Gazette Of The United States

SALEM, May 19, 1789.

Extract of a letter from a gentleman in Congress to his friend in this town, May 11.

"Much will depend on gentlemen in the commercial line, for supporting the public measures. You justly observe, that an impost appears almost the only practicable method of raising moneys, for the exigences of government. Therefore, if the duties are laid so low that they will fall far short of those exigences, in case the whole should be collected, how is the deficiency to be supplied? The duties which have been agreed to by the House of Representatives, according to the highest estimate that has been made, will not much exceed two millions of dollars; and the supplies necessary for the current expenses of the year and the annual interest of the national debt, will amount to about 2,800,000 dollars. One great object which the States had in view, in instituting the new government, was the advancement of justice, and support of public credit: If these objects are not attained, they will be disappointed. The duties imposed will be paid by the consumers; so that the tax will not be borne by the merchants; they will consider the duties as part of the prime cost of the goods, and make their profits on that as well as on the purchase money. Nor do I think the burthen will be very sensibly felt by the people—the payment will be gradual, as they shall have occasion to consume the goods. The temptations to smuggle will not be so great as heretofore, in proportion to the amount of the duties: Under the British government, it was thought a virtue to evade payment in this country, because they were unconstitutionally imposed, by Parliament. The duties that have been laid under the State governments were unequal, some States laying them higher than others, which was an embarrassment to commerce—and the monies raised were only for the benefit of the State where they were collected—which operated inequitably when the goods were consumed in other States: But now the duties will be equal in all the States; they will be laid by the Representatives of the people, and be applied for the benefit of all, to support the government which they have established, and to pay the interest of the debt incurred for establishing their liberties and independence. These considerations, I trust, will have sufficient weight with every honest and virtuous citizen, to induce him cheerfully to pay the duties. Much attention has been paid to equalize them upon the several articles, so that the citizens of one State, or one branch of commerce, may not be burdened more than another. There has been considerable debate upon the article of Molasses; and it would doubtless have been rated lower, were not so great a proportion of it distilled into rum. As it affects the distilleries, it is supposed that that branch will be not burdened more than other branches, or the proportion between imported rum and N. England rum be much altered, and what alteration is made will be in favour of N. E. rum. I suppose the duty on molasses consumed in substance should have been about 4 cents per gallon, to make it equal to salt, in proportion to the value of each article, But molasses, tho' a very useful article, is not quite so necessary as salt; so that if the people reduce the consumption of it one gallon in six, it will not cost them more than if no duty had been laid on it; but if we consider the extra duty above 4 cents, and lessen the consumption 1 gallon in 18, it will remedy the evil, and not lessen the profit of the importer, for he will make his advance on the duty as well as on the prime cost. The duties on articles imported from the British W. Indies will be only in British bottoms, and the importer must pay them in the first instance, and probably must bear a part of them ultimately. The importation of dutied articles will be from foreign countries, and consequently in pretty large vessels; so that the collection may be more easily secured than in small boats and coasting vessels."