New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1912-07-27
EXCISE TAX BILL
PASSES SENATE
Continued from first page.

the states ratify the amendment TO the
federal Constitution.
on the passage Of the excise bill the
Democrats were supported by the fol-
lowing Progressives and insurgent Re-
publicans:
Bourne, Bristow. Clapp, Crawford.
Cummins, Gronna, Jones Kenyon. La
Toilette, Nelson, POindexter, Townsend
and Works.
The measure was changed from the
original House bill only in minor par
uculars. except for the addition of the
Canadian reciprocity repeal and the
permanent tariff commission provision.
The excise measure would levy upon
all persons, firms or copartnerships an
annual tax equal to per cent of net
incomes in excess of $4,000.
Senator Cumminss permanent tariff
! board amendment, which was carried
once yesterday in the wool fight and
then lost in the final upheaval when
the La Toilette bill passed, was at
tachcd 10 tn" excise bill by vote OF
IS to % All the Democrats except
Pomerene. of Ohio. voted against the
tariff board. while all the Republicans
except Hepburn. of Idaho, supported It.
FIGHT on Reciprocity Amendment.
The chief fight. aside from that GEN.
tring about Senator -Borah's income tax
measure, came OIL the Canadian reel
procitv amendment offered by Senator
Gronna, of North Dakota. The amend
ment adopted by the Senate, 81 to 70
provides for the complete repeal Of the
reciprocity law and for the establish
ment of a rate Of s. ton on print
paper imported from Canada, in place
of the present duty of So 10. The text
of the provision fixing new tariff on
paper is as follows:
That from and after the passage of
this act the duty on chemical wood
pulp shall be one-twelfth of ono cent
a pound. dry weight. If unbleaChcd, ana
one eighth Of one cent a pound II
hleaChed: and the duty on printing
paper, as described i'm Paragraph 400 OF
Payne Aldrich tariff law, shall be ono
tenth Of one cent a pound If valued at
not above three cents pound; two
tcnths Of one cent a pound If valued
above three cents and not above five
cents a pound. and ~ per cent al
valorem if valued above five cents
pound.
The portion Of the reciprocity law
now in effect which admits paper Tree
from Canadian provinces which do not
discriminate against the United states
was defended by Senators Williams
Bacon, Smith, of Georgia, and other
Democrats. They declared the free
paper provision Of the reciprocity law
should be allowed TO remain in effect,
and said under such an arrangement
they would be glad to support a repeal
of the rest Of the law.
Senator Bacon finally offered an
amendment to repeal all Of the reci-
procity law except the free paper sec
ton. II was defeated, 81 to y, Bris-
tow, Clapp, Poindexter and Works
being the only Progressves who voted
for it. The Gronna amendment was
then adopted.
Tried to Curb Tobacco Trust.
The Senate made change in the ex-
else bill so that the tax would not APP
ply to labor organizations, agricultural
associations or fraternal organizations
OF an insurance character This
amendment was offered by Senator
Fletcher. A plan TO check the tobacco
MONOPOLY by a special excise tax on
production above a certain amount.
offered by Senator Hitchcock, was de-
feated.
The Hitchcock proposal was special
tax on the production of more than
2O,0OO,0OO pounds OF tobacco, 100000
OG0 cigars. the same number of ciga-
rettes and 100000 pounds Of snuI
by any one company. For an annual
production above this quantity the tax
would rise rapidly, so that 1t would
soon become prohibitive. Senator
Hitchcock declared such a taxing sys
TEN would curb a tobacco monopoly,
which the government had failed TO do
! through a mistake. lack Of judgment,