Evening star. [volume] (Washington, D.C.) 1854-1972, 1914-09-06
Under Discussion by Demo-
Gratis of House Ways and
Means Committee.
FRAMING LEGISLATION
FOR INCREASING FUNDS
Added Revenue From Beer Prac-
tically Decided Upon-Variety
of Articles Considered.

A war tax of either 80 cents or 81
cents a barrel on beer. which would
raise from 100000. 900 to $50. O0o. 900, has
practically been decided on by the dem
ocratic members of the House ways
and means committee, who were in
executive sessions all day yesterday
Although there is no definite conclu-
sion on a magazine tax, many members
OF the committee believe that in maya
zines a source of internal revenue
which would produce s20,ooo,ooU APP
proximately has been found This fea-
ture was one of the surprises of the
afternoons session yesterday A tax
on wines Of 20 Cents a gallon would
produce about ten millions. and if "A
tax of Is cents a gallon on whisky Is
decided on the total of these articles
would come to about $4,000 600, ac-
cording to estimates of House menu
berS.
Tax on Checks Not Probable.
There is now little probability of a
stamp tax on checks and negotiable
papers. Although nearly s4o.oo0.ooo a
year was raised by that schedule in the
Spanish American war tax period,
there Is a strong disposition in the
committee not to re-enact that portion
OF the law of 1898. There was a SHARP
nght again on the taxing possibilities
OF railroad tickets, and counter pro
posal to tax freight traffic was made
The objection that could be raised to
tnat, 1t was explained later, was thu
enormous difficulty in collecting il, A
tax On passenger tickets would be
easier to collect.
1t Is almost certain that there will be
no TAX on gasoline. One reason involves
the difficulty of having revenue collectors
at every refinery where the product Is
made There is a strong disposition not
TO tax tobacco. as the committee feels
that industry has been bearing big
burden already.
1t was suggested In the meeting yester-
day that automobiles be taxed, and three
methods were proposed. These Were tax
alton according to value or according to
horsepower, and a tax on the use of
motor cars. Much of the argument arose
over the difference OF opinion to what
revenue various articles would produce
as there was evidently no clear state
mnt as to the quantity in use Of many of
the articles mentioned.
The talk about taxing soft drinks has
developed no definite plan as to how they
could be taxed and what they would pro-
duce. There will be strong effort to
include them in the list 1t Is believed,
when the bill reaches the floor Of the
House, IL the committee should neglect
to place them in the bill.
Many members Of the House favor the
Spanish war tax on checks and business
transactions They believe 1t would be
much wiser to effect this levy than taN
the committee of the thousands of subur-
ban dwellers around New York and Bos-
ton in particular, whose daily railroad
fare is a part OF their necessaries, and
who will undoubtedly by their votes
avenge tax levied upon them.
Arguments Presented.
These members have presented the fol-
lowing arguments:
"The 1898 stamp tax was originated
and levied by a republican Congress
to cover the expenses of a war That
lasted only two months. The European
war will be much more costly 70 THIS
country because of the cessation OIL
customs duties. II we democrats SIM
publican tax of 1898. then the repub-
licans, in the campaign, cannot attack
us for using the means that they use
But il we levy tax on gasoline.
which farmers more than city men are
protesting against, and on commuters
tickets, which affect, a class already
trying to stave of the cost of living
we will get it going and coming. in
city , an and de IN IN
The opponents of the commuters tax
say further that they cannot defend
on the stump a bill which spares
whisky and tobacco. admitted luxuries.
and imposes duty on railroad tickets
and Fasoline, virtual necessaries.
Senator Simmons. who. as chairman OF
the Senate finance committee. will have
charge of the proposed internal revenue
tax bill in the Senate, does not intend
to let the grass grow under his feet once
that measure has been formulated by
the House ways and means committee.
1t is expected that he will call a meeting
of his committee Immediately after the
hill has tanen form in the House and
that he will have its provisions carefully
considered by the Senate committee so
as to be in readiness for quick action
as soon as the bill reaches the latter
body.
Predictions are being made that the
debate on this measure in the Senate
will extend over many days and that it
is likely to start up again the contro-
versy over the whole tariff question. Ad-
ditional taxes are not popular and the
republicans are expected to make the
most of this opportunity In view of the
coming elections.