The Birmingham age-herald. [volume] (Birmingham, Ala.) 1902-1950, 1917-08-11

during this fiscal year will reach some-
thing like $4,000, 900.
These conditions suggest incomes
and war profits as the chief and just
source of revenue to defray the ex-
penses of the war Apparently the
House did not take this view.
AS the war profits for 1916 exceed
thirty hundred millions of dollars the
House levy of 5000, 100000 from war
excess profits in the bill estimated to
raise $500, 100000, does not meet the
manifest equities of the situation re-
auired. At least one-half of the sum
proposed to be raised should be drawn
from incomes and excess profits.
STATISTICS SUBMITTED
Senator simmons submitted statistics
said to have been compiled by j. r.
Morgan & Co., showing that As great
corporations alone will pay, under the
proposed committee revision, war prof.
its taxes of $239,977000 against only
ST., 736,000 proposed under the House
bill table presented, made the fol-
lowing estimates of the principal war
taxpayers:
u. S. steel corporation, estimated eX-
cess profits, $207,945 900; tax under SEN
ate bill S76,7260O0; tax under House
bills, $21 6S5,0O0.
Bethlehem steel corporation. esti-
mated excess profits, $53,715,000; tax
under Senate bill, $25O45,O00; tax under
House bill, $7,124,000.
General Electric company, estimated
excess profits, $6523,000 tax under Sem
ate bill, $1,136,000; tax under House
bill $1,0S3, 900.
Anaconda Copper Mining company,
estimated excess profits, $3S,0S7,000;
tax under Senate bill, $14,512,000; tax
under House bill, $5.817,000.
American Smelling and Refining COM
pany. estimated excess profits $11,15
900; tax under Senate bill, s2,492, 1000;
tax under House bill. $1,22S,000
Dupont Powder company, estimated
excess profits, S76,5S1 900; tax under
Senate bill $35, 2,0O0 tax under House
bill, 100000.
Standard Oil company of New York,
estimated excess profits. $20,425,00o;
tax under Senate bin, $5,065,000; tax
under House bill $4,024,000.
Senator Simmons declared that the
committee proposes a specific war prof.
its and not an excess profits tax. The
House standard is wholly unsatisfac-
tory, artificial and arbitrary"
The House per cent gross sales
taxes, Senator Simmons said, were "a
very questionable method of raising
revenue"
Regarding elimination of the House
general 10 per cent ad valorem tariff
levy, Mr.. Simmons said:
"While the government would realize
from those tariff levies $200,000,0 900, the
domestic producers of this country
would as a result collect out of the
people an amount three or four times
greater than the amount which 1t is
estimated the government will re-
ceive from the tax"
TOBACCO TAX
The reduced tobacco taxes, he said,
would raise the same revenues as the
House rates, without burdening either
producers or consumers.
Liquor rates, he added, were raised
because the food control laws pro-
visions stopping manufacture of whisky
made it advisable to find other revenue
sources.
Mr.. Simmons statement regarding
the publishers tax was:
Your committee decided to eliminate
the House zone system because 1t was
made clear to them that it is a tau
which would be not only burdensome,
but in a number of cases disastrous to
tatives of practically all the great pub
locations of the country appeared be-
fore the committee against this tax.
The tax substituted by your committee
is not logical one, 1T must be con-
fessed, but it was the best your COM
mittee was able to devise in view of
the present conditions of the publish
ing business"