The Topeka state journal. [volume] (Topeka, Kansas) 1892-1980, 1917-08-06
Finally Revised War Tax Bill
Goes Before Senate.
Proposes To Raise $2,O06,97O,-
900 by Taxation Alone.
FROM INCOMES, TT MILLION
War Profits Scheduled To Yield
Total of 562 Million.
Profit Tax on Newspapers VIII
Add S7,5OO,OOO.

washington, Aug. 6.-The war tax
bill finally revised to meet latest esti-
mates was favorably reported today
by the senate finance committee. 1t
proposes to raise $2,oO6,97O,oOO by
taxa ton.
This is an increase of $139, 97O,0 0e
over the bill as passed by the house
in May. The additional revenue to be
raised the first year under the bill is
to come from these sources:
Income tax, 100000; war
profits, $562,000, 900; beer, wines
whisky, spirits and soft drinks. S218,-
100000; cigars, cigarettes and tobacco,
sos, 500, 900; freight, parcel post, ex
press, passenger transportation, pipe
lines, Pullman seats and berths and
telegraph and telephone messages,
$146.75O, 900.
Autos to Yield 40 Million.
Automobiles are to yield 100000
600 additional; sporting goods, $780,
900; perfumes and cosmetics, $780,
600; proprietary medicines, $4,000, 900,
and cameras, 100000.
Playing cards, $32,OOO,O0O; tea. cof-
fee. sugar and cocoa, SIS, O,0Oe
Admissions to movies costing more
than rs cents and other amusement
places $23,0O0,000; first class mail
matter, $5o,00O,0O0; second class, sS,-
100000, and profits tax on news
Beer Taxed So Barrel.
The beer tax will be SO a barrel. an
increase of IS cents a barrel over the
tax proposed by. the house: distilled
spirits $40; dry wines, eight cents
a gallon; liquors, cordials and still
wines, $1.10 per proof gallon; cham
payne, nine cents half pint three
times the present rate.
Soft drink taxes range from cents
a gallon on products sold at S125 a
gallon, to twelve cents when sold for
more than 81 a gallon. The house tax
of eight cents per pound on carbonic
aeid gas was reduced to five cents a
pound.
Chautauqua lectures, because of
their educational value, are left tax
free.
A large number of additions are
made in stamp taxes. every bank
check draft and certificate of deposit
drawing no interest recurring : one
cent stamp.
The largest increase aimed at
$f11,4OO,000 in income taxes-is to
be accomplished by increasing the
corporation income tax. making the
total per cent instead of per cent
as now, and an increase of l per cent
on individual incomes of over SIS, 200
a year.
The next largest increase is in war
profits taxes = 1852, 900, 00O-to be
IdiSeu ny imposition OF a war profits
tax, instead of the excess profits tax,
proposed in the house bill. In general,
it would make the basis of the tax
the difference between the profits OF
the pre-war period and the profits of
the taxable year, thus taking by taxa
ton, a large part of the extra gains
which the war itself has caused.
Excludes $1,000 or Less.
This par profits tax does not apply
to any business or individual whose
net income is less than $4,000 a year
and both are given a flat exemption
$5, 900 war profits
Amendments to the present income
tax law proposed by the bill include:
exemption of an additional 5000 for
each dependent child under eighteen
in fixing the net taxable income of the
head of a family.
Crediting of war profit taxes
against the income to be taxed.
Requiring brokers to make returns
showing profits by their customers, sc
that the government may check in
come tax returns.
In introducing the report of his
committee Senator Simmons says he
expects to call it up for action or
Wednesday