The copper era and Morenci leader. [volume] (Clifton, Ariz.) 1911-1929, 1913-06-27
CHANGES MADE IN
INCOME TAX
ACT
Members Finance Committee Propose
To Tax Individual Incomes of
Over $4,000; Exempt Married
Persons Supporting De-
pendents.
Democratic Caucus VIII Vote On
Free Wool and Sugar Provisions
At 4 O'clock Today; Leaders
/ Confident.

/ WASHINGTON, D. C. June "a
Radical changes in the income tax
plan of the Underwood tariff bill and
alteration of the administrative fea,
lures of the measure to overcome
most of the objections raised by for.
eign governments, were agreed upon
in tentative way today by the Demo
cratic members of the senate finance
committee.
The income tax, under the new
plan, would apply to individual in
comes of over $4,000 but would make
important exemptions of individuals,
municipalities, civic bodies and mu-
tual insurance companies, under GER
tain restrictions.
Changes in the administrative Sec
tions include new provision giving
the president authority to Increase
tariff duties against certain articles
coming from countries which dis
criminate against the United States.
The proposed five per cent. conces-
sion on the tariff on goods brought in
American ships, the anti-dumping
clause, and the provision giving the
United States authorities ''inquistorial
powers" to examine books of for
eign manufacturers when the valua
ton of goods was in dispute, were
stricken out.
OtuCT SHdH9cS FTOOdDtS.
Democrats of the committee made
clear today that some further changes
might be made in the income tax
and administrative sections before
they reported them to. the senate eau
Gus, but the revised sections made
public today are expected to stand
but little alteration until the. caucus
reaches them.
Senate Democrats in caucus on the
bill spent the entire day on wool and
sugar. Just before adjournment to-
night Chairman Simmons of the fin
ance committee, secured an agree
ment to vote on both not later than
O'Clock tomorrow. No amendment
to the freeswool provision was offer
ed but the majority senators will
have an opportunity to express their
opinion Of two sugar amendments.
Offer Amendments.
Senator Shafroth offered one to fix
the rate at the end of three years at
about half cent a pound instead of
the free list provision now in the bill
Senator Thornton offered a second
to provide that the rates
remain as they are in the Payne-Ald-
rich act. 1t is regarded probable to-
night that antifree sugar men will
get together tomorrow before the vote
is taken and decide to concentrate
their support behind one amendment
if the other is beaten.
Leaders of the majority are con-
fident that despite the oratory against
it free sugar will be retained in the
bill and that only the two Louisiana
will oppose it when the meas
ure reaches the senate
Under the proposed new form of
the income tax an additional exemp-
ton of $1,000 would be allowed to
married men or married women with !
dependent wives or - husbands, not |
taxable under this law, and $500 /
would De added for each dependent !
child living with and dependent upon
he taxable parent. In case both
are taxable, however, no ex-
emption of that portion of premiums
collected by mutual life or marine in
'urance companies which may be re-
urned to policy holders in the form
If dividends. Taxation of this por-
ion of their income has been bitterly
opposed by insurance companies. The
Underwood bill exempted only mutual
ire insurance companies on this basis.