The Madison journal. (Tallulah, Madison Parish, La.) 1888-current, 1917-10-13

Washington.-The joint conferees on
the war revenue bill completed their
draft after two weeks of elaboration.
As revised by the conferees the
measure has been raised from the levy
fixed by the senate of $2.416,670.OO0 to
an aggregate of approximately $2,1OO.-
100000. Chairman Simmons of the
senate finance committee estimated
thst the Increase made by the con-
ferees would approach $275,OOO,OOO.
Profits lax Modified.
The excess war profits tax, as agreed
to by the cOnferees, is a modification
Of the senate bill, the principal
changes being In the maximum anu
minimum rates of exemption upon
which the tax Is to be determined.
The senate graduated scale of exemp-
lions ran from 6 to 10 per cent, while
the house exemption rate was 8 per
cent The conferees adopted the grad
uated rate Of from to 8 per cent.
The definition of capital, which was
. point upon which the conferees ar
gued for days, was modified so as to
provide that the actual value Of tangi.
BILE property paid into corporation
or partnership or Individual business
before January 1. 1914, shall be taken
ms Of that d:.te. The prOyiso as to
good will and other intangible prop
erty has been somewhat liberalized.
A. to "invested Capital"
In calculating war excess profits the
terms invested capital" of corpora
tons and partnerships was declared
to include actual cash paid In, actual
cash value and other tangible prop
erty paid for stock or shares at the
time of payment or January 1, 1914.
hut In no case to exceed the par value
Of the original securities; paid In or
earned surplus and undivided profits
used or employed In the business, ex-
elusive of undivided profits earned dur
ing the taxable year."
The allowance for Intangible assets
includes actual cash value of patents
and copyrights paid In for stock or
shares Mt the time Of payment
good will trademarks, trade brands,
franchises >. II for bone-fide pay
ments not to exceed the cash value
II stipulates that such Intangible
assets exchanged for securities before
March 8, 1917, not exceeding 20 pei
cent Of the total, shall be included al
q value not exceeding fair cash
value at the time Of purchase.
Postal Increases.
A fat increase OH reading matter Of
4 cent per pound until July 1, 1919
and n cent thereafter was provided
Advertising matter exceeding 5 pei
cent Of the totnl space would be taxet
from Il to ~ cents additional unit
July /. 1919. and from "a to 41a cent?
more until July 1, 1920; and from 2.
TO 81 cents to 1927 and from / cen
TO o cents thereafter.
An additional tax Of " cent Pc
pound until July 1. 1919. and Il cen
thereafter. on religious. agricultural
fraternal and similar publications wa
adopted.
The / cent tax on letters. excepting
drop letters and postal cards, was re
stored by the conferees. A cent ad
Aifional tax on postal and private
mailing cards was added. The first
class mail Increases are estimated 4
raise S90.000.O00. and are effective 3
days afetr the passage Of the act. Tn
senate provision exempting from post
age Letters written by soldiers an
sailors abroad was retained.
Railroad Tickets Hit.
The conferees levied per cent Il
lieu Of the senate rate Of 5 and tn
house rate of ~ per cent on passenge
transportation. estimated to raise fror
the compromise levy abouot 100000
600 instead of So. 100000 under tn
senate plan. The 8 per cent tax o.
freight transportation was retaine
and the tax on express transportntio
was increased so that cent would b
levied on each 20 cents paid instea
of each % cents. The house 10 pc
cent ux on Pullman accommodation.
cut to per cent by the senate. wa
restored and Is estimated to raise IS
100000.
In lieu Of the house 0 per cen
tax on sales Of automobiles by manu-