Mr. MORRILL moved that the rules be suspended, and that the House resolve itself into the ComWhole on the state of the Union on the special order. The motion was agreed to. v So the rules Were suspended 5and the House accordinvly resolved itself into the ComWhole on the state of the Union, (Mr. Dawns in the chair) and resumed the consideration of the special order being a bill of the House (No. 513) to amend an act entitled “An act to provide internalrevenue to support the Government, to pay interest On the iiblic debt, and for other purposes, ” approve Junc 30 1864, and acts amendatory thereof. The 1st section of the bill which was under consideration is as follows: That on and after the lst day of July, 1866, in lieu of the duties on unmanutacturedeotton, as provided in an act to provide internalrevenue to support the Government.to pay interest on the public cbt and forotherpurpose s.npprovedJunesO, 1864, asaniended by the note March 3, 1865, thercshall be paid by the producer.owner or holder, upon all cotton produced within the U.S and upon which no tax has been levied.paid or collected.a tax of live centsperpound, as hereinafter provided; and the wcight of such cotton shall be ascertained by deducting 4%. for tare from the grossweight of each hole or packagc; and such tax s iall be and remain alien thereon. in the possessio of any person whomsocver. from the timcwhen an cotton is producedas afore said until the same shall have been paid: and no drawback shall in any case be allowed on raw or uenxmponrnteudfaientu 3 deraowttopnr of any atnauxfapeatiudrtchdereon when But no tax shall be imposed upon any ccoottnodnitiiom imported from other countries, and on which an import duty shall have beenpaid. The pendiii question was on the following amendment O ered by Mr. LYNCH: Provided. That any producer may procure an exemption of not more than 600 pounds of cotton in anyone year, as follows: Upon exhibiting the gameto the asst assessor of the district wheresaid producer resides and where the cotton wasraised, at the placeof production and making oath that he raised and now owns said cot ton and satisfying the asst assessorthat his lworn statement is true. the asst assessorshall fitly mark the bale or bales of said cotton With the number of pounds. beingnot more than 600 as ascertained byweight then and there and with the following words: “Cotton producedin t, ciwsossment district in the collection district in, by, and owned by him on the day of, 18, and exempt from taxation; ” filling said blanks with the designation of the assessment district and also of the collection district. the name of the State. the name of the producer and owner, and the date when said exemption is so ascertainedand marked thereon. The asst assessor shall givo to said producer a certificate of such exemptionsetting forth the above facts, and also the place of production as near as can be and thodpayment of his foe. He shall also make a full recor of all such exemptions and transmit a transcript of thesometo the assessor. The asst assessorshall be allowed a fee of 2 dollars for all his sermon in eachcasoof exemption. to be paid by the producer. Any person swearing falsely in procuring such exemption; and any personusing or attemp tin to use the exemption ccrtiticate or marks provid for in this section with intent to procure exemtion for any other cotton than that.which was lawfu y exemptedas such certificatennd marks set forth: also, any person selling or giving away. purchasing or receiving such certificate or marks with intent to defraud or to aid in defraudin the revenue shall beliable. upon conviction therco. to a fine of 50 dollars or to not more than 3 monthsimprisonment. Under the provisions of this sectionno cotton in its unmanufactured state shall be exempt from taxation for morethan tenmenthsafter the date of its marks or ccrtificates of exemption. any person. other than the producer namedin the certificate and marks aforesai. who shall subsequentlyto such exemption claim propertyin anycottonsoexcmited. by virtnc of an ownership prior in date to sue exornptionmhall forfeit all snc cotton: and any cotton with referenceto whichthe owner or his agent shall commit any violation of this section shall also be forfeited.