Union County courier. [volume] (Elk Point, Union County, D.T. [S.D.]) 187?-1913, 1909-06-24
TAX AMENDMENT
READY THURSDAY
TAFT WILL SUPERVISE FINISH.
ING TOUCHES ON 2 PER CENT
LEVY PLAN.
CONFERENCE AT WHITE HOUSE
Wlcksrsha Root Draft to BE ScrutIn.
lied by observation-disclosures at
White House viii Dispose OF
Pending Question.

Vo'tuiVb AuVeNoh
Washington, June %. - President
Taft will personally supervise putting
the finishing touches upon the pro
posed amendment to the tariff bill
providing for the imposition of two
per cent tax upon the net earnings OF
corporations.
This will be done at conference at
the White House today.
There will be present Attorney
General Wickersham and Senator
Root, who are drafting the amend
ment. Secretary of State Knox and
Senators Aldrich, Burrows. Penrose.
Hale. Cullom. Lodge. McCumber.
Smoot and Flint; constituting the Re-
publican membership Of the finance
committee. The draft prepared by
Messrs Wickersham and Root will be
discussed at the conference.
To Be Ready Thursday.
Such changes as are agreed upon
will be made by the attorney general
on Wednesday and II is expected the
perfected amendments will be ready
for Introduction in the senate on
Thursday.
The attorney general and Mr.. Root
had long session at the capitol yes
terday and reached an agreement on
practically every feature Of the cor
poration tax plan.
The portion which is giving them
the greatest trouble relates to the
government control of corporations
necessary to carry the law into sue
cessful operation.
There has been no little opposition
to subjecting the corporations to the
amount Of publicity that viii be re-
CURED for the enforcement OF the Law
and to prevent manipulations of
stocks and bonds for the purposes of
evasion.
Members OF the finance committee
as well as Mr.. Root and Mr.. wicker
sham agree with President Taft that
such publicity must be given and that
without It the corporation tar Law
would be q failure.
This feature, 1t was said yesterday,
viii be incorporated in the
The authors Of the dram
however, are experiencing dfficulty
In finding an effective way Of reach
Ing the situation.
Among the details of the bill de-
termined are that the tar to ne levied
win be collected from all corpora
tons. All banks will come within the
range Of the tax bill reductions which
Will be allowed national banks to the
amount OF taxes paid upon their circu-
lation.
An important provision to be in
cluded In the bill Ii definition OF net
This will follow as nearly as posi-
BILE the definition Of the earnings col
lected In the interstate commerce act
relating to railroad corporations.
Taft Il Optimistic.
President Taft Is decidedly optimis-
tic over the outlook for his corpora
ton tar, but number of senators
who called at the White House yes.
terday declared that the proposition
would keep the senate in session until
long past August l.
Senator Elkins was one OF the pres.
ident's callers and he declared that
be and number Of other senators
would have some remarks to make In
The senate when the new scheme Of
taxation II under consideration.
The West Virginia senator believes
that al corporations would attempt
II some manner to avoid payment a.
the tax. Additional salaries ana al
manner Of expenditures would 81 -
sorted to, he THINKS.
President Taft. on the othsr hand
does not believe chat two per cent
tax on net earnings IL heavy enough
e make any Of the larger corporations
resort to evasive measures. A IT.
bonds II IL possible. the president
feels. to provide = limit for the issu-
ance Of such securities. based unon
the capital stock, that win preyent
corporations from transferring Iii 81
their securities into bonds. the inter.
est on which always Il paid from
gross earnings. There seems IL g
40 way n which the bond holder can
% reached under the new tar exceDt
BY double taxation on the corporation
ITSELF. which = not contemplated