The Bridgeport evening farmer., 1913-10-03
WHAT THE NEW
TARIFF LAW MEANS
(By Associated Press.)

! Washington, DC; Oct: 3--Presldent
Wilson'S signing of the Underwood
Sim ons bill att g. O'Clock tonight will
bring into effect one of the most far
reaching revisfons asof, tariff rates and
revenue laws for many years.
s. A new income tax, applying directly
4 to the Incomes of citizens; the abol17
ton of all tariff on scores of items or
immense Importance to American in
| dustry and American consumers and .
a heavy reduction of tariff rates on
most of the articles in general use in
this country are its chief features
While certain portions of the new
law do not take effect at once, most
of it's provisions and almost all the
direct, tariff reductions, do.
r. Atevery port Collectors of Customs,
Appraisers of Merchandise and hum
dreds of other employees #of the Treas
into the task of collecting the ma
tion's revenue on a new basis, and
with hundreds. Of new classihcations
and new provisions of law to com
plieate their activities
| The federal government has been
spending nearly billion dollars
year and the new tariff law will raise
/ less than one-third of that sum. Re-
cent estimates by tariff experts in
Congress predict that the rates will
that the income and corporation
taxes will raise 100000, 600. The
remainder of the Governments great
income is made up principally of in
ternal revenue taxes and postal re-
ceipts.
The income tax probably will bring
the new tariff law most forcibly to the
attention of citizens. President Will 4
son and Democratic leaders in Con-
gress believe, however, that the re-
duction of duties on clothing, food
stuffs and other necessaries of life,
and the complete removal of the du-
ty from many like articles, will even
tually bring a reduction in the cost
of living without materially affecting
busin ess prosperity.
A brief summary of the new tariff
law as prepared for the Senate fol-
lows:
Average percentage of tariff rates
as compared to the value of all. i'm
ported merchandise; old law 81 per
cent; new law 81 per cent
Value of annual imports added to
the free list $147, 100000
Estimated revenue from all import
rates: old law, 5000, 00o,00O; new law
$249, O00 0o0. 49,
Estimated revenue from corporation
and income taxes: old law, $4,000
600; new law, $122, 100000
Altogether, consumers in the United
States probably will receive from
abroad free of all tariff, more than
$1,000,0OO,0Oo worth of merchandise
during the next year. During 1912 the
amount of .free imports was more
than $3.50, 900, 900, and when the tar
if is entirely removed from wool, su-
gar, iron ore and cheap iron, and 9TH
| er important items, the total is ex-
| pected to increase notably Under
| the old law more than SO per cent. OF
/ all goods brought to the United States
from all parts of the world paid no
| tariff, and that proportion will be in
creased by the new law.
4 The free wool provision of the new
| law takes effect DecemberL 1919 the
free sugar provision May l, 1916
The new tariff law, passed four
years after President Taft signed the
existing AIdrich-Payne law is the re-
suit of more than nine months of
work in Congress Hearings were
started January 6, by the House Ways
and Means committee. Chairman
April z, Immediately after President
| Wilson had convened the new Con-
gress. 1t passed the House May
and the Senate September g..
In the opinion of its makers the
democratic leaders of Congress, the
most important features of the new
1 tariff are:
"a reduction of nearly one-half in
the average tariff foodstufs and
farm products
The placing of raw wool on the free
list, and a reduction of nearly 2-3 in
| of the cheaper grades.
A reduction of one-third (average)
on cotton clothing
Reduction of the sugar. tariff and
its ultimate aboIishm ent in 1915
A reduction of one-third (average)
in the tariff on earthenware and glass
ware.
Adjustment of all tariff on meats,
fish, dairy products, flour, potatoes,
coal, iron ore, lumber and many class
eS OF farm and office machinery
General tariff reduction on all i'm
portant articles in general use
/ Throughout the long fight over the
| bill, the Republican attack on the
measures has been directed against
those rates which the republicans de-
clared were SO low as to threaten de-
| Struction to American industries;
through the competition of foreign
manufacturers. The Democratic sup
porters of the new law have insisted
that except in those cases where pub
lie welfare demanded, radical chan
to a point where it will stimulate
competition without turning Amert-
can markets over to foreigne
A great amount. of work will fall
upon the Treasury DEPARTING t, it is
expected, in working out the details of
the new income tax and the methods
of collecting the direct taxes from in
d1V1dual citizens of the United States
The tax upon corporations, now fixed
at one per cent of their income, re-
mains the same, and becomes part of
the general income, tax law. A staff
of special deputies, collectors, and
agents will be employed to oreanize
and conduct the work of income tax
collection.