Richmond times-dispatch. [volume] (Richmond, Va.) 1914-current, 1917-09-04
SENATE DEFEATS
PLANS FOR HIGHER
TAXES ON WEALTH
Flat Levies of 20 and 65 Per
Cent, Proposed by La
Toilette, Rejected.
ONLY THREE RECRUITS
GAINED BY RADICALS
Final Vote on War Profits Sec
; ton to Be Taken Late on
Wednesday.
EXPECTED TO STAND AS 1T IS
Labor Day Holiday Spent in Sharp
est Clashes Of Fight Over
Great Measure.
ONLY THREE RECRUITS
GAINED BY RADICALS
EXPECTED TO STAND AS 1T IS
Labor Day Holiday Spent in Sharp
est Clashes OF Fight Over
Great Measure.
TBy Associated Press.l

WASHINGTON. September a.-The
Senate spent to-days holiday in the
sharpest clashes Of its hsL, over war
profits taxation. and again decisively
defeated proposals Of the high-tax ad-
Yocates.
Senator La Follette's maximum
amendment for war profits taxes pro-
posing fiat increase o: 20 per cent
, over existing rates. was rejected by
vote Of 50 TO 20. Another by the
Wisconsin Senator for a SO per cent
increase was defeated. SO to II.
La Follettes highest proposal for
war profits taxation-an amendment to
make the gross levy 20 per ccn,--was
rejected by vote OF 5. to 20.
Senators voting for the La Toilette
= amendment we're: Ashurst. Borah.
Brady. Gore. Gronna. Hollis Hustins.
Johnson. of California;; johnson. of
South Dakota; Jones. of Washing on /.
Kenyon. King. Kirby, La -'ollstte. Nc
Keliar. McNary. Norris. Thompson.
Trammell. Vardaman.
The final vote on the war profits
section is to be taken late Wednesday.
but the bills provision as now writ
ten for an increase Of about one-thrd
or $1,000. 100000. is expected TO stand
Senator La Toilette for a SO per cent
gross levy will come up. together with
Il complete substitute. proposal by
Senator Hollis. for the Finance Com
mittee's compromise provision.
HIGH-TAx ADVOCATES
GAIN THREE RECRUITS
But three recruits were gained in
to-days voting by the high-tax advo-
,r
voted Saturday for Senator Johnson.s
maximum proposal of an so per cent
tax. Senators King. Mckellar and
Trammell voted for both of the La
Toilette proposals. On the 65 per cent
increase the high-tax strength was re-
duced through the early departure OF
Senator's Ashurst. : rady and Gore.
a few additions are expected on
other pending amendments for various
fiat taxes down to IS per cent. but
Senator Borah said to-day. after the
vote on Senator La Follette's max
imum amendment. that the bill prob
ably would go TO the President bear
ing its present total tax levy OF
s2.50o 100000
Many phases of the war situation
were discussed during III. holiday de-
bate OF seven hours. three of which
were occupied by Senator La Toilette
lin another vigorous speech for higher
rates on what he termed blood
profits" His remarks caused Senator
Simmons. chairman Of the Finance
Committee. to suggest that the Wis
consin Senator was attempting to
'hoodwink" the Senate. and provoked
two hot clashes in which both SEN
ators were declared out Of order by
the presiding officer
LA TOILETTE ROUSGS
IRE CT SIMMONS
Senator La Toilette contended that
the committees new plan would not
increase the tax burden OF great COR
porations. but would exempt their
large surpluses. This was vehemently
denied by Senator simmons. Senator
Simmons declared that u..der the bill
as 1t now stands at least half the cor
porations of the country will be taxed
more than before. the tax alone OF the
Steel Corporation amounting 10 $751;
$4,000 this year. while the tax to be
paid by the Du Pont Powder Company
will be s10,0O0.000 more, and that Of
the General Motors Sl.50o.Oo0. The net
increase to be paid by twenty leading
corporations OF the country will
amount to s21.136.ooo. he said
Senator Borah addressed the Senate
at length in favor of tax of at least
60 per cent.
Citing the increasing war expense
estimates Of Secretary McAdoo, Senator
Borah said he believed they ultimately
would reach between $4,000. .O0o. 900
and $4,000. 900. and possibly so5,-
600, 100000 for the first year. including
loans to the allies.
This bill probably will finally pro-
vide s2,500,000,00 in taxes" he con-
tinued. There is no record in history
of such a shrinking from duty by a
Legislative body. Congress has met
this war with courage and amplitude
of means, but when we meet taxation
we shrink from performance Of our
manifest duty.
THINKS BUSINESS MEN
WILLING FOR GREATER SACRIFICE
us s2.50O,o0o,oo0 in taxes the stand
ard Of patriotism that men of wealth
are willing to contribute to the war?
Is that responding to the call OF our
country? Is that the sacrifice Of our
business men? do not believe it,"
Senator Borah read statements Of
President Wilson. Bonar Law and Lloyd
George regarding possible imitation
from large bond issues and necessity
for reasonable amount OF taxes He
cited England's so pei cent levy on war
taxes, after two years OF war.
Renewing his attack on tho war
profits section. Senator La Toilette de-
clared the method devised by the COM
,,mittee for ascertaining the capital Of
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