Burlington weekly free press. [volume] (Burlington, Vt.) 1866-1928, 1917-10-04

paid in or earned surplus and undivided
profits used or employed in the business,
exclusive of undivided profits earned dur
ing the taxable year"
The allowances for intangible assets,
include actual cash value of patents
and copyrights paid in for stocks or
shares at the time of payment
good will, rad marks, trade brands.
franchises, " If for bona fide pay
ments not to exceed the cash value"
1t stlpulates that such intangible as
sets exchanged for securities before
March 3, 1917, not exceeding 20 per cent.
of the total hall be included at a value
not exceeding a fair cash value at the
time of purchase.
The income tax section was virtually
unchanged. except for rearrangements
of surfaces on incomes between s15,Ooo
and $4,000. The graduated surfaces Of
1 to so per cent. on Incomes from 5000
to $1,000. 900 and over were approved.
The Senate increases of 2 to 4 per cent.
of the income tax on corporations, Joint
stock companies and insurance companies
was approved, together with the new nor
NAL individual tax of 2 per cent. on in
comes Of unmarried persons in excess Of
81. 900, n married persons Of more than
1000.
NEW TAX ON INCOMES.
The new 2 per cent. tax IN incomes
of more than $1,000 for married persons
and $1,000 for single persons is in addi-
ton to the present law. exempting In
comes of less than $4,000 for single per-
sons and $4,000 for married persons. hus
those between the new low exemption
basis and the present exemptions will pay
only the new 2 per cent. tax. but single
persons having an income OF So,OV or
more and married persons whose income
is $4,000 or more would pay the full 4 per
cent. normal tax.
The Senate income provision allowing
an additional exemption of $500 for each
dependent child to heads of families sub
ject to the present law was retained. The
exemption for children, however. does not
apply to those subject to the new reduced
taxes with the $1,000 and $1,000 exemptions.
respectively, for married and single per-
sons.
SURTAXES ON INCOMES.
The surtaxes as agreed upon are as
follows:
One per cent. on incomes over 5000
and less than $500. two per cent. between
1900 and $4,000. three per cent. between
$40, 900 and s12, 500, four per cent. between
ST., 500 and $15, 900, Ave per cent. between
s15, 900 and 20,0OO, seven per cent. between
$50, 600 and $4,000, 10 per cent. between
$40, 900 and 6 $4,000, Ii per cent. etwee
$50, 900 and $4,000, IS per cent. between
$780, and 800, 900, % per cent. between
500, 600 and $780, 600, % per cent. between
$3.50, 900 and $500, 900. so per cent. between
5000, 900 and $3.50, 600. "a per cent. between
$3.50, 900 and $500, 900, 81 per cent. between
$500, 900 and $500, 900. 40 per cent. between
$500, 600 and $500 40 per cent. between
$3.50, 900 and 81, OOO,O 600, and so per cent. on
incomes exceed 100000.
STAMP TAXES STAND.
The Senate one. cent stamp tax on bank
checks was not restored. but it's tax OF
one cent on parcel post packages costing
% cents or more was retained. Other
stamp taxes. all made effective December
l were retained, and the House tax on
indemnity bonds restored.
In lieu of the House 5 per cent. tax
on sales of automobiles by manufacture
ers n the Senate federal license tax
on owners. the conferees adopted a
per cent. tax on all motor vehicles. in
GLIDING trucks, payable by manufacture
ers, producers, and importers.
Taxes of 8 per cent. on manufacturers
sales of musical instruments and jewelry
also were written in, with a tax Of a
quarter of a cent a foot on motion picture
films.
On sporting goods the revised bill
levies 3 per cent. or manufacturers sales
instead of 5 per cent. propose by the
House and 2 per cent. by the Senate. The
3 per cent. levy also was adopted fol
cameras, in lieu of the Senate 2 per cent
rate, and chewing gum manufacturers will
be taxed 2 per cent. of eross sales. {
reduction of 3 per cent. from the Hous'
rate.
The Senate 2 per cent. manufacturers
sales taxes on perfumes and patent medi
cines are retained.
!. LARGE POSTAL RATE INCREASES.
Enormous increases on second-class mai
, matter are proposed in the conference re
2 port on the war tax bill. Different rate
would apply to reading and advertising
matter. and no free zone woul be pro
vided for either.
Beginning July 1. 1918, and continuing
S until July /, 1919, the rate per pound Of
, reading matter will be one and one
1 quarter cents, or a quarter of a cen
e moro than the present rate on all sec
$ ond-class matter, and one and one-hal
I cents per pound after July /. 1918.
fuDllCdtlOHS carrying more duVcftloiul
than five per cent. of their total spac
a would be subjected under the fourth-clas
parcels post zone system, to the fol
lowing rates per pound on their advertis
a ing matter:
:. Between July 1. 1918. and July l. 1915
: First and second zones, ~ cents; THIRD
a 11s cents; fourth, 2 cents; fifth, en- cents
sixth. 2h cents; seventh. 3 cents. an
= eighth. 81 .,ents.
Between July 1. 1919. and July /. 1921
% First and second zones. III cents; third.
= cents; fourth, 3 cents; fifth. "a cents
sixth : cents; seventh, 3 cents, and eight
@ 5hs cents.
July l. 1920. and July I, 1922
J. First and second zones, ~ cents: thirt
2ha cents; fourth. 4 cents; fifth. ~ cents
d sixth, 5M cents; seventh, 7 cents. an
35 eighth. IA cents.
After July l, 1921: First and secon
n zones, 2 cents; third, 3 cents; fourth.
II cents; fifth. 6 cents; sixth. Z cents; seventl
8 cents, and eighth 10 cents.
These rates would apply on all pull
lications entered as second-class matte
lie including sample copies to the exteI
rs Of 10 per cent. of the weight of copit
lie mailed to subscribers during the C a
lie endar year.
u carrier distribution and the present fre
I'd in county provisions of the law woul
remain unchanged. PAPERS carrying lei