The Barre daily times. (Barre, Vt.) 1897-1959, 1909-06-19
TAFT GETS 0. K.
ON TAX PLAN
Corporation Idea Said to Be
Endorsed
BY FINANCIAL INTERESTS
Free Paper Knocked 0ut-Two Amend
ments in This Line Rejected, with
Only -Four Republicans in
Favor.
BY FINANCIAL INTERESTS

Washington, June 1o.-President Taft
has received number of messages and
letters commencing his advocacy OF a
tax on the net income OF corporations,
It was said at the White House yester-
day that some of these messages were
from representatives Of large financial
interests.
Protests are beginning "a come into
senators against the plan which has been
discussed Of so extending the net earn
ings tax as to enable the tax to reach
the money available for payment Of in
terest on bonds The objection urged
to this IA that IN the end the pondhold.
ers Of corporation would receive their
interest; that they could not be deprived
OF this, and that the sole effect would
be to double the tax on the stockhold-
ers. Thil, it is pointed out, would dis
courage Investment in corporation stocks
and would encourage investment in
bonds.
Some Of the insurgent senators will,
doubtless, dwell on this at length in the
debate.
The Senate yesterday voted down the
amendment offered by Senator Brown Of
Nebraska TO put print paper on the free
list. The vote was 20 TO 50. The only
Republicans who supported it we're
Messrs. Beveridge, Bristow, Brown and
Burkett. William Lorimer Of Illinois,
hitherto a member OF the House but
elected to the Senate several weeks ago,
took the oath OF Office yesterday in tho
upper house Has first senatorial vote
was in opposition to the Brown amend
unconstitutional IL has been reported
that he would join the progressive
senator's.
The stone amendment for free paper
and free pulp was also beaten. Bever-
idee. Brown, Burkett and Bristow were
the only Republicans for this PROPOSE
ton also.
Previous TO the vote on the Brown
amendment. Senator Gallinger made a
long speech in opposition 70 it. Print
paper, he declared, was cheaper in the
United States than in any other coun-
try.
sThe price," he said chad been kept
down BY competition. IL Is conceded that
no trust exists and that there Is no com.
bination to advance the price Of paper.
The clamor for this legislation comes
largely from the cheap and sensational
part Of the newspaper press
A reduction Of the duty on paper, Mr..
Gallinger said, would not only bring
Canadian paper here, but Norway, Swed-
en-, and Finland, with cheap labor and
abundant forests OF spruce, would enter
our markets He believed the rate Of
duty recommended by the committee on
finance to be too small, and predicted
that it would be regarded as q monu-
mental blunder He preferred to con
tinue the duty of the Dingley law.
Following Mr.. Gallinger, Senator
Brown again took the floor He under
took to withdraw bis amendment for
free paper. so as to place himself in po
sition so as to support the provision Of
the House bill. which levied duty of
81, instead of 81 ton on print paper,
as proposed by the finance committee.
senator Aldrich objected which obiec
ton naade necessary an aye and no vote
on Mr.. Browns amendment, which was
lost. Mr.. Bailey was the only senator
who voted against it-who also opposed
the subsequent Stone appointment on the
ground that it would remit 100000 IN
revenue, which. he said, the govern
ment now collects, and, especially "as
the only people who would receive any
benefit from that remission Is a single
small partieular Glass;