The sun., 1917-11-11
Quc>lionnaire by "Sun'
Shows Senate and House
Realize Its Injustice.
13 MEMBERS REACHED
Almost Every One Except
kitchin Expresses Dis
satisfaction Over 1t.
LEVY "SLIPPED THROUGH"
Inadequate Consideration Was
Given to Section. 1t Is Ad-
mitted by Many.
73 MEMBERS REACHED
LEVY "SLIppED THROUGH"


tested the present temper OF Congress
as regards that remarkable section OF
the war revenue bill which imposes
uron salaried persons an annual tax
Of S per cent. in addition to the income
tax upon everything earned in excess
Of $4,000: an excess profits" require
ment which falls upon men in the pro.
fessions or occupations and which does
not apply to invested money.
The replies to the questionable. COM
inS as they do from some thirteen
United States Senators and about sixty
Representatives. indicate positively that
Congress is conscious of injustice done
toward men Of moderate incomes who
must meet IN many ways the heavy
financial burdens brought upon them
BY war necessities. and that the feel.
Ing is pretty general among members
Of both houses that the section must
be repealed at the earliest available
time or that the section must be sc
amended as to remove discrimination.
This section. No. 200. whose purpor,
and significance were not realized by
the country until after President Wilson
had affixed his signature to the wal
revenue bill which carried with II pro-
visions for raising &2,534,s7o.000 by
taxation. has all the earmarks Of q
legislative Joker. although Representa-
tive claude E. Kitchin. chairman OF
the Committee on Ways and Means and
a prominent sponsor for the section, in
sists in his defence Of It that II was
perfectly fair measure and wholly
justified by the committees examina-
tion OF earning conditions. ...---.---..-
stripped rhrouvh somehow.
Aside from Mr.. Kl'chin's lengthy de-
Fence OF the section, the opinion or
excuse was generally offered by Repre-:
eentatives and Senators Immediately
after the war revenue bill was signed.
that the section Slipped through some
how" in the final hours of nervous
worry over means NJ raising money
that II was aimed at big salaried men
or at professional men who earn ex-
tronely large incomes. such az corpora
Nov attorneys with 500. 900 fees II
was frankly admitted. however. that
me effect Of the section would be TO
discriminate heavily in favor Of the man
who receives an income from Invested
money or In favor Of the idle rich man
with large income and no purposeful
occupation whatever.
Members Of Senate and House had
time to think over the evil potentialities
~ this measure after Congress adjourned
ard they returned to their homes. and
y was in this readiusted frame Of mind
that they read and answered a reuues,
made by THE SrN. It may be stated
that ot the seventy-odd replies received
ny this newspaper nearly every one de.
'lares unhesitatngly In favor Of the
repeal OF section 209. Representative
kitchir finds himself almost alone ir
defending its justice and equitable DOS.
sbi!ities, The answers TO THE Sr-N are
so positive. indeed. that II seems certain
section o09 will he eliminated from thu
war revenue law when Congress recon.
veres
Here Is the "joker" that adds 4 ne,
cent 70 the tax already imposed upor
the Incomes of moderately successful O,
very successful professional men ant
OF nersons in the occupa tions that enjo,
considerable return from their labor
Neing section 200 to which THE ST..
refers:
That In the case OF trade or hus,-
ness having no invested capital or not
more than nominal capital there
snail he levied. assessed, collected and
paid in addition to the taxes under
existing law and under this act In lieu
OF the tax imposed by Section POI. n
tax equivalent to s per centum OF the
he' Income Of such trade or business
IN excess Of the following deductions:
IN the case OF a domestic corporation
s5o'N, and in the case OF domestic
partnership or citizen or a resident
or the United States $4,000; in the
cases OF all other trades or busi-
hes'es. no deduction.
"The SUMS" Question.
=, To various members Of the Senate ant
u" Ho"' OF Representatives THE ST.,
'3' lIe following question:
THE SrH would like to know
"1ethcr or not YOU favor n repeal n
uh'' section AT the next session as bein.
a. unjust discrimination against larr
""l,'n ~ the salaried class and in favo
-".Se " ose incomes are not derive,
IRON ih"ir labor and talents
" not IN favor OF the repeal Of m
e''f' section. would YOU favor n,
amendment designed 10 re,ro-a this dis
.rini1a'on SO that the earned and un
'.""o 'nnr'Tcnt would 30 taxed alike -
Among the Senators who rep,ie,
promptly were Lawrence Y. Sherman
T".uci Z. Watson, William NJ. Calder
NUuiM Alden Smith. James W. Wods
Tor'h Morris sheppard, George r. Nc
''n. 6. : Page. J. n Gollinger. yohr
Weeks, John sharp Williams. +
M'. simmons md James r. rhelan-
rt""n in number