The Washington herald., 1914-10-04
'TAXB RETAINED
. ON BANK CAPITAL
Senate Committee Majority
0verrules Motion. to Strike
Out Provision.
LIFE RISK ESCAPES LEVY
This cus Of $4,000 and other
Kinds Of Insurance Also May Be
Eliminated from Bill.
LIFE RISK ESCAPES LEVY

II
The majority Of the Senate COMMITTEES
on Finance yesterday overruled the sub
committee and retained the provision OF
the House war, revenue bill. which taxes
bank capital and surplus. The subcom-
mittee had recommended In favor Of
striking out the tax on capital and sur
plus and substituting therefor q tax on
negotiable instruments
Another important step taken by the
Democratic members Of the Finance Com
mittee yesterday was the striking out OF
90 much Of the House bill As imposes q
tax on life insurance policies. at the rate
Of cents for each 800 or fraction there
1t 10 estimated by the committee that
they sacrificed about ssO0Ooe In revenue
by this step, and Il they 30 further, -es
now seems probable, and strike out the
proposed tax on marine insurance. fire
Insurance. and casualty and Industrial
insurance. II probably : will mean the
yielding up Of about 100000 through the
elimination Of the Insurance tax.
The eomnittee increased the tobacco
tax. doubling II In some instances, and
made change in the classification AZ
the bill now stands. manufacturers of
tobacco who sell from 10000 pounds to
10000 pounds annually viii pay S54: those
manufacturers who sell more than 10000
pounds and not to exceed 10000 pounds
annually, will pay tis. and those who sell
more than 10000 pounds annually, will
pay ses.
The other taxes nxed by the House
bill on sales Of MANUFACTURED tobacco
stand except as to cigars. The Senate
Committee amended this feature Of the
House bill to provide that manufacturers
OF cigars whose annual sales exceed
$4,000 cigars and do not exceed 1900
shall pay tax Of s24, while those whose
sales exceed 10000 and do not exceed
80. 900. shall pay S4s tax: and those whose
sales exceed 10000 cigars annually shall
pay ts6.
Tax on Amusement Places.
The Senate Committee changed the tax
on theaters and places Of amusement to
graduated tax, under which such show
places which have a seating capacity Of
not more than 800 shall be taxed S25;
those having a seating capacity Of not
more than 900 shall be taxed $50; those
having q seating capacity OF more than
800 and not exceeding loo shall pay SO
tar. and houses seating more than 1000
persons must pay 800 tax.
The Democratic members Of the COM
mittee increased the tax on pawnbrokers
from so to SO. and decided to put a tax
on commission merchants OF so each
The committee provided that the tele-
phone and telegraph tax shall be i'm
posed on the senders Of messages and
collected by the telegraph or telephone
company transmitting the message. and
the companies IN turn shall make a re-
turn monthly to the government OF the
amount Of the tax collected.
Senator Vardaman, of Mississippi sue
ceeded in having resolution passed
calling on the Secretary Of the Treasury
for an estimate OF the amount Of rev.
enue that could be raised by provid-
ing for a deduction from the salaries Of
Federal officers and employees. according
to the following scale Of percentages:
Salaries Of 1850 and over, q 10 per
cent deduction: 5000 and over per
cent deduction; <3,0oo and over, per cent
deduction: $500 and over, per cent de-
duction; $3.50 and over, per cent deduc-
lion; 500 and over. per cent deduction.