The proportion of revenue calculated from the various sources has
fluctuated but little in the different budgets. The proportions
appearing from the budget of 1916 are here shown, as well as those of
the budget of 1910, at which period the interior revenues were
administered with less leakage.
Per cent of total
1910 1916
Customs duties........................ 77.2 81.7
Impost on alcohol..................... 6.8 4.4
State railroad........................ 6.4 ...
Revenue stamps........................ 3. 3.6
State wharves......................... 2.1 4.4
Port dues............................. 1.5 1.8
Stamped paper......................... 1.4 2.
Post offices.......................... .7 .8
Consular fees......................... .4 .9
National telegraph and telephones..... .3 .2
Miscellaneous......................... .2 .2
-----------
Total........................... 100. 100.
Almost 95 per cent of the customs receipts are obtained from import
duties. The present customs tariff, which took effect on January 1,
1910, made a radical change in the Dominican tariff system and was a
step in the country's financial regeneration. Theretofore the
Dominican tariff system was about as unscientific as could be
imagined. It had been a tariff for revenue only, in the sense that
the object was to obtain all the revenue possible and more;
accordingly the common necessities of life were most heavily taxed.
Originally, it appears, the tariff provided for the payment of an ad
valorem duty on goods imported; later the discretionary power involved
in the appraisement was taken away and a fixed, arbitrary value was
assigned by law to each article, and on this value, known as the
"aforo," a specified percentage was payable as customs duty.
Successive governments, in their efforts to raise money, gradually
increased this percentage until it reached 73.8 per cent. As the
"aforo" valuation was as a general rule higher than the real value the
imposition of so elevated a tax made all imported articles
inordinately expensive. With respect to many items the lawmakers
overreached themselves, for the duties were raised far beyond the
point of maximum return.
For years a desire prevailed to adjust the tariff on a rational and
equitable basis, but as there were no statistics and the government
feared its income might be reduced, nothing was accomplished. After
the establishment of the receivership, full statistics of imports and
exports became available. The general receiver's office and the
Dominican government accordingly drafted a new tariff, to which the
American government agreed under the terms of the fiscal convention.
Public-domain text, read in full here on John Shaqi.
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