Bisbee daily review., 1909-04-22
WITH APPROVAL
 i. OF.TAFT INCOME TAX WOULOPAsS
Hitch Rests Upon the Silence of the Chief Executive and Fear of Supreme Court-Realized That Payne Has Failed

WASHINGTON, April 21.-In the face of the manifest tendency of the senate finance committee republicans toward a restoration of the Dingley tarif law rate, and rejection of thei reductions in duties made by the Payne bill as 1t passed the House, there is held to be justification for the demand made by the senate dem ocrats for the adoption of an income tax. or some other measure of taxa ton which will bring in sufficient rev enues and permit a reduction in the general average rates of the tariff law.
 The proposition which confronts the senate. with respect to the ln- come tax. involves a number of em- barrassing complications, affecting democrats and republicans, and the country generally. The most impor- tant question involved is whether 1t would be safe for congress to pass a revenue bill far short of ips-rIng funds necessary to carry on tiIe gov ernment. and depend upon the Chit ed States supreme court to sustain Mir Bailey's income tax bill, with it's promised sixty millions or more of revenue.
 The democrats had an unfortunate experience with this kind of scheme when they passed the tariT act in | 1894, including an income tax pro vision, which was expected to make up in large part for deficiencies in revenues that were certain to ensue | from the reduced duties of that law | The supreme court annihilated the | income tax provision. and left MT | Cleyeland's administration without
 adequate provision. under the reye- nue laws, for supplying the necessary
 funds to carry on the government.
 Not Taking Chances. | What ever may be the opinion of the leaders in both houses on the question whether a constitutional in come tax law can be agreed upon. they are not disposed to take any | chances; hence their eagerness to perfect a tariff bill and internal reve- nue measure which shall furnish sub stantially all the revenues that are required. even if an income tax pro
 vision is carried into the proposed
 law.
 The income tax proposition consti- ltutes far greater embarrassment to the republicans than they are willing
 to admit is the case. Many republt cans in both houses would infinitely prefer to vote for an income tax than to retain the inheritance tax provis- ion of the Payne bill, with it's duplica
 tions of taxation in connection with
 the inheritance tax laws of nearly ali the states. They would also pTefei an income tax. guaranteed to pass muster in the United States supfeme
 court, rather than to impose duties
 upon tea or coffee or internal revenue
 taxes upon commercial paper anC
 beer.
 With this view of the matter. par ticularly entertained by fifteen ol twenty of the so-called 'progressiv, repu uhlicans'' in the senate, and no
 body knows how many republicans il
 the House. it is set down as a saf' proposition that if President Taft vii give the nod of approval to anything 1 in the nature of an income tax pro vision it will be adopted.
 Confidence in Taft's View. , As one western republican senate remarked. You may depend upon i that if President Taft approves o . the language of an income tax pro , vision, 1t will be constitutional. n
 other words. the supreme court vii 5 ibe certain to sustain any tax law which so distinkuished a constitution 3 al lawyer as William H. Taft has as f sented to-
 z The question now Is whether Pres ] dent Taft will approve of the kind o s an income tax bill that Senate
 Bailey has prepared. or whether tn r tip will go around among the Tepul D licans that safer kind of income ta 0 provision will be one taxing the gros F earnings of corporations. It is know Q lthat President Taft has talked wit e number of senators regarding a e income tax law, but there are no a. ] surances that any agreement Ina | been reached among the republican l. regarding the precise nature of sue q an amendment to the tariff bill. :. The republicans in the senate d n cline to be led away from conside e ation of ways and means for provii
 ling the necessary revenues by an + movement advanced at this time r. favor of an income tax. The finanC IT committee republicans gave the be: ID possible evidence of the attitude the
 occupy toward the revenue questio F. when they turned down many of tn l- propositions contained in the Payne e ,bill reduced tarif duties, and resto
 ed the rates now contained in the e
 isting tariff law.
 is Think Payne Has Failed. It The impression prevails among il V republicans of the senate that Chai s. man Payne did not cover himse n- with glory by his statement presen t ed to the country on the subject
 revenues to be raised uncer the oriI O. inal draft of the bill The details a. that bill and the accompanying stat II ment have already been thorough
 canvassed, and the facts explicitl
 shown that, according to the opinion
 of treasury officials. the origin;
 Payne bill fell approximately S35 .0O( IT 900 short of meeting the wants of tb In government
 g MT. Payne placed the figures a le s10,000,000 When the House gt T. through with the Payne bill, includin
 the changes made in the tobacc e schedule and the abolition of the pr, D. posed duties on tea and reduction i d cocoa duties, the measure went to tn D. senate from s45.000.c00 to $50. 900 .0C a short of meeting the needs of tn ,e treasury.
 Ie Tn the opinion Of the finance con li mittee republicans. the Payne bi ie was radically wrong. not only from