The Jersey City news. (Jersey City [N.J.]) 1889-1906, 1899-07-13
WAR REVENUE CHANGES
The Taxable List Will Be
Largely Increased.

WASHINGTON. July 1s, lS9s.-It is
altogether probable that the next annual
report of the internal Revenue Bureau
will recommend number Of changes in
tn ewar revenue act In the main the
law has worked satisfactorily and has
produced almost exactly the amount
estimated by the Commissioner. This,
however. was onethings less than the
estimates generally accepted by well in
formed members Of Congress. The in
ternal revenue officials are Of the opinion
that the law might properly be extended
in certain directions without becoming
at all burdensome to the public and in a
way produce considerable revenue. Une
of the propositions now under considera-
tion is to assess a tax on the sale or rental
of all patent protected articles. In speak
ing of the matter today one of the Off
ciais spoke Of the telephone companies in
this connection and at the same time that
there were many inventions producing an
enormous profit which could well stand
a revenue tax.
1t probably will be suggested to Con-
gress that express and telegraph COM
panies doing money exchange business
be required to pay an annual tax for the
privilege. Although they now pay tax
on receipts and kilograms respectively. il
is pointed out that bankers are required
to pay yearly tax Of $50 which is regard
ed as discrimination against them 1t
is probable that each express office and
telegraph office in towns having over a
certain population, if the views of the
Treasury officials are approved by Con-
gress, viii be required to pay a certain
yearly tax for the privilege of doing an
exchange business.
1t is also likely that modification of
the law with respect to mutual insurance
companies may be recommended. In the
present act there is considerable obscurity
with respect to the provisions as to these
companies, both fire and life. It is point
ed out that number of the leading com
panies in the country are operated upon
the mutual plans Some of these are pay
ing the tax without protest. but there is
doubt as to their liability in this respect
It is believed, however, that Congress
clearly intended to make the exemption
apply TO local companies doing a strictly
local business without surplus or undi-
vided profits or money at their command
with which to pay large salaries to their
officers.
Section 20 of the War Revenue act de-
fining what shall be taxed under schedule
BIZ has been a source of much trouble to
the internal revenue officers. For instance
the whole group of coal tar extracts
haove been decided by the courts to be
not subject 70 the tax.
A pound of phenacetine costs in Canada,
it is said. from 12 to Is cents, and yet in
the United States the price is uniformly
a dollar pound. This drug 1t is thought
could well stand q heavy tax.
There are several items In the old in
ternal revenue laws which, 1t Is believed.
should be eliminated or modified, and It
is not improbable that Congress will be-
asked to appoint an expert commission
to thoroughly go over the ground and re-
commend such changes in detail as ext
perience has shown to be necessary. Un-
der the present law spirits can be sold
only in packages of certain specified ca
pacity The Canadian Government, it Isl
said, takes advantage of this restriction
and prohibits the importation into that.
country of spirits except in packages OF
an unusual size. The result Is that Amer.
ican distillers are compelled to ask per-
mission to ship their goods in packages
to comply with the Canadian requirement.
thus destroying all marks and other evil
dences of age that is of value to them.