Deseret evening news. [volume] (Great Salt Lake City [Utah]) 1867-1920, 1909-07-02
HEPBURN ON
CORPORATION TAX.
Idaho Senator Declares Amend
r1ent Too Indefinite to Make
It s0perative.
COMMITTEE 10 TAKE NOTICE.
sRayncr Says Measure Is Constitutions
nj. Unjust and lnequltabIc
But WillsfVote for II.

Washington, July From the way
she school got down to business this
morning it was evident that the teach
ser had returned. In#other words. SEN
5ator Aldrich, chairman of the finance.
committee, vas in his Seat when the
Senate convened and Mt that time there
< was a full quorum to proceed With
business. While Mr.. Aldrlch does not
reveal the secret of his whereabouts
during his two days absence from the
senate, his complexion was, so much
sruddier thanft is ordinarily, it was evil
dent that he had put in most of his time
In the open air. His return caused
much gossip as to the possibility OF get
ting vote on the income tax propo-
Ssition. Most senators believed. the end
was near. The fact that only Mr.. Bulk
ley's objection yesterday stood in the
way of taking the vote before next
siton then seemed almost exhausted.
led to the conclusion that the vote.
would be reached by that time If not
much earlier. Many, predicted 1t for to-
morrow and some We're even inclined to
think it might take place before adj
journment today.
Today Senator Hepburn lost no time
in taking the floor to present techni-s
cal objection to the bill.
Business began With the presentation
Of objections relating to the corpora
ton tax. From Spokane, Wash. LOG
merchants appealed to the senate for
support of the tax as proposed by the
president because, as they said, it
safeguardcd the private information Of
business institutions
The Innman- Poulsen Lumber COM
panS of East Portland, wanted the
spernicious corporation tax killed,
While w. b. Aver OF Portland con-
sidercd the proposed tax as eminel -
unfair, .as it places the burden only
on the great industrial life of the
county,
There was also a protest from the
mutual insurance companies of New
Jersey which insisted that such cor
tporations were lnotsthe proper subject
OF taxation under the proposed scheme
of taking tho corporations organized
for profit. = y,
4. Mr. Heyburn's objection was that
the amendment was too indefinite to
make it operative The ffrstfproTi-3
sion OF the bill fixed a. tax-ef 2 +per'
cent on the net income of corporations,
The Idaho senator contended that un-
der this language 1t would be quite inn
possible to determine the object of the
bill&or@to enforce It's provisions, on ac-l
count ofSits vagueness. He also claim
edsthe tax being levied on all corpora
Etlons "organized for Profit included.
corporations that do no business ex-
cept to collect rents. which, he said
would bring it nearly within the. scope
Of the Pollock case, in which the in
come tax was declared to be Invalid
These objections provoked comment
BY Senators Aldrich, Root, Brandcgea,
Nelson and Others Mr.. Aldrich sug.
gested that the language called into
question had been passed upon by
many distinguished lawyers. Senator
Root gave assurance that these OBJ
jections would receive careful con
sideraton by the finance committee
although he said he believed the
amendment as framed was such as to
Insure its constitutionality.
Saying he preferred voting for an
INCOME rather than corporation tax.
Senator Rayner declared he would vote
for the pending corporation tax If he
could not have his first choice.
81 believe he added. that this is
an absolutely constitutional PLEASURE.
This bill is unjust and inequitable, but
when I cannot obtain an income tax
II will be forced to vote for this amend 4
tment or leave the government bank
rupt."