The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1909-07-08
Standpatters Are Confident Of
Victory, Although None of
Them Entirely Approve of
Tariff Bill.
EVEN SENATE'S BOSS
IS NOT QUITE HAPPY
exemption Clause in the Cor
poration Tax Killed Despite
Protest of the Rhode Island
Leader.

Washington, d. c., July 8.-The
final vote upon the passage OF the
Aldrich tariff bill will be taken in the
senate this afternoon. The unusual
spectacle will be presented of at least
eight republicans voting against a
measure for which their. party is re-
sponsible.
That the bill will pass filled with
1.-THE high protective duties secured by
question. AS one of the leading
etandpat senators remarked:
Several democrats have left the
city without arranging pairs. If we
need any more. democratic votes we
can get them. The detection of the
e.git republicans who have been op-
posed to the finance committee
throughout the session will cut little
figure in any event. There are sixty
republicans, including the insurgents,
III the chamber. and only thirty-two
democrats. Consequently. the bill is
certain to pass by safe margin"
Republicans Who Oppose Bill.
The eight republicans who are ex-
pected- to vote against the bill are:
iBorah, Idaho; Bristow, Kansas: Cum
Minis. Iowa; Dolliver. Iowa: Clapp.
Minnesota; La Toilette. Wisconsin;
Nelson, Minnesota: Beveridge, Indi-
ana.
The votes OF the following two re-
publicans are in the doubtful column
but are expected to be cast in favor of
the passage of the bill: Crawford of
South Dakota. Gamble of South Da-
,kota.
I The men named are not the only
ones by any means who are dissatis-
flied with the measure. 1t is doubtful
'if there is member of the senate
who approves of 1t in it's entirety.
Even Senator Aldrich has no love
for numerous provisions, many Of
which were accepted by him yester-
day in full expectation that they
would be eliminated In the confer
ence. Take for instance. the corpor-
alton tax. During the debate on the
kloor of the senate yesterday after
noon Mr.. Aldrich stated what every
lbody knew. that he was not especial
ny enamoured" with the proposition.
Mr.. Aldrich made another admis-
sion that gave satisfaction to Sena.
tor Cummins when he said that,
whatever designation might be given
TO the corporation tax. 1t was to all
Antents and purposes an income tax.
tThis is what Mr.. Cummins has con-
tended from the start although the
president In his message recommend
Ang the legislation referred to it as
,an excise tax. and Senator Root in
defending the recommendation. was
careful to define it as a proposal to
;tax the privilege OF corporations to do
business.
clapp Opposes Exemption Clause.
The discussion was provoked by an
amendment proposed by Senator
Clapp striking out the provision in
the tax amendment exempting hold
dng companies from taxation. The
president was moved to provide this
exemption by his unwillingness to
permit double taxation. As he look
ed at the matter, It would be unfair to
tax q corporation for holding the
stock Of other corporations which,
nuder the terms Of the amendment,
were properly subject to the tax.
Savings banks. for example, hold the
stock Of other corporations for invest.
ment purposes, and it did not seem
just to the president that the stock
should bear the tax twice.
It was admitted in the senate that
this would be hardship in the case
OF savings banks and other institu
tions possessing corporation stock TO,
investment purposes. but at the same
time 1t was pointed out that there
were numerous holdings companies
which. under the exemption in the
original amendment. would enjoy an
advantage over the small concerns
The Standard Oil company Of New
Jersey. for example. is a company or
ganized to hold the stock of the nu
merous subsidiary corporations which
It has created
In order to expedite the passage o
the bill Senator Aldrich agreed to &C
cept the Clapp amendment. He wa.
asked to give assurances to the sen
ate that he would support it in goot
faith during the conference He re
piled that Of course every amendment
Of the senate would have the earnes
backing Of the senate conferees, bu
It was noticeable that he did not bint
himself to insist that the committes
adopt the amendment, howeve
strongly the members might be op
posed to It.
Publicity Clause Held Faulty.
1yssident TAFT said before his de