The sun. [volume] (New York [N.Y.]) 1833-1916, 1893-11-25
No INCOME TAX IN THE BILL
THE hDMINIsrRA IIoN rs OPPOSED TO
THE PROPOSITION,

Tax on Ipeomss from Rents and Lses-
eies and on the E.rpi.ss OF Corporations
The Tax on whi.key 20 ne Incr~assa
Perhaps 40 Cents on n Gaiion-No r.
eision on the Question Of . Sugar Tvs.
WASHINGTON Nov. 24-At the Cabinet meet
ing to-day the most important question dis
cussed was whether the Administration should
endorse the proposition for an income tax.
which large number OF Congressman are In
favor OF including in the new tariff bill 1t has
been ascertained that the discussion resulted
in q determination to oppose this proposed
change in the law. But whatever the attitude
OF the Administration. II 10 now practically
settled that the new tariff bill will not include
tax on individual incomes. This conclusion
was practically reached at the meeting Of the
Ways and Means Committee to-day. In adj
dltion to discussing this important matter the
committee spent the greater part OF the day
in figuring uron the effect which the proposed
reductions in duties will have upon the reve-
nues OF the Government The result OF this
labor will become apparent on Monday. when
u statement explaining the various changes
will accompany the bill The preparation Of
these figures has been very tedious task. but
By their aid the bill will be Ineligible
In framing the tariff bill the committee has
kept two things prominently In mind. The
first was tho redemption OF the pledge In the
Democratic platform. as the committee In
terprets Il. that the tariff should be for rev.
enue only. without affording unnecessary
protection to the Manufacturers The Sec
ond was an increase in the revenues OF the
Governm ent. SO that the deficiency which
now threatens might be made good. and the
current expenses OF the future met without
embarrassment When the bill Is made public
next week II will be found that the first point
has been gained. The bill will show radical
reduction all along the line. even to degree
not now anticipated. 1t is said that there will
not be q single ad valorem duty in the entire
bill over 80 per cont. although in the McKin-
ley bill the rate runs up in some instances as
high as nearly 200 per cent The free list will
be found to be materially enlarged. and on
manufactured articles the duty will be cut to
the lowest possible notch.
1t has been comparatively easy to fx tho
rate OF duties on the various schedules, but It
has been more difficult to find the channels
through which the money shall fiow into the
depleted Treasury. Many members Of the
committee. and particularly those from the
South. looked to the income tax as the great
est factor in this direction. but. as above
stated. the original idea regarding this tax
has been virtually abandoned. 1t was at first
proposed that Q tax should be put ON incomes
OF 1000 and over. but the opposition has been
so strong that no tax OF this character will be
put In the bill There will be an income tax.
but It will be levied upon incomes from rents
and legscies, and the earnings OF corporations
will also be assessed In some degree. 1t
is expected that this compromise will
60 far toward allaying the objections
which have been raised against an income tax.
objections which have been made by some OF
the most prominent members OF the Admins
tration. In the committee the fight has been
very bitter. and has been led By Mr.. Bourke
Cochran and other Eastern members Even
Chairman Wilson has not been very enthusi-
@ In fs SesH I.,, May haze S. sssn
yesterday Mr.. Isidor straus Of New York was
committee and urging them NOT to do such
i fatal thing as fastening an income tax upon
With the range of the income tax narrowed
down to these lines and the revenues thereby
decreased. the committee has found It neces-
that as soon as the bin goes into effect i the re-
crease. but this resource will not be available
for some months. In the mean time y money
viii have sss shsTS %ss at rss rro
tau win bs a good deal higher than this. and
enc %shs Ss IS sssts
sugar Is I TshS
bsrs OF the committee who were ayerse to
dS To- on ssng
a slight tariff will have to be placed upon
sugar n ?, order to RrSyds rsyenue Il e eS
this su6iest TO- morrow This question Of rev. "
al sSs tho e Shsn e
N IA
Wool was over $1,000 90. while on the manu-.
wiped out but the revenues will decrease.
hall leaving iSs s2S6o0ooU to be- raissd
that cont fronts the conmittee q the Likelihood
will fall on In anticiPation Of the low rate OF
duty Of the new bill This will keep down the
dollars. bat there does not seem to be any way
In which this contingency can be avoided
ator SSo1hsss 10 tSe ssea tSst he Oy T ssh
bill will be passed By both Houses and signed
by the President as early as the lat Of Fsbrn;
make good progress Il it Is sent to the Senate
By that time, and then. when It has reached
jsctsd to q complete examination and over S
hauling. twill be remembered that the tariff
plank arst proposed IN the Chicago Conysn-
necessity OF A1Ording incidental protsc-
tioE to the, American laboreE. Senator
MCPHERSON will In all probability be the Chair
man OF the sui. commtttee Of the Finance
Committee which will have charge OF the
Tariff bill and while he is not now in WASH
ington. II can be stated that he proposes TO see
that the bill works no injury to the laboring
men. 1t IL probable that the items OF the bin
will be carefully examined to determine
whether the rate OF duty as fixed by the House
committee covers the difference between
the cost OF labor in foreign countries and In
the United st9tes. and where this difference 10
not observed the duty will be raised. II possl-
BILE. to the ngure necessary to secure the
American la6orer AGAINST the competition OF
tine underDaid labor Of Europe. The mem beTs
OF the House Committee say that they have
nothing TO fear from such an examination, { ut
II II is made, as Is now predicted. IL will con-
sumo a eat deal OF time. and the bill will not
be apt to go to the President until next
The sections Of the bill which have been
com leted have been sent to the Government
printing office In order that the proofs may ia
ready for distribution on Monday morning
There were Tumors yesterday that the draft IN
the measure would be made publ before that
time In the Administration Syndicate news-
papsrs. but the members OF the COMMITTEES
Eoiemnly sWOTe that the advance Qualifications
would not be made with their knOWlsdga,
There has heen a great deal OF criticism OF the
secrecy maintained ~ the Committed esDaei-
ally "a il has resulted In the publication al in
correct informs alton which has done harm Nj
S,r',-. =, has haan AsDeeiallV aefiva H. ~