The Telegraph-courier. [volume] (Kenosha, Wis.) 1888-1946, 1909-08-12
The PAYNE TARIFF Bill
History Of The Measure and a
Summary Of Its Principal
Provisions The New
Free List

capital the new tariff measure, the
Payne BILL has been drafted, perfect
ed, put through both houses and will
be signed by President Taft.
The real battle was commenced when
&he bill (house report 1,43S) was re-
Ceived in the senate and referred to
the committee on finance April TO-
Senator Aldrich, of Rhode Island, the
leader of the senate as chairman of
the finance committee, subsequently
became chairman of the conference
committee, which was appointed to adj
Just the differences arising between
senate and house and between both
houses of congress and the president.
The report of the conference COM
mittee which determined what would
be the provisions of the Payne bill in
its final form was victory for Pres
ident Taft. He informed all of the
conferees that hides must be placed on
the free list, together with petroleum,
crude and refined. They thereupon
decided to cut the Dingley tariff on
hides to per cent. The president
heard the news and sent word that he
had meant what he had said about free
hides. The figures were then lowered
to Z per cent. Now Chairman Serene
e. Payne, of the ways and means com.
mittee, decided to demonstrate that his
original bill providing for free hides
should no longer be subjected to the
emasculatory operations Of the ma
Jority Of the conferees. He announced
that not even per cent duty on
hides would be accepted by either him
self or the house. without free hides
this tariff bill will not pass the house."
he was quoted was saying.
Message to the Conferees.
The tariff came off hides instanter,
and as quickly oil was put on the un-
taxed schedule, together with gasoline,
benzine and naptha. The leather,
rough lumber print paper, coal and
iron and glove schedules ranked next
In Importance during the closing days
of the controversy.
II hides came in free, the important
New England boot and shoe manufac.
turing interests would consent to a re-
duction Of the tariff on their products,
otherwise they would continue to
fight The solving of the hides prob
lem left it simple matter to agree
to lower duties on boots and shoes.
the Dingley rate being rs per cent.
CoddJorxy or, In, / tA0
per cent, as against the Dingley rate
of IS per cent. The president resort
ed to the unusual method of sending a
written message to the conference
committee demanding lower rates on
lumber and gloves than the Payne bill
provided, and he secured them
The president was subjected to Sc
Verest pressure from both the upward
and downward revisionists throughout.
The upward revisionists told him that
reduction Of duty on hides and Ieath-
er manufactures would make the next
congress DemocrStic in which event
they argued that Taft would not pos
sibly be renominated for the presi-
dency. The "Downwards" told him
that Roosevelt surely would be the
next Republican candidate for presi-
dent if the campaign promises for
downward revision were not fulfilled.
Fight for Corporation Tax.
The president had a highly difficult
task also in preserving his scheme for
a corporation tax intact in the PAYNE
bill. This feature is clearly the most
unpopular one in the entire measure.
so far as members of the senate and
house were concerned. Many of the
members argued to the president that
the tax as provided for was unconsti-
tutional. Resolutions will be intro
duced in the various state legislatures
condemning the act and recommend
ing its repeal, according to statements
made by various congressman in
Washington.
The corporation tax of 1 per cent on,
the entire net income over and above
$4,000 received by corporations from
all sources, exclusive Of. certain items,
must be paid on or before June 80 each
year. Persons authorized to make re-
turns or statements to the govern
ment and who make returns of state
ments of a fraudulent nature are sub
ject to a fine of $1,000 and imprison-
ment for one year.
During the closing days of the tariff
controversy before the bill was voted
on for final passage, over forty Repub-
licans who had grievances of one sort
or another against certain of the pro-
visions of the bill stated that they
would vote against it, They had it in
their power to defeat the measure and
force the president to call another
special session in September or Oc-
tober. They had the party leaders
plainly worried for time, but the able
peacemakers at the capital, including
President Taft himself, succeeded in
calming the rufT1ed waters.
HISTORY OF THE BILL.
The new tariff law is on the statute
books. Officially it will be known in
history as the Payne bill, taking it's
name from the chairman Of the house
committee of ways and means, the
Hon. Serene E. Payne OF New York,
who also had a part in framing the
Mckinley and Dingley acts. Actually
1t should perhaps be called the Payne
Aldrich bill, as the chairman of the
senate finance committee has had quite
as much to do with debating It's maj
provisions as Mr.. Payne. On this line
of reasoning, however. there are those