The Richmond Virginian. (Richmond, Va.) 1910-1920, 1917-08-25
SENATE n DtBkIEJ|I
CORPORATION TAXES
whiis La Toilette Labsrs Over New
Schedule Aimed At InAiviAual
Incomes.
SOME SPICY INrERczAxcEs
senator Simmons Declares there Il ~.
Ground For Idea Advanced BY SON.
That Corporations Are Esc.,a..
Taxation.

Washington. Aug. z%.--There cam. /.
lull today in the financial storm which
has so shaken the senate this war
No radical steps were taken In ~.
war revenue bill such as has charsc.
terized the Proceedings days. AImost
the entire time was consumed-.ky AZ.
cussing the equalization OF th1-Income
taxes corporations and part~erships
should bear. The debate was hirhly
technical.
Senator La Toilette was bury all a..
in his office laboring over a,new ~.
come schedule. This scheme, which
Is somewhat lower than the hrst he
proposed. will be launched tomorrov,
II 1t shares the fate OF the frat sche6.
ule and is rejected. La Folletts win
submit still another schedule.
La Toilette asked that the income
tax section be passed over temper.
arily today. This brought the senate
down to the matter OF corporation IN.
comes. The I per cent nav normal
tax upon these was agreed to. Sen.
ator Jones. Of New Mexico made I
strong Tight for his amendment pro,
posing a IS per cent tax upon the uu.
divided surplus Of corporations
We ought not to. have ., Stacker
dollar in the country" he Rald.
III this corporations have the souls
Oh HUMAN OeiuBb they Wou10 cast
aside the Stacker dollars ~ uncisan
things"
Senator Simmons. chairman Of the
senate finance committee, and Senator
Smoot. of Utah. came into the discus.
sion.
There Is \ certain prejudice against
corporations which sometimes makes
It difficult to ascertain facts" assert.
ed Simmons. There Ia no Foundation
for the statement that corporations
in this country are escaping taxea"
swers to Jones. shaking his finger at
the New Mexico senator. Smoot cried.
The United States government II not
going to take the bricks and mortar
of corporations for taxes. Prices WIN
fall after the war. and any business
that has not provided for that time by
retaining some OF It's surplus-God
help It after the war -
When Jones asserted that there vera
four and half billions Of undts.
tributed surplus in the country. Smoot
snapped back: "The senator does not
believe that. He took .she example Of
twenty companies making fabulous
fortunes and based his estimates on
that table. Yet most OF the corpora
lions have distributed their surplus
this year Just as usua1-some Of them
have distributed too much The Beth
lehem Steel company would be taxed
SIX per cent under the bin and would
turn IS per cent to it's stockholders.
and that would be taxed too through
Individual incomes"
Senator Trammeil. Of Florida. spoke
for retention of the individual in
comes to minimum of $4,000 for single
men and $4,000 for married The bill
alters the minimums to 81 900 and 12,-
COO Senator Bankhead. of Alabama.
spoke against the determination a
the pre-war years by taking 1917. fsY2
and 1918 as a basis. Five new sections
were pu, In the corporation and part
nership income tax sections. making
brokers and other persons subject 10
the laws regarding returns to the
treasury department