Truth-Bringer
Member
- Joined
- Jan 30, 2008
- Messages
- 601
Thomas Jefferson repealed all internal taxes and ran the government solely from trade tariff revenue.
"1800 - With the assistance of his Secretary of the Treasury, Albert Gallatin, newly elected Republican President Thomas Jefferson sought to reorient the fiscal policy of the United States. Jefferson’s four main goals included: (1) a reduction in government expenditures, (2) a balanced budget; (3) a decrease in the size of the national debt, and (4) alleviation of the tax burden. The latter two objectives seemed to conflict with one another; specifically, Jefferson's desire to abrogate Hamilton's funded debt plan and retire all government obligations as judiciously as possible required a steady stream of revenue.
Nevertheless, Jefferson abolished all internal taxes, including the whiskey excise tax and the land tax. Meanwhile, the Napoleonic Wars in Europe, though a diplomatic minefield for American statesmen, proved a significant stimulus to the economy of the United States. Vigorous commerce enriched merchants while customs duties swelled the federal Treasury. By 1808 the national debt had been reduced from $80 million to $57 million, even though the Louisiana purchase had added an $11 million liability. By 1806, duties proved so lucrative that Gallatin and Jefferson fretted about what to do with the surplus above that required for debt retirement. Treasury reserves increased from $3 million to $14 million between 1801 and 1808."
http://www.tax.org/Museum/1777-1815.htm
"Jefferson got repealed all the direct federal taxes passed by the Federalists and boasted that ordinary Americans would never see a federal tax collector in their whole lives."
http://www.friesian.com/presiden.htm
"In his term, Jefferson wanted to limit the national government's power. He also wanted to cut the federal budget and lower taxes. Jefferson promised to pay off the national debt, which at that time was $83 million. He encouraged agriculture and trade. To help cut spending, he appointed Albert Gallatin as secretary of treasury. Gallatin worked in the House of Representatives and was a brilliant financer. He greatly cut military and naval spending. Gallatin also cut the staff of the executive branch. Together, he and Jefferson cut the national debt to $43 million. This allowed Jefferson to repeal exise taxes on whiskey and other products and ended all internal taxes."
Link
"When Thomas Jefferson was elected President in 1802, direct taxes were abolished and for the next 10 years there were no internal revenue taxes other than excises."
http://www.ustreas.gov/education/fact-sheets/taxes/ustax.shtml
(Note: the government's site is inaccurate on details. Jefferson was elected in 1800 and the excise taxes were repealed also.)
And after Jefferson's repeals, the Federal Government continued to operate without any permanent internal taxes until 1860:
"Madison’s Notes on the Constitutional Convention [see Federalist Paper #45] reveal clearly that the framers of the Constitution believed for some time [and wrote this requirement into the Constitution] that the principal, if not sole, support of the new Federal Government would be derived from customs duties and taxes connected with shipping and importations. Internal taxation would not be resorted to except infrequently, and for special [emergency] reasons. The first resort to internal taxation, the enactment of internal revenue laws in 1791 and in the following 10 years, was occasioned by the exigencies of the public credit. These first laws were repealed in 1802. Internal revenue laws were reenacted for the period 1813-17, when the effects of the war of 1812 caused Congress to resort to internal taxation. From 1818 to 1861, however, the United States had no internal revenue laws and the Federal Government was supported by the revenue from import duties and the proceeds from the sale of public lands. In 1862 Congress once more levied internal revenue taxes. This time the establishment of an internal revenue system, not exclusively dependent upon the supplies of foreign commerce, was permanent."
"1800 - With the assistance of his Secretary of the Treasury, Albert Gallatin, newly elected Republican President Thomas Jefferson sought to reorient the fiscal policy of the United States. Jefferson’s four main goals included: (1) a reduction in government expenditures, (2) a balanced budget; (3) a decrease in the size of the national debt, and (4) alleviation of the tax burden. The latter two objectives seemed to conflict with one another; specifically, Jefferson's desire to abrogate Hamilton's funded debt plan and retire all government obligations as judiciously as possible required a steady stream of revenue.
Nevertheless, Jefferson abolished all internal taxes, including the whiskey excise tax and the land tax. Meanwhile, the Napoleonic Wars in Europe, though a diplomatic minefield for American statesmen, proved a significant stimulus to the economy of the United States. Vigorous commerce enriched merchants while customs duties swelled the federal Treasury. By 1808 the national debt had been reduced from $80 million to $57 million, even though the Louisiana purchase had added an $11 million liability. By 1806, duties proved so lucrative that Gallatin and Jefferson fretted about what to do with the surplus above that required for debt retirement. Treasury reserves increased from $3 million to $14 million between 1801 and 1808."
http://www.tax.org/Museum/1777-1815.htm
"Jefferson got repealed all the direct federal taxes passed by the Federalists and boasted that ordinary Americans would never see a federal tax collector in their whole lives."
http://www.friesian.com/presiden.htm
"In his term, Jefferson wanted to limit the national government's power. He also wanted to cut the federal budget and lower taxes. Jefferson promised to pay off the national debt, which at that time was $83 million. He encouraged agriculture and trade. To help cut spending, he appointed Albert Gallatin as secretary of treasury. Gallatin worked in the House of Representatives and was a brilliant financer. He greatly cut military and naval spending. Gallatin also cut the staff of the executive branch. Together, he and Jefferson cut the national debt to $43 million. This allowed Jefferson to repeal exise taxes on whiskey and other products and ended all internal taxes."
Link
"When Thomas Jefferson was elected President in 1802, direct taxes were abolished and for the next 10 years there were no internal revenue taxes other than excises."
http://www.ustreas.gov/education/fact-sheets/taxes/ustax.shtml
(Note: the government's site is inaccurate on details. Jefferson was elected in 1800 and the excise taxes were repealed also.)
And after Jefferson's repeals, the Federal Government continued to operate without any permanent internal taxes until 1860:
"Madison’s Notes on the Constitutional Convention [see Federalist Paper #45] reveal clearly that the framers of the Constitution believed for some time [and wrote this requirement into the Constitution] that the principal, if not sole, support of the new Federal Government would be derived from customs duties and taxes connected with shipping and importations. Internal taxation would not be resorted to except infrequently, and for special [emergency] reasons. The first resort to internal taxation, the enactment of internal revenue laws in 1791 and in the following 10 years, was occasioned by the exigencies of the public credit. These first laws were repealed in 1802. Internal revenue laws were reenacted for the period 1813-17, when the effects of the war of 1812 caused Congress to resort to internal taxation. From 1818 to 1861, however, the United States had no internal revenue laws and the Federal Government was supported by the revenue from import duties and the proceeds from the sale of public lands. In 1862 Congress once more levied internal revenue taxes. This time the establishment of an internal revenue system, not exclusively dependent upon the supplies of foreign commerce, was permanent."
I kid I kid, but seriously, we do not need a standing army. It is a drain of resources, men, and material.
