The daily telegram. [volume] (Clarksburg, W. Va.) 1901-1926, 1915-12-08
As Proposed by Mr.. McAdoo,
Secretary Of the United
States Treasury.
WIDER RANGE OF PERSONS
Various Other Questions Of
Vital Interest Are Treated
on In Annual Report.

WASHINGTON. Dec. S.-Radicnl
changes In the Income tax to reach
thousands not now subject to its pro-
visions and TO improve the machinery
OF collection were suggested to Con-
giess today In the annual report or
Secretary McAdoo as means by which
the greater part OF the additional
revenue needed TO pay for the admin
istratlon national defense plans can
be provided. Tho secretary pro-
poscd TO lower the exemption limits
SO as to tax married persons with
incomes as low MS $4,000. and single
persons with $4,000 incomes. The
exemptions now are $4,000 and 3d.
600 respectively.
Increases in the collection force.
requirement that returns must be.
made OF gross income In place OF net
income. and u change SO that the
tax shall not be withheld ut the
source. were among Mr.. .McAdoo's
other suggestions. He made no es-
innate OF the number OF persons who
might be taxed II the amendments
were adopted nor the amount that
might be expected. but In connection
with HIS request for q larger coliec-
tion force he pointed out that exam
nation OF the past personal and corr
porntion returns showed that So per
cent OF those inspected disclosed that
additional tax was due the govern
ment. On the basis Of the examina-
tions. the secretary says that. appar-
emily more than $4,000 700 In per-
sonal tax and more than $20,Sa1.000
In corporation tax still is due the
government
Many inaccurate returns are
made. said the report. some DELHI
erately and some isnoTantiy, aud
there are without doubi. wholesale
eyasiona- OF tho law throughout. the
country. Itis absolutely certain TINT
the government Is losing through In
accurate returns and evasions OF the
law sum nar5 times greater than
the cost OF the necessary field force
to investigate and check the returns
and to bring to account those who
are failing to make returns as re-
quircd by law" fi'
In keeping with his recent an
nouncement Mr.. McAdoo suggested
the present stamp Ia. and the exist
Ing duty on raw sugar: should be re-
tanned in force and said again that
no Issue of bonds is necessary either
to provide for current expenses or
In anticipation Of added burdens In
cldent to a policy Of military pre-
paredness. ~,
THE policy Of providing for the
expenditures OF the government BY
taxation and not by bond issues,
said tho report. rs undoubtedly d
sound one and should be adhered to.
a nation no moro than an individual.
can go constantly into debt, for cur
rent expenditures without eventually
impairing credit. A wise, sound and
permanent policy Of raising the ad sdi-
tional revenue required for prepared
ness and the expenditures Of the gov
ernment should therefore be devised
and adopted"
Mr.. McAdoo expressed the belief
that with return OF peace 4 IN Eti-
rope customs receipts which fell of
$s6.000.000 In the last year viii IN.
crease and that the. legislation sir-
gested. with provision to make the
surtax Of the income tar law appifca-
Bile at $4,000 instead OF $4,000.
the whole or part OF the additional
revenues can be raised, Taxes On
gasoline. crude aud refined OILS.
horsepower OF automobiles and s'var-
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