Albuquerque morning journal. [volume] (Albuquerque, N.M.) 1903-1926, 1917-06-05
Senate Committee Agrees to
Imposition of $40 Per Bushej
on All Grain Used to Make
Distilled Liquors.
SUPPLY IN WAREHOUSES;
AMPLE FOR THREE YEARS
lmportations and Exporta-
tations, Except for Scientific
Purposes, Prohibited While
War Continues.
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tsN soRNiHo JOURNAL SPECIAL tHAsgb WiaGl
Washington, June 4.--Prohibition
legislation was approved by the SEN
ate finance committee today as a new
feature of the war tax bill.
Prohibitive taxes upon distillation of
whiskey and other spirits for beverage
purposes with a ban upon their inn
portation were agreed upon by sub
stantial majority of the committee.
Taxes fixed by the house on beer and
wines were left unchanged. though
they have not yet been finally ap-
proved. ~.
General suspension of beverage pro-
duction by distilleries and use OF
liquor now in bonded warehouses
probably would be the effect OF the
new tax section if enacted into law.
objects OF Measure.
Curtailment of liquor consumption
during the war and conservation OF
foodstuffs used in manufacturing dis
titled spirits. Chairman Simmons said
tonight, constituted the dual object OF
the committee in adopting the .sabsti-
tutes for the house of representatives
rates. Manufacture OF a1cohol for In
dustriai mechanical or medicinal pur-
poses would not be affected.
In addition to the present tax OF
$2.20 a gallon on liquor, tax of $40
bushel (from IS to 50 a gallon) upon
all grain, cereal or other foodstufts
used in manufacturing .whiskey or
other distilled spirits for use as bev-
erages, was written into the bill. Sem
ator Simmons said the increase would
be prohibitive upon manufacture
while the law is In effect. or during
the war. Increased taxes of 35 per
gallon upon molasses. syrups and sub
stitutes used In distillation for bsv-
erage purposes also were agreed upon.
Permits for expectation would be
given only for war purposes upon ap-
plication by nattgA at war with Ger
many.
Would Stop Distiileriea.
As supplementary legislation the
committee further approved an
amendment prohibiting importation
into this country. Porto Rico and the
philippines of distilled spirits made
from any foodstuff except for indus
trial, mechanical or scientific pur-
poses. Senator Gore OF Oklahoma,
prohibition advocate. was the author
Of the liquor amendments.
The prohibitive taxes, Levi Cook,
counsel for the national distiilinx in
terests said tonight woulb result In
virtually complete cessation Of distil-
lation for beverage purposes.
Senator Gore estimated that sup
plies of distilled spirits now In bond
ed whiskevs would. according to the
present rates of consumption. last for
between two and three years thus re-
moving the prospect Of serious cur
tailment Of federal revenues 70. that
period.
Tomorrow the committee plans to
consider the wine and beer schedules
and documentary stamp taxes.
Other Features Determined.
In addition to determining the
liquor question today, the committee
voted tentatively against increasing
second-class postage rates on news
papers. magazines and other publica-
tions. A flat two per cent tax on ad-
vertising receipts was, instead. agreed
upon. Publishers receiving less than
$4,000 annually from advertising have
been suggested for exemption.