The Mankato free press. [volume] (Mankato, Blue Earth County, Minn.) 1879-1924, 1909-08-06
The PAYNE TARIFF Bill
HIstoryot the Measure and a
Summary Of Its Principal
Provisions New
Free List.

The progress of the bill through the
eventful enough to satisfy the most
pronounced cravers for parliamentary
warfare. The real battle opened when
the bill house report 143S) was re-
ceived in the senate and referred to
the committee on finance, April 10.
Aldrich of Rhode Island, the leader of
the senate as chairman of the finance
committee, subsequently became chair
imam of the conference committee,
(which was appointed to adjust the diff
ferences arising between senate and
house and between both houses of
congress and the president
Taft For Free Hides.
The report of the conference COM
mittee which determined what would
he the provisions of the Payne bill in
dts final form was victory for Pres
ddent Taft. He informed all of the
conferees that hides must be placed
on the free list, together with petro-
aeum, crude and refined. They there
upon decided to cut the Dingley tariff
on hides to s per cent. The president
heard the news and sent word that
he had meant what he had said about
free hides. The figures were then
Serene E. Payne of 40 ways and
means committee decided to demon
Estrate that his original bill, providing
for free hides should no longer be sub
jected to the emasculatory operations
of the majority Of the conferees. He
announced that not even a per cent
duty on hides would be accepted by
either himself or the house. without
free hides this tariff bill will not pass
the house." he was quoted as saying.
The tariff came off hides inStanter
and as quickly was oil put on the I'M
taxed schedule, together with gaso-
line, benzine and naphtha The leather.
rough lumber, print paper, coal and
Iron and glove schedules ranked next
In Importance during the closing days
OF the controversy.
If hides came in free. the important
New England boot and shoe manufac-
turing interests would consent to q re-
duction Of the tariff on their products,
otherwise they would continue to fight.
The solving Of the hides problem left
Il simple matter to agree to lower
duties on boots and shoes-the Ding
ley rate being % per cent. Saddlery
and harness were cut to 40 per cent,
as against the Dingley rate of 40 per
cent. The president resorted to the
unusual method of sending written
message to the conference committee
demanding lower rates on lumber and
gloves than the Payne bill provided.
and he secured them.
Wool and Cotton.
The wool schedule underwent no
change Of consequence, but the entire
cotton schedule was reconstructed and
the phraseology greatly changed in the
hope of preventing reductions through
decisions by the courts such as have
characterized the administration of the
Dingley law during recent years. In
many instances the rates intended to
he imposed by the Dingley law were
cut by these decisions, the reductions
in some instances being from 60 per
cent to 8 per cent ad valorem.
Probably the most marked reduc-
tions are found in the metal schedule.
Beginning with a decrease in the rate
of iron ore from 40 to Is cents per ton,
there is a general reduction throughout
that part Of the bill, pig iron going
down from 81 to $3.50 per ton and
scrap iron from 81 to 81. The reduc-
tion on many Of the items in this
schedule amounts to about so per cent.
Rough lumber goes down from $1.50
to SIPS per thousand feet, with cor
responding reduction in the differential
on dressed lumber.
The president was subjected to Sc
verest pressure from both the upward
and downward revisionists throughout.
The upward revisionists told him that
a reduction of duty on hides and
leather manufactures would make the
next congress Democratic. in which
event they argued that Taft would not
possibly be renominated for the pres
idency. The 'downwards'' told him
that Roosevelt would surely be the
next Republican candidate for presi-
dent if the campaign promises for a
downward revision were not fulfilled.
The Corporation Tax.
The president had a highly difficult
task also in preserving his scheme for
corporation tax intact in the Payne
bill. This feature is clearly the most
unpopular one in the entire measure.
so far as members of the senate and
house were concerned. Many Of the
members argued to the president that
the tax as provided for was uncOn-
Ntitutional. Resolutions will be intro
duced In the various state legislatures
condemning the act and recommend
ing its repeal, according to statements
made by various congressman in
Washington.
The corporation tax of 1 per cent on
the entire net income over and above
$1,000 received by corporations from
all sources, exclusive of certain items,
must be paid on or before June so
each year. Persons authorized to
make returns or statements to the
government and who make returns or
statements OF a fraudulent nature are
subject to a fine Of $1,000 and i'm
prisonnent for one year.
fbo olocipr lows of thu 70