The Washington times., 1914-09-21
WAR TAX MEASURE
OFFERED IN HOUSE
Bill to Be Reported by Commit
tee Tomorrow and Taken Up
Thursday.

Ma jority Leader Underwood intro
duced in the House today the Admin
istratiOn'S emergency war tax" bill,
designed to produce approximately
slo0,00o,O0O in revenue to Offset the
losses in customs receipts during the
European war.
The bill. the details of which were an
ncunced Saturday night. will be repcrt-
ed by the Ways onG Means Committee
tomorrow and ta!:en up in the House
Thursday. 1t will face united Hepub-
lican opposition, the minority contending
that special taxation is unnecessary and
the Democrats should economize in ex-
penditureS.
The Democrats. having approved of
the substance of the bill in caucus, are
expected to support it.
Except for its tax on beer, wines and
gasoleDe, the bill follows closely the war
revenue measure of 1898. when this
country was in conflict with Spain Many
of the items and rates of the old Span
ish war tax have teen lifted Nv the
Democrats.
Will Prevent Trouble.
One change made which will prevent
annoyance to thousa nds is the modifics-
ton Of the mehoi of collecting the tax
On kilograms and telephone messages
Instead OF affiXirS q stamp to a tele-
graph message, the bill requires that
the companies shall keep record Il all
telcgrams sent anG remit / cent fJr
each message. y l-ceEt tax is put on
telephone messages also. Under the old
bill the sender of n telegram licked and
pasted a stamp thereon. The companies
of course. are expected to add the
cent per message to the consumers bill.
The telephone and telegraph tax ap-
plies to messages which cost 15 cents or
more and will not cover local telephone
calls
The principal rates Of the revenue bill
are
Beer, ale. porter, and similar ferment-
ed liquor, $3.50 per barrel, an increase
of so cents.
Domestic sweet wines. with more than
lon; other domestic wines, including dry
wines. IL cents.
Gasolene and naptha and other pro-
ducts used for motor power. cents per
gallon, to be assessed against the pro
ducer.
Bankers, 81 upon each 81 900 OF cap.
ital, surplus and undivided profits en-
ployed.
Stocks and bond brokers. $50: pawn
brokers, $40; commercial brokers, $50 |;
customs brokers, $40.
Theaters Must Pay.
Froprietors of theaters and amuse-
ment houses in cities of more than
$4,000 population, 500; circuses, 500,
to be collected in each State wherein
a performance is given; proprietors Of
other amusement places not specifically
mentioned, $40: proprietors of bowling
alleys and billiard rooms, IS for each
alley or table.
The tax on tobacco dealers and manu-
facturers is substantially that of the
Spanish war, and is effective November
J.. 1914, viz:
Dealers in leaf tobacco, with annual
sales of less than $4,000 pounds, Sc
S12; more than 100000 pounds, s24.
Dealers selling less than 1000 pounds
are exempt
Other dealers, not specially provid-
ed for $3.50. Every person handling
snuff, cigars and cigarettes shall be con-
sidered a dealer.
Tax Is Graded.
The tax on manufacturers of tobacco.
cigars, and cigarettes is graded from
$6 10 s24. according TO size of business.
The bill contains practically the same
provisions as the old law regarding the
making of returns, and persons violat-
ing the law or seeking TO avoid the spe-
cial taxes may be punished for a mis-
demeanor.
Courts are forbidden to record doc
uments covering business transactions
subject to the tax unless there shall
have been affixed to the instrument the
required number of stamps
Bonds of the United States, of those
of any State, county, or town, are ex-
empt from taxation. Bonds and stocks
of cooperative building and loan asso-
Citations, with a capital stock of not
more than $4,000, and building and loan
associations making loans only TO
shareholders are exempt
The taxes under the sO-called stamp
tax" section OF the bill. borrowed large
L. from the Spanish war bin. are
Bonds. > cents for each 500 or frac-
bills Of sale on stock and bond trans
fers. cents.
Bill of sale Of mercha ndise, ! cent for
each 500 or fraction.
Promissory notes, cents per 800.
Express and freight receipts and bills
Of ladng, l cent each.
Indemnity bonds. 80 cents; certificates
Of profit. cents per 800: certificates
Of damage. q cents; other certificates,
10 cents: contracts of all kinds, 10 cents:
deeds and conveyances. 80 cents for first
800 to &5G. each additional 500 an ad-
ditional - cents; entry OF goods at Gus
toms house, . cents TO 81; entry for
30 cents
Insurance Is Taxed.
Life insurance. cents on each $1,000.
Life insurance policies on weekly
payment basis, 40 per cent Of amount
of first weekly premium.