The sun. [volume] (New York [N.Y.]) 1916-1920, 1917-09-29
ARE
IN FULL ACCORD
ON WAR TAXES
Measure Is Completed and
Unanimous Agreement
Is Signed.
TROUBLE IS EXPECTED
Provision for Increased Cost
Of Letter Postage May
Stir Senate.
TROUBLE IS EXPECTED
Special Despaich TO The SUS


WASHINGTON, Sept. 2s.--The conferees
over the war rcvnue bill announced
late tonight that they had reached a
complete agreement. Throughout the
day the conferees had sat In secret ses-
sion rewriting paragraph by paragraph
the $4,000. 100000 measure. which in the
course of their deliberations has been
increased materially over the figures Sc.
as the gross levy by the Senate Commit
tee on Finance.
They worked as diligently over the in
sertion or the elimination Of comma
in to-day's final conference as they have
labored during the last seventeen days
over the gretter problems Of the bill.
Late In the afternoon Chairman Sim
mons emerged from the Finance Com
mittee room long enough to say that the
bill would be completed and a unani-
nous agreement signed at to-night's ses-
sion.
At the same time he suggested to the
large group OF newspaper men who have
watched over the deliberations OF the
conferoeS that no final statement would
be given to the public until tomorrow.
Then the chairman withdrew for the
final review of the bill. The conferees
labored until nearly midnight, when the
final draft was sent to the Government
printing Office
War PROFITS Feature.
Complete agreement between the Sem
ate and House conferees over the war
profits tax section of the bill, which, It
is admitted, has been the principal
source of trouble ever since the con-
ference began. was announced. Details
OF the form Of the war profits title were
withheld. but il is known to be COM
promise measure which. it Is felt. will
create serious contest in the House
and the Senate when the conference
report is introduced.
The Senate has receded on the rates
per cent. Of differences between the
exemptions Of eubnormal pre-war
profits Of individuals. firms or corpora
tons taxable under the proposed law
and the corporations which were earn
ing normal or higher than normal
profits in the years 1911-12-13, the
years accepted by both sets of con-
ferees as the basis Of calculation.
Under the compromise. subnormal
profits will enjoy an exemption OF !
per cent. before the calculation Of the
tax on war profits is begun and the
numerous surtaXes are applied Ind-
viduals. firms and corporations of
normal income in the pre-war period
will enjoy an exemption OF per cent.
, The rates of the surtaXes imposed under
the bill were left undisturbed They
will range from a 15 per cent mini
mum surtaX to 60 per cent. maxi
mum.
Entertainment Taxes.
| There has been a revision of the ad.
mission for taxes applicable under the
! terms of the Senate bill to entertain.
ments of every description for which
! an admission fee of 25 cents or less is
charged so that 25 cents will nc
| longer remain the minimum untaxable
| admission rate. The conferees with
| held the announcement of the minimum
of taxable admission fee. but II is very
/ generally presumed that all shows
charging more than "one dime for ad-
mission will be compelled to contribute
! to the Federal revenues.
The income tax schedule has been &C.
| cepted by the House conferees as re.
| drafted by the Senate with few
minor changes. These arc unimportant
I as affecting the income tax levy. but are
! designed to make the administration oI
the law simpler.
The Senate's acceptance OF the House
provision that there shall be a SO pei
I cent. advance in tine cost of letter
! postage is expected to start somethins
when the report reaches the Senate
/ The increase in the first class rate will
make the public feel the pressure OF