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 ^^^Zuf^y 
 
 ^^ A^N ACT 
 
 10 RKDUCK THK CUKaEXCV AND TO y\l TJInl!l/,r, v M^W l-<ri; or 
 NOTE;< AND HONDS. 
 
 Tlu- Cougi'ti<s of tk>- Confederate >Statci^ <>f AtD'-.rim do enart. Thai, 
 llio holders of all tveasur}' notes above the (Icnoiuiniitiod ol' five 
 dollars, nol bcuriiii; interest, shall bctillowed until the first d:i_y of 
 April, eiifhtoen hundred and sixty-four, east of the Mississippi 
 river, and until the first day of .lul^, eii^hteon hundred and sixty- 
 four, west of the Mississippi river, to fund the same; and until 
 ihe ]teriod!< and at the places stated, fhe holders of all such 
 treasury notes shall he allowed to lund the same in reiijistercd 
 bonds, |)a3-able t\vent\- years after their dale, bearinj^ interest at 
 Uic rate of four per cent. i)er annum, payabh' on the'llrst day oi' 
 January and July of each year. 
 
 Sec. 2. The 8e(rretary of the Treasury is lu^i-eby authoi-iztid to 
 issue the botids requircil for the fundiiii:; provided for in the j>rc- 
 eedin/i section. a»id until the bonds can bo ])ropfired he may issue 
 eertific^ites to answer the ])urpose. Such bonds and certiticatos 
 fthall be receivable, without interest, in payment of all (J-overu- 
 luent dues payable in the year eighteen hundred a?id sixty-four, 
 except oKport and import duties. 
 
 Seo. o. That all treasury notes of the donomination of one 
 hundred dollars, not bearing interest, which shall not be presented 
 for funding under the j)rovisions of the firsi section of this act, 
 shall, from and i'fter the first day of April, eighteen hundred and 
 sixt3'-four, east of the Mississip])i river, and the first day of .Iul\-, 
 eighteen hundred and sixty-tour, west of the Mississippi riveV. 
 cease to be receivable in the payment of public dues, and said 
 notes, if not so presented at that time', shall, in addition to the 
 tax of thirty-three and one-third cents imposed in the fourth sec 
 lion of this act, be subject to a tax of ten per cent, periiionth until 
 »(> presented, which taxes shall attach to said notes wherever cir- 
 culated, and shall be deducted from the face of said not-.'s when- 
 ever ])resented for' payment or for funding, and 'said notes shall 
 not be exchangeable for the new issue of treasury notes provided 
 for in this act. 
 
 Stc. 4. That on all said treasury notes not funded or used in 
 payment of taxes at the dates and places prescribed in the first 
 section of this act. there shall be levied at said dates and places 
 a tax of thirty-three and one-third cents for everj' dollar promised 
 on the face of said notes. Said lax shall attach to said notes 
 wherever circulated, and shall be collected by deducting the same 
 at the Treasury, its depositories, and b\' the tax collectors, and 
 by all (lovernraent ofiicers receiving the same, whenqvcr pre- 
 sented for payment, or lor funding, or in payment of Government 
 dues, or for postage, or iu exchange for new notes as hereinafter 
 provided; and said treasury notes shall be fundable in bonds as 
 
provided in the first section of this act until ilie first day of Jan- 
 uary, eighteen hundred and sixty-five, at the rateof sixty-six and 
 two-third cents on the dollar. 
 
 And it shall be the duty of the Socretarv of the Treasury at 
 anv time between the first April east, and the first July, eighteen 
 hundred and sixty-four, west of the Mi^^sissippi river, and the first 
 January, eighteen hundred and sixty-five, to substitute and 
 exchange new treasury notes for the same, at the rate of sixty- 
 six and two-third cents on the dollar: Fror/i/cd, That notes ol" the 
 denomination of one hundred dollars shall not be entitled Lu the 
 privilege of said exchange: Provided further, That the right lo 
 fund any of said treasury notes after first day of January, eighteen 
 hundred and sixty-five, is hereby taken away: A)id provided 
 further, That upon all such treasury notes which may remain 
 outstanding on the first January, eighteen hundi-ed and sixty-five, 
 and which may not be exchanged for new treasury notes as herein 
 provided, a tax of one hundred per cent, is hereby imposed. 
 
 Sec. 5. That after the first da}' of April next, all authority here- 
 tofore given io the Secretary of the Treasury- to issue ti'easury 
 notes shall bo, and the same is hereby, revoked : Provided, The 
 Secretar3'of the Treasury may, after that time, issue new treasury- 
 notes in such form as lie may prescribe, payable two years after 
 the I'atification of a ti'eaty of peace with the United States, said 
 new issues to be receivable in payment ot all public dues except 
 export and import duties, and to be issued in exchange for old 
 notes, at the rate of two dollars of tlio new for three dollar^ of the 
 old issues, whether said old notes be surrendered for exchange by 
 the holders thereof, or be received into the Treasury under tlie 
 provisions of this act; and the holders of the new notes orof thu 
 old notes, except those of the denomination of one hundred dol- 
 lars, after tliey are reduced to sixty-six and two-third cents ou 
 the dollar, by the tax aforesaid, may convert the same into call 
 certificates, bearing interest at the rate of four per cent, per 
 annum, and paj'able two 3'ears after the ratification of a treaty of 
 j)eace with the United States, unless sooner converted into new 
 notes. 
 
 Sec. 6. That to pay the expenses of the Government not other- 
 wise provided for, the Secretary of the Treasury is hereby author- 
 ized to issue six per cent, bonds to an amount not exceeding five 
 hundred millions of dollars, the principal and interest whereof 
 ."hall be free from taxation, and lor the paj'ment of the interest 
 thereon the entire nett receipts of any export duty hereafter laid 
 on the value of all cotton, tobacco, .and naval stores, which shall 
 be exported irom the Confederate States, and the nett proceeds of 
 (he import duties now laid, or so much thereof as may be neces- 
 sary to pay annually the interest, are hereby specially pledged : 
 Provided, That the duties now laid upon imports and hereby 
 pledged, shall hereafter be paid in specie, or in sterling exchange, 
 or in the coupons of said bonds. 
 
 Sec. 7. That the Secretary of the Treasury is hereby author- 
 ized, from time to time, as the wants of the Treasury may require 
 it. to sell or hypothecate for Irea-sury notes said bonds, or any 
 

 part thereoi', upon tlio best turmt' he can, so as Lo meet approprla- 
 tions by Con<Tress, and at the same time i*educe and restrict the 
 amount of the eircuhxtion in treasury notes within reasonable and 
 safe limits. 
 
 Sec. 8. The bunds authorized by the sixth nection of this ael 
 may be either I'cgistercd or coupon bonds, as the parties takin;^ 
 them may elect, and they may be exchanijed foreacli other under 
 such re<;-ulations as the Secretary of tlie Treasury may prescribe. 
 They shall be for one hundred iloUars, or some multiple of one 
 hundred dollars, and shall, tOii^ether with the coupons tliereto 
 attached, be in such form and of such authentication as the &»ec- 
 retary of the Treasury may prescribe. The interest shall be pay- 
 able half jearl}' on the first January and July in each 3-ear — the 
 principal shall be ])a\able not less than thirty years from their 
 date. 
 
 Sec. 9. All call certilicates shall be fundable, and shall be taxed 
 in all respects, as is provided for the treasury notes, into which 
 they are convertible. If not converted before the time fixed for 
 taxing the treasury notes, such certificates shall, from that time, 
 bear interest upon only sixty-six and two-third cents for every 
 dollar promised upon their face, and shall be redeemable only in 
 new treasury notes at that rate, but after the passage of this act, 
 no call certificates shall be issued until after the first day ot April, 
 eighteen hundred and sixty-four. 
 
 Sec. 10. That if any bank of deposit shall give its depositors 
 the bonds authorized by" the first section of this act in exchange 
 for their deposits, and specif}' the same on the bonds by some dis- 
 tinctive mark or token. 10 be agreed upon with the Secretary of 
 the Treasury, then thesaid depositor shall be entitled to receive the 
 amount of said bonds in treasury notes bearing no interest and 
 outstanding at the pa6^ageof this act: Provided, The said bonds 
 are presented bctbre the privilege of funding said notes at par 
 shall cease, as herein prescribed. 
 
 Sec. 11. That all treasury notes heretofore issued.of the denom- 
 ination of five dollars, shall continue to be receivable in pa3'ment 
 of public dues, as provided by law, and fundable at par under the 
 provisions of this act, until the first of Jul}-, eighteen hundred 
 and sixtj'four, east, and until the first Octobei*, eighteen hundred 
 and sixty-four, west of the Mississippi river, but after that time 
 they shall be subject to a tax of thirty-thr«o and one-third cents 
 on every dollar pi'omised on the face thereof, said tax to attach 
 10 said notes wherever circulated, and said notes to be fundable 
 and exchangeable for new treasury notes, as herein |)rovided. 
 subject to the deduction of said tax. 
 
 Seo. 12. That any State holding treasury nuLos, received before 
 the times herein fixed for 'taxing sriid iiotes, shall be allowed until 
 the first day of January, eightecii hundred and sixty-five, to fund 
 the same in six per cent, bonds of the Confederate States, payable 
 twont}' 3ears after date, and the interest payable semi-annually. 
 JJut all treasur^^ notes received b}- an\' State after the time fixed 
 for taxing the same, as aforesaid, shall bo held to have been 
 received diminished by the amount of said tax. The discrimina- 
 
4 
 
 liuii l»cL\vt;eii liu: jiuLes subject to liic tux uiid tliust; not so subjoct 
 slijill be Ictt to tlio good faith of each 8tate. and the coi'titicate ol' 
 the Governor tliereot' shall in each oaso bo coneliis.ivo. 
 
 Skc. I'ii. That treasury notes heretofore issued, boariiig interest 
 at the rate of seven dollars and thirty et.Mits on tiie hundred dol- 
 lars per annum, shall no longer be received in payinerit of public 
 dues, but shall be deemed and considered bonds of the Confede- 
 rate States, payable two 3-eurs after a ratification of u treat}' of 
 peace with the United States, bearing the rate of interest speci- 
 tied on their face. i»ayubie on the first January in each and every 
 year. 
 
 Skg. 1-4. That the Scereturv of the Treasury be, and he it 
 iiereby auihorized. in ease the exigencies of the Government 
 should reC|uii"e it. to pay the demand of any ])ublic creditor whobe 
 debt may be contracted after tlie passage of tliis act, willing to 
 receive the same, in a certiticate of indebtedness to be issued by 
 said Secretery in such form as he nuiy deem proper, payable two 
 years after a i-atification of a treaty of peace with the United 
 States, bearing interest at the rate of six ]>er cent, per annum, 
 payable semi-annually, and transferable only by special endorse- 
 ment under regulations to bo prescribed by the Secretarj- of the 
 Treasury, and said certificates shall be exempt f'roni taxation in 
 principal and interest. 
 
 Sec. 15. The Secretary of the Treasury is authorized to increase 
 the number of depositories so as to meet th.e requirements of tins 
 act, and with that view to employ'' such of the banks of the several 
 States as lie may deem expedient. 
 
 Sec. 16. The Secretary of the Treasury shall forthwith adver- 
 tise this act in such newspapers published in the several States 
 and by such other means as sliall secure immediate publicitj'^, and 
 tlie Secretary of War and the Secretary of the Xavy shall each 
 cause it to be published in general orders for the information of 
 the army and navy. 
 
 Sec. 17. The forty-second section of the act for the assessment 
 ;ind collection of taxes approved May first, eighteen hundred and 
 sixty-three, is hereb}^ repealed. 
 
 Sec. 18. The Secretary of the Treasury is hereby authorized 
 and required, upon the application of the holder of any call cer- 
 lifieates — which b}' the tii-st section of the act -'to provide for 
 the funding and further issue of treasury notes," a])proved March 
 twentj'-third, eighteen hundred and sixty-three, was. required to 
 be thereafter deemed to be a bond — to issue to such holder a bond 
 therefor upon the terms provided by said act. 
 
 Approved February 17, 18G-i.