The morning Astorian. [volume] (Astoria, Oregon) 1899-1930, 1904-12-07
ALSO ON GRAIN ALCOHOL
Claim 10 made That High raxatien
Results in Cheap Liquors--olse
Comes Rather High for
False Alarm.

washington. pec. h.-~OleofnNrE0rtnt
which. since the enactment of the Ia,
, OF 1909. has been taxed at 10 cents
pound, win at comparatively earl
date. II the present plans are not dis
arranged, be taxed at much lowe
rate. The house committee on way
and means win report bill providing
for the reduction ON oleomargarln,
from ten to three or four cents
pound. which win be the compromls,
reached between those members OF IN,
eommitte who favor high tax anC
those who believe In its removal alto.
gether. That such a measure will pro.
woke powerful and determined opposi-
tion not only In the house but from
various influential interests through.
out the country. Is acknowledged. bu,
the necessity for providing increased
revenue is apparently paramount. and
the committee will act accordingly.
! II is pointed out by those officials
who are friendly TO the proposed legis-
lation that the imposition OF pro-
hlbitive tax on a manufactured COM
modify so largely in use resulted prac-
tically in the death OF that industry
with a corresponding decrease In the
revenue derived. so that now Il is an
lunimportant factor In the running ex-
penses Of the government. Many OF.
her reasons are advanced why the tax
should be reduced, and these win be
urged In extenuation OF the possible
harm resulting from the introduction
and favorable consideration OF the
measure to the dairy interests OF the
country.
II is declared that for considerable
time interests antagonIstic to the oleo-
margarine industry have quietly but
perslstently enlisted the support OF In
dividual members OF congress and
pledged them to oppose any attemp;
especially strong in Pennsylvania,
Iowa. and In many agricultural sec
tions of the country. II is not known
how many Of these pledges were se-
cured. but 1t Is said that the entire
Pennsylvania delegation IL opposed to
any change. and that majority Of the
representatives from Iowa will also be
against It, The farmers OF the coun-
try are almost solidly In favor OF q pro-
hibitive tax on oleomargarine, and Will
oppose the attempt to re-
duce the tax. for they have no idea OF
tamely letting oleomargarine again
figure in competition with butter.
1t is the intention OF the house ways
and means committee to revise the ex-
Isting internal revenue laws because OF
the apparent need Of an intelligent and
modification OF the stat
ltes. In addition to the oleomargar-
ne problem. another pressing question
hat will be taken up for consideration
will be the tax on alcohol. Grain alco-
lol is now subject to a tax Of $1.l0 a
proof gallon, while wood alcohol is
Iubiect TO no tax at all. and is not even
lnder the supervision Of the govern
nent In its manufacture or sale. The
IMPOSITION Of the high tax on grain al
ohol practically amounts, It is de-
Jared, to prohibition, as the cheaper
roduct Is used wherever possible.
his has led to the use Of poisonous
rood alcohol in beverages.
Lively times are expected when the
rays and means committee attempts
he revision OF the revenue laws. es.
ecially when the oleomargarine tax
under consideration.