New-York tribune., 1901-02-07
REDUCING WAR TAXES.
yr AMENDED HOUSE BILL PASSED BY
TEE SENATE AFTER ONLY THREE
HOURS DISCUSSION.
rBr TELEGRAPH TO TIE TRIBUNE. ]

,-onerlv smOOthed IN ADVANCE tor legislative
.tor was demonstrated to-day in the passage
= he emergency War Revenue Reduction bin
- barely three hours Of debate. Forty or
- amendments were suggested and discussed
ID many changes OF more OF less importance
- made while the measure was under discus
= bur q final vote was reached without
80 SYMPTOM of obstruction and the roll was
=, ever called when the final division arrived
The biu as passed differs widely from the
.hs-,e of reduction adopted by the House Of
parrese1tatives. The changes made involve
tov-svsr no differences OF economic theory or
r-,nciDe and can be easily adjusted in confer
arce The total cut made in the Treasury's
income is likely 10 be between S4O.OOO.OOO and
Ss5O00O00. The Senate's plan Of retaining the
tsnk check tax and cutting a little lower the
.sx on tobacco and beer viii probably command
!, rbe end the support Of both branches
A determined but unsuccessful effort was
made 70 reduce the tax on bank checks and 10
,rovide that telegraph and express companies
sboule bear the burden Of the tax on messages
and packages sent The Finance Committees
amendments Ievying a tax on transactions in
so-oalled bucket shops" modifying the tax on
cigars and cigarettes and providing for a rebate
On uubroken packages Of tobacco, in addition
- several others Of a minor character. were
,sopred. An amendment substituting an in
,,,e rax for the war revenue measure offered
bv Mr.. Morgan. Of Alabama, was rejected by e
party vore, u 10 8.
THE AMENDMENTS ADOPTED
The first amendment added TO the words
..nronjssory notes (providing for the repeal OF
he stamp tax on such instruments) the words
and any renewals thereof"
The second modified the paragraph removing
the stamp tax on bonds making it read as
follows:
sohIs s 5oS6s provided Tor in the rsT pafsgTsph
Of Schedule A OF said act or bonds Tor indemnify
sbaII have become bound or engaged as surety for
the payment or any sum OF morey or Ior ne cue
evecur!ou or performance or the duties or any
oaice or position. and 10 account Tor money re-
ceive6 by VIII le thereof
The next amendment included ''perfumery
and cosmetics" in the section providing a pen
atty cor failure TO affx stamps TO medicinal and
proprietary Preparations. Il was agreed 10.
After the adoption Of some other amendments,
verbal in character other amendments We're Of
fersd and agreed 70. as follows:
Providing for rebate upon unbroken packages
az cigars and to1accoi authorizing the canceIauoh
Of stamps terulented liquors by perforation; re-
ducng by 7ne-Aar The TAX upon foreign olIs OF eX-
change; for The appointment OF competent person
10 secure The enforcement OF the tax Imposed upon
legaces and Cisrriburive shares OF personal prop
ertv providing that the purchaser Of an unCona-
resay has been paid shan not be required 70 pay
further tax
The amendment of the committee fixing the
tax on transactions in stocks through so-called
bucket shops" was agreed 10, with amend
ment offered by MI Mason providing that a
tax Of tTo cents Gnstead OF one cent? 'on each
500 in value OF the merchandise covered or pre-
tended 10 be covered.
A committee amendment modifying the tax
on cigars and cigarettes. in accordance with the
proposition made by Mr Platt, Of Connecticut,
vas al greed 10.
NJ Allison offered an amendment exempting
from the tax levied on life insurance companies
any post naorten assessment association or
gained end conducted solely for the members
thereof" II was adopted after some discussion.
EFFECT OF THE BILL.
Responding 70 a request from Mr.. Cockreu,
Mr.. Al6rich made an explanation Of the effect
of the bill. He said that, according 70 the cal
aularions of the committee the reductions Of the
revenue made by the bin would amount 10
sS9S00000. This calculation did not. however
take into account the effect Of the amendment
for taxing bucket shops" which the Senate had
Incorporated in the bill He had been informed
thar there are 25000 of these bucket shops in
the United States. II each one Of them should
10000 from that source.
Mr Cockrel inquired what the difference was
between the pending substitute and the original
House hiL
Mr. Aldrtch replied that the House had adopt
ec the policy Of looping of entirely a large num-
her N The special taxes. The plan of the Senate
committee had been 70 reduce rather than 10
take on The taxes entirely, although in some in
stances the taxes had been removed.
An amendment was agreed 70 providing that
ne TAX on new banks shall be computed from
the time rhe institutions begin business
-4T- Alc,11-1s offered an amendment providing
tnat The Internal Revenue Commissioner should
pace the stamps provided for in the bin on sale
~ the postctices Of the country. Il was ac-
erpled By the committee and agreed 10.
AT. Jones, Of Arkansas, moved 10 eliminate
II n The OH the proposed exemption from tax Of
teiegrapn and telephone messages. He gave
AoLce that Z the motion were agreed 70 he
"-L-c ouer an amendment 10 tax both tele-
sistn and telephone companies on their gross
BUSINESS, so as 10 compel them 20 pay The tax.
ne motion was rejected, j T. 35.
Alr Morgan offered his proposition for an in
come tax beginning on July ! and running for
rNEN-y years. The amendment placed a tax OF
- cett on all incomes above 81 600 q year
ne amendment was in the form Of a substitute
toF me pending bill, and for the War Revenue
S -" now n operation Mr.. Morgan maintained
mar II was the duty Of Congress 10 repeal the
NaI Tax, The war 10 support which il was en-
eclea long since had ended The amendment
vas voted down. p 10 IS
-Ae Dill was then passed without division
AZ. A-crich then moved that a recess be taken
- oc4ock tonight, and Mr. Jones Of
-atAai-sas, moved 10 adjourn The vote on Mr
..--es motion resulted. - ayes 70 So noes Mr.
AL-flcts motion then prevailed without division
o'clock | '-- .
DISAGREEMENT on WAR CLAIMS BILL.