The sun. [volume] (New York [N.Y.]) 1833-1916, 1915-02-22
DEFICIT MAY FORCE
AN EXTRA SESSION
Grand Total Reaches S121,-
100000 and More Revenue
Measures Seem Probable.
ECONOMY PLANS FAIL

w.sur1ercN, Feb. ~. - While all
Axneer Of an extra session Of Congress
A., account Of the ship purchase bill or
N. appropriation measures seems TO
,,v. been avoided the outlook In regard
~ che condition OF the Treasury is not
AZ encouraging.
MANY leaders believe that unless
,hsr. il an unexpected Increase In the
government receipts a special session
~ Congress will be necessary soon after
,hs expiration of the present fiscal yea
on juno 30 to make changes In the
revenue laws.
The latest Treasury statement shows
that on the years business up to date
m. excess OF o. .lnary disbursements
over receipts Is Ss2,S30,s0s This does
M, in Jude payments on account OF the
Panama Canal.
Taking these items into consideration
.he reasury statement issued under the
objection Of Secretary McAdoo shows
that the present deficit totals s101 1885,
$50. But this does not tell the whole
story The Post Ohice Department Ia
,us, about 500. 900. 900 shy on the years
business. thus bringing the deficit up
70 4 grand total Of more than sal
0oo. 000.
urses Cut In Expenses.
Postmaster-General Burle.on has sent
letter TO all first class postmasters
urging them to cut down expenses wher-
ever possible and Il is understood that
rromotions and additions "a the service
viii he dispensed with as far az possible.
The deficit Of the Treasury for the
corresponding period a year q ex-
elusive OF the postal service. was s47,-
N3s,4al, as compared with the SOL
1000 to-day, so 1t Will be seen that
despite all efforts at economy condi-
lions in the Treasury have gone from
had % worse in the last twelve months.
Treasury officials and some Demo-
cratic leaders in Congress are hopeful
nat with the returns from corporations
and individuals under the income tax
payable on June 30 the deficit will he
vlned out. A few months ago they
figured that these two laws would
Weld for the year about $685. 600. 900.
officials have revised this estimate.
they are now of the opinion that the
Democratic party and the Treasury will
he ugkv If the corporation and income
axes yield sos. 900. 900, and some au-
ihor,ties say that not more than $780,
100000 will accrue TO the Treasury on
these accounts.
While Congress ha. been pa ssing
bills this winter corporations have been
passing dividends and, accordingly. the
Treasury yield will he lighter. both
from corporations and individuals. thar
= would be under ordinary circum-
stances.
War Act.
As a revenue producer the emergency
war revenue act does not seem to have
come up to expectations, although
Treasury officials refuse 10 concede this,
Although the act has been in force about
three months thus far the returns for
The wear from Internal sources. exclusive
Of the corporation and income taxes are
f2Ns. 000, 900. as compared with S20e,-
100000 for the corresponding period Of
jhe preceding year.
Either the war revenue tax has fallen
helow the estimates or else there has
been q big slump in the ordinary inter-
nal revenue receipts. Up TO February
10. 1913. receipts from customs totalled
fl'3,4j2. $50. For the same period this
,ear they We're sl34,46l. 922.
The emergency was revnue act will
expire ny limitation on January ! next
Four months later sugar will GO on
no free list. Unless the Government
business soon changes for the better II Is
he belief of Democrats. privately eX-
pressed. that the Treasury will either
have to issue bonds or Congress will be
forced TO revise the revenue laws.
In fact. ii is generally believed that a
crsis IN the revenue situation will be
reached at the end OF the fiscal year.