Daily Kennebec journal. [microfilm reel] (Augusta, Me.) 1870-1975, 1913-07-19

cessble to the public, but reliable es-
Inmates fix tha dealings at about 49,,
00o,000 bales annually in recent years.
1t seems to be the consensus Of opinion
that about ten per cent of tile contracts
of sale and purchase of cotton for fu-
ture delivery is embraced in that
branch of the business known as hedg
ing and that the other ninety per cent
thereof is of a speculative or gambling
character, where no delivery of tie
product is ever really intended To be
made.
IF the effect of the proposed tax is
to eliminate all OF the latter class Of
business and to leave intact that part
of the dealings resorted to for hedging
purposes, the revenue derived from
this tax should amount to about s.. 000.
900 year, and if its imposition does not
have the effect OF eliminating the
gambling or spe culative end of the bus
mess the revenue derived therefrom
will be enormously in excess of this
amount
Reduction of the basic exemption
from income tax from $4,000, as in the
House bill. to $4,000 for unmarried
persons and the consequent rear
rangement of this, the report com
ments upon as follows
Your committee reduces the
amount of exemption of net income to
$4,000 and allows on account of mar
flage an additional exemption II
81. 000 to either the husband or wife
pff hau l,,t
not to both. In the case of a miner
child or children living with and d.
pendent upon the parent such parent
Is allowed an additional exemption of
$500 for one minor child and up to
$4,000 on account of minor children,
except where both parents are tax
able, in which case no exemption is
allowable on account of children. BY
the amendment the lowest possible
exemption to any one person would be
S2.ann, and the highest possible eX-
emption to any one person $4,000.
While the amendment may make 40
wide difference in the volume of reve-
nue. derivable from the tax, it is
deemed equitable as recognizing the
added obligations on account of mar
rage and children and salutary as
emphasizing the family as the unit in
our social structure"
The changes in all the schedules
are dealt with at length in the report.
OF agricultural products, many of
which We're transferred TO the free
list in addition to those put there by
the House the committee has this to
say:
made by the committee on finance full
~ recognized the paramount inter-
ests of our agricultural population by
placing agricultural implements Of
every kind and description. fence and
baling wire, cotton bagging and ties
low-priced blankets, boots and shoes
cement, nails. lumber coal, harness.
saddles, cotton gins, wagons. carts,
bagging for grain, wool and other
bags, sewing machines and many 9th
er products of daily utility on the free
list. In common with the rest of
our people. our agricultural population
will share in the benefits brought
about by the reduction of the duties
on sugar and its eventual elimination,
The substantial reductions made all
along the line on cotton and wooden
goods, wearing apparel of every des
cription, on croc<efy. household fun
ishings and utensils. hardware AMI
similar products of our factories, will
remove a considerable part of the
burden of tariff taxation now borne
by the farmer, as well as the dweller
in the city and the laborer in the fac
tCry, fields and mines"
1.he sugar and wool schedules are
left unchanged as to free sugar anu
free raw wool, but reductions by the
Senate committee in wool tops and
yarns are explained, and sweeping re
duetions in the metal schedule are
treated in the report with consider
able comment. Pig iron. ferro- man
ganese and other products were
placed on the free list, and the re-
port uays:
THE House bill places iron ore
upon the free list mainly because it
was found that the domestic supply
was largely controlled by the United
States Steel Corporation and for the
purpose of aiding the independent iron
and steel manufacturers in their COM
petition with this monopoly.
For similar reasons the committee
on finance thought the ferro man
ganese should also be placed upon the
free list. The United States Steel
Corporation largely controls the do
nestle ore out Of which ferro- man
ganese, which is necessary material
in the manufacture of steel. is pro-
duced This corporation is the only
producer of ferro- manganese in this
.-.t T.