Fulton County tribune. (Wauseon, Ohio) 1883-1925, 1917-10-12

Washington.-The joint conferees on
the war revenue bill completed their
draft after two weeks of deliberation.
AS revised by the conferees the
measure has been raised from the levy
fixed by the senate of $2,416,670000 to
an aggregate of approximately $2,7OO,-
100000. Chairman Simmons of the
senate finance committee estimated
that the increase made by the con-
ferees would approach S275,0O0,0OO.
Profits Tax Modified.
The excess war profits tax, as agreed
to by the conferees, is a modification
of the senate bill, the principal
changes being in the maximum and
minimum rates of exemption upon
which the tax is to be determined.
The senate graduated scale of exemp-
tions ran from to 10 per cent, while
the house exemption rate was per
cent. The conferees adopted the grad
uated rate of from to per cent.
The definition of capital, which was
a point upon which the conferees ar
gued for days, was modified so as to
provide that the actual value of tangi-
bic property paid into corporation
or partnership or individual business
before January 1, 1914, shall be taken
as of that date. The proviso as to
good will and other intangible prop
erty has been somewhat iberaIized.
AS to Invested Capital"
In calculating war excess profits the
terms invested capital" of corpora
tiOns and partnerships was declared
to include actual cash paid in, actual
cash value and other tangible prop
erty paid for stock or shares at the
time of payment or January 1, 1914,
but in no case to exceed the par value
of the original securities; paid in or
earned surplus and undivided profits
used or employed in the business, ex-
elusive of undivided profits earned dur
ing the taxable year."
The allowance for intangible assets
includes actual cash value Of patents
and copyrights paid in for stock or
shares at the time of payment -. .
good will trademarks, trade brands
franchises if for bone-fide pay
ments not to exceed the cash value
1t stipulates that such intangible
assets exchanged for securities before
March 3, 1917, not exceeding 20 per
cent of the total, shall be included al
a value not exceeding a fair cash
value at the time of purchase. =
Postal Increases.
A fiat increase on reading matter Of
Il cent per pound until July 1, 1919
and u cent thereafter was provided
Advertising matter exceeding 5 pei
cent of the total space would be taxed
from Il to "a cents additional unit
July 1, 1919, and from IL to Az cent:
more until July 1, 1920; and from y
to 6A cents to 1921 and from cen
to cents thereafter.
An additional tax Of 1s cent pc
pound until July 1, 1919, and Il cen
thereafter, on religious, agricultural
fraternal and similar publications wa
adopted.
The l cent tax on letters, excepting
drop letters and postal cards, was re
stored by the cOnferees. A cent ad
ditional tax on postal and privat
mailing cards was added. The first
class mail increases are estimated t
raise $90,000,000, and are effective 3
days afetr the passage of the act. Th
senate provision eXempting from post
age Letters written by soldiers an
sailors abroad was retained.
Railroad Tickets Hit.
The conferees levied per cent i
lieu of the senate rate of and tn
house rate of 10 per cent on passenge
transportation, estimated to raise frol
the compromise levy abouot $4,000
900 instead of $37, 100000 under tn
senate plan. The 3 per cent tax O
freight transportation was retaine
and the tax on express transportatio
was increased so that 1 cent would b
levied on each 20 cents paid instea
of each 25 cents. The house 10 pc
cent tax on Pullman accommodation
cut to per cent by the senate, We
restored and is estimated to raise Sc
100000.
In lieu of the house per Gel
tax on sales of automobiles by man