Evening star. [volume] (Washington, D.C.) 1854-1972, 1917-07-04
Deny It Is Rich Mans Bill.

senators Indignantly refute the charge
that it is a rich mans bill" They
point to elimination of many provisions
in the House bill which went directly to
the poor man-electric light and power
taxes. moving pictures. higher rates on
articles OF daily consumption, and the like
Senator's also point out that the bill
hits big business" incomes, liquors and
tobacco hard. supposedly favorite targets
for the House. 1t imposes half a billion
dollars income taxes in addition to the
already heavy tax imposed by law; it di-
rects another half billion in taxes on ex-
cess profits Of corporations. partnerships
and individuals. s155 .000. 900 on liquors and
$56. .000. 900 on tobacco.
But the Senate committee has stricken
out the Lenroot amendment increasing
taxes on income above $4,000" objects
Rainey. speaking for the
ways and means committee. THAT win
certainly have to go back into the bill.
the Senate has eliminated
retroactive income taxes and automobile
taxes and in lieu has placed a burden
upon every home in the excise duties on
tea. sugar. coffee and cocoa.
Calls Publishers Tax Illogical.
"And there is the Senate's tax of per
cent upon the publishers. probably the
most illogical of all. Why, after the pub
fishers pay the income and the excess
profits tax. should they be subject to a
special tax on top Of everything?
''The bill will have to be changed ma
says Mr.. Rainey. He further says the
House will insist that the total Of money
to be raised by taxation shall be put back
to the House figure of 81 300. 900. 600 in
stead OF $f.67o.ooo, 900. to which the Senate
reduced 1t.
wish you would sit down and try to
figure out sources of taxation that will
bring another $3.50. 900, ,000." says Senator
Lodge. sententiously. He and his col
leagues on the committee have been sew
erAi weeks at that task. s-ssa
House republicans are disgruntled be-
cause the Senate committee struck out
the tariff provision Of the bill as 1t passed
the House-a horizontal increaSe Of 10 per
cent, ad valorem. in tariff duties. which
was a votive offering to their political
by them to protect American business
against foreign imports in event OF a sud
den cessation Of the uar and resumption
of commerce, pending revision Of tariff
rates.
1t Is not thought however. that the
House democrats will shed any tears or
lose any sleep over this action of the
Senate but will be inclined. in this in
stance. to yield without much protest to
senatorial dictation and domineering." :"
The Lenroot amendment, as indicated
by Mr.. Rainey, increasing taxes on in
comes above $4,000. is the Houses
dearest project. and it will be vigorous
ly fought for by the lower body. Some
m embers Of the House think this item
has been held out by the Senate ito
trade with" in conference, and that in
the end they will get it by yielding
else that the Senate wants.
big business" is yet to be heard
from as to the probable effect of the
Senate committee proposed taxes on
excess profits. This was one of the
most difficult subjects the committee
desire to frame reasonable and logi-
cal system was largely responsible for
the long delay in reporting out the bill
Prolonged Debate Likely.
The provisions are involved in their
terms and probably Will require close
by corporation lawyers. it is
said. to determine their practical appli-
cation upon different lines of industry
and commerce.
This section of the bill is expected to
lead to prolonged debate in the Senate.
and. no doubt, to amendments by way
of compromise. The Senate. it is
claimed by committeeman. is not dis
posed to make any drive" at business
and certainly is quite alive
to the futility of any policy which
would kill the goose that lays the
golden eggs" and cut OF the sources of
revenues expected to be derived.
This is the biggest tax bill ever pro-
posed in the United States. and senators
declare that its magnitude and impor-
tance to all classes of people warrant
the time necessary for intelligent de-
liberation