The Oskaloosa herald., 1900-12-13
THE CUT.
Ways and Means Committee Re-.
port on War Tax.


Washington, Dec. 8. Chairman
Payne, of the ways and means COM
mittee, late Friday afternoon sub
mitted the report of that committee,
signed by all the republican members,
in favor Of the bill reducing the war
revenue taxes about $4o,ooO,ooo. The
report says in part:
war Revenue still Needed.
''WhiIe our war, for which these additions
al taxes were levied is ended, the train OF
extraordinary expenditures has not ter
minated with the close of actual hostilitteE.
We find 1t still necessary to maintain an
army Of 100000 men until law and order Is
fully restored in all our possessions. We
find IL also necessary to provide troops to
man the Notifications which we have been
building the past few years, and also to pro-
vide sufficient force in the navy to man
the vessels we have recently added. The in
creasing navy, too, brings new necessities,
all of which call for greater drain upon
our resources,
According to the report Of the secretary
Of the treasury, the receipts from all
sources for the fiscal year ended June 80.
1900 were 1868 595, 431 while the total ex-
penditures were $59O, 06S, 81, showing sur
plus of 900. He also estimates the
receipts for the fiscal year ending June 80,
1901, upon the basis of existing laws at
$751; 77S 1853, and the expenditures at $607, 773,-
25S, which would leave an estimated surplus
of S0,000000. For the fiscal year ending
June 80, 1902 the secretary of the treas
ury estimates the revenues at SIZE, 6S3, 042,
and the expenditures at $500, 374 S04, leaving
an estimated surplus of only $26, u.s. 7.
VIII stand Reduction.
ut will be seen that for 1902 there is an
aSfir Inn cd n g.
100000 over the previous year, and an in
crease of expenditures of nearly $S3, 000, 600.
The committee are inclined to take more
conservative view Of the amount of ex-
penditures necessary for the year ending
June 80, 1902; at the same time, they are
anxious to avoid any deficiency in the fu-
ture. They deem 1t safe to make reduce
ton Of about $40 100000, while the secretary
of the treasury in his report suggests re-
duction of only $50, 900, 900 In the revenue.
'In making the reductions in the bill re-
ported, the committee have sought to re-
move the more annoying taxes in the war
revenue act by the entire abolition of those
which were most vexations and by a re-
duction of those which seemed to have
proved great burden upon the several
branches of trade to which they are APP
piled,
Relief for Brewers. -.... '
"On beer a war tax of IS cents barrel
was added to the tax of one dollar a barrel
previously imposed. The committee recog-
nize that the manufacturers of beer have
some claim in the general reduction of the
war revenue, and they believe that the
amendment proposed in section l of the
bill making a net reduction of rs cents per
barrel gives them all the relief to which
they are entitled in view of the reduction
carried by the bill.
On Cigars.
'Tn the war revenue act the tax upon
cigars, averaging more than three pounds
in weight TO the thousand, was made $780,
This co cents per thousand was very oner-
Gus to the manufacturers, especially those
engaged in small way, and making the
cheaper grade of cigars. 1t has been inn
possible to distribute any of this 60 cents in
making a price to the consumer, and the
factories have had to bear the entire tax Of
over s., 000,0 900 last year. The committee
have therefore reported an amendment re-
aucing this tax at the rate of 90 cents per
other Changes.
The report then gives the changes in de-
tail, with estimated amount of reduction,
which has heretofore appeared. 1t contin-
ues: "The two-cent stamps on bank
checks, certificates of deposit, drafts, pos
tai money orders. ETC., are very annoying
to large class of people, and much COM
plant has been made to the committee,
especially from the smaller towns and from
farmers. Another source of annoyance has
been the tax of one cent on express re-
ceipts and telegraph messages. There is no
doubt but that this taxation has caused
more widespread annoyance and trouble
than anything else in the act. The COM
mittee therefore have stricken these taxes
from the law. The tax upon deeds and
conveyances has been quite burdensome in
numerous instances, as well as the tax upon
in nd he fov
issory notes and mortgages has been very
onerous upon the debtor class. It has
seemed to them that It was enough to pay
interest without paying a tribute to the
government upon every transaction of this
kind. These are the principal items in
amount that are stricken from the sched-
ule. While the other taxes of like charac-
ter are small in amount and present an OBJ
vious reason for their repeal.
THE committee have repealed all of
schedule B, excepting the tax upon wines.
This includes the tax upon proprietary
medicines and articles of a similar ma
ture. There has been greater protest
against the enforcement of this tax than
any other in the whole law. 1t would APP
pear that the tax was much greater in Sc
verify than congress anticipated when the
law was enacted. While the per cent. OF
taxation is small upon the retail price of
the article sold, it has fallen upon the
u d pdTBe ueBTeey ana mas
been in the aggregate large percentage of
taxation upon the wholesale price.
After giving the reductions in detail ag-
gregating $400O0,S46, the report says: ''In
making the foregoing reductions your COM
mittee believe that the bill goes as far as It
is safe to go in reducing the revenue. They
also believe that they have made the redue-
tions so as to do away with the most an
noying and vexatious taxes under the act,
and also to relieve such business as is most
entitled to relief under all the circum-
stances. While regretting that they can
not at this time make report finally dis
posing of the war taxes, except such as con-
gress may deem IL wise hereafter to keep
upon the statute book, yet they congratu-
late the country they are able to report a
bill striking off 40 per cent. of this kind OF
taxation.
AFTER this reduction of $40, 900 shall
take effect, leaving a revenue of $65, 900, 900
under the war revenue act, that sum will
be barely sufficient to meet the train of
extraordinary expenditures which follow
the close of actual hostihties. We are GER
tainly justified in maintaining the war rev.
enues up to point equal to the extraordi-
nary expenses entailed by the war;"
Trains Tied Up.
Topeka, Kan, Dec. livery train