The Birmingham age-herald., 1914-03-07
New York Collector Simply
 Knows Number of Men Who Paid the Tax
TO TAKE SOMETIME
 TO FOOT UP FIGURES
Customs Reductions Ten Million Dol lars Short Last Month, But Question Is Who Got
 the Money
By HOLLAND

New York, March 6.--(Special.) 1.-The man who has refrained completely from guessing what the income tax which citizens of Manhattan would have to pay is the government official who handled, or supervised the handling. Of the returns. Collector Anderson knew on Monday evening how many returns had been made and that was all he did know. He could not make any estimate about the returns, since to tabulate tho figures will be a labor cf some weeks Tn some small communities where everybody knows every other body it nay be possible to make a fairly ac- curate guess about the tax which will be collected by the government upon l tho incomes of citizens of those places, but the New York collector intimates that it is absurd for the collectors of and he Is inclined to think none of them has done so.
 Therefore a reported estimate which was made in Washington of the gross amount of a hundred millions which tn government Is to receive from the in come tax is worthy of no attention Many persons suspect that the govern ment authorities will be disappointed in the aggregate sum received from in- come tax payers,
 The estimate would have no more not for a statement which came off cially from Washington on the day after the income tax returns were com pleted. The government statisticians re- port that in the month of February of this year there was received from GUS toms $10,000,000, round numbers, less than was received in February of last year. Furthermore, the government au- thorities also report that in the seven months of the present fiscal year the government disbursed $27,000,000, round numbers, in excess of receipts, whereas in like period of last year the re- ceipts were s6, ,000 in excess of dis bursements. Unless, therefore, there should be n great increase in receipts in the last five months of the fiscal year the government will apparently run behind from $S6,0o0,00O to $i0,- 100000
 The presumption is that the government expects that the income tax receipts which will be paid in during the month of June will be more than sufficient to meet this deficit. If it should pe as much as $50 0O0 coo, then this tax Will consid- erably more than make I'D the difference between receipts and disbursements In favor of receipts.
 A Puzzling Question
 The experts in the custom house are reported to be somewhat puzzled by the official figures which show great falling off in customs revenues, especially since the new tariff law went into effect. It Is not strange, the experts say, that there should be a large falling off in customs revenue notwithstanding the great in- CT ease in importation since the new tariff law greatly reduced tariff rates and con siderably increased the free list That is what was expected. But the curious feature is discovered in the fact that not withstanding the large falling off in re- ceipts at the custom houses, no lessening of the cost of commodities to consumers. excepting in two or three instances, has been reported. Not even the heavy impor- tation of beef and of corn from South America has served to reduce the cost of these foods. Some food products cost more now than they did under the old tariff law.
 Those who are customers of the shops where clothing, silks and fabrics of all kinds are dealt in report that prices have not decreased notwithstanding heavy i'm portatons of some articles of these kinds. Sugar alone maintains Its paradoxical market conditions. since the tendency is to still lower prices, and that has been the case for some years. It is the only necessary of life of which the cost has decreased.
 A New Object Lesson
 There were many persons in the United States, some of them being in public life. who were glad that test was to be made of the soundness contained in the arguments of those who said that low tariff would reduce the cost of many commodities and would serve also to in crease importatons. Even some men who are of strong protective convictions con fessed that the time had come when test should be made, so that it could be learned precisely what the effect of high tariff and on the other hand of a low tariff is upon American industries, and the cost of commodities made and mar keted in the United States.
 Nelson Dingley, at one time chairman of the ways and means committee in the House of Representatives and the author of the tariff law which bears his name. was never surpassed as student, practical, scientific, theoretical, of the. relation of the tariff to American busi- ness life and, to the prices charged for commodities in the American market Governor Dingley's studies convinced him
 
 protective system which levied too nigh rates, 1t was a danger which cured itself in the long run He was convinced that whatever may have been the fact in the days before there was rapid steamship communication with other lands and all most instantaneous cable communication, it is the fact in these times that low tariff will not especially affect the cost of commodities to American consumers, although d low tariff might make great and sweeping changes in American in dustries inevitable.
 The experts say that it is altogether too soon to base with confidence any judgment upon the permanent effect of the new low tariff law. although they do admit that so far 1t seems as though the tariff is not securing the chief bene- fit which those who framed 1t looked for namely, reduction in the cost of commodities, especially the necessaries of life.
 Where Did the Money Go?
 The government reports that customs revenues in February of this year were 10,000.O00 below the revenue collected a year ago. although inportations were considerably increased. The wonder Is. then. where that 100000 went. The American public does not seem to have gained any benefit from a reduction in customs charges which caused a falling of of $1O,O00, GOO in revenue for a single