New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1917-08-16
Immediate Bond Issue of
Between Three and Four
Billions Planned
War Tax Bill Lays
Senator Weeks Proposes to
Strike Out Special Levy
on Publishers

WASHINGTON, Aug. ia canvass
of Republican and Democratic leaders
of the House now in Washington
showed to-day that there will be little
if any opposition to the proposed 49,
noo 900 600 bond issue to cover loans TO
the Allies and war deficiencies.
The House is prepared to vote with
out delay whatever is recommended by
the Ways and Means Committee, mem
bers of which have eliminated partisan
ship entirely from their deliberations
While there may be an objection here
and there to the enormous bond issues
proposed by the Secretary Of the Treas
urv. these will be individual objections
which will not be Of much avail.
Indications were to-day that Con-
gress, together with Secretary McAdo0'
will have to determine on a definite
ratio between the money to be raised
bv taxation and the money to be raised
-, hands When the revenue bill was
first submitted it was figured that the
cost of the war for the first year woulu
be loss than half what it probably Will
cost On this basis the Treasury De-
ra-+uant determined that sl,sOo,OOo'-
ooo would be a sufficient amount 70
raise by taxation. This estimate II mas
sirce Increased. but it is becoming more
apparent every day that the proportion
Of money raised by taxation to that 10
he raised by bonds is entirely 100
small.
Must Settle Policy
Asa matter Of fact, the Treasury De-
partment and the two committees OF
Congress have had no fixed ratio OF
taxes TO bonds. The Treasury Depart
ment has been recommending and the
committees have been reporting bond
bills and the revenue bill in a hap
hazard disregard for anything except
the fact that the money had to be
raised. The question of the proportion
of the burden of the war which this
generation should bear to that which
coming generations should assume has
been discussed only in a general way.
Chairman Kitchin indicated before he
left Washington that some definite con-
clusion would have 20 be reached on
this subject. Since the question is a
complex one and is more likely of So
luton by persons who are students OF
finance and money conditions, IT IS
probable that the two committees of
Congress will follow the recommends
tions of the Treasury Department.
1t has been suggested that com
mittee of bankers meet with the Fed
eral Reserve Board 10 attempt 70 map
out some definite financial policy. SO
far, such a suggestion apparently has
proved unpopular with Secretary Nc
Adoo.
House to Vote Loan
The Ways and Means Committee will
meet August % TO consider the ques-
ton of raising part of the $4,000 100000
asked by the Administration. II is ex-
.pected that a bond issue of between
Sc. OOO. 900 900 and 1000 100000 and au-
thorization Of an additional S500,OOO,-
UUO IN TAXES " Dt dhAtN W VIC "NA
revenue bill now pending in the Sen
ate will be proposed. The remainder
of the $4,000, O00O 900 will not be author
lied, according to present plans, until
the regular session of Congress. begin
ming in December.
Senate consideration of the S2,OO6,'
600 600 war tax dill Jagged to-day. de-
bate on committee amendments halt
ing for set speeches, discussion Of the
settled Shipping Board row and other
subjects. ,
Tomorrow it is expected that the
Finance Committees revision OF the
Mouse bill again will be taken up and
rapidly disposed Of. the leaders still
being confident Of passing the bill late
next week
Senator Bankhead spoke to-day in
favor of reducing and otherwise chang
ing the war profits rates. Senator
Gerry. of the Finance Committee, an
alvzed the bill in detail in commenda-
tion of changes proposed.
Senator Weeks introduced amend
ments to strike out the special income
tax upon publishers and the second
class mail increase.