Evening times-Republican. [volume] (Marshalltown, Iowa) 1890-1923, 1916-07-03
DEMOCRATS MAY ADD TO REVIEW
UEs BY LEvYlNG ON LUxUR-
les OF BREAKFAST, TABLE.
CLAIM 1T POSSIBLE
WITHOUT TAXING CONSUMER
Calculated s5o,ooo,ooo on Each Can Be
Raised NEUTRALITY-SUSPICIOUS. Shy at
Susgestion-Republieans Decide Not
to Oppose Democratic Revenue Meas.
ures-Eo Opposition Bill Planned.
[By -Judson c. Welliver.1

Washington, July "a revenue tax
on tea and coffee?
Not with the consent of any politi-
clan.
That would be taxing the breakfast
table.
Yet there is beginning to be con-
sideration of the idea. The orlgina.
draft of the Payne-Aldrich tariff meas
ure had that sort Of proposal, but il
was the subject of 10 much criticism
that it was stricken out. II would re-
quire more courage than most people
possess TO back such proposition
now; yet there is a widespread belief
that it would be one Of the very surest
and least Objectionable ways to ge.
revenue.
1t has been calculated that S50,000,000
could be raised from each of these
items, annually, without increasing the
consumers cost cent. Maybe that's
true, but it doesn't make the politi-
clans fancy The idea a bit. They know
that If the AK We're imposed there
Would be great protest against it,
and that it would be cited as the evil
dence that the necessaries Of life were
going 10 cost more.
Can 1t Be Done?
This matter of taxing tea and coffee,
Tor revenue illustrates the difficulties
of tariff making. When the repubii-
cans We're proposing such taxes. Con-
gresham Lcngworth made careful
study and convinced himself and other
I i
mittee that big block of revenue
could DE secured without increasing
the consumers cost.
1t was found that in Germany, where
coffee was at that time carrying quite
heavy duty and getting large rev.
enue from it, the people We're paying
less for coffee than in the United
states, where it was duty-free. Like
wise, the same inquiry in England
where both tea and coffee were taxed,
it was found that the tax didn't add TO
the consumers price. II seemed hope
| iessly contradictory, but the explanation
was rather simple. The public pays
not for tea and coffee, but for brands
! that are popularZed. The owner Of the
brand commonly has standardized
/ price, and absorbs the custom duty
withou, adding it to the retail price.
But none the less the statesmen shy
, at the idea Of these direct taxes on
! the table. They're too hard to explain.
A republican member of ways and
means descanted at length the othe.'
day about the virtues of such taxes for
i. revenue purposes, and assured a demo-
cratic friend that they should hn
! adopted.
.All right; you offer the amend
ments; maybe they could be adopted,
replied the democrat.
Thank you, no; III let you democrat Is
do that; you need the revenue; l offer
you an excellent idea; but this isn't my
revenue bill"
Income Tax Proposal.
Some details have leaked out, re,
! garding the reorganiZed income tax
proposal that will be carried in the
democratic revenue measure when 1t II
reported. 1t IS said that at last ac-
counts the surtaxes were 20 be imposed
beginning at the $4,000 annual in
come; the charge would be per cent
of incomes OF $4,000 TO $4,000, and
from that increasing until 1t would bs
s per cent on incomes of 100000 ano
over.
The inheritance tax, according to the
same authority, is to begin at l pei
cent on inheritances of $4,000, increas.
ing until the maximum Of ) per cent Is
reached on those of $1,000,000 and over
Republicans, or some Of them, are
getting ready to attack the democra
tic anti dumping provision OF tbs
measure. This is designed to prevent
articles being dumped here from for
e!gn counties at prices SO low as tc
make American competition impossible
The theory is that imports may not be
brought in at prices under the aVerag;
wholesale prices IN the country OF pro-
duotion, with intent 10 m1Horc!!2e :
market in this country. OF course, th'
intent to monopolize would be almos
impossible to prove; in most case.
there isn't any such intent.
Republicans will probably offer. a:
an alternative, method for enforce
ment Of tine undervaiua ton penalt!e:
of the present tariff act. In the pas
it has been admittedly difficult to Se
these penalties enforced; but there Is
little doubt that it could be accom-
plished.
Republicans Will Not Interfere.
One important question in connec
ton with the revenue measure seem
to have been settled. 1t is, that tn
republicans will not introduce an a.,
tentative measure, showing how the.
think the governments revenues ough
to be raised at time like the presen: