Omaha daily bee., 1893-12-17
INCREASING INTERVAL TAXES.

INCREASING INTERNAL TAXES.
The problem of internal taxation has
caused the democratic members of the
ways and mean committee more per-
plexity than did the revision Of the
tariff, and they are not yet done with it..
In consequence of their inability to
agree upon the excise features Of the new
revenue policy coincident with the
changes made in the tariff schedules
the consideration of the new blu in con-
gross will probably not be entered upon
before January, the country has been
kept without knowledge of tho recon-
mendations OF the secretary of the treas
ury for a longer time than ever before,
and the very important matter
of providing against a treasury de-
felt of many millions-the amount
cannot now be estimated with any ap-
proach to ac~curacy-is still unsettled.
1t is admitted on all hands that the re-
duction in the customs revenue under
the Wilson bill, as it will go to congress,
will be from $4,000, 900 to $50, 900, 900.
Possibly this loss will be somewhat de-
StSS pc viz oltpRol tOl . vi bIldO llCu5-
ure assume, after business becomes ad-
justed to the new conditions and i'm
portations increase. but in the meantime
there will be a wide margin between the
receipts of the government from this
source and the expenditures.
To meet and overcome this deficiency
the democrats propose to increase in
tprnal tnynS on1 in tho anlaorNr 10
agree upon a plan more than two weeks
have been consumed since the
tariff bill was given to the public,
and the task is not yet completed. Some
things have been decided upon, as
doubling the tax on cigarettes, i'm
posing an income tax on corporate in
vestments, legacies and inheritances.
and a specific tax on playing cards,
proprietary medicines, and a few other
articles, but these proposed additions
will not meet the threatened exigency.
The increased revenue from these
sources probably would not offset one-
third OF the loss from customs. 1t is
well understood that political ~calcula-
tions enter largely into the considera-
CiOh VI Vhio plODlcm u luItEIldl IdxdUlOn.
At the outset it was proposed to in
crease the tax on whisky and beer. 1t
is estimated hat an additional tax
OF 10 cents per gallon on dis
titled spirits would yield &c., 0O,-
600 and an additional tax on beer
Of 30 cents per barrel would add &c.
000,00 to the receipts from that source.
| p,t thngA MAO ,l I'll Ill --
resented at Washington, vigorously OPP
pose any increase of taxation and the
democratic members of the ways and
means committee desire to avoid giving
ottense to the manufacturers and
dealers in distilled spirits and fermented
liquors. Some time ago the brewers
were given a private hearing by the
committee and they agreed that an ad-
ditional tax would be disastrous TO the
industry, as the margin of profit was
not large and the price to the consumer
could not be increased. 1t was also
argued that an increase in the tax would
result in a resort to adulterants and the
public health would suffer. But what
made the greatest impression on the
COtniIltJcc, IL Is Sdlu, diu leu lHb cOm-
mittee to assure the representatives OF
the brewers that no change would be
made in the law relating to fermented
liquors, was the assurance that any in
crease in the tax would be used agains,
the democrats in the next congressional
elections. There 10 trustworthy au
thority for the statement that the aban
donment of the proposition to increase
the tax o. fermented liquors was due u
the apprehension that such an addition
would he made by those engaged in the
manufacture and sale of beer a pretex'
for opposing the democrats at the con
%gressional elections of next year.
The committee must agree on SOM
plan shortly, and having abandoned
whisky and beer as objects of additiona
taxation it would not be surprising i
an agreement was finally reached on al
individual income tax. 1t il a vexatiou!
dilemma in which the democrats hav,
placed themselves. and in whatever wa
they get out of II at present it is certain
to give them future trouble.