Evening star. [volume] (Washington, D.C.) 1854-1972, 1917-12-01
EXPECT BOND ISSUE
OF: FIVE BILLIONS
y
Federal Officials Facing Prob
lens Which Congress Will
Be Asked to Solve.
HUGE WAR FUND IS NEEDED


some $4,000, 0oo, 900 Of bonds, in addition
10 those already authorized, is expected
Of Congress at an early date. Some
means Of raising this sum, in addition &c
the 1855, 0oo,o from liberty bonds
now authorized, the $1,ooo,ooo,ooo e1
pected from the war savings stamps and
the $1,000, 100000 from the war taxes
must be devised, and it is understood
that Secretary McAdoo has Informed
members of Congress that he heartily
favors further bond issue.
The ways and means committee Will
tackle the job of framing the measure
and It Is expected that within a week
or two 1t will be ready for presentation
to the House.
The adoption of this plan for more
bonds will mean that between February
! and July / the country will be called
upon to absorb two more liberty loans
axKresating more than $500, 100000
The entire sum. It Is said. will be need
ed by July 1.
Fight for Taxation Expee sed.
There will be a fight waged by some
members of Congress to have the bulk
Off the $4,000. 100000 now asked raised
by taxation Senator La Toilette and
others are expected to make efforts To
increase the taxes on war profits, etc.
AZ they did at the last session Those
advocating a bond issue are prepared
to argue that the internal revenue
the immense task of creating ma
z-ohinery for the collection of $780,
: 100000 in war taxes expected before
9 ynfy I. Great confusion, they say
taxss before the country has had an
cpportunity to adjust itself to the new
taxes already levied.
The taxation advocates are expected
to ask an increase Of income and
-excess profits taxes. Under the pres
emit law the estimated receipts from
incomes are $1,000. 100000. and from
excess profits. s1.22o.ooo.ooo.
Loans to Allies a Problem.
Another big finance question which
win receive the early attention OF
to the allies. II the present rate OF
extending credits to the allies is con-
tinued the s7,ooo.o0o.00O authorized
credits will be exhausted by July l.
and Congress will have to decide
whether to continue the loans after
that time. Six billion dollars will be
required for the fiscal year begin
ming next July / If the rate of a hall
billion dollars q month is kept up.
A number Of other issues of Treas
ury certificates OF Indebtedness may b<
looked for. Secretary McAdoo has an.
nounced. in anticipation Of big tax col.
lections next May and June, but thes<
so-called tax certificates and also any
which may be Issued to prepare the
way for future liberty loans probably
win be redeemed before July 1 an6
consequently play only a minor part II
the finance problems facing Congress.
In connection with the taxation leg
islative program. it Is now indicated
that Congress will be asked by oficial
in charge Of administering the tax law
TO make a number of amendments t,
Question Requiring Attention.
Members of the excess profits ad
visory committee. which has been as
sisting Internal Revenue COMMISSIONS
It 10 impossible for the executiv,
branch to define what shall be included
In Invested capital" for instance. an,
that further legislation will be re
quired to clarity this and several othe
sections.
The advisory committee went to worl
yesterday on its recommendations
which will be submitted to Commits
sfcner Roper probably the middle o
Will represent the conclusions of ,
number of tax experts representing va
rious business and public interests, aft
Or hearing the representations of va
rtou9 groups of business men for tn,
past several weeks.