The Austin weekly statesman. (Austin, Tex.) 1883-1898, 1893-12-07
WHISKY AND TOBACCO
TAX WILL NOT BIZ MATERIALLY IN
CREASED BY NEW BILL.
Members Of Committee Have Lsarned q
Thing or Two During the Invsstiga-
tiOn-Incoms Tax win Be Con.
hnsd to Narrow Limits.

WAsHIN GToN, Nov. 30.-Those who
have n counting upon an internal
revenue bill to be reported by the
Democratic members of the committee
on ways and means which would rev.
olutionize the whisky and tobacco tax
may be disappointed The whole ques-
ton of internal revenue has been dis
cussed and wide range of plans can.
vassed. The question was found to be
difficult, and it is asserted that some
members of the committee have
changed their views on material points
since the change of opinion begun. 1t
is said for instance that almost all the
members were favorable to heavy in
crease of the tax upon whisky and to-
bacco when they first met as COM
mittee, but it is now asserted that the
views of many have undergone such a
radical change that it is even doubtful
whether a majority will be found
favorable. to any increase what
ever. Members of the committee
also find reasons for hesitating over a
change in the tobacco schedule. 1t is
asserted that the influence of Carlisle
is being exerted against any material
increase in these revenue rates.
Later information is confirmatory of
the prediction that the income tax will
not extend much beyond the imposi-
ton of a tax upon the net earnings of
corporations and upon requests; also a
stiff tax will be levied upon proprie
tary medicines. 1t is not believed the
committee will find many sittings nee
essary to complete the internal reve.
nue. bill and predictions are made that
it will be sufficiently advanced to
make public Friday night or Saturday
One great problem which is now agi
tating the committee Is that of finding
means of making good the deficiency
which will be caused by tariff reduc.
tions, and some members are said to
have reached the conclusion that to do
their best there will be imperfections
when the bill shall have passed the
house which will be left to the senate
to deal with, and they count upon
many changes in the latter body.
Even this early it is limited that the
senate committee on finance will re-
port q substitute for the entire bill.
COMMODORE sTANToN's CASE.
Action in the case of Commodore
Stanton has been deferred by the de.
partment until his arrival in Washing
ton in compliance with orders issued
when he was detached to proceed
home. 1t is not likely that any plan
has been determined upon for dealing
with his case, as so many intimations
Il ~ int trn nj
cumstances in connection with his
salute of Mello's flag, and nothing will
be decided on until after he is heard at
the department.
CONCLUDING IT'S WORK.
Reports from the subcommittee on
agriculture Investigating the low price
OF cotton, are that the committee has
almost concluded its investigation in
the cotton growing districts The
committee is at present in New Or
leans.
THE INCOME TAX.
1t is definitely determined that the
income tax system to be reported by
the ways and means committee will be
confined to tax On the net income OF
all corporations and tax on success
sion and legacies. Bryan, Mcmillan,
Whiting and others made strong
fight for a plan broad enough to in
clude all incomes of individuals in ex.
cess of $4,000 per annum, but they were
forced to acquiescence in the will OF
the majority and abandon the gradu.
ated income tax in favor of one apply.
ing only to corporations and
SUGGESTIONS. The committee in
its report to the house
will state that the greatest money
earning powers OF the country are cor
porations. while the risk to individual
stockholders are less than the risk in
any private business. Corporations
derive special advantage from legisla-
ton, one which Is in the event of COM
mercial disaster the stockholders only
are liable to the extent OF the full value
of the stock subscribed and that to of
set these special advantages they
should bear generous bur-
den of expenses OF govern
ment. The tax on corporations, there.
fore will not be graduated one, but
will apply to all net earnings OF what
ever aggregate. But the gross amount
of SUGGESTIONS aid legacies will be
taxed. SUGGESTIONS and legacies In
this connection of course apply only
to personality and moneys. The
Democrats OF the committee have also
directed the increase of rates on ciga.
rettes and impose a tax on playing
cards. The internal revenue tax on
whisky is still an open question, the
committee maintaining studious re-
ticence on the subject for fear OF
manipulations of the stock exchange.