St. Paul daily globe. [volume] (Saint Paul, Minn.) 1884-1896, 1894-06-28
HILL CONTINUES HIS WAR.
ne WASTES sE0THER DsY FIGHTING
THE Wc9lsE TAX
LEATEN AT EVERY POINT.


Is Individual Incomes Under
$4,000 Were Exempt From Tax
alton He Could Not Under
stand Why Small Corporations
Should Not Be Treated Like
wise.
WASHINGTON. June 27.-Only eleven
senators were in the chamber when
Vice President Stevenson raped to
order today. Twenty minutes were
spent awaiting the appearance of a
quorum. A bill to amend the act pro-
vlding for time and places for holding
terms of the United States court in the
state of Washington was passed. Then
the debate OH the income tax provisions
OF the tariff bill was resumed. The
pending amendment was that of Mr..
Allison to exempt corporations, COM
panies or associations having capital
stock OF less than 100000.
MIR. Hill immediately took the floor.
The theory of this income tax, said he,
was that incomes from Individual in
yeStments, unless they exceeded $4,000,
should not be subject to the tax. But
no such limitation existed as to corpor-
ations. He could see no reason for the
distinction. He thought some amend.
ment should be adopted that would give
a small corporation the exemption
granted to individuals. Mr.. Vest, IN
reply to Mt. Hill. said that under the
present system of taxation, the
TARIFF SYSTEM,
the citizens paid upon consumption. 1t
was unjust and unequal. The poor paid
practically as much Us the rich. Prop.
erty and incomes, in his opinion, should
pay for the protection Of the govern
ment. Why should taxes be levied, not
upon the property. but upon the wants
of the citizen? The $1,000 exemption to
individuals. whether the figure was the
correct one or not, was the AMOUNT fixed
as the cost OF living.
Corporations CONSUMED nothing; they
were entitled to no exemption, and
should have none.
Mr.. Vest thought the bill was pc
euliarly just ard considerable of corpora
lions. If the rule that applied to indi-
Giduals was TO be applied to corpora
lions, the exemption of 900 should be
allowed corporations large or small.
Mr.. Allison modified his amendment
so as to exempt corporations whose
capital ana surplus did hot exceed $780,
e0U, the cost of Insurance, ETC., of any
manufacturing or trading company to
se considered in estimating expenses.
MI. Allison finally decided. IN view
IT Mr.. Smiths amendment. to with
draw the one which he had offered.
MIR. Perkins. of California. offered an
amendment in the shape of proviso
tXempting from the operation of the
income tax
SAVINGS BANKS
doing commercial business whose cap
ral stock is held as special guarantee
FUND for the benefit of their depusitors.
Mr.. Harris moved TO lay the amend
ment on tue table. Mr.. Perkins pro-
.ested against having the debate on his
amendment sunmarily cut off. You
nave no right TO do this" said he, ap-
pealing to Mr. Harris.
But will assert tie right" replied
The senator from Tennessee.
Mr.. Perkins thereupon withdrew his
amendment at the suggestion of MIR.
.Aldrich, who said he would offer an
amendment covering the same point,
rXempting savings banks organized on
The mutual plan safely for tbs benefit OF
their depositors. Mr. Smith offered the
amendment OF MIR. Mcpherson to ex-
tmpt dividends of corporations to indi-
vldualS not exceeding $1,000. The
amendment was laid on the table-3l
10 "a.
Mr.. Hill. who desired to speak on the
amendment. but who was cut eff by Mr..
Harris motion, Immediately reoffered
The amendment. reducing the dividends
exempt to S:;uGe.
Mr.. HIPS amendment was lost-20 to
81. MIR. Hill modified the amendment
10 as to exempt dividends notexceeding
S2.0O0. Defeated-20 To "A.
Mr.. Hoar offered Al amendment to
exclude from the operation of the tax
joint stock companies whose members
receive as a share of the profits less
than $4,000. Lost. 20 to 81.
Mr.. Hill again modified his former
amendment SO as 10 reduce the exemp-
ton 10 $1,000. Lost. % TO %.
Mr.. Allison then said that all attempts
to eliminate tine injustice TO
SMALL. STOCKHOLDERS
In corporations having failed, he would
renew the amendment he offered earlier
in the day, fixing a limitation upon the
capital stock OF companies to he sub
jected 10 the tax. He modified the
amendment. however. SO as to exempt
corporations having a capital stock of
less than $4,000 instead of 100000.
Lost, "a to 81.
Mr.. Hoar offered his amendment to
exempt joint stock companies. corpora
dions and associations whose incomes
uonot exceed $1,000. Lost-2S to 80.
Mr.. Hill offered all amendment to the
end of section SO to exempt CORPORA
lions created by the states which Nv the
terms OF their incorporation are re-
Quired TO pay a special tax Oh their
earnings, dividends and franchises to
the state other than the general tax.
Defeated-25 to 80.
Mr.. Aldrieh offered an amendment to
except savings banks organized on the
mutual plan solely for the benefit of
their depositors. 1t was accepted.
Mr.. Vest IN the same connection Of
fered an amendment which was agreed
to, eXempting mutual savings banks
\ conducted for the benefit of depositors
! in the state of Delaware.
MIR. Petfer proposed an amendment
which was lost, 10 strike out the ex.
emption made in the finance committee
amendment 10 section 62 in the case OF
salaries OF State. county and municipal
officers.
Mr.. Hill moved to amend section An
to provide for the inspection OF accounts
of corporations subject to the tax so as
to limit the time vi inspection to the
period between March l and Aug. l,
After some further debate without
action on the amendment of MIR, Hill
tie senate at $40 adjourned.