The times. [volume] (Richmond, Va.) 1890-1903, 1901-01-25
Cut Not So Deep as That Made BY
the House Bill,
BEER TAX is ALSO REDUCED.
The Purpose OF the Committee, Says
the Statement. Has Been to Kcpeal
Most Annoying Taxes, to Retain
Such as Should Be Perna.
nent and Reduce All
Others Equitably.

(By Associated Press)
WASHINGTON, Jan. Ex-senator Al
drich, chairman of the Senate Committee
on Finance to-day reported the war rev
enue reduction bill back to the Senate.
The committee reports a complete sub
sttute for the bill as i passed the House.
Senator Aldrich made a statement ex-
planning the changes, which are as fol-
lows:
Stamp Taxes Repealed-tPromissory
notes, mortgages, bills of ladins FOR ex-
port, powers of attorney, protest, charter
party, certificates of all kinds, leases.
warehouse receipts, tclegraphic dispatches,
telephone messages, passage tickets, cost
ing less than $50; express receipts, freight
receipts, bonds, except bonds of indem-
nifty; egacies 20 religious, charitable, lite
rary, or educational institutions
Special Taxes Repealed-Commercial
brokers.
Taxes Reduced-Conveyance insurance,
bankers. capital. proprietary medicines,
cigars, tobacco, beer.
The statement says the purpose OF the
committee has been TO repeal such taxes
imposed by the war revenue act OF 1888
as are most annoying and burdensome;
to retain such as should be kept as a
permanent part Of our revenue system or
at least retained until all war taxes can
oe repealed, and to reduce all others as
fairly and equitably as possible by some
general plan of reduction.
Pursuing this general plan it has been
possible to reduce the taxes affected ap-
pr0Ximately One-ilalf.
Taking the estimates of the Treasury
Department as a basis, the reduction OF
revenue effected by the bill will be nearly
$4,000 600; a reduction somewhat less than
was produced by the bill as it passed the
House of Representatives
REDUCTIONS.
The committees substitute provisions in
regard to cigars tobacco, beer, etc, are
as follows:
s~rhat on and after July 1, 1901, the In
tcrnal revenue tax on cigars, weighing,
more than three pounds per thousand
shall be $3.50 per thousand.
..-rhat on and after July l, 1901, there
shall be allowed a discount OF . per cent.
upon all sales by collectors to brewers
and manufacturers of tobacco. and snuff
upon the stamps provided for the payment
of internal revenue taxes upon peer ana
manufactured tobacco and snuff, PROVIDED
that the discount allowed to brewers upon
beer stamps shall be in lieu OF the dls-
count of seven and One-haIt per cent. al
lowed by the act Of June 50, 1875 me ei-
feet is to reduce the beer tax. to Sl:o per
barrel and on snuff and tobacco to .
cents u pound.
There is a, general reduction of the tax
on insurance policies and renewals, and IN
lieu of the present taxes, special taxes
shall be imposed, to be paid by the 1nSuf-
ance companies, as follows:
.ife insurance companies. four cents on
the amount insured for each 500 or 1rac-
ton OF every policy In policies issued
on the industrial. or other weekly or
monthly payment plan, the tax shall be
twenty percentum of tie first weekly pre-
MUM. or five percentum Of the first
monthly premium. The provisions of this
section do not apply 10 fraterna bene-
fetal societies or orders organized ana
conducted solely by members thereof for
the exclusive benefit OF its members and
not for profit
Marine, inland, fire. casualty, fidelity
and guaranty insurance companies, one
quarter of one per cent. of the gross pre-
mium receipt, purely cooperative or mu-
tuaI ire insurance companies" to he eN-
empted.
CONVEYANCES.
The rate on conveyances, including
deeds to land, is materially reduced. The
Senate committee removes the tax on al
deeds where valuations are below @3.hoo
and makes the tax rate 25 cents insee,:l OF
30 cents. For each additional $500 aoove
So, 600 the tax is to be p cents.
The tax on bankers is fixed at the rate
of 81 on each 81, coo of capital and surplus
used by them
Section 20 of the existing law, pertain
ing to proprietary articles, including
drugs. perfumeries, etc, is practically
rewritten
NO stamp tax is to be imposed unon
anv uncompounded drug or chelnical
where there is no claim to an exclusive
right or it is not made under letters
patent. No stamp tax is to be imposed
upon any medicine compounded accord
ING to q formula in the United States
Ioharr,acopoeia or the National Formu-
lary of an edition not earlier than the
wear 1890. when such medicine or prepara
ton is designated by it's true name.
Further provision is made that no taxes
shall be imposed on physicians prescrip-
tions for individuals.
All perfumeries and cosmetics, chewing
gum and substitutes therefore. and
sparkling or other bottled wines, are CHM
mated from tax list.
on patent medicines the tax is reduced
to one-tenth of one per cent. on articles
of which the retail price does not exceed
ten cents.
A separate section eXempts bequests
or lesacies for religious. literary, chalita-
bic or educational purposes, and il makes
the provision retroactive on legacles on
which the tax has not been collected.
Among the taxes which the House re-
moved entirely, but upon which the Sem
ate committee did not act and which,
therefore, remain. are the following:
Custom-house brokers, proprletors Ct
theatres, circuses and other places OF
amusement, bank checks. drafts, or bills
of exchange, both Internal and forcisn;
money orders, brokers contracts and
rnanifests for custom-house entry