The times. [volume] (Washington [D.C.]) 1897-1901, 1901-02-07
THE war TAX REDUCTION
A Bill Practically New Passed Yes
terday by the Senate.
The House Measure Stricken Out
and Radical Changes Made - Pro-
enue of S1O.32I 600 - None of the
Committee Amendments Altered.

Committee Amendments Altered.
The Senate yesterday passed the War
Revenue bill. The measure calls for
total reduction of $4Os21 eco per year.
and none OF the committee amendments
was altered The bill is practically
new one, the House bill being entirely
stricken out.
The bill removes the tax from the fol
lowing among other things Promssory
notes. commercial brokers, bills Of lading
and receipt bonds, certificates, charters,
leases, mortgages, steamship tickets, pro-
tests, telegraph messages, telephone mes
sages. warehouse re eipts and proprietary
medicines. The tax on cigars is fixed az
$3.50 per 1.O0O weighing more than three
pounds The tax on beer is allowed a dis
count of 25 per cent.
Mr.. aidrich offered several committee
amendments to the bill. One of these re-
lates to bucket shops" and retains
Heavy tax on these institutions.
Mr.. Cullom offered an amendment re-
ducing the tax on sales of merchandise
by one-half.
Mr.. Jones of Arkansas protested against
the committee amendment providing that
all mutual benefit associations be exempted
from taxation. stating that all of the big
insurance companies would get in under
the Law.
Messrs. Spooner and Kenney held that
these. mutual relief associations were life
insurance corporations in every sense of
the word
Mr.. Hoar defended the life insurance
companies, and held that they should not
be taxed.
Mr. Kenney said that the endowment
policy system was simply lottery and
should be taxed as lottery.
The amendment was then adopted.
Mr.. Aldrich then. at the request of sew
eraI Senator's, made long statement as 20
the provisions of the bill. He said that
this reduction made by the bill is s40,S21.-
000 per year. This is ST, ,092, ,000 in schedule
"a Sz70O.G0O in sehedEIe B. $1,000
coo reduction on the beer tax, $4,000. GEO
reduction on the tobacco tax, and the BAL
aaee in minor Items. Schedule "a COW
ers bank checks, drafts, promissory notes.
etc Schedule b covers medicines and
drugs
The next amendment was to add to the
exemption as TO patent medicines a pro-
uncompounded medicines, on
TAX mas been once paid, snail
her taxed. after they are COM
lnless such preparations are
1t was agreed TO.
me further verbal amendments.
h offered an amendment for a
ld cigar rebate on unhr3ken
aa and it was agreed to.
H- I amendment was to cause the
can On of stamps on fermented
iiC perforation; agreed to.
The Il was 10 reduce the tax on bills
lge (foreign) to half the present
was also agreed to.
q. Il was to authorize the appoint
competent person to secure
el enforcement of the tax on lega-
.ci distributiye shares of personal
II was also agreed to.
ext amendment was one for the
is.a Of one cent for every dollar paid
ided to be paid in bucket shops"
enc l,a cents on the face value of all
sE,.la lrp0Fting TO be sold with special
tax o fcr every Office engaged in the
4i ison moved to amend the bucket
ztrs endment by increasing the one
cel' sH Ierchandise 10 two GEMS and Sir.
s'fH.at accepted it.
The f4endment as to cigars and cigar
agreed TO. This was the amend
IaEH- cred by Mir. Platt OF Connecticut.
-. ekren renewed his demand that
Ar ich should make a statement as
TO o., Tect of the bill, and Mr.. Aldrich
G5l aerH i to do so. The purpose OF the
Fi vee he said. to reduce the war
revenue axes of 1898. The surplus reyen-
u-5 lnr he year 1900 and the prospective
revenues for 1901 and 1902. in the opinion
sd tie eommittee. warranted as great a
req -firU- as that proposed. According 10
Fee mate Of the Commissioner of In
e-r- aevenue the reduction would be
and according to the estimate
nj nance Committee it would he
q. It was impossible for him to
tle at the effect of the tax ON
shops" would be. 1t was est1-
a-.6 lat there were .. coo bucket shops
tied States. and if each of them
I'D Y $500 that tax would produce a
r.-ue ( S1O.0O0.000.
aney enquired what the tax on
aat be under the bill.
'ieh replied that it would be 35
per barrel.
lrel asked Mr. Aldrich 10 state
elues between the House bill and
substitute.
ai4 ich replied that the House. in
rs14 reducing taxes. took of number
el stirely; while the policy of the
lmmittee was 10 reduce them
take them of.
anks asked Mr.. Aldrich wheth-
uction Of revenue under the
stitute would be greater or
lder the House bill
n said that the estimate was
the substitute the revenue
wo14a - trihe less than under the Hous,,
bill-SS9e 900, he thought. Mr. Fairbanks
asked what the surplus would probably be
in 1892
Mr.. Aldrich said that the estimate OF
the Secretary OF he Treasury was that.
on the proposed appropriations for next
year, there wo8ld be a surplus of S2G O00.-
600 On the 1st Of July. 1902 That esti-
mate, however, contemplated an increase
of expenditures by $50, ,000, coo. If il should
not be more than that the reduction of
revenue proposed by the committee was
safe and the Treasury would not be en-
barrassed by il.
Mr.. Turley suggested that the bill
should have continued the stamp tax on
telegraph and express companies and com
PEELED those compa MES to pay It them
selves instead OF requiring their custo-
mers TO d so.
Mr. Aldrich said that as 10 the West
ern Union Telegraph Company he was as
. : . : . Tim Mad