The Montgomery advertiser. [volume] (Montgomery, Ala.) 1885-1982, 1909-06-17
TO CONTINUE FIGHT
PROGRESSIVE REPUB SENATORS
MAP OUT PROGRAM.
They WIN Continue to Fight for Ia-
come Tax Amendment Despite
the President's Message
TO Congress-.

| washington, June 16.--Five progrea-
sive Republican Senator'S. Messrs. Boz
| rah, Bristow, cummins. LaFoIiette and
clapp, conferred tonight to determine
l>what their attitude is to be In relation
to the income tax amendment to the
tariff bill in the face of President
Taft's special message to Congress to-
| day, favoring the submission of the
question to the States TOR constitu-
tional amendment and the enactment
| OF a law taxing the net earnings Of
| corporations.
They decided that the Presidents
plan is not inconsistent with their de-
mandS for the adoption OF an amend
ment taxing incomes ana that both may
be adopted in harmony. They assume
that the Presidents plan, endorsed by
leading Republicans on the Finance
Committee, is designated to "chloro-
form" the income tax amendment, but
nevertheless, announce Ihas they will
continue the fight for Its adoption.
In a brief statement, prepared by
Messrs. Borah and Bristow, the, sup
porters of an income tax amendment
say:
THE friends of the income tax feel
II their duty to continue to put forth
every effort to secure the adoption of
the measure. They will, therefore,
urge the adoption of the amendment
They also stand ready to support a
resolution providing for an amendment
to the constitution of the United States.
While they believe that the Supreme
eat he Ia ry at 70
vide against any possible contingency
that might arise from, an adverse de-
cision, they gladly favor the PROPOSE
ton to amend the constitution. They
do not feel satisfied with simply cor
poration tax. A tax upon the net in
come of corporations alone will very
imperfectly reach the desired result. 1t
will take tens OF thousands of stock
holders whose total incomes are very
small and will exempt In large meas
ure the immense personal incomes Of
the country. The provision they IA
vor treats large incomes exactly alike,
whether received by corporations or
individuals and whether arising from
interest dividends, inheritances or
otherwise. The plan which they pro-
pose simply carries the Presidents
views to their legitimate end and Is as
consonant with the decision of the Su-
49,
incomes alone.
There is no reason for exemptinG
from this tax the vast incomes of in
dividuals like Carnegie, Rockefeller
and others, q very large part Of whose
fortunes do not consist OF corporation
stocks. 1t is also well known that
corporations, especially the larger ones,
can, in most instances, shift the bur-
den of the tax to the -public by impos-
ing upon the people increased charges
and prices.
"As to the publicity feature, there is
no substantial difference between the
two measures. In other words, there is
the same necessity for securing infor-
nation insuring publicity In the in
come tax as in the corporation tax.
EVERY possible effort will be made
to secure the passage of the income
tax amendment"
That the supporters OF a direct tax
ON incomes do not like the'idea Of sub
stituting an amendment on the blu for
a tax on the earnings OF corporations,
was manifested by the discussion to-
night. It was argued by Mr.. Borah
that II is unjust to tax the earnings
of a corporation. and let a partnership
in the same line OF business escape.
Such a regulation, he declared, can on
ly be explained by the fact that there
is a wave OF antipathy to the corpora
lions that leads many people to be-
lieve that they are objects Of legiti-
mate prey,
What the position Of the Democrats
In the Senate will be when President
Taft's program Is submitted for a vote,
has not been determined. A caucus on
the subject win be held tomorrow af-
ternoon.
A meeting OF the Republican mem
bers of the Finance Committee was
held tonight but the PTeadents mes.
sage was not formally taken ap.