The evening times. [volume] (Washington, D.C.) 1895-1902, 1902-01-21
CUT IN WAR TAX
FULLY PLANNED.
VIII Be Taken off Tea and Re-
duced on Beer, and Also
Probably DOcunents-TO-
baccO Tax to Stay.
IT WILL REACH SIS, 900.

II Is now practical certainty that be-
fore the end Of this session OF Congress
some action will be taken in the direc-
ton Of reducing the extraordinary tax
alton imposed upon the country by rea-
son Of the recent war.
The Republican members Of the Ways
and Means Committee Of the House have
decided 10 grant hearings on January p
TO those Interested in a reduction Of the
internal revenue tax upon beer and the
duty upon tea.
To Cut Beer and Ten Tax.
There is every Indication, however.
that the committee has virtually agreed
TO repeal the present tax Of 10 cents a
pound on tea and reduce the present tax
OF s160 barrel upon beer to the rate
Of 81 per barrel. the latter being the tax
imposed prior to the enactment Of the
War Revenue act
It is not improbable that the committee
may also agree upon reduction in or
repeal Of the documentary taxes which
was recently recommended by the Sec
rotary Of the Treasury.
No Reduction on Tobacco.
From reliable authority. however. il is
asserted that there is no intention what
ever OF reducing or repeating the pres
ent war tax upon Iegacies, stocks or to-
bacco
The committee has Just been informed
by the Secretary OF the Treasury that the
repeal Of the duty upon tea and a reduc-
tion OF the internal revenue tax upon
beer can be done without ieopardizing the
National Treasury The repeal OF the
duty upon tea as fixed by the war bill will
mean a reduction in the revenues Of about
$4,000 600 a year, while the reduction OF
the war tax OF so cents a barrel on beer
Will mean a loss to the Government OF
about 80. OC0,000 a year. making a total
OF Ss5,oO00O0 a year now coming into the
Treasury which viii be abandoned
Secretary Cages Statement.
In his statement to the committee Sec
rotary Gage says that he estimates that
the total Of receipts for the fiscal year to
end six months hence will be in the az
gregate S5SS. 100000. while the expeudI-
lures viii approximate Sass. coo COZ.
This means that at the end Of The year
the receipts will exceed the expenses by
about 500, coo 900. IN view OF this fact.
the Secretary says, Congress may we'll
anord TO make a reduction ia the taxation
now standing. as the balance Of 500. 900.
600 viii mean that the present cash bal
ance OF about $II5 900 coo Will remain in
tact at the close Of the twelvemonth
The reduction through the loss Of beer
and tea receipts, therefore will not
amount 10 a great deal when compared
with the totals The recommends ton OF
Secretary Gage that documentary tax be
repealed viii bring the entire figure I'D
70 about So. 600 coo II agreed upon by the
committee. so that even with that pro-
vision added there would still be a hand
some surplus left In the Treasury.
Want 40 Avoid TRriR Cut.
The Republican leaders do not want
20 open up the tariff question If il can
possibly be avoided. and there is a scheme
on foot TO have the matter settled by
caucus 1t is believed that il the
caucus, which is slated TO be held next
week, decides in favor OF a bill 10 repeal
the internal war revenue tax there viii
be no occasion TO reduce any of the Ding
ley tarin rates and thus the BabcOCk bill
10 place iron and steel on the free list in
addition 10 reducing the duty on all the
other articles contained in the metal
schedule would be pige0nholed-
From present indications everything
points TO the tariff as the issue in the
coming Congressional elections.