Mr. BLAINE. I move the following amendment: Insertvafter the word "thereof" in line 2440, asfollows: nd provided further. That in lieu of all other taxesimppse don national banks there shall hereafter be IOVICtI, collected, and paid a tax of 1/2 (%. perannumon the averageamount of their oposits. Mr. Chairman, I wish to make a statement of one or 2 minutes on the question of taxation as it will hereafter affect the national bankin system. By the decision of the Supreme ourt of the U.S. the stock of national banks has become subject to local and municipal taxation. I know a great many gentlemen indulge the hope that that decision will be reversed or that Congress will declare the stock based on U.S. bonds exempted from all local taxation. I do not believe any gentleman here will live long enough to see either result attained. We must therefore make up our minds henceforth that the property of national banks is to be taxed by local authority as other operty is taxed. I consider. that is incvitally settled and permanent. It is no longera theory; it has become a stub born fact. The question is whether we shall tax these nati banks in an extraordinary manner by the national Government. We tax them 2 dollars per 1,000 upon their capital. We tax them 5%. semiannually on their net earnings. We tax them 1%. on their circulation and 1/2 or cent. on their average deposits making t us an aver age aggregate taxation by the national government of more than two%. on the ca ital of national banks. am informed this morning by the Comp troller of the Currency 1/2 of 1%. on the gross deposits on the present uv eruge in the banks will yield $2, 600,000, while all the expenses of the Currency Bureau will not be over $260,000 a year. The tax which I propose will therefore yield ten times as much as all the on cases involved in conducting the Currency ureau, and I include cost of e ving and renewing notes, clerk hire, and alincidental charges. By our own action here. whether intended Or not, these banks have lost the immunity which they thought they had when they were organized, that they were to be free from til local and municipal taxation. it is now from 2 to 5%. throughout the U.S. The city banks, with large deposits, may not care for it, while it will result in driving the country banks to the wall. l repeatit, sir, that, stand it as Well as the city banks may, the currency hanks, under the duplex system of taxation now in force from the General government and the local authorities, will event ually destroy the weak banks in the country. We have no power over local taxation. That may be said to have passed from our control; but we do have power to relieve alarge portionof the burden we now put upon them by national authority. I do not believe we should use these banks as a source of revenue, to the destruction of their business. If we get ten times as much out of them as they cost us, I think the General Government ought to be satisfied With it.