Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1909-07-12
TAFT AND HIS LEGAL ADVISERS
REWRITING MEASURE FOR
HOUSE AND SENATE.
CONGRESS MAY CUT TAX
IN HALF. TO PER CENT
House In Position to Compel Senate to
Make Reductions in Tariff Schedules
-lnheritanee Tax Probably Will Be
Left to states-conferer. Making
y Prosrsss on Disputed Point..

washington, July f2-Presfdent Taft
and the lawyers of his cabinet have
undertaken to save the tariff conferees
from haggling over the corporation
tag amendment. 1t is conceded the
measure as passed by the senate must
be redrafted in order to remove con-
stitutional objections and to meet the
views Of the administration.
The president has told the leaders Of
the senate and house that as the ad-
ministration would be charged with
the responsibility Of collecting the tax
and defending the act If assailed in the
courts the administration should be
permitted to perfect the measure. Sen
ator Aldrich and Representative Payne
have made no objection to the sugges-
ton made by the president, and as a
result Attorney General Wickersham
, is working out the legal problems it
involves.
Rate May Be Cut in Half.
In consultation with the attorney
general are Secretary Knox, Senator
Rodt and the president himself When
they have perfected the amendment it
will be sent to the conferers, who will
incorporate 1t in the bill as agreed to
in conference.
II the corporation tax feature is
changed at all after being redrafted in
the cabinet and close administration
confined to the rate of tax imposed
vAt syrpe &
sentiment In congress that the tax
should be not more than one per cent,
and it may be cut in half accordingly;
but the rate has not come up for dis
cussion among the conferers.
Eliminate inheritance Tax.
Some reluctance is being exhibited
iby members of the house to the sug-
gestion that the inheritance tax feat
ure adopted by that body shall be left
out Of the tariff bill. Taft has been
states that. they should not be disturb
ed in their use of the Inheritance tax
as means Of raising revenues altho
abated. It is stated upon the highest
think the federal and state govern
method Of raising revenues.
Senate Must Make Concessions.
Amendment adopted by the senate
providing for the establishment of
a customs court is likely to be accepted
by the house conferers. The terms Of
the senate maximum and minimum
provision are meeting with some favor
from house mebers of the conference
he accepted after some minor changes
have been made. If the senate gains its
way in relation to the corporation tax,
there is a feeling that IT will be at the
sacrifice Of many Of its amendments
to the dutiable list.
conferers Making Haste.
The conferers plunged into their
labors today with the vigor and en-
thusiasm that portends haste in getting
the bill back to the senate and house.
Taking up the metal schedule, they
proceeded thru this and into the wood
schedule during the morning hours.
This does not mean that the metal
schedule was completed, as it contains
many important amendments, such as
changing the rates on steel products,
which are the subject of sharp diff
ference Of opinion. These were passed
over to be taken up after minor amend
ments in all the schedules have been
settled.
One Per Cent Decided Upon.
The new draft of the corporation tax
amendment will provide for tax OF
per cent instead of Q per cent on the
net earnings Of corporations. This was
decided today at an informal conference
at the White House.