The morning call., 1894-01-04
RATHER A CINCH.
What the Income Tax
Really Is.
POPULISTS TO FAVOR 1T.
AS a Step in the Direction of
Free Trade.
Mr.. TARsNEY'S LACONIC OPINION.
McMiiIin Outlines the Principal
Features of the Bill as Already
Agreed Upon.
MR. TARsNEY's LACONIC OPINION.

WASHINGTON, Jan. 3.-McMillin, chair
man of the subcommittee of the Ways
and Means Committee in charge of the
internal revenue features OF the tariff bill,
outlined to-day the salient points of the
inuome-tax measure which il is expected
to have completed in a day or two. He
said: The corporation part Of the meas
ure will not require an inquisitiOn on
every individual to determine what amount
of corporate stock he holds; but the as
sessment Will be made against and paid by
the corporation in the first instance. and
hence a man owning corporation stock
viii rot be bothered by the assessors un-
less he is subject TO an Individual income
tax. The corporation viii pay the tax of
each Of its ncOrpOrators, and will, IN turn,
charge it up against them. But to prevent
taxing q man twice, if the corporation
pays for an incorporation on the dividends
he would derive. ne, in turn, is credited
with that amount in assessing his general
income for taxation.
LAS to foreigners and foreign associa-
tions holding nterest-bearing securities in
this country, they will be assessed the
same as our own citizens. 1t will not be
necessary to go abroad in order to ascer-
tain these investments, as the assessment
against a corporation win cover all its
stockholders, foreign as we'll as do
mestic.
The collection of the tax will be in the
hands of the internal Revenue Bureau.
It viii not necessitate the appointment of
new tax collectors in various States, but
few additional assessors and deputies will
ha m ha
revenue collectors. 1t should be under
stood that the tax will be confined to about
5000 people, according TO estimates fur
nished by the Treasury Department. so
that no large force Will be necessary to
keep track of such comparatively small
class. The individuals taxed Will number
not more than One-third as many men as
were taxed under the old income tax law"
McMillin says the bill will provide
means for compelling disclosures as to in
comes somewhat similar 10 tie methods
used by several States. He says the pen
alties for failing to report or for false re-
ports have not yet been fixed.
Jerry Simpson said to-day that the
Populist section of Congress would solidlv
support the income tax plan. He regarded
it as opening the way to free trade, saying
long as revenues are not raised from in
comes or some other source. Simpson as
serted that the plan would be immensely
popular with the masses.
Representative Tarsney, one Of the mem
bers of the Ways and Means Committee
who voted for the income tax, to-day met
the objection that tremendous opposition
would come from the class receiving in
rr-if
There are more men driving drays than
receiving incomes"
Representative GeaTy of California saws
there Is no doubt that the tariff bill will be
taken into the Democratic caucus and
changed in some particulars and then
passed. Geary says the Mills bill was
treated in this way. He did not say what
changes he thought would be necessary
to make it satisfactory.
CLEVELAND, Jan. 3.-At a meeting of
Cleveland vessel-owners this morning it
was unanimously resolved to raise a fund
to meet the expense for agitation in Wash
inguon against putting iron ore on the free
list.
PHILADELPHIA, Jan. "a cut in gran
plated sugar, placing it nominally at
cents per pound but really at 374 cents to
favored rebate dealers, the lowest price on
record, has been made by the sugar trust.
The object of the reduction is to influence
Congress- There are, however. several
other causes for the general trade depres-
sion which has limited buying as an im-
portant factor. Another element is the
increase in the Cuban crop. which for the
present season is estimated at 1,OO6, 900
tons, against $4,000 tons last year.
CINCINNATI, Jan. 3.-A meeting of
business men at the Board of Trade rooms
to-day adopted resolutions protesting
against the passage of the Wilson bill and
expressing the belief that the sentiment of
waRe-earners. manufacturers and mer.
chants. without regard to party, is now
practically unanimous against it's passage.
a form of petition was adopted TO be cir
culated for signatures and presented to
representatives in both branches of Con-
gress.