Pending the reply of my Government to your representation respecting the
above tax, I think it may be convenient to put you in possession of the
facts urged by the Canadian Government against its repeal, and I
therefore inclose herewith, for the consideration of the Secretary of
the Treasury, an extract from the minute of council above referred
to.
[Inclosure.]
Extract from a report of the committee of the
honorable the privy council, approved by his excellency on the
6th of November, 1895.
The committee of the privy council have had under consideration a
dispatch, hereto attached, from Her Majesty’s chargé d’affaires at
Washington, dated 12th July, 1895, covering a copy of a
communication from the Acting Secretary of State at Washington, of
date 11th of July, having reference to the exaction by the Canadian
customs of an entrance and clearance fee of $1 from all “American
vessels” entering and clearing from Canadian ports, and expressing a
hope that Her Majesty’s Government would see its way to promptly
equalizing the charges on American vessels entering and clearing
from Canadian ports with the entrance and clearance fees imposed on
Canadian shipping in the Dominion, to the end that the President may
not have to issue proclamation which this discrimination against
United States shipping calls for.
The minister of trade and commerce, to whom this question was
referred, desires to express regret at not having made earlier
report, delay having unavoidably occurred in procuring necessary
information.
The minister observes that a similar complaint was made by the United
States authorities in November, 1887, which was then fully
investigated and reported upon as per copy attached, marked A.
It was then shown that the fees exacted from American vessels
entering Canadian ports were but small as compared with those
exacted from Canadian vessels visiting American ports.
The minister further observes that since then, however, the United
States law has been somewhat modified, section 22 of the act of June
10, 1890, having provided for the abolition of certain fees; but it
appears from the list of fees so abolished and of those still
collectible, as detailed in the Customs Regulations of 1892,
published by the Treasury Department (chap. 30), that there are
still collectible on the seacoast,
[Page 711]
Gulf, and Western rivers the following fees
connected with the entrance and clearance of vessels from any
foreign port:
| Granting permit to a vessel not belonging to a citizen
of the United States to go from district, and for
receiving manifests |
$2.00 |
| Receiving manifests and granting permit to unload on
arrival from one district to another |
2.00 |
| Entry of vessels of 100 tons or more from foreign
port |
2.50 |
| Entry of vessel under 100 tons |
1.50 |
| Clearance of vessel of 100 tons or more for a foreign
port |
2.50 |
| Clearance of a vessel under 100 tons |
1.50 |
| Port entry |
2.00 |
To which list may be added various fees for minor services of from 20
to 40 cents each. In addition to which there are exacted consular
fees, for certifying of invoices of goods shipped, of $2.50 when the
invoice amounts to $100 or over, and on invoices under $100, $1; and
under special regulations a further consular fee at certain ports of
$2.50 for “bill of health.”
Among the fees collectible at ports and places on the Northern,
Northeastern, and Western frontier of the United States, on vessels
navigating otherwise than by sea, are the following:
| Entry of vessels directly from foreign port |
$0.50 |
| Clearance of a vessel sailing directly to a foreign
port otherwise than by sea |
.50 |
| Port entry |
2.00 |
And various other fees for minor services of from 20
to 50 cents each. That the exaction of entrance and clearance fees
of 50 cents is still enforced is evident from the terms of a
circular issued from the Treasury Department at Washington, bearing
date 1st July, 1895, which reads as follows:
Fees for entrance and
clearance not abolished.
Treasury Department,
July 1, 1895.
Sir: This Department is in receipt
of your letter dated the 26th ultimo, submitting a protest
by Messrs. F. W. Myers & Co., against your action in
assessing fees of 50 cents for entrances and clearances of
vessels in your district.
Such fees have been heretofore collected under section 4382
of the Revised Statutes, which prescribes a fee of 50 cents
for the entry of a vessel direct from a foreign port, and a
similar fee for clearance of a vessel direct to a foreign
port.
These fees were not abolished by the act of June 10, 1890, or
by any other act of Congress. They are plainly prescribed by
the statute cited, and should be collected as provided for
by the Department’s instructions embodied in the circular of
October 14, 1890.
Respectfully, yours,
S. Wike, Acting Secretary.
Collector of Customs, Plattsburg, N. Y.
In addition there is still exacted, not alone at ports on the
seaboard, but at inland and lake ports, a tonnage tax of 3 cents per
ton on Canadian vessels, such tax being collected on each entry when
not exceeding five entries per annum, vide customs receipts given at
the ports of Portland and Ellsworth, Me., Boston, New York, and at
Ogdensburg and Oswego, as per copies marked B.
It thus appears that the fees exacted from Canadian vessels entering
United States ports are in all cases fully equal to and in some
cases far exceed those exacted from American vessels entering and
clearing at Canadian ports along the frontier in question.
The minister submits that the fee is not in the nature of a tonnage
tax or lighthouse dues or other equivalent tax, but is exacted from
all vessels navigating inland waters when entering or clearing at
any port above Montreal, for each report inward or clearance
outward, such fees to be exacted from all vessels, irrespective of
their nationality, with the exception of vessels holding coasting
licenses.
Such fees are considered as an equivalent for all custom-house fees
which otherwise might be charged in detail, and from the only
customs charges which vessels from the United States or elsewhere
are called to pay in Ontario ports.
The minister is pleased to note that in accordance with recent
decisions the United States authorities have very materially reduced
the fees exacted in connection with the customs business, thus in a
great measure facilitating the intercourse so desirable along the
frontier between the two countries, the Canadian authorities having
long since dispensed with all such fees with the exception of those
at present in question; and while regretting that any fees are still
exacted by the United States authorities, he can not, while such
exactions exist, recommend legislative action with
[Page 712]
a view to a change in the law which
provides for the exaction of the one remaining fee from foreign
vessels entering Canada at ports above Montreal, but would, were the
United States authorities disposed to abolish those fees still
exacted by its officers, heartily recommend such a change in the law
as would permit of a removal of the fees exacted in Canada herein
referred to.
