The times dispatch. [volume] (Richmond, Va.) 1903-1914, 1913-07-08
STRONGLY OPPOSE
COTTON SALE TAX
Chamber OF Commerce Directors
Want Congress to Kill
Clarke Measure.
NEW LAW WOULD HURT SOUTH
Calculated TO Upset Prices, With
out Bringing Relief to
Anybody.
NEW LAW WOULD HURT SOUTH
Affirming the need for regulation of

Affirming the need for regulation Of
traffic in cotton futures, yet branding
AS in!0uitous and unjust Senator
Clarke's proposed reform, the board OF
directors OF the Chamber OF Commerce
met at noon yesterday and passed
strong resolutions urging the defeat Of
the proposed stamp tax OF one tenth OF
j cent pound on all cotton future
safes AS the directors see Senator
Ciarke's stamp tax. 1t is not only an at
tempt at class taxation. but viii kill
inc cotton exchanges. fail 10 regulate
dealings In futures in the way de-
sired. inJure the price Of cotton for the
planter and transfer tins cotton market
from America 10 Europe.
There ID now pending before the Sen
ate Finance Committee. as an amend
ment to the Underwood tariff bin. a
proposal brought forward by Senator
clarke 10 Impose "A tax OF one-ten;h OF
cent pound on ali contracts for
cotton bought or sold for future de-
HVery. The measure IL meeting with
bitter opposition from the cotton ex-
changes and commercial organizations
throughout the country. Copies OF the
resolutions passed yesterday will be
sent 10 The members OF Congress-
Letter to Representatives.
Before the resolutions were adopted.
3 Dabney Crenshaw. Henry w Wood,
H. L. Cabeil and w. +. Richardson
spoke In opposition to the proposed
law. Letters were sent TO Senator's and
Representatives from Virginia request
Ing their aid IN defeating the measure.
This letter signed by Henry w. Wood.
follows:
Il sincerely trust that you Will op-
pose the amendment proposed by SEN
a'or Clarke for stamp tax on cotton
futures. The effects OF this Will be
very disastrous to our Southern cotton
growers as II Will practically trans
fer trading in cotton futures to the
Liverpool cotton market. making that
the centre OF trading in cotton, rather
than New York or New Orleans as al
present. and increasing the Importance
o; the Liverpool market 10 the detri-
ment OF the trade IN our own country.
In addition 10 the proposed taA on
cotton. / am informed that notice has
been given that Al amendment wlll be
introduced by senator Cummlns. which
taxes futurc trading on grain and other
farm products. which includes clover
and timothy seed. IN which there are
future markets In Toledo ana Chicago.
which are used 10 considerable advant-
age in trading III these seeds
Speculation IS absolutely necessary
FOR healthy condition OF business In
different farm products. preventing az.
due depression In prices when crops
aT. marketed. and increasing TO "A very
considerable e%t>nt the prices received
by our farmers for their produces, be-
cause OF the fact tina; dealers can buy
freely and sell FOR future delivery
against their stocks. thus continuing
10 buy the farmers product as 4 is
offered. at fair values. II ii were not
for the open markets provided by the
speculative trading ;hat is done. both
in cotton and grain and other farm
products. l am thoroughly convinced
that we would see very unsettled and
widely fuctuating p..ces. particularly
at tbs time OF marketing the crops. and
anything that tends to check legitimate
speculation IN this way viii certainly,
in my opinion. be disastrous 10 the
agricultural interests OF our country,
and will also force this speculative
trading. in cotton particularly, TO
Liverpool, and in grain and other pro-
ducts TO Winnipeg. Toronto and Mon
treal This Will affect very seriously.
not only the large financial interests
In this country, but the cotton manu-
featuring industry, the milling indus
try. the grain. seed and cotton dealers,
and above all. will affect more serious
~ than anything else the farmers and
agricultural interests.
IT sincerely trust that II VIII be
your Judgment and wisdom TO oppose
any taxes on speculative trading In the
above articles which ire OF a prohibit