File No. 812.512/721.

Mr. D. C. Brown to the Chief of the Division of Latin American Affairs.

My dear Mr. Canova: As you possibly may not have received it, I enclose translation of a Carranza decree of June 19 which I have just received.

[Page 925]

This decree, which was issued before the Department’s telegram of June 30 on this general subject was sent out, shows a slightly favorable tendency. It, however, makes no change in the tremendously exorbitant and arbitrary rate of taxation which General Carranza decreed on March 1st last and still proposes to enforce. What his present decree is extending is not the payment of current taxes (as, for instance, those of the present tercio, which must be paid this month) but only the tax arrears for previous tercio which he has not yet been able to get hold of.

Yours very truly,

D. C. Brown.
[Inclosure 1—Translation.]

Carranza Decree of June 19, 1915, relating to extension of time of payment of mining pertenencia tax.

I, Venustiano Carranza, First Chief of the Constitutionalist Army, in charge of the Executive Power, and Chief of the Revolution, by virtue of the extraordinary authority conferred upon me, have seen fit to decree the following:

Article 1. Extension is granted to October 31 next of the period fixed by Transitory Article 2 of the decree of March 1 of the present year.

V. Carranza.

[Inclosure 2—Translation.]

Carranza Decree of June 19, 1915, waiving payment of taxes in districts controlled by the reactionary element.

[The usual preamble, as above.]

Article 1. Taxes which those subject to the same have been obliged to pay up to the date of reoccupation of each place or town by the Constitutionalist forces, are hereby waived.

Article 2. Taxes which are found to be in arrears at the time of occupation of these places by the Constitutionalist forces, will be collected without any penalty for delinquency, provided the payment is made within one month following the date of occupation. At the expiration of this time the collection will be made, together with the penalty.

Article 3. The Constitutionalist Government will not recognize in any case the advances made to the usurping authorities for account of taxes corresponding to a period subsequent to the occupation of the places by the Constitutionalist forces, and therefore all taxes corresponding to a period subsequent to the date of occupation of such places will be collected, independently of the fact that they may or may not have been paid to hostile authorities.

V. Carranza.