y0 ^^4jun4.^ TREASUru ROOM COL. GEORGE WASHINGTON FLOWERS MEMORIAL COLLECTION DUKE UNIVERSITY LIBRARY DURHAM, N. C. PRESENTED BY W. W. FLOWERS Cr. //ZS Digitized by the Internet Archive in 2010 with funding from DuWe University Libraries http://www.archive.org/details/documentsaccompaOOconf l\^& IDOOXJIvlEKrTS ACCOMPANVING REPORT OF SECRETAR! OF THE WIMi. RErORT OF* COMMISSIONER OF TAXES. 'v*- Office of Commissioner of Taxes, Richmond, Xovember, — 1863. Hoy. C. G. Memmi.vser, Secretary of the Treasury : Sir: ave the honor to submit the following views and sug- gestions * 'U to the tax laws. The existing act. apjiroved '24t,h April, Iti... . ulieved to be correct in its j^enoral loaturca, and calcutated to produce desirable results in respect to a reduction of tho volume of currency, and in the supply of revenue, to meet, to somo extent, the current expenses of the Government. The principle of taxation embodied by the act, is beiiovcd to \)q wise, just, and, in the main, equal, and the rates are so moderate for the times, that the great body of the taxpayers not only submit to the burthen cheerfully, but manifest a willingness to have them increased. It is true that some inconsiderable opposition has been manifested in a very few localities, but this has occurred only among a CM't-iin cla>9, who at heart are disloyal to the Government, among wh'>m skulkers, and deserters from the army have sought a refuge, and aided and abetted this opposition. In no loyal community, that I am aware of, has there been any resistance, by word or act, to the peaceful inforce- ment of the law. The people have yieldeil a ready acquiescence every where, with the exceptions mentioned, notwithsianding ih • evil pre- diction of ?roakors, and demagogues, that the people would resist the collection of the ti^xes with force and arms and create an interu;;l rcvolu- ^ther than submit to thera. The present law was a bold ^naugura- 'E^tcin, which, if carried out and perfected, will prove the salva- jountry and remain a monument of the wisdom and itUriotisra [ress who passed it. The country already begins to feel (»» will o.lowlv and irradaally continue to de- 2 Vv?L>p themselves, until th it relief, so anxiously desireji and expected, ■Will be fult throughout the "whole Confederacy. The operations under tbrt act are so limited at present, owing to many causes, that it would b-^ vain to attempt anything like a reliable statement of the amount of the annual money tax, but judging from the collections already made of taxes from business and occupatio^ns, it may be safely affirmed thitt the money tax alone this year, will amount to at least one hundred mdlions of dollars. If ihe law could be carried out and full returns and coHections made in the territory of the Confederate States under OUT coiitrol at the beginning of the year, it is believed the amount woali? reach one hundred and fifcy m.llions, but even this sum, with- om. the CO- operation of a succesful system of funding, will not pro- duce such rv;duction in the volume of currency afloat, as will reduce ths price of the necessaries of life to that standard so essential to the g:vf>.-itj of the Government and the happiness of the people. In laying taxes, therefore, tv\'o prominent objects should be^pught; first to raise ft certain amont of revenue, and secondly, to so adjust the taxes as to- la .ike it the interest of cap'italists to invest their surplus moneys in Confederate bonds or stocks, and to thj,t .end, it is believed that the pxe^jeut rates of taxation, in certain cases shoiald be greatly increased. i>u'.:h a rate should be imposed on Confederate notes and incomeis as -would make it more profitable for capitalists to invest their money in OocfoiJeiate securities, than to employ it in speculation or business. With thip view, a tax of at least twenty-five per cent, should be im- posed on all Confederate notes on hand or en deposit on the Ist day ot tTuly. Those who may have cash on hand or on deposit can v<^el[ alford to pay cue fourth of it as a tax to the Government, when the rem:ilning three-fourths would be worth as much as the whole, with- out the consequent reduction in the volume of currency,, and v/ho * would not be willing to pay half the money he possessed to see the remaining half made as valuable as the whole. Such I believe is the spirit and desjre of the people. Confederate bonds and stocks might b« oxempted from taxation, or the present rate might be retained as it 13, In either event, the incentive to funding would be very powerful. Imtned lately preceeding the time ef assessment, millions would flow into the treasury in exchange for bonds. An increase of the tax on- incomes will have a like effect from the moment the increased taxation w known to the public. If necessary, a tax of twenty-five per cent, should be laid on incomes over $5,U()0, and fifty per cent, on all over ^10>O0U, and fifty per cent, on the profits of all joint stock companies and corporations, over and above a dividend of tv/enty-five per cent, paid to their stockholders. This may be considered extravagant, and capitalists may think it oppressive, but it is neither. Every man: should be satisfied with a support for himself and family, and ail he makes above that should be divided with his country. No man should decire to amass a fortune, or to increase his fortune, if he already has OKo, frora the hard necessities of a bleeding country. While. tfaa»e' fourths, perhap.s, of the men of the Confederacy, have dedicat©4>t|l'^iC' liYQH cvv fortunes, and in many instances, both, to their .#|Hiib'^^ c*usr>, the remaining, fraction have no moral right to ama^ssT -^;&8 ■?.t their expense. An adequate tax on incomes -will prevent them, and at the same time, force them to do their full part in sustaining the Government in its struggle for political as well as financi'il inde- pendence. I would not recommend an increase on business occupa- tions and sales, for such increase would ultimately fall on the consumers, those lest able to bear it; a heavier tax on sales will only increase the price of the articles sold, and the purchasers will have it to pay. But a tax on incomes is different, and the person taxed must pay it, there is no chance there to shift the burthen. Under their practical operation, certain defects in the tax and as- sessment acts have been developed ; but this was to be expe«ted. Jt would be unreasonable to look for a perfect system of taxation in a new law. Such a system has never yet been devised by the wisdom of man ; one perfect in all its parts, and bearing equally on all persons in the community, in the burthens which it imposes, is beyond the power of legislation. Though the acts may be imperfect anJ contain obscurities and inconsistencies which are apparently irreconcilable, it is the part of wisdom to cure the defects and remove tie obscurities and inconsistencies as far as practicable, without affecting the system itself A system of assessment and collection having been established and carried into practical operation, in conformity with the present law, it would be wi^-e to adopt only such changes and amendments as. may seem to be absohitely necessary under the circumstances. I re- spectfully propose, therefore, tD review the tax act, beginni)ig witti the first section, and to suggest such changes and amendments as seem, to me to bo necessary, and, after disposing of it, to pursue the same, course with reference to the machinery or assessment act. By section one, tax act, a tax of eight per cent, is imposed on cor- t^ain artirles therein mentioned. And on allvmoneys, bank notes or other currency on hand or on deposit on the 1st day of July, and on the value of all credits on which the interest has not been paid, and not employed in a business, the income deriveil from which is taxed under the act, a tax of one per cent, is laid. By section eighteen, of the same act, it is declared to be in force for two years after the expi- ration of the present year, and it is provided that the tax on nav.il stores, tl )ur, wool, cotton, tobacco and other agricultural products of the growth or production of any year preceding the year 1863, im- posed in the first section of the act, shall be levied and colicctod.onlj. for the present year. This certainly leaves the tax on salt, wines,, spirituous liquors, moneys and credits still in force. But does it not also intend to leave the tax in force upon naval stares and agricultu- ral products other than those taxed in kind ? The time for aseessinft. their value is loft obscure, and the obscurity in this respect as well aa- witli reference to naval stores an trade come under the denomination of retail dealers so as to sub- ject them to the tax. They do not follow it as a business, yet thej adrefSQ' nea,r the line of demarcation that it is impossible to tell on which side they belong. To remove this difficulty, and also to render the operation of the tax more equal, it is proposed that dealers, and all whose gross sales are taxed, shall be required to register Avith(5ut paying any specific tax, unless their sales amount to one hundred dol- lars or more, but they shall pay the two and a half per cent, on sales, and when their sales amount to one hundred dollars they shall be required to pay a specific tax. The specific tax on all retail dealers is $50. There is a class of very small dealers, and among them sol- diers' widows and wives and disabled soldiers, upon whom this tax bears very heavily. As the law is they pay the same specific tax that the largest retail merchant pays. I would propose a scale of specific taxes, thus: Let those whose quarterly sales amount to one hundred dollirs or less, pay ten dollars, and those whose quarterly sales amount to more than one hundreJ dollars, and not exceedim? five hundred doHars, pay twenty-five dollars, and where the quarterly sales are more than five hundred dollars, let the specific tax be fifty dollars, a<^ it now stands. In defining who shall be regarded as whole- sale dealers under parngraph 6, section 5, the language is such as to render it extremely difficult to draw the line of distinction between them and retail dealers ; and in deciding cases accordino- to the letter of the law, the tax bears heavily on certain classes. For in- stance, a wholesale dealer is defined to be, every person whose busi- ness or occupation it is to sell or offer to sell any groceries, goods, wares, or merchandise, of foreign or domestic production, by one or more original package or piece. Under this definition, according to the strict letter, a tanner selling one side of leather is a wholesale dealer, or a miller selling one barrel of flour, even to a consumer, is also a wholesale dealer. So a manufacturer of shoes, under contract for the Government, at reduced prices, is a wholesale dealer, because he has but one customer to whom he sells all the goods manufactured which fact precludes the idea of taxing him as a retailer, for he belongs to the same class of dealers who manufacture cloths, arras, ordnance, &c., on a very large scale for the same purchaser. The small and large contractors are on the same footing and pay ihe same specific tax. A decision which would make the shoe manufacturer a retail dealer, would }.lace the largest cotton or woolen mill, working for the Government and selling exclusively to it, on the same footino-. I would recommend such amendment as will more distinctly define a wholesale dealer, by adding words which will exclude small contrac- tors working for and selling to the Government exclusively, and such dealers as sell exclusively to consumers, and not to speculators, en- grossers, or to other dealers to be sold again. Persons usually denominated negro traders, by a Strange omission, are not taxed under section five, except as commercial brokers, when they sell as the agent of others. Where they buy and sell and deal in negroes on their own account, there is no provision embracing them. They should be taxed as wholesale dealers, and may be included under paragraph six, section five, by adding "slaves" before the word "groceries," so that it may read, "whose business or occu- pation it is to sell slaves, or any groceries, goods, wares," &c. Distillers. Under paragraph eight, section five, geteral distillers are required 10 pay a specific tax of two hundred dollars and twenty per cent, on their sales. But if they distil the grain or material of other persons, the liquors, when made, pass out of their hands into the hands of the owner without being sold, and therefore escape the tax of twenty per cent. The distiller cannot be held resposible for the tax in such case, P62885 because he has not sold the*liquors. The owner cannot be charged with the twenty per cent, when he sells, because that rate is only im- posed on the distillers sales. This part of the act should bo amended so as to recjuire the general distiller to pay twenty per cent, on the value of all liquors distilled for and delivered to others, as well as the twenty per cent, on his own sales. This is necessary to secure the distiller's tax as well as to equalize the burthens of taxation. For as the law exists, those Avho procure the distillation of their grain, fruit, or other material, by the general distiller, escape the distiller's tax. Whereas, those who have fruit distilled by the ninety d-.rys fruit dis- tiller are taxed through him fifty cents or two dollars per gallon on their liquors, because he is required to pay such tax on all the liquors distilled by him. Provision should be made to meet cases of evasion of the law by distillers. I am informed of instances having occurred in which stilLs have been put into the possession of insolvent and unscrupulous per- sons, so that the distillation might be made in their names. They register as distillers of fruit for ninety days, and distill during the time alloAved them, but when called on by the collector for the tax, they profess to have no money and decline to pay, and when the collector distrains the still, and oifeis to sell it to pay the tax, a claim is inter- posed by the owner under an affidavit that it is his property. No pro- vision has been made in either act for the disposal of claims thus inter- posed for property distrained, and collectors have been in the habit of giving up the property without an investigation. In the case of distilleries it ought to be provided that the tax on distillers shall be a lien on the still or stills and ether fixtures and appurtenances for carrying on the business, and shall have priority over all other liens or claims. Some tribunal ought to be provided for the trial of claims for property distrained for the payment of taxes. Collectors ought not to surrender property upon the mere affidavit of the claimant without an investigation of the title. Section six, tax act, requires dealers, and others registered under the provisions of section five, to return to the assessor of their district, at the end of every three months, from and after the 1st of July, 18G3, or within ten days thereafter, a list of the gross amount of their sales made during the preceding quarter, and at the same time to pay to the collector the amount of tax due thereon, and in default, they are to be double taxed. This requirement, in a majority of the districts, it is utterly impossible to comply with. The collector and the assessor are necessarily seperated. While the former is at his office, the latter is travelling through the district, making assessments. This section should be so amended as to require the lists to be made within twenty days, instead of ten, from the end of the preceding quarter, and the -tax to be paid within such period as the collector may designate by publication, which time shall not be less than ten, nor more than thirty days, from the date of the notice or publication. Sections nine and eleven require the selection of referees from the vicinage, in certain cases, and as the act makes no provision for com- pensating them foi* their services, and as the operations of assessors have been embarrassed and retarded by reasons of tlie refa^al of neighbors to act as referees, I woubl recommend that tliey be -allow-d each i5 per day, when so employed, shouUl they demand compeaMri- tioa. Collectors and assessors should be authorized to issue corrpul- fiory process, when it may be necessary, to compel the attemJanof: if ■witnesses whose evidence may be reciuired in behalfof tho Governrafent. Tax IN The presumption is that Congress, in allowing a reservatioi ». f a certain quantity of certain articles from the tax in kind, intendvd thereby to benefit the poor and the- needy, but the liw, as it fitar. 'p, secures the samo reservations to the wealthiest farmer or planter in the community. The act should be amended so as to exempt every farmer or planter from the tax in kind on these articles, who does not produce more than the reservations allowed in each case, that i», if a farmer only produces one hundred bushels of corn, it shall be exetnjt from the tithe, and so On through the articles intended to bo exempted. To the wealthy and prosperous, these reservations arc of little conse- quence, but to the poor, they are of much importance. What f]..<.8 the man who makes five or ten thousand bushilfl of corn care about the tithe of ten bushels saved l)y the privilege of reserving one hun- dred bushels from the tax? Yet when the aggregate thus reserved .8 considered, its importance to the Government will at once be per- ceived. The ten bushels of corn is a mere triilo to a prosperous farmer, but ten bushels from ever prosperous firmer would yield the Government a very large amount of corn of which it is now deprived ; and so it is with other products. The tax in kind being a new experiment in this country ."it has net, 80 far as we are concerned, the test of experience to recommend ;t. Some dissatisfaction with this branch of the law has been exhibited ia certain localities, while the farmers are perfectly willing to piy the valuation in money, and some doubts of its benofi'jial operation are entertained. This species of tax is much more difhcult to be hand'fd. and carried to points where it may be needed, and its collection and distribution ia more expensive, and it is.more liable to v/aste and de- struction, than a money tax. But these reasons do not necpss.irily require its repeal until it has had a fair test. Its effect will bo to re*- lieve the Governmeat frcm many heavy purchases, which it would otherwise be necessary to make, and thus reduce the amount of T.-ea- eury notes to be issued. It was, doubtless, intended as a substitute for a direct tax on land and slaves, and to avoid the consiitutional objec- tion to such a tax until a census is taken. If it !-ho'ild be thoight best to dispense with it., after this year, a raonej- tax can bo collected in lieu of it, without being obnoxious to the con!?titutional objection. If the tax in kind should be repealed, a tax of ton, fifteen or twenty per cent, could be imposed on the actual or estimated annual reijtal of all lands, and on the actual or estimated annual hire (f all slaves, 88 a similar tax is now imposed on the rent of houses and lots ia cities, towns and villages, and the hire of sorv mts not eoa- 8 pljyei on the firm, or some other business, the income from which is taxed by the existing tax act. In this way an amount of money may be brought into the Treasury more than equal to the money value of tie produce tax. ThaT;*ibhe agricultural products collected will be liable to waste and destruction, cannot admit of a doubt. That some of taeni will be wasted, may be reasonably expected, and their waste, With the greatest possible care, will be much greater than that of a money tax. The object and eifect of this act will be to relieve the Government, pro tanto, from making purchases of supplies for the army, but the extent of this relief will be the value of the supplies ac- tvally used by the army. The place of that which will be wasted or daatroyed must necessarily be supplied by purchase ; and that wasted and destroyed will be a loss to the country, without a corresponding benefit to any one. The expense, too, of collecting a produce tax will be greater than that of collecting a tax in money. The former requires more agents to receive and distribute it than the latter, and, to that extent, is more expensive. In addition to this, the cost of storing and keeping, and of transportation, is far heavier on produce than on money. If all this be true, then it would seem to follow that, ia view of the leading object, which is to reduce the volume of cur- reacj, a money tax on the rental of land and the hire of slaves, ac- tual or estimated, should be adopted in lieu of the tax in kind. Should it, however, be deemed best to retain the tax in kind for further experiment, then I would earnestly recommend that the two be wholly disconnected, and placed under separate jurisdictions. The two taxes are now collected by different sets of agents. One set for the collection and distribution of the produce tax, is under the con- trol v/f the W ar Department, and the other for the collection and transmissi^)n of the money, is under the control of the Treasury De- partment. One cause of complaint against the present tax system ia ita complexity. Let the two species of taxes be separated and placed ia the hands of agents entirely disconnected, and much of the com- plaxity and embarrassment complained of will be removed. This may b'i done without an increase of expense. It would require another set of Assessors for the tax in kind, but their appointment would not be attended with any additional expense to the Government. Even now in mijority of the tax districts, so great is the labor of assessing both taxes that additional assessors are appointed. Let two sets be ap- poiated, one for the produce, and one for the money tax, then the ex- pense of assessing the latter would be diminished to the same extent, that the expense of the other would be increased. The time now re- quired for one assessor to a-ssess both taxes would be divided between the two, if two should be appointed, so as to have one for each tax. Let the two taxes be entirely disconnected, place the produce tax under the con- trol of the Secretary of War and his officers and agents, and let the as- sessments and returns thereof be made by assessors of his appointment through the controlling quartermaster of each State, to the bureau now appointed to superintend them, and the complexity of the system now 80 embarrassing to collectors and assessors will be removed. Not that the system itself will be rendered less complex, by the disconneo- tion, but its execution will be more easy and simple without the incon- venienct! resulting from two sets of officers acting under separate ju- risdictions, and without additional expense. It has been decided by the department that the syrup made from sorghum is not subject to the tax in kind. That the qualifying words, as used in the act, " made of cane," restrict the tax to molasses or syrup made of the genuine West India sugar cane. From information derived from the various sections of the Confederate St.iteg, I am satisfied that the production of sorghum syrup will be great this year, and the indications are that it will be increased in quantity the coming year. It is esteemed as valuable for food as the New Orleans molasses, and now that the supply so far exceeds public expectation, and there no longer seems to be any good reason for exempting this species of syrup, in order to encourage its produc- tion, I would recommend that it be subjected to the tax in kind. Numerous complaints have been made on the part of farmers, that no deduction is allowed them in the act for the corn used in fittening their pork. They contend that they should not be subject to the tithe on this corn, inasmuch as they pay it by a tithe on the pork, and if they are required to pay a tithe on the corn upon which the pork is fattened, as well as a tithe of the pork, that they virtually pay a 'double tax on the corn. Under section twelve, tax act, every farmer, planter or grazier is required, at a certain time, to exhibit to the tax assessor an account of all the hogs slaughtered by him, and to the pay the tithe in bacon at the rate of 60 lbs. of bacon to every one hundred weight of pork slaughtered. This tax may be evaded by the little management which many unscrupulous persons may be tempted to do, in this way : The farmer (ian sell his hogs on foot to a purchaser who is neither a farmer, planter nor grazier, and thus the seller as well as the purchaser will escape the tithe in bacon. The tax under the section will operate harshly and oppressively on the poor in many cases. If the person be a planter, fimner or grazier, no matter upon how small a scale, and should slaughter only one hog, the tithe, as the law now stands, must be collected. The act should be amended, and all who do not slaugh- ter" more than 250 lbs. of net pork, should be exempted from the bacon tithe. In this connection I would also recommend that no tithe be collected from fodder where the person does not produce more than 100 bushels of corn. It would be sound policy to exempt wool, where the amount does not exceed five pounds, and the cotton raised exclu- sively for domestic use ; where the amount, when ginned, does not ex- ceed fifty or one hundred pounds. And in assessing money, all who do not hold or have on deposit, 1st of July, more than $oO, should be ex- empted. The loss tojthe government by such descriraination in favor of the poor and humble in circumstances, would be insignificant, and more than compensated by allowing no reservation whatever to the more wealthy. Besides, this class of people have a hard struggle to live at best, and the assessment of their little money and produce is found to be irritating, and produces discontent and murmurings against the government. Numerous appeals have been addressed to the tax 10 bureau, in behalf of this class, principally by the local tax officers. They think it very hard that their little sums of money, and their scanty crops, often produced by the labor of women and children, "whose husbands, brothers and fathers are in the army, should l-e taxed, v/heu perhaps the same persons will have to be supported as public expense, before another crop is made. I do not think it good policy to tax such, and would earnestly recommend such amendment of the law as will give them them relief. Under section twelve, an estimate is required to be made on the 1st day of November, of neat cattle, horses, mules, &c., and at the same time, the gross proceeds of the sale of beeves are to be estimated, and after making certain deductions, if necessary, to be taxed as income. and both 'axes are to be due 1st day of January. These repeated assessments and estimates, at different times, are troublesome and expensive, and without profit to the government, I would suggest that this section be amended so as to require such assessments and esti- mates to be made on the 1st day of January, or as soon thereafter as practicable, at the same time that salaries and incomes are to be ascer- tained and assessed. The periods for making returns to assessors should be as few as possible, for the fewer they are, the less irritating and annoying will be the visits of assessors, and the less will be the expense of assessing. In making the estimates of income in Jan- uary, the nssessor could, at the same time, assess cattle, horses, kc, and ascertain the income derived from beeves sold during the whole preceding year. The proceeds of beeves sold, after the items are deducted, are to be taxed as income, and, therefore, it is impracticable to ascertain the rate of tax on this one item by itself, because the rate depends upon the whole amount of the tax-payer's income when ascer- tained, and the rate, therefore, cannot be ascertained until the income from all other sources be estimated in January, and th.; item for beeves sold be added to it. So the making an estimate of this item of income on the 1st day of November, is utterly useless, because the tax cannot bo collected until all other items of income are ascertained, and it is added to them. It is. therefore, obvious that they all should be estimated and assessed at the same time, and then there v.ouldbe only two periods of assessment for the money tax, except in regard to busi- ness sales, and they would be the 1st of July and the Ist of January. The estimates of incomes and pi'ofits other than those payable ia kind, and the statement or bills for the avaount of the specific tax on occupations, employments, business, and professions, and of taxes on gross sales are required by section fourteen to be delivered by the assessor to the collector of the district, who is required to receipt for the Si me, and the assessor is required to file the collectors receipt; with the chief collector of the State, and the collector of the district, holding such estimates, statements, and bills, is required to collect the. same from the tax-payer. The collector is also required to pay the money thus collected to the chief tax colleator of the State, accom- panied h J the estimates, statements, or bills, I see no good reason why these bills or estimates should be sent to chief collector, any more than the other lists of return of property, moneys, «fec. It is aa unnecessary expense, and destroys the uniformity of the general system. These bills, &c., should be copied into general lists or tax books, alphabetically arrar.ged, and one of these should be sent to the chief collector, instead of the bills or statements themselves. I pro- pose this change, unless the system hereinafter proposed of dispensing Avith these single lists or statements, should be adopted. Assessment Act. Section one establishes the tax bureau, and provides for the appoint- ment of a Commissioner of Taxes, but fails to authorize the appoint- ment of a chief clerk. The necessity for such an officer is obvious. The Commissioner of Taxes, like every other head of a bureau, should have a chief clerk to aid him in superintending and directing the busi- ness of his office, and to act in his stead v.hen, from sickness or other cause, it may become necessary for him to be absent from his office. I would, therefore, respectfully ask that Congress authorize the Sec- retary of the Treasury to appoint a chief clerk for this bureau, -with the same salary that is allowed chief clerks of other bureaus. Section tAvo provides that the State collectors shall receive as com- pensation for their services, one-tenth of one percent, on the amount collected, but then no salary shall be less than $2,(100, nor moie than $3,000. As the public interest makes it necessary for State collectors to reside and keep their offices in large tov?ns and cities, where the cost of living is very great, 1 would recommend that the maximum be increased to $4,000. And I would further recommend that the compensation of district collectors be changed. Let them receive five per cent, on the first $20,000, two per cent, on the next f.30,000, one per cent, on the next $oO,U(.K), collected and paid over, and one-tenth of one percent, on all moneys collected and paid over above the sum of i$ 100,000. In some of the collection districts composed of large towns and cities, it has been exceedingly difficult to get competent collectors. Embarrass- ments J\nd delays have been the result, and consequent loss to the government occasioned by these delays. In somecas.s,, by persuasion and appeals to the patriotism of gentlemen, they have reluctantly accepted the appointments. But it will not do to depend on patriot- ism. In these cases, the pay must be in less disproportion to the labors and responsibilities of collecting and handling such largo sums of money, or I fear many of these officers will resign, and it Avill be im- possible to fill their places with competent men. Resignations are already frequent; many allege that the maximum compensation of $2,000 will .scarcely pay their deputies and travelling expenses. These resignations, and constant complaints and appeals to this office for incidental allowances, which I have no authority to grant, have been a source of great perplexity, I would, therefore, urge it as a measure of justice as well as economy, that the alteration suggested, or some other, adequate to the end desired, be made. The work of assessment, after great delays in getting suitable per- sons to accept, has been greatly retarded and embarrassed, and the 12 public interest has' suffered by the frequent and continued resignations of ^psessora, and the inability of the State collectors to fill their places with-'competent men not subject to military duty. These difficulties ■will be increased if their compensation is not raised also. Many have agreed to hold on to their offices Avith the hope that Congress will do so, but if it is not done, they will resign. In many districts it has been very difficult to obtain the consent of persons properly qualified for these offices to take them, on account of the inadequacy of the compensation for the times. Many who accepted them reluctantly, have found the duties to be much more onerous than they expected, and hence they have become restive and discontented, and it is feared will resign. To execute the tax act properly, requires active, intelli- gent men, of at least fair business qualifications. The number from which the selection is to be made, is very small. The young men of the country best qualified for these offices are in the army, and their services cannot be had. Men of age and experience are indisposed to encumber themselves with offices, the duties of which are so complex and heavy, without corresponding remuneration. An increase of pay is necessary to secure the best talent of the country for offices which require men of character and ability for a proper performance of the duties. The present pay is inadequate for the time, trouble, and re- sponsibility involved. Experience has amply proven the correctness of these remarks, and unless the compensation of tax officers is increased,! am well assured, in many districts, that the tax machinery will be stopped for want of competent men to fill the places. I respect- fully recommend, therefore, as a measure of public economy and neces- sity, that the proviso to section thirty-six of the assessment act, fixing the maximum of assessors' salaries at $1,000, be repealed, and that the Secretary of the Treasury be authorized to increase their per diem comp nsation in cities and large towns, where the high price of living, and other circumstances may require it, not to exceed $10 per day for every day employed in making lists and assessments. And in rural districts to allow them something for travelling expenses, while actually engaged in their duties, or probably it would be as well to fix their per diem at a higher rate than $5, say $8 per day, while travelling through their districts, and necessarily compelled to §tay from home. In sect'on thirteen, assessment act, a serious mistake exists, which will become evident by inspection. The words "district collectors," in the 4th line from top, were, no doubt, erroneously inserted instead of the word "assessors," as the reading of the whole section will show. The collecting of lists, that is, gathering them together, arranging and transfering their contents to general lists, it will be seen exclusively TDelongs to the assessors, and the latter part of the section proves it. For this work is to be done before the collector has or could have anything whatever to do with the lists. These general lists are to be prepared by the assessors for and delivered to the collectors. I recommend that the words "district collectors" be stricken out, and the word "assessors" be inserted in their stead. Under section twen- ty-four of the assessment act, it is declared that all property, credits, income, and profits, and every article or object subjected to taxation. shall be estimated, valued, and assessed at the value thereof at the time of assessment, in Confederate notes. As gold and silver coin had long since ceased to be used as currency and had become (illu- sively articles of merchandise, it has been decided that these articles or objects of taxation were liable to be taxed at their market value in Confederate notes on the 1st of July. A different construction would have operated very unequally and unjustly upon those holding Con- federate notes and in favor of those holding gold or silver coin. Gold and silver coin, as have been stated, have long since ceased to be used as currency, and have been bought and sold in market, and their price has been established by the laws of tradi> like that of any other commodity. Supposing that gold was worth in the Richmond market on the 1st of July, ten dollars in Confederate notes for one dollar in coin. One thousand dollars in gold coin then held by a tax-payer was worth ten thousand in Confederate notes, and according to the ruling, the tax in Confederate notes is one hundred dollars. If it were taxed, however, at par, the tax would only be ten dollars, precisely whfit would be required of another tax-payer on one thousand dol- lars of treasury notes. The result would be that the man who held the treasury notes would really pay ten times as much tax as the one holding the thousand dollars in coin. This construction, though gen- erally acquiesced in, has produced considerable complaint, and the banks of Richmond, under the opinion and advice of the Attorney General of the State of Virginia, have protested-, I understand, against the collecting of the tax on coin under this decision. The subject is of sufficient importance, I think, to demand a L'gislative construction of the law. It would also be well for Congress to define more clearly the intention of section forty-four. The department has decided that every person is presumed to be willing to receive Confederate notes in payment of a credit over due. held by him, until the contrary is proved to the assessor. But if the face of such credit calls for coin, it shall be assessed at the premium of coin ; or if it calls for bank notes, or other paper currency bearing a pre- mium over Confederate notes, it shnll be assessed at the premum of such bank notes or bther paper currency. That tlie holder cannot be questioned as to his willingness to re- ceive Confederate notes in payment of such credit, but if the assessor has evidence that he has so refused, then he shall value the credit, not necessarily as coin, but according to the valuation placed upon it by the holder. In any case, however, where the credit has been valued at a higher rate that Confederate notes, it is the privilege of the holder to claim a reduction of such valuation to the standard of Con- federate notes, by endorsing thereon his willingness to receive such notes in payment. The construction of this section, and the twenty-fourth, in connec- tion, has given rise to much controversy and perplexity. It would be well for the act to prescribe the standard of valuation in casea where pirties refuse Confederate notes, and to give the assessors pQjircr to interrogate them on the subject. I believe it would be wise policy to require every holder of a credit over due to endoise hia 14 Tviilinguess to receive Treasury notes in payment or submit to the specie valuation. This would array a powerful influence in behalf of the^pirreucy ; be making all the holders of credits so endorsed directly interested in upholding and sustaining that currency, which thev would be bound in writing to receive in payment of their credits. In the practical operation of the machinery of assessing taxes, one of the most perplexing of ail the difficulties encountered, is occasioned bv the Numerous forms of individual lists which it has been necessary to furnish in conformity with the requirements of both of the acts. Experience has shown that this machinery should be made as simple and free from complexity as possible. The duties. of asses- eors and collectors are necessarily performed, in a majority of cases, by men who are unaccustomed to the forms used, and it is verv difficult for them to understand the work. Besides, the prices of printing and paper have become so very high that the expense of fur- nishing these lists has been enormous, and from present indications will be increas:d in future. It, therefore, becomes an object to get rid of this source of expense by effecting such change in the system as, will enable us to dispense altogether with these individual lists, and at the same time to furnish a substitute that will be more simple and answer all practical purposes. One plan would be to abolir^h the individual lists, and furnish each assessor with a tax digest, with appropriate columns and headings, a separate book for each class of taxes, corresponding with the general lists, into which the individual lists are copied, under the present sys- tem. When his assessments of any particular class of taxes are com- pleted, and the time for their collection h:is arrived, he should be required to make a copy for the district collector, by wbich to make his collections, and a copy for the State collector, who should be re- quired to charge the district collector with the amount of the tax digest returned, and then to send the digest to the Commissioner of Taxes, and let the district collector beheld responsible for the amount of the digest returned to him, except such taxes as he may be able to show cannot be collected, as now required by law, and require him, as now, to return his duplicate receipts to the State coMectcr. Ac- cording to some such plan, the various lists now used, which are so perplexing, and which form an item of such heavy and unnecessary expense, would be dispensed with. This would greatly simplify the systeqa', and still preserve all the necessary checks. A simple sec- tion, embodying some such plan, and repealing so much of either act as might be in conflict therewith, would be all that is necessary. The same plan may be presented in another shape: abolish all the blank lists, as in the other case, and furnish each as essor v/ith a taji book, or digest of each class of taxable objects suited to the same book. Let these books each consist of an original and copy, and let R sufiicient number of loose leaves of the same books, to be called as- sors' sheets, be placed in the hands of the assessors. Eight or ten of these sheets would hold, perhaps, four or five hundred names, and could be easily carried about, and the name of the tax payer, when '15 ne made his return, could be signed opposite thereto, and the oath could be administered to him, and at the foot of the page the assessor could ccrrify that all the returns above wrilten were swcrn to. When a leaf is filled, it can be banded to the collector, to arrange the names alphabetically in his book. The assessors' sheets can al'terwards be bound up, and the collectors' books examined by them. The same plan can be pursued with the tax in kind. Each quar- termaster should have a book corresponding with the assessors' sheets, aud as soon as the assessor has finished with the leaves, he can trans- fer them to the quartermaster, to enter the names, alphabetically, in his hook, with the produce returned, or he might furnish, from time to time, a list of names, with a stateilient of the produce then served, kc, to the quartermaster. Then the assessor would make out an original book, and one or two copies of it, as may be necessary. One of these copies, certified by the State collector, can be turned over to the War Department, as a correct certified list o( the amounts of the tax in kind. By this book the War Department can call upon the quartermaster to account, and copies of all li.-^ts furnished to the quar- termaster, fr"!m time to time, may accompany this book, with the quartermaster's receipts. appended thereto, which lists and receipts shall be proof against him. When the quartermaster fails to collect the articles in kind, he can fill up such number of these sheets as may be necessary, with the names and returns or estimates, of the de- faulters, to the collector, properly certified, ond a copy of these de- fault lists can be sent through the chief collector to the War Depart- ment, to be credited to the post quartsrmaster's account. The whole country is flooded with counterfeit treasury notes, and many of them are so skillfully executed that it is very dilHcuh to de- lect' them. State C'.llcctors have been instructed to caution their col- lectors upoji this subject, and to preserve the means, as nearly as prac- ticable, of tracing back all rejected notes to the persons from whom they may have been received. Notwithstanding these precautions, many of the collectors will be unable to do so. I would, therefore, lespectfully recommend the passage of a law to indemnify or relieve such collectors, similar to the act of Congress approved May 1, 1863, for the relief of public officers who received counterfeit treasury notes, m certain cases, prior to the 1st of Jannary, 1803. A serious obstacle has been encountered in the effort to secure the tax on a large amount of tobacco stored in the public warehouses of Virginia, on the first of July. Thpse warehouses belong to the State, and are under the control of State officers called inspectors. When tobacco is stored there, by farmers or others, a ticket or tobacco liOte is issued to the person storing, and this ticket or note is negotia- ble, and passes from one holder to another when the tobacco is sold, v;hich is often done without removing it. A lot of tobacco, thus stored, may pass through a half dozen hands before it is delivered, and the person presenting a ticket is entitled to receive the tobacco. There is a statute of the State requiring its deliyery, under heavy penalties, within ten days after demand and presentation of the ticket, The tobacco in theso warehouses on the first of July, has been enu- 16 tnerated and assessed to the agent in charge, that is the inspector, under the provisions of section fifteen of the tax act. According to this act, the Government has a lien upon the tobacco itself from the date of assessment, hut the difficulty is to be found in the fact that the lien cannot be enforced, without coming in direct conflict with a law of the State. The inspector contends that he is bound to deliver the tobacco in obedience to a State law, without legard to the lien or the payment of the taxes due upon it. The consequence is, whenever a holder of a ticket presents it, and demands the lot of tobacco it calls for, the same is delivered and the Government deprived of the lien. But for this State law the inspector would be held responsible for the taxes under section j&fteen, and he would thus be forced to secure the payment of the tax before he delivered the tobacco. It Avill at once be seen that it is utterly impossible for the assessors to ascertain who were the owners of the tobacco on the first of July, because, in nine cases out of ten, it may have changed hands since the time it was stored. This subject demands the immediate consideration of Con- gress. Accompanying this report you will find a tabular statement marked "A," which exhibits, statistically, the valuations of the different species of property embraced within the provisions of the act of August 19th, 1861, so far as ascertained from the collated lists of the several Chief Collectors. For reasons explained in my report of January 6th, 1863, the operations of this act were suspended in the States of Kentucky and Missouri, but were fully effective in the remain- ing eleven of the Confederate States, except in a few districts occu- pied by the public enemy. The following remarks will explain, in brief, the condition of the assessments and collections irl each State. Alabama. — Assessments were made in all the districts of this State, except the counties of Franklin, Lawrence and Winston, the taxes in which are estimated at $72,619 74, which, added to the net tax of the remaining districts makes a total of $2,141,087 47, for the payment of which the sum of $2,000,000 was advanced by the State, leaving a balance due the Confederate States $141,087 47. Previous to the final report of Judge Martin, the Chief Collector, it w\as estimated that the whole tax would not exceed $1,800,000, and provision was made by act of Congress, approved February 20th, 1863, to refund the excess paid by the State, when a settlement should be made. It appears, however, that this amount was under estimated, and the balance above reported of $141,087 47, is still due the Confederate States. Arkansas. — Forty-seven districts assessed — eight unassessed. The whole amount of net tax assessed in the forty- seven districts above mentioned $551,606 03 (as per report of Chief Collector,) of which the sum of $400,000 was paid by the Executive to General Hind- man's quartermaster, but which, from informality, has not yet received proper credit upon tho books of the Treasurer, leaving a balance due by the State of $151,606 03. Florida. — All the districts assessed except the counties of Duval 17 and Clay, fourteenyi district, and St. John's district, fifteenth, which are occupied by the public enemy. Georgia. — Full assessments made. See table " A-" Louisiana. — Whole amountof net tax due by the State, $.2,424,174 39, for the paymentof which, the sum of $2.501), (M)0 was advanced by the State, the excess of which, amounting to $75,825 6 1 has been refunded under authority of acts of Congress. Mississippi. — All the districts in this State have been ar.'iessed, and tbe collections were made by Confederate officers, as the payment of the- tax was not assumed by the State. The whole amount as- certained to be due, is $2,241,003 20, of which $2.09-:l,990 23 ha^ been reported to the Treasurer as paid, leaving a balance due of $146,012 97, a large proportion of which is comprized in tbe lists of delinquent tax payers, alien enemies, kc. Owing to the unfortunate condition of the State, arising out of its occupancy by the enemy, the difficulties of communication, &c., it has been found impractible to obtain satisfactory reports from all the districts. The filial report of Judge Handy, the chief collector, has been received, and it shows that all the collections made by him have been faithfully accounted for. North Carolina. — All the counties assessed, and total net tax ascer- tained to be $1,288,825 31, for the payment of which the sum of $1,400,000 00 was advanced by the State, the excess of which $U 1,174 69, was refunded the Stl^, under authoYity of act of Qon- gress, approved Oct. 8, 1862. South Carolina. — The follovting oxtract from my report of January 6th, 1863, will explain the condition of the M'ar tax in this State: " All the districts and parishes in this State were, in like manner, assessed, but several psyiehes, contiguous to the Sea, and navigable waters near the coast, have been subjected to the invasion and depre- dations of the enemy. For this reason. Governor Pickens claimed ex- emption by virtue of the act of 19th April. 1862, for the following parishes, to wit : All Saints, St. Georges, .AVinyan, St. Helena, St. John's Colleton, Saint Adrews, St. Lukes and St James' Santee, and a deduction from the ascertained quota of the State of the full amount of taxes assessed in these parishes. After a prolonged correspond- ence with the Governor, in which he was urged to relin;.'uish his de- mand, and pay up the full quota, he declined, and insisted upon the exemption, and as the tax books had« been turned over to the State au- thorities, and the Confederate collectors had been discharged, theie was no other alternative left than to acquiesce in his demand, with the understanding tlijft all moneys collected in these parishes should be paid over to the Confederate States." The whole amount of taxes assessed in the State, after deducting ten per cent, is $1,708,076 52, There has Jseen paid by the State $1,651,525 bo, leaving a balance of $146,547 97, being a sum less than the amount of assessment's in the exempted parishes, after deducting ten per G"nt. tho,refrom. the sum assessed in these parishes, less ten per cent., is $151,995 60, the difier- crence against the government being $5, -147 63. Tennessee. — No organization has been made in this State. The net 2 18 tax, due by the State, as estimated by the chief collector, is $2,205,000, of which, the sum of $1,499,766 77 has been paid, leaviog a balance of $705,233 23 due and unpaid. Texas. — Collated lists of property, rendered for assessment of non- rendered property, and property cf alien enemies, returned by re- ceivers under the sequestration laws, has been received from the chief collector, which show an aggregate valuation of $318,214,621, the tax upon which (including the double tax upon non-rendered property,) i» $1,553,917 80. There has been collected and paid into the Treas- ury, 80 as reported to the Tresurer, the sum of $1,242,^64 51 leaving r balance due of ^41 1,313 54, Additional credit is due the state for taxes on sequestered property, funds for the payment of which were not in the hands of receivers, &c., but owing to the difficulties of n;ail communication no acccurate or satisfactory statement thereof can be received. So far as ascertained, the chief collector has faith- fully accounted for all his collections. Virginia. — There are in this State one hundred and forty-nine Ciuaties and eleven cities, constituting as many collection districts. Ninety -seven counties and nine cities have been assessed and returned, IrtiviDg fifty-two counties and two cities (Alexandria and Wheeling.) which have not been, assessed or returned. In the northwestern coun- tioa, for apparent reasons, no attempt has been made to appoint offi- cere, or to procure assesments. L|i other counties in the eastern part of the State, where the people are loyal and patriotic, collectors were ftppointed and had given their bonds, but before the assessors had en- tered upon their duties, the invasion of the enemy arrested further progress. The aggregate amount of assessment returns, as shown by the chief collector s final report is, $548,164,215 91. The tax on this at 1-a per cent., is $2,740,821 07, and the ntt tax, after deducting ten .p.-ir cent, is $2,466,738 97. The amount paid by the State, as shown by the Treasurer's books, is $2,125,000, leaving a balance of |84l,788 97. Respectfully submitted, THOMPSON ALLAN, Commissioner of Taxes, ASSESSMENTS WAK TAX.— ACT AUliUST laiH, 1S6I.— PAYMENTS AS FAR AS KKPuRTED TC/ TREASURER, JULY l»i, 1803. STATES i ' i. II 1 i ! \4 5 , 1 h 1* * ] 1 ! s REUAKKe 1 1 1 i H ' 1 j a ! 1 ; 1 3 ^ 1 ' 1 aS'™.'™," wui.ioii ' °° '"'iiSm • ;,3S3,42S »? 1 S,;iM,SSI »'| II m'.W 00 ( M,1»0,II6 M.« VB«,11M Ki» 021,124 on') 081,10? 00 I,>«2,™ OO m ool 122,123 O^i T,««8,2»S OOJ 1,002,200 Oo! 020,2M Ooj 210,627 00 740,608 oo! 403,887 00^ 331,049 Ooj 0,087,168 OOi . fl76,8M Ooj 083,38100! »3,3I4 00 1 i 2.269,417 00 mji29 00 274,421 OP 3.351,W7 00 1,100,191 60 2,U6,806 00 l,060,fi3fi 00 2,139,334 3J , 1,880,167 H 71,040 OO /3.4lO,00O «J 1,030,313 X 2,465,601 »5 . ' ^ Ark-UMU,. Tlortda, 81,069,887 oo! 4A,T8t T8P 00 15,607,808 ooj 34,117,260 00 663.101 60 830,401 32 (62,231 60 916,020 00 113,081 00 79,817 00 840,984 60 475,076 00 e»,eB6 00 396,974 00 631,426 00 286 .480 5jg,117 00 480,561 OO 173,040 83 821,320 01 810,073 00 405,028 00 403,798 00 000,000 00 280,071 00 012 f 2,771 8 2,693 « 3,341 1,9117 2,460 1,064 37 47 OOOOO f :;,068,407 78;» 2,000,000 08 66^008 K', dtOOfiOO W •.•20,100 88 226,371 11 3,104,112 41 3,404,113 11 3,131,171 Sej 2,t31,174 80 3.311,003 20 3,001,600 33 1.288.836 81 . 1,368,826 81 • 6141,087 47 735 77 1148 01107 f Kl8h'iM?n't'«m>trcmrnTa° •'' J Noi ri-porlod w TwMoror * Double lu iBOlDd^. ' aS"!'"" *'"■ 8Iiioludli,jilaiibIatax "* P"' "port ol t W Cnlluowr 8 Ineludl»„ iiddltlonal (DnolOMlOodl a«M*.ingDI.. 1 Btlniic, to be ■coounwil for by dl.iriXoollOoUir. .u f.r a* »i< ■"il DoJbl"tS°Si"'" " ■'"'y '"■ "M° " «161,DW 60, oUlom M a drft»i>Bok b^uto for Dar,.hea «ni, 349,016.631 48| 178,022.760 eoj 17,904.330 SO 162.e3«,12S 00 23:,17fl.7M Ooj 6,a86,MT OO D7,681y4M Ooj 101,487,006 00 8,641,100 00 23,040,074 81 ^"°'{;''„',^;; | «1,«M,743 0»1 «,3«3,337 Osj 3,208,668 0011,013,046 00 404.313 OO I,4«3,047 00| »3,078,m Ooj 3,003,387 00| 201,516 Ooj 863 007 OO 7,317,302 00 l,308,40<0o|. 30,267,231 ooj 4,611,624 00 346,337 00 684,240 00 13,708,032 ooj 10,460,288 Oo' ^.816,126 Ooj 3836,47100 117,014 00, 862,273 00 3,627,204 00 Ri"turn B&nk ] 32,306,161 0* 3,607,412 00 M,046,642 OO' 619,426 00 MiMlMipP iai,811,370 00 97,06B.ai4 Oo| fi,7!IT.601 00 2,206,# 00 l,*1t0K 77 706,433 23 1,064,278 06, 1,111,061 61 411,813 54 2,460,738 07 2,126,000 00 811,788 97 Job rtbdmavroponv. u.m'.m oo 'm.m Z 8«iu..l..,.,, r, 1,776,372 » 8,881 U «! *■ ^ , , , , , , ^ , , ^ , >^ ,.«.=« .^ o,»».,v,.. P., »»,«,„ ou m 215 91 2,140 821 OV ,„v, , . , S313,288,«71 OO «,«64,378 05 u,'d™».T.™;;ife"u"''„"lJrofw"M,l'"°'° '''''' 4nt»«g»to,».... .... •1,393,715,760 1^4! 11,480,800,060 17 « 67,631,888 (ijl 04,486,331 481 61,603,063 18i*tS8,786,488 lOjS 41,800,M1 88 f 44,683,368 38 »7,l6B,a80 00 ..,6..,6.,.. ,6,4,4,120» S 18.313,670 76 • 10,147,201 03 81,320,766,834 21 821,142,002 78 1 19,418,39:^ 49.1 17,446,780 2S|f| 3,044,376 96 • Sum of aovf^ral uggr gaiti r«.l eital .•!•-«.*« «8,7T«,4I0,6a^ t' ■m PtEF^O RT or THE CHIEF CLERK PRODUCE LOAN OFFICE. Treasury Department, C. S. A., ) Produce Loan Office, November 30, 1863. \ SrR : I have the honor to submit the following report, for your in- formation, concerning the operations of this office : Under the act of Congress, approved May 1st, 1863, entitled " Au act to amend au act to organize the clerical force of the Treasury Department," the principal clerk of the produce loan was raised to the grade of chief clerk, and charged, under your direction, with the duty of supeiintending and conducting the business of said office. This business has become very much enlarged since the first organi- zation of the office, and now pertains to three distinct classes, viz ; I. The collection of subscriptions to the produce loan proper. II. The purchase of cotton and tobacco under the act of April 21, 1862. III. The collection of cotton and tobacco in kind under the tax act of April 24, 1863. It will be most convenient to report operations under each head separatel}-. I. The total amount of original subscriptions to the produce loan, as stated in my report of January 9th, 1863, is $23,070,905, con- sisting of bales of cotton, 431,347; cash $608,375; miscellaneoua $895,180. In that report, cotton was estimated at $50 per bale, which was a fair valuation at the time, but it is altogether too low for the market rates current during the past six or eight months. It is proper, then, to add fjr subscriptions paid during that period, and for those still remaining unpaid, say $5,000,000, for under estimate of valua- tion. The total amount of original subscriptions with this addition, is $28,070,905. Besides collecting the original subscriptions, the pro* duce loan agents were authorized to receive and collect new subscrip- tions, whether of produce or money. The total amount of such sub- scriptions, or in other words, the amount of treasury notes funded by- produce loan agents 's $16,956,050. This added to the amount above, gives $45,026,355, as the total of su^^^v.^iptions, origin ,1 and new. • 20 The subscriptions to the produce loan were the proceeds of the sale of the articles subscribed, not the articles themselves in kind, so that all payments made to agents were payments in cash. • The following statements will show tho amounts collected up to this time: ** Original Subscriptions. Amount collected in Alabama, $5,142,500 *♦ " '' Georgia, 4,574,400 " ** " Sou h Carolina, 3,493,350 ■" " «• Texas, 723,050 '" " ** Louisiana and Mississippi, 583,950 •*' " '' Florida, 343,800 " *' *' North Carolina, 59,700 *♦. " ** Virginia, 20,200 ' . * $14,940,950 New Subscriptions. Amount collected in South Carolina, $11,171 ,250 " " Alabama, 3,45i,500 " *' '' Florida, 1,217,200 " " " Georgia, 1,110,100 16,956,050 Total, $31,897,000 To show the entire amounts of payments, it will be proper to add 'fco the above, the cotton sold to the government by original subscri- bers to the loan. The number of bales thus sold, as nearly as can be estimated from the reports received at this office, is 17,825, averaging $75 each, or $861,875 for the whole. This added to the amount pre- viously stated, gives $32,758,875 as the grand total of collections, leaving unpaid $12,26^,080. Until the exhaustion of the one hundred million loan, and the pas- sage of the currency act of March 23, 1863, eight per cent, bonds were issued alike to old and new subscribers on payment of their sub- scriptions, but since then, under the authority of the act of February 20, 1803. This discription of bonds has been issued to original sub- Bcribers only, in order to comply with the terms on which the govern- ment receive these subscriptions. Notice was given to these sub- scribers that the privilege of receiving eight per cent, bonds would expire on the 3 1st day of July then ending, and since that time bonds have been issued to them according to the currency in which they have made their payments. Inducements of self-interest having Qeased, collections have fallen off very considerably, and it is not likely, unless some energetic measure of compulsion be adopted, that a great deal more will be collected. It might have a good effect to publish in each State a list of delinquent subscribers. 21 It is proper to mention that many of the original suhscribers are in the army, have moved from their former hom^s, and some have died and their families, in a few instances, are unable to make pay- ment. In several cases the subscriptions of these classes have been assumed and paid by other parties. Cotton and Tobacco Purchases. II. The amount of cotton purchased during the past year has not been so large as was anticipated. This is owing to several causes, the principal of which are the encroachment of the enemy upon some of our largest cotton growing regions, as in Louisiana, Arkan- sas and Mississippi, the exhaustion of the one hundred million loan and the unwillingness, at first, of planters and other holders of cotton to sell for seven per cent, bonds, and the requirement of the act of April 30th, 1863, that future purchases of cotton and tobacco should be made with the proceeds of the sale of cotion bonds, the unavoida- ble delay in the preparation of these bonds and afterwards, delay in realizing cash from their sale, making it necessary to suspend purchases altogether for several months. This last obstacle having been removed, the agents have been furnished with fun(?s and in- structed to resume purchases. The statements below will show the total amount of purchases up to this time, so far as reports from agents have been received. Purchases in Alabama, 126,838 bales, costing $11,879,465 07 " Mississippi, 120,459 ** " 6,899,965 19 " Louisiana, 106,793 '« " 6,739,762 13 *' South Carolina, 18,888 ** *' 3,081,756 38 ** Georgia, 15,028 *' " 1,066,676 38 '' Arkansas, 11,697 '' '' 643,270 64 «' Florida, 50 " '' 3,873 61 399,753 " " $30,314,769 40 No reports have been received from the agent in Texas, but the amount purchased for this department in that State is probably very small, owing to the fact that the War Department has an agent there, and it was deemed advisable to surrender the greater part of the State for his operations, that there might be no enhancement of prices from the competition of different sets of government agents. The average price paid per pound is as follows, for the different States, viz : in Arkansas, 12} cents, in Mississippi 12.39 cents, in Florida, 13 cents, in Louisiana 14 cents, in Georgia, 15i! cents, in Alabama, 21 cents, and in South Carolina, 36i cents. The average is highest in South Carolina, because a portion of the purchases con- sisted of sea island cotton. The total average for all the States, is 16.85 cents. The highest price paid, exclusive of sea island cotton, is 37 cents per pound, and the lowest is 6^ cents per pound, for a small lot purchased by Mr. DeB^w, in 1862. The general average SI2 is low, because a considerable portion of the cotton was purchased before the recent extraordinary inflation of prices. All the latter purchases, east of the Mississippi riv^er, have been made at the cur- rent high rates, but prices in the trans-Mississippi States are still comparatively low. By far the greater portion of the cotton purchased thus far, has been paid for with bonds, but as settlements have not yet been made in numerous instances, it is impossible to state with a 'cuiacy, the proportion of bonds and cash expended. It is safe, however, to as- sume that more than five sixths of the purchases have been paid for with the first. The earlier purchases were made almost, exclusively with bonds. I regreat that I am unable to give you any precise information as to the quantity of Government cotton lost by falling into the hands of the ene- my or destroyed to prevent capture. Soon after the fall of Vicksburg and Port Hudson, orders were given to the produce loan agents in Mississippi and Louisiana to organize a system with the approbation and co-operation of the military authorities in those States, to remove such cotton as could be preserved, to safe localities, and to destroy such as would be likely to fall into possession of the enemy, but avoiding distruction from mere panic, and directions were gi^en to make detailed reports to this ofiice, showing the amounts thus lost and preserved. These reports have not yet been received. Letters, how- ever, have come to hand, giving general estimates of losses. Mr. McKci , the agent in Louisana, writes, on the 30th Angust, last, that his losses will not exceed 1500 bales. Mr, DeBow, in Mississippi, estimates that 30,000 bales will cover the entire amount of his losses. Both of these gentleman have matured plans, and are, at this time, energetically engaged in removing cotton from exposed districts of country. In addition to the above losses, several thousand bales have been used for military and naval purposes, in the construction of forts and in the protecting and strengthening of gunboats. I think that it would be safe to estimate, that the total losses thus far, will not exceed 50,000 bales. In order to show the amount of cotton now on hand, it will be neces- sary to deduct, besides the above losses, 4,628 bales, turned over to the Ordnance Bureau for shipment abroad, 15,000 bales recently ■ordered to be turned over to the Quartermaster General's office, to satisfy an executed contract for army supplies and 574 bales shipped abroad on account of the Treasury Department. Making these deductions, amounting in all to 70,203 bales, there will remain on hand at the present time, according to reports received, 329,551 bales. •The agents in most of the States have reported to this office that the rope and bagging on bales of cotton, in some instances, have begun to -decay and that it will be necessary in order to preserve the cotton to make repairs. They have been instructed to appoint travelling sub- agents to look after this, and, as far practicable to put and keep the cotton in good condition. In view of the uncertain duration of the war, I think that it would be well to make some arrangement for the importation of rope and bagging iiu large quantities for the purpose 23 of repairing and rebaling or else the Grovernment will be exposed to the hazard of suffering very heavy losses. It is impossible to make any specific estimate of the amount which will be required, but any surplus which the Government might have could easily be disposed cf to planters in exchange or in part payment for cotton. The appropriation of thirty-five millions of dollars by the act tf April 21, 18G3, for the purchase of cotton and tobacco is nearly exhausted, and if it is contemplated to continue purchases, it "will be necessary that another appropriation bo made, but for obvious rea- sons, I make no suggestions as to the amount. Seven per cent, bonds can still be used to a considerable extent in making purchases, and it would probably be best to have authority to use both bonds and Treasury notes, as one or cither, or both together could be used to the best advantage. ^bout 30,U()0 bales of the cotton purchased by this department are stored in warehouses in cities and the remainder on plantations in the respective States where it was purchased. The amount of tobacco purchased is 2,091) hogsheads, costing $772,846 82, and the average price paid per pound is twentj-nine cents. The whole of it was purchased in Virginia. III. Cotton and Tobacco to be CoLLFiCTED under the Tax Act. Under the requirements of the act of April 21st, the cotton uiA tobacco collected in kind by the post quartermasters is to be deliv- ered to the agents of the Secretary of the Treasury, and you have deemed it most conducive to the public interest to place the superin- tendence over these collections in this office. As the law docs not require the delivery of the cotton and tobacco until next Mar^b, nothing has been done as yet, and nothing can be done, except 10 appoint general agents and to prepare "Regulations," copies of v/hicb will be found appewicd to this report, marked A and B. Cotton rcq ail- ing no special treatment, the agents of the produce loan can easily re- ceive and take care of it, for which they will be entitled to some additioa to their present compensation, and you have accordingly authorized a per centage to be paid them for this service, limited by a maxim urn, which has not yet been fixed. In view of the scarcity of rope ancJ bagging and the difficulty of procuring it, it may be necessary to receive this tithe cotton put up in boards or to get authority from Congress to purchase rope and bagging and furnish it to planters free of charge or at cost price. The many processes required to place tobacco in merchantable coa- dition, has rendered it necessary to appoint special agents to look after and preserve it. These agents have been instructed to district the States where it is grown, and -appoint skillful sub-agente to receive it from the producers onlv in proper condition, to assort, order and prize it, and then put it in boxes or hogsheads suitable for market. The exercise of skill is required in the selection of the proper time for each of these processes, as well as the performance of the processes themselves. I have been informed by many pereona familiar with the cultivation and preservation of tobacco that it can- not be delivered in proper condition for handling before May or June, and it will, therefore, be necessary to modify the provisions of the law requiring its delivery before the first of March next. This is a matter of the utmost importance, and I invite your special attention to it that 3^ou may make suitable recommeudation to Congress. It would also, I have been informed, conduce greatly to conve- nience in making coHections and promote the public interest, if some other slight changes be made in the law according to the memorandum herewith inclosed. The clerks in this office during the past year have been prompt, faithful, and deligent in the performance of their respective duties. I am, very respectfully, A. ROANE, Chief Clerk iii charge of Produce Loan Office^ Hon. C. G. Memminger, Secretary of the Treasury. [A.] Treasury Department, C. S. A., Uichmond, Nov. 16, 186 J. The following regulations will be observed by Produce Loan Agents : 1 . The general agent of the produce loan in each State, shall receive from the post quartermasters, appointed to collect the tax in kind, under section thirteen, of the act of April 24, 1863, all the cotton collected by them from time to time, receipting for the same in dupli- cate, one of which receipts shall be transmitted to the Secretary of the Treasury. 2. The cotton collected as above, shall be marked, weighed, classified and stored, subject to the order of the general agents, in the quar- termaster's depot, if it can be kept there sa:fely and conveniently; otherwise, it shall be stored" in some warehouse or covered building, in a safe locality, in a town, village, or at a railroad depot, or upon some neighboring plantation. 3. The general agents shall make monthly reports at the end of each month, to the Produce Loan Office, setting forth the number of bales of cotton collected during said month, together with their weights, marks, numbers and quality, and the places where they are stored. 4. The general agents shall make such regulations as may be necessary and proper to carry out the foregoing, subject to the approval of the Secretary of the Treasury. 5. The general agents, in addition to their present compensation, shall be allowed — per cent, on the value of the cotton collected, the Baid commissions not to exceed % — per annum for their services, 25 under these regulations. The compensation of sub-agents will be fixed hereafter, according to the amount and nature of the services required from them. 6. All expenses incurred in the execution of these regulations, shall be paid by the general agents, out of the funds to be transmit- ted to them from this department, on the requisition and estimate, for the disbursement of which they shall render a separate account. C. G. MEMMINGER, Secretary of Treasury. LB.] Treasury Department, C. S. A., ) November 16, 1863. \ liegulations concerning the Tobacco collected as *« tax in kind,'''' under the act of April 24, 1863. 1 . There shall be appointed a general agent in each of the States of Virginia and North Carolina, to receive and preserve the tobacco collected by the post quartermasters, under the provisions of section thirteen, of the tax act, approved April 24, 1863. 2. The said general agents shall be authorized to appoint as many sub-agents, and to make such regulations, subject to the approval of the Secretary of the Treasury, as may be necessary to enable them to perform eificiently the duties entrusted to them. 3. The general agents shall receive from the quartermasters the tobacco collected from time to time, and give receipts in duplicate to them for the same, one of which receipts shall be transmitted to the Secretary of the Treasury by the said quartermaster. 4. The tobacco collected and received as above, shall be assorted, ordered, prized, and, when put in suitable condition for market, shall be weighed, marked, and stored in boxes or hogsheads, in some safe and convenient warehouse by the general agent, or some of his sub- agents. 5. The general agents shall make monthly reports at the end of each montli to the Produce Loan Office, setting forth the number of hogsheads or boxes of tobacco collected during said month, together with their weighty marks, numbers and quality, and the places where they are stored. 6. The general agents shall receive for their services under these regulations, a compensation of — per cent, on the market value of all tobacco made ready for market, said compensation, however, not to exceed $4,000 in any one year. The compensation of sub-agents will be fixed hereafter, according to the amount and nature of the ser- vices required of them. 7. All expenses incurred in the execution of these regulations, shall be paid by the general agents, out of the funds which will be 26 transmitted to them from this department, on estimate and requisition, for the disbursement of which they shall render a quarterly account, 8. The General Agents shall be required to file a bond with the Comptroller of the Treasury, with two sureties, in the sum of five thousand dollars, for the faithful performance of their duties, said sureties to be approved by the Confederate judge of the district, or by any judge of the supreme court of the State, in which such Gene- ral Agent shall reside. a G. MEMINGER. ESTIiM^TES. HOUSE OF REPRESENTATIVES. Clerk's Office, ^ House of Eepristvtaiivcs, > Richmond, November 11, 1863. ) Hon. C, G. Memminger, Secretary of the Treasury : Sir: I have the honor to submit the following estimates fcfr ap- propriations, which will be necessary for the House of Representatives, for the period from the 1st of January to the 3Uth of June, 1864: Compensation and mileage of members and delegates of the House of Representatives, two hundred thousand dollars, ($200, 000). Compensation of officers, clerks, kc, of the House ot Representa- tives, five thousand six hundred and twenty-five dollars, ($5,625). Contingent expenses of the House of Representatives, forty thou- sand dollars, ($-10,01)0). Contingencies of the clerk's office, five hundred dollars, ($500). Making a total of two hundred and forty-six thousand one hundred and twenty-five dollars. The last item in the above estimate may require a little explana- tion. No similar item has ever before been submitted in the estimates from this office, and, consequently, no such appropriation has been made. The contingent fund of the House is expended under the di- rection of the Committee on Accounts. No bills are paid by the clerk, out of that appropriation, until they are approved by the committee. The functions of all the committees cease with the adjournment of Congress, and hence no accounts can be paid from the fund in ques- tion during the Congressional vacation. In consequence of this ar- rangement, the clerk's office has been subjected to some inconvenience since the last adjournment jf Congress. An appropriation of a small sum, for "contingencies of the clerk's office," would remedy this in- convenience. It is, therefore, respectfully recommended that this item be em- braced in the estimates from your department. Very respectfully, A. R. LAMAR, Clerk a7id Disbursing Officer ^ Per De Louis Dalton, Assistant. 28 SENATE. Office Sergeant at Arms, Richmond, Nov. 12, 1863. Sir : I respectfully submit the following as showing the amount re- quired for the expenses of the Senate of the Confederate States, for the six months ending June 3U, 1863, to wit : For compensation and mileage of Senators, $47,880 00 For compensation and mileage of officers and clerks of the Senate, 8,000 00 For incidental and contingent expense of the Senate, ' 7,000 00 $62,880 00 Very respectfully, Your obedient servant, L. H. FITZ HUGH, Sergeant at Arms G. S. Senate. Hon. C. G. Memminger, Secretary of the Treasury. EXECUTIVE DEPARTMENT. Confederate States of America, ^ Executive Department, v Richmond, Va., Nov. 5, 1863. ) To me Hon. Secrerary of the Treasury : Sir : In reply to your communication of the 28th ult., I have the honor to submit the following estimate of the sum to be appropriated by Congress, at the next session, for the " telegraphic and contingent expenses of the Executive Department," i. e,: Thirty-five thousand dollars. Of this amount, probably twenty thousand dollars will be required to pay for advertising the President's proclamations, already issued, and for which ail the bills have not yet been s^nt in. I have never before estimated for this expense, as it has, until recently, been borne by the State Department. Very respectfully, Your obedient servant, (Signed,) BURTON N. HARRISON, Disbursing Agent. 29 TREASURY DEPARTMENT. ESTIMATE OF APPROPRI ATION required for compensation of the Secretary of the Treasury, Assistant Secretaty, Comptroller, Auditors, Treasurer and Register, and Clerks and Messengers in the Treasury Department for six months, ending June 30, 1864. For compensation of the Secretary of the Treasury, $3,000 00 For Assistant Secretary of the Treasury, 1,500 00 One chief clerk, at $1,750 per annum, 875 00 One disbursing clerk, at $2iHi per annum, * 100 00 Six clerks, at $1,500 per annum, • 4,500 00 One messenger, at $750 per annum, 375 00 One superintendent, at $975 per annum, 487 50 One chief clerk, treasury note division, at $2,500 per annum, 1,250 00 Four clerks, at $1,500 per annum, 3,000 00 One chief clerk, Produce Loan Office, at $2,500 per annum, * 1,250 00 Six clerks, at $1,500 per annum, 4,500 00 Commissioner of Taxes, at $3,000 per annum, 1,500 00 One disbursing clerk of war tax, at $1,750 per annum, 875 00 Twenty clerk, at $1,500 per annum, 15,000 00 Comptroller, at $3,000 per annum, 1,500 00 One chief clerk, at $1,750 per annum, 875 00 Twenty-four clerks, at $1,500 per annum, . 18,000 00 One messenger, et $750 per annum, 375 00 First Auditor, at $3,000 per annum, 1,500 00 One chief clerk, at $1,750 per annum, 875 00 Sixty-four clerks, at $1,500 per annum, 48,0' '0 00 One messenger, at $750 per annum, • 375 00 One assistant messenger, at $375 per annum, 187 50 Second Auditor, at $3,000 per annum, 1,500 00 Two chief clerks, at $1,750 per annum, 1,750 00 One hundred and twenty clerks, at $1,500 per annum, 90,000 00 One messenger, at $750 per annum, 375 00 Treasurer, at $3,000 per annum, 1,500 00 One chief clerk, (treasurer,) at $1,750 per annum, 875 00 Ninety-six clerks, (treasurer,) at $l,5liO per annum, 72,000 00 Seventy-two female clerks, at $900 per aiinum, 32,400 00 One messenger, at $750 per annum, 375 00 One assistant messenger, at $45"i per annum, • 225 00 Register, at $3,000 per annum, 1,500 00 One chief cleik, at $1,750 per annum, 875 00 Forty clerk;s at $1,500 per annum, 30,000 00 Sixty eight female clerks, at $900 per annum, 30, GOO 00 One messenger, at $750 per annum, 375 00 Carried forward, $374,250 OO 30 Brought forward, $374,250 00 Two clerks, Light House Bureau, at $1,500 per annum, 1,500 00 O'ne chief clerk, treasury note division at Columbia, S. C, at S2,500 per annum, 1,250 00 Five clerks, at $1,500 per annum, 3,750 00 Twenty-one female clerks, at $900 per annum, 9,450 00 $390,200 00 Three hundred and ninety thousand two hundred dollars. Respectfully submitted to the Secretary of the Treasury. ESTIMATE OF APPROPRFATION required for incidental and contingent ixpen^es of the Treasury Befartment , for the six months ending June 30, 1864. Fuel and gas, $1,500 per month, for January, February, March and April, $6,000 GO Postage on soldiers' claims and other matters, 3,000 00 Telegrams, $300 per month, 1,^00 00. Servant hire, $1,000 per month, G,000 00 Washing, $100 per month, 600 00 Stationery, including ledgers, paper, blanks, pens, en- velopes, ink, &c., . 20,000 00 $37,400 00 Thirty-seven thousand four hundred dollars. Respectfully submitted to the Secretary of the Treasury. JOHN M. STRi'THER, Disbursing Clerk, Treasury Department. November 7, 1863. ESTIMATES OF APPROPRIATIONS, under the control of the Treasury Department, required from January 1st, to June 3\)th, 1864. For the payment of interest on the public debt, $20,000,000 00 For engraving and printing treasury notes, bonds and certificates for stock, and for paper for the same, 800,000 00 Carried forward, $20,800,000 00 31 Brought forward, $20,800,000 00 For compensation Secretary of Treasury, assistant secretary, comptroller, auditors treasurer, and register, and clerks, and messengers in the Treasury Department, 390,200 00 For incidental and contingent expenses of the Treasury Department, 37,400 00 For rent of executive buildings and President's house, 15,000 00 To defray expenses incurred in the safe-keeping and transportation of coin belonging to New Orleans banks, 559 00 For the payment of principal, under loan of Au- gust 19th, 1861, this sum being amount due and payable on the Ist of July, 18G4, 1,340,200 00 $22,583,359 00 C. G. MEMMINGER, Secretary of Trcasvry. DEPARTMENT OF STATE. APPROPRIATIONS required by the Department of State, for the six months, ending ^[)th June, 1864, For Foreign Intercourse. Salaries of four Commissioners, $24,000 00 And three Secretaries, 5,400 00 29,400 00 (As per secret acts of Prov, Congress of 13th and 27th Feb., 1861, (Nos. 7 and 39,) and act No. 226, of Aug. 20, 1861.) Salaries of commercial agents and consuls, (per act No. 74 of March 15, 1861,) 5,000 00 For secret service, i. e., necessities and exigencies, under laws already passed, or which may be passed, or from causes which now exist, or may hereafter arise, and un- foreseen emergencies, to be expended un- der direction of the President, 500,000 00 For purchase of books, 3,000 00 For salary of Secretary of State, ( per acts Nos. 23 and 24 of Feb. 2 Ist, 1861, 3,000 00 Carried forward, $537,400 00 32 Brought forward, $537,400 00 For salary of chief clerk, (per acts No, 53, of March 7th, 1861, and ch. 47, of Oct. 13, 1862, 875 00 For salary of one clerk (same references,) 750 00 And compensation as Disbursing officer, (per acts of May 16, 1861, (No. 13U,) and of April 29, 1863, (ch. 49,) 100 00 For salary of two clerks, (per act of March 7, 1861, (No. 53,) and of Oct. 13, 1862, (ch. 47,) 1,500 00 For salary of one messenger, (same re- ferences,) 575 00 For salary of one laborer, ( same refer- ences and ch. 49, of 29th April, 1863, 409 50 $4,009 50 $541,409 50 Department of State, Richmond, Nov. 7th, 1863. J. P. BENJAMIN, Secretary of State. DEPARTMENT OF JUSTICE. Department of Justice, ) Richmond, Nov. 5th, 1863. J Hon. C. G. Memminger, Secretary of the Treasury : Sir : In compliance with the act of Congress, approved, 9th of April, 1862, I have the honor to submit the following estimates for' thia Department, from the 1st day of January, 1864, to the 30th of June, 1864, inclusive : 1. For salaries of Attorney General, Assistant At- torney General, clerks and messenger, $4,334 89 2. For contingent expenses of department, 1,500 00 3. For salaries of judges and attorneys, 24,200 00 4. For contingent expenses of courts, 40,429 23 5. For salaries of commissioners under the seques- tration act, 2,358 15 6. For salary of clerk of said commissioners, 875 00 • 7. For salaries of Governor and Commissioner of Indian Affairs, of Secretary, and of Judges, At- torney and Marshal of Arizona Territory, 4,650 00 Carried forward, $78,337 26 83 Brought forward, $78,337 26 8. For contingent expenses of said territory, to be expended by the Governor, 500 00 9, For salaries of superintendent of public printing, his clerks and messenger, 3,750 70 10. For printing, ruling and binding for the several expcutive departments, 100,000 00 1 1. For printing, ruling and binding for both houses of Congress, including the printing of the laws in the authorized form, 10,000 00 12. For purchase of paper for the several executive department and Congress, 30,000 00 $222,587 96 Your obedient servant, WADE KEYES, Attorr.ey General ^ ad interim. WAR DEPARTMENT. Confederate States of America. V War Department. > Richmond, Va., Nov. 6, 1863. ) I estimate that there will be required for the contingent and incidental expenses of the army, for the six months from January Ist to June 30, 1864, the sum of two hundred and fifty thousand dol- lars. JAMES A. SEDDON, Secretary of War, Note. — The estimates for the expenses of the Bureau of Conscription will be made the matter of a special communication hereafter, as the len^^th of time necessary to procure the proper data precludes its enteriDg into the general estimates. 34 ESTIMATE OF FUNDS required for the fiscal year ending June 3UiA, 1864, /or the Adjutant end Inspector Generals OJicCy C. S. A. Number. What Purpose. Amount. Isi 2.1 3rd 4'h 6tli 6th Irh 8th Postag*'8 Telegraphing Statiorieiy Fuiuituie Carpenter's lle| aiis. «fec. Porter's Hire , Labrirer'ts Hire Kxpress Freight Deduct amount on hand Total $10,000 GO ^ 10.000 00 15.000 00 5.000 00 6.01)0 00 2.000 00 2,<>00 00 1,000 00 None. $50,000 00 Whole amount required for the fiscal year ending June 3 th, 1864, fifty thousand dollars, ($5(),(MiO,) for the contingent expenses of the Adjutant and Inspector General's Office, C. SS. A., at Richmond, Va. I certify that the above Estimate is correct, and that the amount above mentioned is necessary to meet the expenses of this office, (as per in rease since January, 1863,) for the fiscal year ending June 30th, 1864. S. COOPER, Adj't. and Insf. Gen. C, S. A. Adj't. AN'd Insp. Gen. Office, Michmond, Oct. 1863. Confederate States f'v Amehica, War Departments Engineer Bu Richmond, Va., Nov. 4 :a, \ renu, \ . 1864. ) ESTIMATE for Engineer Service, Conf derate States^ For the six months, commencing Ist January, 1864, and ending SOth June, 1864, ten million dollars, ($10,OUS),()OM ) A L. RIVES, lieutenant Colonel and Acting Chief Bureau. »5 ESTIMATE OF FUNDS required by the Ordnance Department, C. S. A., from \st January, 1864, to imh June, 1864. Ordnance service in all its branches, twenty-three million dollars, viz: Service of arsenals and depots, $5,000,000 Purchase and manufacture of artillery and smrill arms, 6,000,000 Purchase of or Richmond, Va., Oct. 29, 1863. ) Hon. James A. Seddon, Secretary of War, Richmond, Va. : Sir : I have the honor to submit the following estimate for funds required for the Medical Department of the C. S. Array, for the period of six months, commencing December Slst, 1863, and ending June 30th, 1864: For the purchase of medical and hospital supplies from December 3lBt, 1863, to June 30th, 1864. Medicines, $6,000,000 Instruments, 100,000 Books for hospital and reg't records, 200,000 Hospital stores, 2,000,000 Bedding, 1 ,000,000 Furniture, Dressing, &c., 2,000,000 $11,300,000 For hospital clothing, required by act of Congress, ap- proved September 27th, 1862, entitled an act to better provide for the sick and wounded of the army in hospitals, 1,000,000 For three hundred and twelve thousand srallons alco- holic stimulants required for Medical Department for medical and hospital purposes for an army of five hundred thousand men, 3,120,000 For establishment and support of military hospitals, from December 3 let, 1863, to June 30th, 1864, 250,000 For pay of private physicians, employed by contract from December 3 1st, 1863, to June 3(lth, 1864, 200,000 For pay of nurses and cooks not enlisted or volunteers, from December 31st, 1863, to June 30th, 1864, 350,000 For pay of hospital Stewarts, from December 31st, 1863, to June 30, 1864, 100,000 For pay of matrons, assistant matrons, and ward matrons, from December 3 1st, 1863, to June 30th, 1864, 350,000 For pay of ward masters, from December 31st, 1863, to June 30th, 1864, 200,000 For pay of hospital laundresses, from December 31st, 1863, to June 30th, 1864, 150,000 Total, $17,020,000 Very respectfully, Your obedient servant, S. P. MOORE, ' Surgeon GenertU, C. S, Army. COST OF PvATION BY ESTIMATED COST OP ONE HUNDRED RATIONS. Rations. Article Quantity. Price. Amount. Remarks. 80 Bacon. 40 lbs. $1 00 $40 00 20 Beef. 20 •' '40 8 00 80 Flour. 120 " 13 15 liO 20 Meal. SO " 9 2 70 10 Beans. £:iii.s. 4 00 00 90 Rice. 9 lbs. 20 1 SO 100 Vinegar. Iffal. 50 60 J 00 Candles. 1^ lbs. 1 00 1 50 100 Soap. 4 " 1 00 4 00 100 Salt. 3 qts. 2 50 26 74 45 Cost of Ration 74 45 ESTIMATE OF FUNDS required for the. Subsistence o/ 400,000 men from January 1, 18(>-J,^ June 3(1, 1864, {one hundred and eighty- two days,) making 72,800,000 rations: 72.800,000 rations, at 75 cents per ration, 25,000,000 lbs. sugar, at $1 per lb., 1,000,000 gallons of molasses, at $5.50 per gallon, 1,001), 000 gallons of whiskey, at $5 per gallon, Purchase of weights, scales and measures, Provisions for employees in Quartermaster's Depart- ment, r.nd laborers under charge of Engineer and Nitre Bureau, $54,600,000 25,000,000 5,500,000 .5,000,000 250,000 Add 10 per cent, for wastage, 7,821,000 $98,171,000 9,817,100 _, . - $107,988,100 JiiStimated amount unexpended of appropriations for cur- ^«>^ty«^^ 50,000,000 Amount needed. 57,988,001 QUARTEBM.\STER GeNERAL's OffICE, Richmond, Oct. 26, 1863. Sir: I have the honor to submit herewith an estimate of the amount that will be required for the pay, transportation, and other 98 allowances, provided through the Department, for the army, for six months, from January 1st to June 30, 1864, viz: Field and Staff. Pay for 200 generals, for six months, Pay for 400 aids de camps, for six months, For.^ge for generals' and aids' horses, for six months, Tents for generals and staff, Wagons and harness, (two to each,) Horses and mules, (purchased for teams,) Hire of teamsters. Fuel for generals and staff, Forage for horses and mules, (teams,) Horse shoes, nai-ls, iron, &c., Stationery, Pay for brigade quartermasters, Pay for brigade commissaries, Pay for chaplains, Pay for cadets, Straw for animals, Fuel for commissaries and quartermasters. Forage for horses for cadets. $361,200 324,000 367,920 25,000 120,000 280,000 96,000 60,000 288,000 9,600 3,600 158,436 154,548 240,000 39,420 18,396 43,470 13,140 $2,602,730 One Corps of Artillery, as Light Artillery, 40 Companies. Pay for officers and men, for six months, $432,144 Pay for mechanics, laborers and teamsters, for six months, 44, 1 60 Pay for tents, for officers and men, 10,336 Pay for forage for animals, ■ 813,600 Pay for fuel for officers and men, 47, '20 Pay for purchase of horses and mules, 7 1 1 ,200 Pay for camp and garrison equipage, 1,600 Pay for travelling forges, complete, 16,000 Pay for wagons and harness, 33,800 Pay for stationery for officers, 2,400 Pay for horse shoes, nails, iron, steel, &c., 24,000 Pay for straw for bedding for men and animals, 40,680 Pay for leather, thread, &c., repairing harness, 9,000 Pay for hire of wagon and forage masters, 8,400 Pay for clothing for non-commissioned officers and men, 297,900 Pay for purchase of horse medicines, 3,000 $2,495,440 39 One Regiment ofCaval<-y, (733 strong,) for six months. Pay of officers and men, including 40 cents risk of horses, for six months, $141,048 Pay of Mechanics and teamsters, 1 1 040 Pay of wagon and forage masters, 2,|iM) Pay for tents for officers and ra^'n, 2.272 Pay for camp and garrison equipage, 1,603 Pay for travelling forges, complete, 4,000 Pay for horses, mules, wagons and harness, 37,050 Pay for stationery for officers, 2,400 Pay for horse shoes, nails, iron, steel, &c., 4,800 Pay for straw for bedding, for men and animals, 9,854 Pay for leather, thread, &c., repairing harness, 4,800 Pay for forage for animals, 181,260 Pay for fuel for officers and men, 9,970 Pay for clothing for enlisted men, 54,975 Pay for horse medicines, 1 ,200 $468,369 One Regiment of Infantry, (733 strong,) for six mmths. Pay of officers and men, for six months, $ 80,280 Pay of mechanics and teamsters, 11,040 Pay of wagon and forage masters, 2,100 Pay for tents for officers and men, 2, 1 60 Pay for camp and garrison equipage, 1,600 Pay for mules, wagons and harness, 37,050 Pay for forage for animals, 32,220 Pay for horse shoes, nails, iron, &c., 4,800 Pay for straw for bedding, 2,500 Pay for stationery for officers, 2,400 Pay for fuel for officers and men, 9,600 Pay for clothing for enlisted men, 53,475 $239,225 Signal Corps, for six months. Pay of one major, $ 900 Pay of ten captains, 7800 Pay of ten 1 St lieutenants, * 5,400 Pay of ten 2d lieutenants, 4,800 Pay of thirty sergeants, 3,060 Pay of sergeants, extra duty pay, 2,160 Amount carried forward, $24,120 40 Amount brought forward, $24,120 Pay for clothing for enlisted men, 2,250 Pay for fuel for officers and men, 2,970 Pay for tents for officers and men, 850 Pay for stationery for use of corps in the field, 1,500 Pay for horses for sergeants, (purchased,) 5,250 Pay for forage for animals, 10,980 $47,920 Tax Ad. see Sec. 13. Pay of eleven majors, for 12 months from 1st July, 1863, to 1st July, 1864, $ 21,384 Pay of seventy-four captains, for 12 months from 1st Jnly, 1863, to 1st July, 1864, . 124,330 Pay for fuel and quarters for officers, for 12 months from 1st July, 1863, to Ist July, 1864, 67,500 Pay of 1,440 agents, at $1,000 each, . 1,440,000 Pay of eighty-five clerks, at $1,000 each, 85,000 Pay for transportation on railroads, &c., 1,500,000 Pay for purchase of wagons, teams, &c., 2,160,000 Pay of laborers, one for each depot, 691 ,200 Pay for hire of teamsters, 518,400 Pay for material and labor for building store-houses, 720,000 Pay for rent of offices, &c., - 432,000 Pay for grain bags, 30,000 to each depot, equal to 2,160,000 bags, at $1.50 each, 3,240,000 Pay for incidental expenses, 1,213,400 $12,213,204 Recapitulation. Field and stafi", $2,602,730 8 corps of artillery, each $2,495,440, 19,963,520 175 regiments of cavalry, each $468,369, 81,9fi4,575 .647 regiments of infantry, each $239,225, 130,856,075 1 signal corps, 47,920 $235,434,820 ^OflScers, &c., for collection of tax in kind, 12,213,204 Amount carried forward, $247,648,024 41 Amount brought forward, $247,648,024 To which add : For the transportation of troops and their baggage, of quartermasters's subsistence, ordnance and ordnance stores, from place of purchase to troops in the field ; the purchase of horses, mules, wagons and harness ; the purchase of lumber, nails, iron and steel, for erect- ing store-houses, quarters for troops, and other re- pairs, hire of teamsters, laborers, &c., at 30 per cent, on $235,434,820 70,630,446 To pay for horses of volunteers killed in battle, under act .No. 48, section 7, and for which provision is to be made, 100,000 To pay for property pressed into the service of the Con- federate States, under appraisement, and said property having been either lost or applied to the public ser- vice, 200,000 For the sustenance of prisoners of war, under act No. 181, section 1, and the hire of the necessary prisons, guard-houses, &c., for the safe-keeping of the same, or 80 much thereof as may be necessary, 1,000,000 For the pay of the officers on duty in the offices of the Ad- jutant and Inspector General's Department, the Quar- termaster General's, Medical, Engineer, Ordnance, and Subsistence Departments, in Richmond, 450,275 Total, $320,028,745 Respectfully submitted, A. R. LAWTON, Quartermaster General. Confederate States of America, V War Department, ^ Richmond, Va., November 5th, 1863. ) Hon. James A. Seddon, Secretary of War : Sir : I have the honor to submit the following estimate of funds for the use of this department, and its several bureaus, for the period embraced between the 1st January, 1864, and 30th June, 1861, inclusive : For compensation of Secretary of "War, Assistant Sec- retary, Chief Bureau, clerks, messengers, &c., &c., $150,000 00 For incidental and contingent expenses, 90,000 00 For salary of Commissioner, Chief Clerk, &c.. Bureau of Indian Affairs, 2,125 00 Total, . $242,125 00 48 The estimates for the pay of Secretary of War, &c., and for the contingent expenses of the department are only approximate, and I have swelled the amount to some extent beyond what has formerly been asked for, in consequence of the increase of price of all articles required for use, and of the steady increase of clerical force needed by the several bureaus. Very respectfully, your obedient servant, ALFRED CHAPMAN, Disbursing Clerk War Department, Confederate States of America, \ War Department, > Richmond, Va., 186 . ) Abstract of Estimates. Quartermaster General, $320,028,745 Commissary General, 57,988,000 Surgeon General, , 17,020,000 Engineer Bureau, , 10,000,000 Ordnance Bureau, . 23,000,000 Nitre and Mining Bureau, 9,500,000 Adjutant General's office, 50,000 Bureau of War, 242,125 Conscript service, Contingent fund, 250,000 BANK CONVENTION. At a convention held in Augusta, Ga., on tho 16tli and iTtl; cf November, 1863, the following banks of the Confederate States w:ro represented, viz. : Bank of the State of Georgia, Anthony Porter, J. Davidson. Union Bank of Augusta, Ga., Edward Thomas. City Bank of Augusta, Ga., Thomas Barrett. Bank of Augusta, Ga., John Bones. Mechanics' B ink of Augusta, Thomas Metcalf, Josiah Sibley. Augusta Insurance and Banking Company, L. A. Dugag. Georgia Railroad and Banking Company, Augusta, John P. King. Central Railroad and Banking Company, Savannah, R. R. Cuyler. Planters' Bank of State of Georgia, Savannah, R. R. Cuyler. Bank of Commerce, Savannah, G. B liamar. B;mk of Savannah, Savannah, W. C 0. DriscoU. Merchants' and Planters' Bank, Savannah, Hiram Roberts. Manufacturers' Bank, Macon, B. B. Lewis. Bank of Columbus, Columbus, Daniel Griffin, Bank of Fulton, Atlanta, S Root. Atlantic Insurance and Banking Company, Atlanta, S. Root. Commercial Bank of Wilmington, N. C, 0. S. Parsley. Bank of Cape Fear, Wilmington, W. A. Wright. Bank of Tennessee, G. C. Torbett, J. A. Fisher. Northern Bank of Tennessee, D. N. Kennedy. Branch Bank of Tennessee, Knoxville, J. G. M. Ramsey. Bank of Chattanooga, Chattanooga, Wm, Williams. Bauk of Memphis, Memphis, W. C. McClure. Branch Planters' Bank of Memphis, D. A. Shephard. Bank of Scottsville, Va., J. W. Mason. Bank of Chaileston, Charleston, S. C, J. K. Saas, G. A. Trcn- holm, C. T. Lowndes, Henry Gourdin. Bank of the State of South Carolina, C. M. Freeman. Bank of South Carolina, Charleston, G. B. Reid. Planters' and Mechanics' Bank, Charleston, G. W. Williams, A, S. Johnston, J. J. McCirter. Union Bank of South Carolina, W. B Smith. Stats Bank of South Carolina, Edward Sebring. Farmers' and Exchange Bank of South Carolina, Wm. Whaley. Southwestern Railroad Bank, Charleston, James Rose, J. G. Holmes. 44 Exchange Bank of Columbia, S. C, R. M. Johnson, W. Johnson. Bank of Chester, S. C, G. S. Cameron. Bank of Hamburg, S. C, J. W. Stokes, William Gregg, A. C. DeCotts. There were also present : Gen. L. M. Ajer, member of Congress from South Carolina. Hon. Benjamin Hill, member of Congress from Georgia. Hon. Philip M. Clayton, of Georgia. Hon. M. C. Mordecai, of South Carolina. Col. Ryan, of South Carolina. R. H. Maury, Esq., of Richmond. Mr. Baylor, Georgia. Anthony Porter, of the Bank of the State of Georgia was called to the chair, and W. B. Smith, of the Union Bank of South Carolina, requested to act as secretary. The following report and resolutions were adopted by the conven- tion, ordered to be printed and a copy sent to the Secretary of the Treasury of the Confederate States, at Richmond : Whereas, experience has demonstrated that the dues to be col- lected by the Government, and for which Treasury notes are made receivable,- are inadequate to absovb a sufficient amount of the notes to prevent the evils of an excessive paper currency, and it is deemed essential to the interests of the people and the Government that measures be adopted by the Government to reduce or fund the entire amount of the said issues, or so much thereof as shall reduce the sum of the currency to two hundred millions ($200,000,00(1) of dollars, or less. For the accomplishment of this object the following mea- sures are recommended to the country and the Government by this convention : 1st. That a new issue of coupon bonds be made to. the amount of one thousand millions of dollars ($1,000,000,000.) The bonds bear- ing six per cent, interest, the coupons payable annually, in coin, and that, in future, to meet the wants of the Confederate Government, the policy of issuing treasury notes be abandoned, as far as possible, and a tax sufficient for all requirements be adopted as the true policy to sustain the credit of the Confederacy. 2d. That an act be passed levying a tax of sixy millions of dollars, ($60,000,000,) to be collected annually, during the whole period of said loan, for the payment of the interest on the above bonds, and that the good faith of the Government be pledged for the continuance of such tax until the maturity of said loan. And that the said tax ehall be paid in coin, and that the coupons- of the above bonds be received in payment of the tax in lieu of coin. 3d. That before the said bonds shall be oflfered for sale in any other., manner, or at a price above par, they shall first be apportioned among the States of the Confederacy, and that a commissioner shall be appointed for each State, to make known to the tax payers in each collection district, the necessity of providing themselves with a Bufficient amount of bonds to pay this specific tax, and who shall sell. 45 at par, to the tax payers in each district, the amount of bonds required to provide coupons for the payment of th ir taxes ; and, that all bonds heretofore issued by the Government and treasury notes, of all issues, be received in payment for the said bonds, and that the said payment shall be required in convenient instalments to suit the circumstances of persons of mod-Tate means, but the privilege of pay- ing in full, at any time, shall be accorded to all. 4th. That all existing distinctions between treasury notes of dif- ferent issues and dates be abolished. 5th. That the interest on the stock of the fifteen million lonn be paid by checks on the treasury, and tha: the saisury notes be received at the treasury therefor, and that the present five per cent, and four per cent, call loans be abolished. 7th. That the right of the holders of treasury notes, which, upon their face are fundable in eight per cent, stock, ought to be recognized, and an eight per cent, stock, at a short period, be provided for that purp^)He, and, also, that all the privileges attached to the original six per cent, call loan be restored to the holders (f all outstanding certifi- cates "t that loan. 8th. That an increased duty be levied on nil imports and exports, during the continuance of th^ war, and that 'he same be collected in coin, or approved bills on England or France, or in the interest on the fifteen million loan. 9th. That an issue department be created by the Government, and kept separate fiom the Treasury Department, whose duty it shall be to supply a new issue of treasury notes in exchange for the amount that may remain in circulation of the present issues, and th!)t the new issues shall express on the face of the bills that the same are receivable in payment of all public dues except such as are specifically required to be paid in coin. loth. That there shall be an issue of bills of a large denomination, Tiz: !$5(l(), $L(M)l), $5,(llt(l and $IO,l)()() suflScient to facilitate the transmi-ision of funds and the settlement of balances. (Signed,) A. PORTER, Chairman. W. B Smith, Secretary. The following resolution was also adopted : Rfsnlved, That tie proceedings of this convention be published in the city papers, and a copy of the same transmitted by the pret-iding oflicer of this contention to the Secretary of the Trewaury, with a request that he will commuDicate the same to Congress at its next meeting (Signed,) . A. PORTER. Chairman,