The evening times. [volume] (Grand Forks, N.D.) 1906-1914, 1909-06-30
CUMM|NS IS THE
new INCOME TAX
SENATE LEADER
Opened His Speech With a Hot
Roast For Senator
A1drich
ALDR|Cn WILL ACCEPT
the LESSER Of TWO EVILS
Will Support the Corporation Tax Be.
cause, It Is Less Objectionable to
His Supporters Than the Income Tax
Claims Latter Will be Double Tax

His Supporters Than the Income Tax
Claims Latter Will be Double Tax
Washington, June 30-Before pro-
ceedfng with his speech, which was
started last night, Senator Cummins
remarked upon the absence of Sena-
tor Aldrich. Mr.. Cummins said that
he had seen in the morning papers the
announcement that the chairman of
the finance committee was going upon
a sea voyage.
After the acknowledgement which
he made to the senate yesterday with
respect to his vote in bringing forward
the amendment that we are now con-
sidering," added Mr.. Cummins, evi-
IDENTIFY referring to the admission that
Aldrich favored the corporation tax
to defeat the income tax amendment,
"he needs the restoration and recup-
GRAFTON Of the salt air. l would want
to take trip lasting about a thou
sand years IL should be compelled
to make confession of that sort with
respect to the measure brought for
ward by myself"
Senator Clapp interrupted with an
observation. Referring to the cor
poration tax amendment he said: II
notice by the newspapers that the
large corporations are not uncomfort-
able. They are reported as being
well satisfied with this provision" Mr..
Cummins replied that there was
nothing in the corporation tax amend
ment to make the corporations un-
favorable. He then proceeded to dis
cuss the receipts and expenditures OF
the government to sustain his con-
tention that the pending bill did. not
supply enough money for the usual
expenses.
., Bailey Amendment.
When consideration of the schedules
had been completed yesterday, Mr..
Aldrichs formally called up the Bailey
|incen1e. tax amendment as the pend
ing provision under the senate agree
ment and Mr.. Lodge promptly offered
a substitute providing for discrimin-
atory duties to be declared by the
president when any country imposes
ian export tax on articles imported in
to the United States.
To this substitute Mr.. Aldrich Offer
led as an amendment the corporation
tax provision reported by the finance
committee.
The Lodge amendment was offered
to give the corporation tax provision
the position of a third degree"
amendment, which will prevent any
further effort to modify It.
Mr.. Flint. who, as a member Of the
finance committee, is to have charge
of the corporation tax provision, then
explained the provisions of the
amendment. He said the finance COM
mittee had not been united on the
Question as to whether it would be
necessary to have revenues in addition
to those produced by the pending bill.
The committee had considered not
only corporation, but also an income
tax law as supplementary to the tariff,
and had decided it would be unwise
to pass such an income tax bill as
either Of those introduced by Senators
Bailey and Cummins. They had, he
said, abandoned the idea of an inher-
itance tax because such q tax was 30
largely imposed by states and they
did not wish by making double tax
to have 1t become burdensome.
when the president suggested the
corporation tax" said Mr.. Flint, ''the
committe agreed to it and is here pre-
pared to support It."
The Inquisition.
The inquisitorial features Of the
bill, he explained, had been reduced
to minimum by the provision that
the Investigations contemplated could
only be made of such books and pa
pers as were necessary.
Senator Bulkeley insisted that the
fire and life insurance companies and
other corporations of many states and
especially Of Connecticut, were al
ready heavily taxed. He argued that
the proposed corporation tax would
be double In it's operation when ap-
piled to them.
Mr.. Aldrich and Mr.. Flint agreed
that where building and loan associa-
tions are properly Corporations for
profit" they would be subject to the
tax.
"If they are corporations for profit"
said Mr.. Aldrich, "they ought to be
taxed as other corporations for profit
are taxed"
Mr.. Cummins believed these associa-
tions were Corporations for profit"
but Mr.. Flint declared that I'D his
Judgment they would not be 30 declar-
ed so long as they received and d.
kided earnings among their members
only.
Mr.. Flint said it had been absolute
" impossible to make any estimate
as to the. amount Of revenues that