The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1913-07-18

| that the total customs receipts under
| the new bill will be 1855, $50, 600; from
income tax for ten months, $5S.33OOOO;
corporation tax, $37, 900, 600; internal
revenue, including taxes on cotton tu-
lures, of 5000, 900, $207 100000 and that
the revenue from all other sources Will
bring the total for the fiscal year to
1896, SIC, 900 with disbursements, estima-
ted for the committee by treasury eX-
perts at 1894, 900, a balance is shown
in favor of the government of $2,O2O,OoO.
In Analysing it's changes in the house
administration features of the bill, the
committee deemed the amendments or
the houce entirely too drastic par
ticularly those authorizing examination
of books of foreign manufacture,
per cent tariff discount on imports in
American ships and other like features
which were stricken out. Particular
attention is called to the senate pro-
vision designated to furnish the pres
ident with power to impose tariff du-
ties of a retaliatory character upon ali
articles comprised in a specified list,
which includes many agricultural prod
uctS.
Able to Retaliate.
For some years." says the report in
referring to this retaliatory provision, :
there has been a development of
maximum and minimum tariffs
abroad, and in not a few instances
the government of the United States
has been compelled to see it's citizens
subjected to harsh and discriminating
tariff treatment abroad without being .
able under the law, to afford relief !
The tariff act of 1909 recognized this
situation and established a general /
maximum schedule of duties 25 per
cent. higher than the general or min !
imum rates of the law. This maxi
mum schedule has proved embarrass-
ing, clumsy and inadequate and the /
situation under it has been less salts
factory than that which previously /
existed. No material advantages have
been derived from it, but, on the con-
trary it has stood in the way of sue
cessfuI commerce with other coun-
tries.
THE provision now recommended /
will, it is believed place in the hands
of the president powers which, though
extensive in their sphere, are suff1-
GENTLY Circumscribed to permit of
their being exerted within the limits
assigned them without disturbing the
general fiscal system of the United
States.
wise use of the retaIiatory power
will it is reasonably to be expected.
bring about equitable arrangements
with those countries which do not now
afford us fair treatment. and it is
probable that the weapon thus pro-
Vided will be so available and effect
i've as to render its actual use entirely
unnecessary under any ordinary con-
ditions.''
OF another important feature added
by the senate committee. a tax of one
tenth of one cent a pound on cotton
sold through stock exchanges for flu
ture delivery. the report says: Il
Tax Abnormal Profits in Cotton.
THE committee believes the sub
ject matter to be one fit for. the i'm
position of proper tax, not only be-
cause of its indirect influence in elm
mating a parasite whUCh has afflicted
the business of dealing in purchases
of cotton for future delivery but be-
cause it will reach in the collection
of a considerable sum of revenue
from q source in its usual operation
produced abnormal profits from a
business that is not susceptible of Just
in any other way. =
The commission is advised that
since 1907 no official record of the
extent of dealings on the cotton ex-
in contracts for future deliv-
cry is accessible to the public, but re-
liable estimates fix these dealings at
about 80 million bales annually in re-
cent years. 1t seems to be the con-!
sensUs of opinion that about 10 per
cent. of the contracts of sale and pur-
chase of cotton for future delivery is
embraced in that branch of the bust
ness known as hedging. and that the
other 80 per cent. thereof is of a spec !
ulative or gambling character where ,
no delivery of the 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
ing purposes, the revenue derived from