. The demand of the hour is that there shall be a reduction of taxation. Seven months ago the President in his message to Congress pointed out the danger of the accumulation of great and needless sums in the Treasury, and urged immediate action. upon Congress to pass laws reducing taxation. He, however, confined his recommendation to a reduction of the receipts. from the tariff by lowering the rates of duties. It was well known that legislation of this character upon the lines recommended by the President would be resisted by the Republican party, and it might have been confidently predicted that such a measure, if not actually defeated, would not become a law for a number of months; besides, it is practicably impossible to determine in advance whether a reduction of the rates of duties on a number of leading articles will result in a reduction of revenue, as lowering the rates may stimulate importation and actually increase receipts. A number of bills were introduced early in the session for the repeal of the tobacco tax and the tax upon distilled spirits. It has been impossible, however, to bring the House of Representatives to a vote upon any of the separate measures for reducing internalrevenue taxation. For the fiscal year ending June 30, 1887, the receipts from tobacco, snuff, cigars, and special taxes on manufacturers, dealers, etc., were $30,108,067. If these taxes were abolished, there would be no mistake as to the reduction of the Treasury receipts to that extent, and there seems no just ground upon which this tax can longer be maintained. The manufacturers of cigars prefer that a nominal tax shall be levied upon their productions. as a means of protecting their brands. This might be done with propriety, but the special taxes upon the 509,361 manufacturers and dealers in tobacco should be abolished at once. This would relieve a mighty army of people from the payment of these taxes, and from the pains and penalties liable to be inflicted upon them for trivial violations of law without fraudulent intent. The position of the Republicans on this question is in harmony with the policy of the government from its foundation. Internal-revenue taxation has never been resorted to except to relieve the burdens of war, and has always been repealed as soon as such demands were satisfied. It is the only "war tax" remaining on our statute books to-day, and as such should be dispensed with. There is no question but what a proposition pure and simple to repeal these taxes if presented to Congress would pass both Houses by overwhelming majorities. The fault for a failure to dismiss them lies with the Democratic managers of the House of Representatives. A bill to take the tax off distilled spirits used in the arts and manufactures would also undoubtedly meet the approval of both Houses, and would reduce receipts at least eight millions. These two items would amount to over $38,000,000 of a reduction, and would be a substantial beginning of the work of reducing the receipts of the government to its needs for an economical administration of public affairs. It must be remembered that under the Constitution the power to originate revenue measures is conferred upon the House of Representatives. The Senate may not properly take up subjects of taxation until a bill involving such a question has passed the House, and has been sent to the Senate for its action. Therefore, the responsibility for a failure to reduce taxes during the administration of President Cleveland rests upon the Democratic party. As has been shown, while the Republican party held the Presidential office and influenced legislation, internal taxes were reduced more than 320 millions. of dollars, while during the past three years of Democratic control of the Executive office and of the House of Representatives that party has not reduced internal taxes one cent. The enactment and enforcement of the internal-revenue laws by the Republican party, were for many years the objec tive point of attack of Democrats in many States, and so violent was the opposition of leading public men to these laws, that whole communities were encouraged to engage in the business of defrauding the government and in resisting its officers. This hostility and opposition became so formidable in some of the Southern States that it required the organization of large parties of armed men to overcome resistance and suppress fraud. The action of the Democratic leaders since the inauguration of President Cleveland, in regard to this service and its laws, is strongly at variance with their course during Republican control. Now the internal-revenue service supplies them with many heretofore coveted offices, and being in possession of them, the taxes which were denounced as odious are not now regarded with such horror. A great change has come over the spirit of their dreams. They no longer hold up to public contempt the hated internal-revenue officer. This person is now a Democrat, and of course must be regarded as a gentleman; and if these taxes are repealed, the occupation of this efficient Democratic worker will be gone. Hence the present splendid exhibition of "how not to do it" in the way of repealing internal taxation. Since the foregoing lines were written the National Convention of the Republican party has performed its work: General Benjamin Harrison of Indiana and Hon. Levi P. Morton have been chosen as candidates for President and Vice-President; these able and distinguished citizens worthily represent the lofty aspirations, the grand principles, and glorious achivements of the party whose candidates they are. The platform adopted by the Convention presents in plain and unmistakable terms the issues involved in the present political contest. The Republican party demands the preservation and continuance of the protective system of tariff legislation as a means of developing the resources of our own country, and of maintaining such a scale of wages to our whole people as will secure to Americans better houses and home comforts, better advantages and prospects for their children, and abundantly greater reasons for contentment and happiness, than is possible for the people of the old world. The party demands that the ex |