The Washington herald., 1909-07-11
CONFEREES AGREE
UPON MINOR POINTS
Chemical, EarthS, and Earth
enWare Disposed Of.
CORPORATION TAX TROUBLES
Fight in Conference, II Is Believed,
VIII BE over This Feature of the
Tariff Bill-PrObhbIe Tax Rate VIII
BE Reduced 90 I Per Cent-May Re
write Corporation Tax Amendment.

The Republican members OF the joint
taTin conference OF the Senate and House
got down 10 work in earnest yesterday,
and were able TO make considerable prog
ress.
When they adjourned after o'clock
yesterday evening they had disposed OF
many points Ct disagreement. nearly all.
however. OF a minor character. Proceed
ing along the course adopted when the
tariff bill was before the Senate OF fol-
lowing the line Of least resistance. the
.conferees passed over every Senate amend
meut which promised 20 lead TO any pro
longed discussion. reserving these amend
ments for consideration after the first
Derusal OF the bin had been completed
Schedules Agreed Upon.
Beginning with the chemical schedule.
the first In the bill the conferees went
through It in a hurry. agreeing to all the
items in dispute which could be disposed
Of quickly. Then the earths and earthen-
ware schedule was disposed OF, and when
the committee adjourned IL had gone
about half way through the metal sched-
ule
The Senate conferees wanted to have a
session last night and another session
to-day, but Chairman Payne. Of the
House conference committee. objected.
and an adjournment was taken until
Monday morning.
According 10 all accounts. the best Of
feeling prevailed among the conferees.
and as they proceeded with their work
the idea gained ground that the main
differences between the two Houses will
be adjusted without prolonged contro-
versy.
Not Far Apart.
After the conference members OF both
Houses who are serving on the confer
ence committee declared that a popular
misapprehension had grown up as 10 the
character Of most Of the points OF differ
ence between the upper and the lower
legislative branches. II was asserted that
the changes made by the Senate had not
In many instances been as radical as
people pretty generally had supposed.
and that these differences were not near
" as far apart as those which had ex-
isted between the two Houses when the
tariff was revised IN previous years. In
these circumstances the conferees after
their meeting to-day were hopeful OF
reaching an end OF their labors in a
comparatively short space Of time.
Corporation Tax May Be Changed.
OF course. some Of the points Of
disagreement are of serious char
acter and are bound to require much
negotiation TO adjust While there was
talk yesterday that the House conferees
might insist on the retention OF the IN
heritance tax provision OF the House bill
and the elimination OF the corporation tax
amendment Of the Senate. the chances are
not favorable 10 action Of that sort. in
view Of the fact that the corporation tax
was adopted with the concurrence Of the
Republican leaders Of the House. incIud-
ing Speaker Cannon, and with the APPROVAL
OF President Taft
But from what was said at the Capitol
It IS probable that the corporation tax
amendment viii be changed in several
important particulars before il is ac-
ceptable TO the House conferees. The
Senate conferees also are not enamored
of the proposition as il now exists and
doubtless VIII meet the House conferees
half way in their desire TO make modih-
cations
In the first place. there IS a strong
feeling that the rate OF taxation i'm
posed by the Senate amendment on the
net incomes Of corporations should be
reduced from 2 10 l per cent. The
2 per cent tax, It is estimated. will
produce annually revenue amounting to
nearly or fully $5O.000.000. which is
much more than is necessary 10 meet
any possible deficit IN the Treasury
during the first year or two OF the new
tariff law. After a couple OF years the
new law. II is asserted even by those
who are pessimistic as 10 its initial
revenue producing qualities viii bring
enough income TO meet all expenses OF
the government.
Senators and Representatives who
have looked into the matter seem 70
bessatisfied that 10000, O00 or S25. .OOO.-