US Presidency
1929

TAX REDUCTION The estimate submitted to me by the Secretary of the Treasury and the Budget Director indicates that the Government will close the fiscal year 1930 with a surplus of about $ 225,000,000 and the fiscal year 1931 with a surplus of about $ 123,000,000. Owing to unusual circumstances, it has been extremely difficult to estimate future revenues with accuracy. I believe, however, that the Congress will be fully justified in giving the benefits of the prospective surpluses to the taxpayers, particularly as ample provision for debt reduction has been made in both years through the form of debt retirement from ordinary revenues. In view of the uncertainty in respect of future revenues and the comparatively small size of the indicated surplus in 1931, relief should take the form of a provisional revision of tax rates.