New-York tribune., 1900-12-12
WAR REVENUE DEBATE.
REASONS FOR PROPOSED REDUCTION
GIVEN BY CHAIRMAN PAYNE.
THE DEMOCRATIC VIEW STATED BY Mr.
SWANSON. OF vIRGINIA-VOTE MAY
" rAEE-N OK rEzrrRsnAN
fsx rE1roRAFz TO TEE TRrsuSE.l


washington. Dec. ll-Debate on the War
Rsvenue Reduction bin in the House to-day
.-as confined 10 two speeches. one by Mr Payne
- Nev-VorlI, chairman Of the Ways and Means
roynmittee, on behalf Of the majority, and one
nv Nj Swanson. OF Virginia, on behalf OF the
minority. Mr.. Payne explained the action OF the
.~ssority in drawing the bill. ana Mr. Swanson
supHfed the minority report until the House
adjourned, in order that the hall might be pre-
psred for the centennial exercises tomorrow.
an effort VIII he made 10 have the vote on the
tin taken on Thursday.
Nj PAYNE said that in reducing the revenue
great care should be taken lest the reduction
cause deficiency. In reporting the pending
bu the committee felt though il had gone
10 the utmost limit IN the amount OF reduction
with due regard 10 safety for the future The
S65O00o0o remaining after the reduction pro-
,osed by the committee took effect would not
equal the Extraordinary expenses sure 70 follow
as a result OF the war with Spain. Among such
sxpenses were the interest on the bonds issued
N prosecute the war amounting 20 5000 600,
and the increased army. which both sides admit
should amount 10 one hundred thousand men for
the next two or three years. This increase In
expenditure woulo amount TO al least S6O.ooo.-
O9a The increase in naval expenditures for
equipment together with the pensions growing
out of the late war, would add 10 expenditures
SlOOO0OoO more.
While there is no reason from any domestic
causes 70 apprehend any disaster 10 business
during the next few years" Mr. Payne added
vet there is possibility OF foreign eomplica-
tions which might have that result OF course,
depression in business would mean loss Of reve-
nue. A large portion Of our irnportations on
which tariff duties are paid is of goods going
directly into the manufacture Of articles both
for our domestic and foreign trade. Any
thing that cuts OF this trade in either di-
rection would result IN loss OF revenue.
Some members OF the minority OF the commit
tee have proposed 10 abolish all the war revenue
and offer in place thereof an income tax OF
course IL is perfectly obvious 10 every thinking
man that this would cause an immediate def
cheney IA our revenues. II would mean a loss OF
sos 600 000 The enactment OF new income
tax law would not furnish dollar of additional
revenue. We have already an income tax law
upon the statute books which has not been re-
pealed. The Supreme Court has decided II IN
constitutional What reason is there TO suppose
that new enactment OF this kind would meet
with any other fate?
Another proposition has been made by the
minority 10 abolish the entire additional tax
upon beer. This would result in an additional
reduction Of S23 600 600. II would produce the
gr0ssest injustice. What argument is there in
favor OF reducing the entire tax beer which
does not apply with as great force 10 the reduc-
p
amounting 10 SlS000000, or the tax bankers
and brokers. amounting 10 nearly S4,0OOOO0?
Certainly the tax upon beer should never be
wiped out until every other vesuge OF the war
taxes is removed"
Mr.. Payne received a round Of applause when
ne closed.
DEMOCRATS FOR LARGER REDUCTION.
Mr. Swanson said that the Democratic party
fully recognized the urgent necessity for a re-
ducrfon IN rbe revenues OF this Government:
during four years taxation had increased over
S260000OO0. and II this heavy burden was
continued business and commerce would seri-
ously suffer. He expressed regret that the Re
publicans had failed 10 avail themselves OF the
present excellent opportunity 10 devise q more
Just. eqUitable and permanent system Of taxa
ton He said that this was most opportune time
20 DO 50, since taxation could be imposed
rom considerations OF justice and on business
principles and not 10 supply Governmental ne
oessities. He then argued that there should be
q reformation Of the tariff and an abolition Of
the customs duties, which have, he charged, ere
ated trusts and monopolies.
he also insisted that this Government should
collect more revenue from capital. incomes and
profits rather than from the consumption and
the business and occupation Of the people; that
taxes should be levied upon what a man has
and uoI upon what he needs"
IN conclusion, Mr.. Swanson said that the
minority would move 10 recommit the bin with
instructions 10 provide for reduction OF at
least S70000O00.