The Richmond palladium and sun-telegram. [volume] (Richmond, Ind.) 1907-1939, 1913-04-22

corporations as well as individuals will
be taxable. The general statement of
the revenues, according to the calcu-
lations, will be derived from incomes
which range from $4,000 to 100000.
Over 100 incomes taxable at one per
cent and as well as one, two and three
surtaxes are included in the reckoning.
Income Tax Revenues.
The income from the tax on these
told $5,824,0OO. The committee esti-
mates that 10000 incomes between
$4,000 and $4,000 will be subject to the
one per cent tax, yielding 100000
According to the estimates, however
the greatest number of taxable in
comes will be in range of $4,000 and
$4,000. They will yield to the gov
eminent If the expectations of the
committees calculators are borne out
by the experience, $5,340,000.
The income tax, says the commit
tees report, furnishes an easily collect
ed, easily adjusted method of collect
ing funds to operate the government
and possesses the ability which a tariff
system does not possess of being rails
ed and lowere quickly to meet new
revenue necessities without proving an
embarrassment or disturbance to bust
ness.
Will Be Satisfactory.
"In the light of the experience of
other countries" the report continued,
I'VE recommend this income provision
in the confident belief that as soon
as this tax and it's administrative ma
chine becomes fairly understood by
the people and adjusted by the coun-
try it's operation and effects will meet
with as much general satisfaction as
any tax law. A personal knowledge
of the amount of taxes required of the
people would more closely endlist their
interest and active operation in all the
affairs of government and especially
with respect to revenues and expenses.
The adoption of the proposed tax
therefore, would assist in arousing and
sustaining general public interest in
behalf of economy at all times"
The report calls attention to the in
crease in the cost of living since the
Dingley tariff law went into effect and
the development of industrial combi-
nations or trusts. The protective sys-
tenn of the last decade Is blamed for
these conditions and also for too rap
id diminution Of the natural resources
of the country.
The tariff has been so high that in
dustry has been actually impaired, &C
cording to the report.
There is another serious condition, y
the report points out, (which must be
directly attributed to the tariff, but
of which little is actually said. This
is the experience of obsolete plants
and methods in many lines of industry
old machinery and out-of-date methods
being continued in operation years
after they have been practically elm
mated elsewhere. Information in the
hands of the committee strongly con.
firms the belief that there is rarely a
high protected industry in which a
considerable percentage of the plants
and machinery are not hopelessly be
hind the times. These conditions con
stitute one of the strongest arguments
in favor of rectifying the conditions
complained of by applying the impetus
of moderate competition. The bill
seeks to accomplish this
The committee, according to it's dec
larations, framed the new tariff with
two underlying facts in mind, as fol
lows:
To eliminate protection of profits