The Fargo forum and daily republican. [volume] (Fargo, N.D.) 1894-1957, 1917-09-19
zone SYSTEM ON
PUBLICATIONSIS
AGAIN INSERTED
Tax Conferees Revise Pro
posal to Place Special
Tax On Newspapers
(By Associated Preas.l

Washington, Sept. 19.-Increasing
strife between senate and house con-
ferees on. the war tax bill, as final
votes were approached, foreshadow-
ed considerable delay in final action.
Senator Simmons, heading the SEN
ate conferees, said the conferences
probably would extend until Friday
and that final enactment of the bill
might not come before next week.
Progress was made Tuesday, how
ever, on many important disputes.
The conferees definitely decided to
adopt a zone system for increasing
second class mail rates. discussed
the war profits and income tax sec
tions at length and today expect to
begin decisive voting. Usual scenes
attending important tax legislation
are being re-enacted with eleventh
our representations of interests in
volved, many agents Of business
interests in ante rooms. conferees
buttonholed in corridors and consult
ed in their offices and many long
distance telephone calls.
THE question Of publications
postage rates tentatively settled was
the most troublesome of the con-
ference. Details are still open to
final determination. A compromise
incorporating provisions of the house
zone plan, the Mcclellan amendment
and Senator Hardwick's system Of
increased rates on advertising por-
tons is being worked out.
Postmaster General Burleson ap-
peared before the committee yester-
day in behalf Of the special advertis-
ing increase plan and Secretary Nc
Adoo's influence was thrown for the
Mcclellan plan and generally against
rn al "a fVnrnn n
crease of a quarter Of a cent per
pound until 1918 and l cent there
after with a zone system of special
increases on advertising portions OF
publications were said to be features
of the compromise being drafted.
Passenger and Auto.
Other agreements reported were
on the passenger transportation and
automobile tax provisions. In lieu
of the house tax of ten per cent and
the senate rate OF five per cent on
the former, the conferees were said
to have compromised on s per cent
estimated to yield about S57,OOO,OOO
as compared with $75,000,000 under
the original house plan and $4,000
900 under the senate revision. For
the senate federal license tax on au-
tomobiIe owners of about one per
cent of original list prices of plea
sure cars, the conferees were said
to have returned to the house plan
for taxing manufacturers sales, at
about three per cent, and exemption
motor trucks.
Definite conclusions regarding
administrative and corporate pro-
visions of the income tax sec
ton and the war excess profit
clauses were not reached, the
conferees working on compromise
proposed for taxing excess profits
with an exemption Of per cent. The
definition of invested capital subject
to taxation still is in dispute. Urea
sury income tax experts were con-
suited regarding corporation tax
features, including exemption OF
dividends received from other cor
porations.
Liquor Tax.
The liquor schedules also were
considered during the day, with the
house conferees reported to favor
final acceptance of the general feat
ures Of the senate's revisions, ex-
cepting possibly the Gore amendment
levying prohibitive taxes on further
distillation for beverage use.
Decisions, tentative and other
wise, of the conferees on the war
profits, income, liquor, tobacco and
publication sections all promised to
be further considered and revised
before final drafting of the confer
ence report.