But if there are considerations in favor of this new concession, equity counsels that there be excluded therefrom the Chinese in so far as relates to the imposition of the poll-tax, since they control all the business and are the only persons who really exploit that region.
Consequently, the chief of the division of direct imposts has the honor to report to your most illustrious Lordship:
1. That it be recommended to his high Excellency the Governor-General of these Islands, that, to take the place of the present franchises, there be granted again, at the proper time, to the ports of Jolo and Siasi, the exemption from the payment of all urban and industrial taxes in favor of the natives and of the Chinese established at those points.
2. That there be created at once the imposition of the poll-tax upon the Chinese.
3. That the natives and the civilian population be exempt from the payment of poll-tax.
Your most illustrious Lordship will, however, determine whatever he deems most expedient.
Manila, August 6th, 1897.
Marcelino Pacheco.
Office of the Intendant-General of the Treasury Division of Indirect Imposts
Most excellent and most illustrious Sir: In compliance with the decree which, under date of August 10 of the current year, your most illustrious Excellency saw fit to issue, to the effect that, in the shortest possible space of time the divisions of imposts should report upon the matters concerning each one in the proceedings set on foot by the politico-military governor of Sulu in regard to the expediency or the inexpediency of the renewal of the exemption from taxation enjoyed by the natives in that place, I have to state to your illustrious Excellency that: